MARKET WRAP: Indices trim gains, Sensex ends 277 pts higher; DHFL jumps 32%

All that happened in markets today

8:50 AM

Budget numbers indeed look challenging to achieve: DSP MF's Saurabh Bhatia

We expect GDP numbers to remain benign through the next two quarters. Growth turnaround can be materialised through a fiscal fed fast-tracked growth. This type of growth turnaround reflects higher fiscal deficit (hence higher interest rates), higher CAD (hence weakening pressure on currency) thereby stoking inflation. Herein, the RBI tends to maintain tight liquidity conditions to wane off imminent inflationary pressures. This model of growth decreases immunity of economy making it more vulnerable to global shocks. READ FULL INTERVIEW HERE

Saurabh Bhatia, Head of Fixed Income, DSP Mutual Fund

8:47 AM

NEWS ALERT | Will engage with the IMF to eliminate unfair competitive advantage created by China's latest actions: US Treasury Dept

-- Secy Steven Mnuchin to meet IMF

(As reported by CNBC TV18)

8:44 AM

NEWS ALERT | US farmer union slams President Donald Trump on additional tariffs: CNBC TV18

-- Union says, China's decision to halt purchase of Agri products is a blow to thousands of farmers

8:42 AM

NEWS ALERT | 'Relevant' Chinese firms have halted purchases of US agricultural goods: China’s Commerce Ministry

-- More actions likely to follow

Alert: Action comes after US designated China as 'currency manipulator' 

8:39 AM

Sterling and Wilson Solar IPO opens today: Should you subscribe to it?

Most brokerages have assigned 'subscribe' rating to the issue; however they appear a bit cautious courtesy ongoing correction in the market.

 

At the higher price band, the company is demanding a consolidated P/E (price-to-earnings) valuation of 19.6x (to its FY19 EPS of Rs 39.8), which at discount to its peers average of 33.7x (excluding P/E multiple of Scatec Solar ASA). Based on FY20E and FY21E EPS (earnings per share), SWSL is demanding a P/E multiple of 16.8x and 11.8x, respectively, notes Choice Broking. READ MORE

8:37 AM

NEWS ALERT | Board must circulate the changes in the AoA resolution for approval: Gangwal

8:36 AM

NEWS ALERT | IGE benefit from loopholes on corporate governance: Rakesh Gangwal

-- Sebi must intervene 

-- Having 10 directors will resolve the loophole automarically

8:34 AM

NEWS ALERT | It appears InterGlobe Enterprises is hoping to change AoA: Gangwal

-- IGE hopes to nominate 5 directors

-- Cant's vote on change in AoA until changes are discussed

Alert: AoA is Article of Association

8:32 AM

NEWS ALERT | Rakesh Gangwal writes to IndiGo directors: CNBC TV18

8:31 AM

We will not do business with certain groups: Axis Bank's Amitabh Chaudhry

It’s been eight months since Amitabh Chaudhry moved into the corner office at Axis Bank. He has since steered the bank on to a conservative path, eschewing needless risks. He’s been candid enough to admit that the exposure to the infrastructure sector in the past proved to be an Achilles heel.

 

The bank’s managing director and chief executive officer hopes to grow business at 5-7 per cent above the industry average. Chaudhry spoke to Shreepad Aute and Raghu Mohan on the road ahead. READ MORE

8:29 AM

State Bank of India seeks bids for Videocon's overseas oil and gas assets

The State Bank of India has invited bids for overseas oil and gas assets of Videocon Industries Ltd, a newspaper advertisement showed on Monday, as India seeks to recover billions of dollars in loans from the beleaguered private firm.

 

Consumer electronics firm Videocon Industries is one of the most indebted companies in India, with outstanding loans worth around 600 billion rupees ($8.53 billion) from its financial and operational creditors. READ MORE

8:26 AM

Monetary policy review: RBI may cut rate, but commentary will be cautious

A synchronised rate cutting cycle by central banks, across geographies in developed and now emerging markets, is the current global theme. Trade related uncertainties, slowing investment and weak sentiment is resulting in a steady growth deceleration, with a progressive weakening of sentiment reinforcing the slowdown. READ MORE

8:24 AM

India m-cap slips below $2 trillion after a sharp drop in the rupee

After ceding the tag of the fastest-growing major economy, India has now moved out of the $2-trillion market capitalisation club. The combined market value of all domestically-listed stocks stood at $1.95 trillion on Monday, following a sharp drop in the rupee against the dollar and a slide in the markets. Indian markets have lost nearly $250 billion in market value since the Union Budget. READ MORE

8:21 AM

Retail investors forfeit Rs 1.33 trillion since Budget; m-cap falls 10%

The post-Budget sell-off on Dalal Street has proved to be expensive for domestic retail investors. The fall in stock prices has shaved off Rs 1.33 trillion from domestic investors’ wealth since the Budget was presented in Parliament on July 5.

 

This does not include losses suffered indirectly through investment in mutual funds (MFs) and insurance companies. Domestic institutional investors have taken a haircut of Rs 3.33 trillion in their equity holding in the past one month. READ MORE

8:19 AM

Rupee fall sharpest since 2013 taper tantrum after China devalues yuan

The rupee closed at 70.73 a dollar, the sharpest fall in percentage terms since September 2013 when the taper tantrum sent EM currencies in a tizzy. The currency closed at 69.60 a dollar on Friday.

 

In response to US’s additional tariff imposition, China let the yuan fall 1.5 per cent to cross the 7/dollar-level. READ MORE