Sensex down 67 points, Nifty ends above 10,100 ahead of RBI policy outcome

All that happened in today's trade

3:53 PM

Vinod Nair, Head of Research, Geojit Financial Services

 

After a subdued trade through the day, the market reversed from day’s low led by banking stocks. The recent correction in PSU banks provides an opportunity for investors to accumulate as the long term prospects remains strong owing to healthy recapitalisation. On the macro front, upcoming RBI policy and Gujarat state election will be an influential factor for investors which is steering the market to consolidate.

3:51 PM

Nifty PSU Bank leading sectoral gainer ahead of RBI policy 

Source: NSE

3:49 PM

Sensex heatmap at close

Source: BSE

3:41 PM

Markets at close

 

The S&P BSE Sensex ended at 32,802, down 67 points, while the broader Nifty50 settled at 10,118, down 9 points. 

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	32,802.44	-67.28	-0.20
S&P BSE SENSEX 50	10,559.16	-14.57	-0.14
S&P BSE SENSEX Next 50	35,116.63	+83.31	+0.24
S&P BSE 100	10,591.10	-8.13	-0.08
S&P BSE Bharat 22 Index	3,660.60	-14.65	-0.40

Source: BSE

3:28 PM

Sugar shares in focus

 

Shares of sugar companies have moved higher by up to 10% on the BSE on back of heavy volumes.Dwarikesh Sugar Industries, Triveni Engineering Industries, Ugar Sugar Mills, Uttam Sugar Mills, Dhampur Sugar, Simbhaoli Sugar and Balrampur Chini Mills were up more than 2%. On comparison, the S&P BSE Sensex was down 0.15% at 32,828 points at 03:09 PM. READ MORE

3:06 PM

Markets check

 

At 3:05 pm, the S&P BSE Sensex was trading at 32,814, down 55 points, while the broader Nifty50 was ruling at 10,119, down 8 points. 

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	32,809.85	-59.87	-0.18
S&P BSE SENSEX 50	10,563.57	-10.16	-0.10
S&P BSE SENSEX Next 50	35,086.42	+53.10	+0.15
S&P BSE 100	10,593.34	-5.89	-0.06
S&P BSE Bharat 22 Index	3,660.82	-14.43	-0.39

Source: BSE

2:50 PM

Reliance Securities on ​​KEC International

 

​​KEC International (KEC) has delivered a strong performance in 2QFY18. Despite higher commodity prices, KEC’s overall EBITDA margin expanded by 139bps YoY to 10.1% in 2QFY18 owing to absence of low-margin legacy orders in Water, Railways and Power Systems segments and execution of recently bagged better-margin orders by SAE Towers. Its net profit rising by 42% YoY to Rs894mn led by higher margin and lower interest cost.

 

With fresh orders worth Rs 57.5 billion, KEC’s order book stood at Rs 140 billion as of FY18 YTD (+14% YoY). We expect the strong order intake traction to continue, going forward led by higher T&D spending by SEBs, improved Railways ordering and recovery in overseas markets i.e. Saudi, SAARC & Africa.

 

We expect KEC’s earnings to witness 25.2% CAGR over FY16-19E on strong order book, improving margin profile and healthy outlook in T&D and other emerging business segments.

 

We continue to remain positive on the fundamentals of KEC with a Target Price of Rs 372.

2:36 PM

Level the playing field

 

The Bombay Stock Exchange’s (BSE) suggestion that benefits related to the long-term capital gains (LTCG) tax on equity investments should be removed to curb market manipulation via the exchange platform deserves serious thought.

 

Though this demand has emerged from several quarters in the run-up to some earlier Budgets as well, the government has been ignoring it on the grounds that a differential tax treatment is required in order to encourage long-term investments instead of short-term trading in the capital market. READ MORE

2:22 PM

Top five Nifty losers in afternoon trade 

Source: NSE

2:02 PM

Buzzing stock

 

Ramky Infrastructure hit a new high of Rs 258, up 8% on the BSE in otherwise weak market on back of heavy volumes. The trading volumes on the counter almost doubled with a combined 1.36 million shares changed hands on the BSE and NSE till 01:19 PM.

 

Since November 8, post July-September (Q2FY18) quarter results, the stock of construction & engineering company surged 50% from Rs 172, after it reported net profit of Rs 3.3 crore against a loss of Rs 41.5 crore in the same quarter previous year. Operational income of the company grew 46% to Rs 324 crore from Rs 222 crore in the corresponding quarter of previous fiscal. READ MORE

1:47 PM

Force Motors hits 52-week low

 

Force Motors hits 52-week low of Rs 3,164, down 3% on the BSE in intra-day trade, after the company recorded sales growth of 4% at 1,687 units in the month of November 2017. The car & utilities vehicles maker had sold 1,622 units in November 2016. It had recorded total sales of 2,539 units in October 2017. READ MORE

1:30 PM

Markets check

 

At 1:30 pm, the S&P BSE Sensex was trading at 32,719, down 150 points, while the broader Nifty50 was ruling at 10,084, down 43 points. 

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	32,733.62	-136.10	-0.41
S&P BSE SENSEX 50	10,526.96	-46.77	-0.44
S&P BSE SENSEX Next 50	34,887.49	-145.83	-0.42
S&P BSE 100	10,552.82	-46.41	-0.44
S&P BSE Bharat 22 Index	3,642.34	-32.91	-0.90

Source: BSE

1:01 PM

RBI policy: Current inflationary environment does not allow for a rate cut

 

RBI had maintained status quo on policy rates in its last review. It cited risks due to higher inflation, largely emanating from rising crude oil prices, uneven distribution of monsoon and amplified global geopolitical uncertainty. Other factors included increased volatility in financial markets as the US Fed unwound its balance sheet and domestic fiscal challenges.

 

Not much has changed since.

 

The upcoming RBI Monetary Policy Committee (MPC) bi-monthly meeting on 6th December will assess some of these factors before settling on new rates and direction. But any real change can safely be ruled out given the unchanged background.  However, it’s not totally an open and shut case and there are some points worth considering. READ MORE

12:44 PM

Interview of the day

 

Benign liquidity situation to support markets: Kalpen Parekh

 

A benign liquidity situation along with a pick-up in earnings, both globally and locally, will continue to support markets despite above-average valuations, says Kalpen Parekh, president, DSP BlackRock Mutual Fund.

 

Parekh says that investors should temper their return expectations as interest rates have fallen over the past three years and valuations have stretched considerably. Read full interview here

12:30 PM

Mastercard to repurchase up to $4 billion of its shares

 

Payment processor Mastercard Inc said on Monday it would buy back up to $4 billion of its class A shares.

 

The new share repurchase program will be effective at the completion of the company's previously announced $4 billion share repurchase program, Mastercard said.

 

Under the previously announced buyback, the company has about $1.5 billion remaining, the statement added.

 

The company said it also increased its quarterly cash dividend to 25 cents per share, a 14 percent increase over the previous dividend of 22 cents a share.