RBI's liquidity shot lifts pharma, bank stocks; Sensex leaps 424 pts

The RBI's well guarded measures which, analysts believe, are tuned to the evolving situation may support the economy going forward

1:23 PM

MARKET VIEW ON RBI GUV'S ADDRESS

RBI’s measures announced today have largely addressed the need of small borrowers, individuals as well as businesses, and MSMEs who have been amongst the worst affected in the second resurgence of Covid. Besides liquidity measures, easing lending to the above strata by extension of restructuring , boosting medical infrastructure through PSL recognition will help bring relief in the financial ecosystem. We believe small finance banks like Ujjivan, Equitas and MSME lenders such as DCB, City Union to benefit from some of these measures.

- Naveen Kulkarni, Chief Investment Officer, Axis Securities

1:15 PM

NEWS ALERT :: S&P says reconsidering 11% FY22 growth forecast for Indian economy

>> Second Covid wave may derail India's budding recovery

 

>> India's vaccination rollout has proven challenging

 

>> FY22 growth at 9.8% in moderate second Covid wave scenario

 

>> FY22 growth at 8.2% in severe second Covid wave scenario

1:11 PM

SBI, Equitas SFB: How to trade bank stocks post latest RBI announcements

NIFTYBANK

Likely target: 33,810

Upside potential: 3.70%
 

This index has a resistance of 100-day moving average (DMA) and 50-DMA, currently placed at 33,087 and 33,810, respectively. The overall trend is bullish till the index defends the closing basis support of 32,000 levels. The Moving Average Convergence Divergence (MACD) is rising upward, and making attempts to cross the zero line; which indicates a positive bias for the current trend, as per the daily chart. READ MORE

1:00 PM

MARKET CHECK :: Sensex extends gains, rises nearly 400 points

12:55 PM

RIL's Rs 53,124-cr rights: Partly paid premium shrinks as call date nears

The price of Reliance Industries’ (RIL’s) partly-paid (PP) and fully-paid (FP) shares has started to converge ahead of the first call payment later this month. On Tuesday, the partly paid shares-–issued last year during its Rs 53,124-crore rights issue--traded at a premium of just Rs 16.3.

 

In November 2020, the premium was as much as Rs 130. Earlier this month, RIL announced the details for the first call payment. READ MORE

12:51 PM

Mid-market view | Gaurav Garg, Head of Research at CapitalVia Global Research

The market opened with a slight positivity though since the market has opened the market lacks clarity and has been trading in a very small range. Traders were relieved when RBI Governor Shaktikanta Das stated that the central bank will continue to track the evolving COVID-19 situation and will deploy all tools and instruments at its disposal to assist people, businesses, and institutions affected by the second wave. The US market closed lower after some heavy-weight stocks showed resistance in the market. Asian markets were mostly trading in green after some relief in covid cases in the region.

 

Nifty has traded in a consolidated manner near the level of 14550. Technical factors in the market are aligned to show that the market will trade in a range of 14500-14900. 14500 will be an important support level in the short term. 

12:44 PM

RBI swings into action after banks indicate rising asset quality pressure

In view of the surging coronavirus (Covid-19) second wave which has resulted in lockdowns in several states, the Reserve Bank of India (RBI) has swung into action after banks indicated mounting asset quality pressures. Central bank Governor Shaktikanta Das made an unscheduled announcement on Wednesday in which debt restructuring was allowed for individual and small borrowers who had not availed a similar scheme announced last year when the Covid-19 pandemic first broke out. READ MORE

 

12:44 PM

MARKET UPDATE:: Stocks that hit 52-week high on BSE today

Company	PRICE(rs)	52 WK HIGH	CHG(%)
Aarti Industries	1674.55	1750.00	2.39
Cyient	770.90	799.00	-1.78
EClerx Services	1295.55	1322.45	4.32
Galaxy Surfact.	2878.50	2984.95	2.56
GE Shipping Co	383.65	391.80	11.36

12:27 PM

MARKET VIEW ON RBI GUV'S ADDRESS

The RBI has always been ahead of the curve, additional relief and liquidity measures were required post the second wave of COVID19 cases that broke out in April. The measures announced will support the funding requirements of the healthcare, medical facilities, beef-up vaccine manufacturing for domestic inoculation. MSMEs and individuals borrowers will benefit from the extension in the moratorium. The RBI's intent to take further measures if need be to provide relief, focus on the post-COVID future will send the right signal for the markets.

- Nish Bhatt, Founder & CEO, Millwood Kane International

12:18 PM

Equitas, Ujjivan, AU Small Finance Bank gain as RBI announces loan relief

Shares of small finance banks (SFBs) like Equitas SFB, Ujjivan SFB, AU SFB and Suryoday SFB, on Wednesday, rose up to 6 per cent from their respective intra-day day lows on the BSE after the Reserve Bank of India (RBI) announced a special long-term repo operation window for SFBs, whereby the banks can borrow funds up to Rs 10,000 crore at repo rate for deploying for fresh loans SFBs, to be deployed for fresh lending of up to Rs 10 lakh per borrower. READ MORE

 

12:15 PM

Top gainers on the BSE at this hour

Company	PRICE(rs)	CHG(%)
GE Shipping Co	389.75	13.13
Lupin	1156.10	9.35
EID Parry	419.40	7.97
Balrampur Chini	317.90	6.25
Cera Sanitary.	4070.35	5.94

12:06 PM

NEWS ALERT

UP government extends lockdown till May 10, 7 am, media reports suggest

12:00 PM

Alembic Pharma falls 6% post March quarter results

Shares of Alembic Pharmaceuticals dipped 6 per cent to Rs 948 on the BSE in intra-day trade on Wednesday following a weaker-than-estimated operational performance in the March quarter of the financial year 2020-21 (Q4FY21). The company’s consolidated earnings before interest, taxes, depreciation and amortization (Ebitda) margins declined 45 basis points (bps) to 26.7 per cent in the March quarter (Q4FY21). READ MORE

11:57 AM

Madan Sabnavis :: RBI gets into the act; lays foundation for more measures going ahead

The signal really given by the RBI is that while it does believe today that things have not taken a turn for the worse as enterprises at all levels are better prepared than last year while facing lockdowns, there could be surprises on the infection side that can engineer various measures by states that can affect business. However, the RBI will remain proactive and get in measures to address worries. READ MORE

11:45 AM

SECTOR WATCH:: Pharma stocks advance in an otherwise volatile session