Sensex ends a tad above 34,000, down 407 pts, Nifty falls 1%; banks drag

All That happened in markets today.

10:47 AM

CAG seeks Sebi explanation on losses due to long-term capital gains benefit

The Comptroller and Auditor General of India (CAG) has written to the Securities and Exchange Board of India (Sebi) seeking an explanation on the loss incurred by the exchequer from misuse of the long-term capital gains (LTCG) exemption.
 

According to sources, the market regulator has identified loss worth Rs 150 billion due to price manipulation on the stock market platform to avail the LTCG benefit. So far, Sebi has passed nine interim orders in the matter. READ MORE

10:33 AM

Fortis Healthcare turns volatile after promoters Singh brothers resignation

The stock of Fortis Healthcare has turned volatile a day after the promoters Malvinder Mohan Singh and Shivinder Mohan Singh announced late on Thursday their decision to resign from the board of the hospital chain.
 

The stock opened 2% lower at Rs 123 on BSE, bouncing back 28% to hit high of Rs 157 in intra-day trade so far on back of heavy volumes. READ MORE

10:15 AM

Glenmark Pharma declines 9% on weak Q3 results

 

Glenmark Pharmaceuticals has fallen 9% to Rs 524, its 52-week low on BSE in early morning trade after the company reported 78% fall in its consolidated net profit at Rs 1.05 billion for the quarter ended December 2017 (Q3FY18) on sharp decline of US sales, despite growth in domestic formulations as well as other geographies. It had reported a net profit of Rs 4.77 billion for the previous corresponding quarter.

 

The consolidated revenue during the quarter under review declined 13% to Rs 22 billion as against Rs 25 billion in the corresponding quarter of previous fiscal. READ MORE

10:00 AM

Market Check

S&P BSE Sensex	33,932.01		-1.40%
Nifty 50	10,440.85		-1.29%
S&P BSE 200	4,566.07		-1.20%
Nifty 500	9,219.80		-1.10%
S&P BSE Mid-Cap	16,522.36		-0.76%
S&P BSE Small-Cap	18,006.43		-0.69%

9:48 AM

Global sell-off: Why stock markets crash - lessons from recent history

 

Stock markets around the world suffered sudden, heavy losses on February 5 and 6. Following a 4.6% drop in the Dow Jones on the Monday, the Japanese Nikkei index fell by 4.6%, and European markets followed suit, with the FTSE 100 down around 2% in the first hour of trading on Tuesday. There was a rebound on February 7, but things remain turbulent. The phrase “when the US sneezes, the rest of the world catches a cold” comes to mind.

 

The main culprit seemed to be fears of inflation hikes in the US. If inflation is up, the government may soon start raising interest rates to contain it. And when interest rates increase, this reduces the return investors get on stocks, making them less desirable – hence the sell-off. This means that, historically, when interest rates rise, stock prices tend to decrease. CLICK HERE FOR FULL STORY

9:31 AM

Bond yields fall on rate status quo hope; Rs 110 bn bond auction on Friday

 

Bond prices rose from their Wednesday level, reacting to the fact the Reserve Bank might pause rates for long.

 

As prices rise, bond yields fall. The yields on the 10-year bond closed at 7.47% on Thursday, down from its previous close of 7.53%. CLICK HERE FOR FULL STORY

9:22 AM

Nifty Realty cracks

9:20 AM

Sectoral Trend

9:20 AM

Market check

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	33,919.77	-493.39	-1.43
S&P BSE SENSEX 50	10,864.52	-162.40	-1.47
S&P BSE SENSEX Next 50	34,125.13	-507.01	-1.46
S&P BSE 100	10,797.45	-160.94	-1.47
S&P BSE Bharat 22 Index	3,663.44	-48.99	-1.32

(Source: BSE)

9:19 AM

Sensex gainers and losers

9:17 AM

Market at open

At 9:17 am, the S&P BSE Sensex was trading at 33,873, down 540 points while the broader Nifty50 was ruling at 10,414, down 162 points.

9:08 AM

Global markets uneasy as longer US debt yields verge on 3 per cent

 

If this week’s selloff in global equity markets is any guide, then Asia’s frothy debt and stock markets have reason to be on edge over the steady rise in long-term U.S. bond yields that could push up global funding costs and drive capital out of the region.

 

A whiff of inflation in the United States sent global stock markets tumbling in the past week, wiping 7 per cent off Asian equities, despite a still supportive backdrop of robust global growth, a weak dollar and rising company earnings.

 

Bond and currency markets were relatively unaffected, as they have been through the Federal Reserve’s slow pace of policy rate rises since 2015 and more recent reminders from central banks in Europe and Japan about dialing down on stimulus.

9:06 AM

Rupee strategy from Motilal Oswal Research

9:00 AM

MARKET COMMENT: Amar Ambani, partner and head of reseach at IIFL

 

The little relief seen on Thursday will be short-lived. World markets are tumbling and sentiment for now has taken a big hit. The Dow plummeted around 4 pc and Asian markets are mimicking their US counterparts. Indian market will find it difficult to chart a course of its own for now. 

 

The question topmost on investors’ mind is whether this correction is a start of southward journey or a temporary blip in an otherwise bull market. The speed at which the crash and recovery takes place, the answers may come by in a few weeks. 

 

The 10-year U.S. Treasury note yield is back at elevated levels at 2.884%. The fear that rising interest rates will drag economic growth is what is keeping equity markets on tenterhooks. Bond yields are now back in competition with stock returns

8:58 AM

Markets on Thursday

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	34,413.16	+330.45	+0.97
S&P BSE SENSEX 50	11,026.92	+108.24	+0.99
S&P BSE SENSEX Next 50	34,632.14	+596.51	+1.75
S&P BSE 100	10,958.39	+120.39	+1.11
S&P BSE Bharat 22 Index	3,712.43	+12.53	+0.34

(Source: BSE)