MARKET WRAP: Sensex reclaims 36,000, Nifty ends at 10,860 led by financials

The S&P BSE Sensex gained 269 points or 0.75 per cent to close at 36,077 while the NSE's Nifty50 index reclaimed the crucial 10,850 level to end at 10,860, up 80 points or 0.74 per cent.

1:28 PM

Web Exclusive Special 26: These stocks consistently outperformed markets for 5 years

Even as the mid-and small-cap indices underperformed in the calendar year 2018 (CY18) with a fall of 15 per cent and 25 per cent respectively, 136 stocks beat market returns in CY18. Bajaj Finance, HDFC Bank, Bajaj Finserv and Havells India are among 26 stocks that have outperformed the market in the past five consecutive calendar years.

Of these 26, Bajaj Finance, Associated Alcohols & Breweries, Garware Technologies, Filatex India, Tasty Bite Eatables, Aarti Industries and GMM Pfaudler have seen an over 10-fold surge in price since 2014. Click here to read more

Photo: Shutterstock.com

1:14 PM

Mumbai police files charge sheet against brokers in NSEL default case

Mumbai police has filed a voluminous charge sheet in the National Spot Exchange (NSEL) default case against 63 accused, including 27 individuals, and 36 companies. The names include brokers for the first time, especially those whose executives were arrested in the past in this case.

 

NSEL, a spot trading exchange promoted by Financial Technologies (now 63 Moons Technologies), defaulted about Rs 56 billion in 2013 due to the non-payment of money by 24 clients on the exchange floor, hurting 13,000 investors. Read more

 

1:00 PM

Top gainers on BSE500

COMPANY	PRICE()	CHG()	CHG(%)	VOLUME
LEMON TREE HOTEL	74.70	5.90	8.58	189352
NBCC	57.55	3.55	6.57	1025968
MAHINDRA HOLIDAY	207.50	12.80	6.57	16888
RELIANCE CAPITAL	225.90	11.30	5.27	803024
JAIN IRRIGATION	69.95	2.95	4.40	546219

12:50 PM

PSU banks extend gains; Canara, PNB, Vijaya,Syndicate Bank hit 3-month high

Shares of select public sector undertaking (PSU) banks were trading higher for the third straight day on the report that the central government would release Rs 286.15 billion before the end of this month towards a fresh tranche of funds to recapitalise state-run banks. The sharp moderation in bond yields should significantly boost the treasury performance of the banking sector, especially public sector banks (PSBs). Read more

12:37 PM

Dividend a sentiment-positive for Coal India but concerns remain

Coal India has rebounded more than 5 per cent from its lows, seen at start of the month. Though this has been helped by a strong interim dividend of Rs 7.25 a share, concerns on fundamentals remain. While softening international coal prices could put pressure on more profitable e-auction premiums, tepid volume growth could weigh on e-auction volumes. Coal India had reported sales volume growth of 6.5 per cent during the April to November period. Read more

12:24 PM

Banking update (Source: Centrum Broking report)

Key trends during the month

 

$ Non-food credit growth has  been on a rise; for the fortnight ended  23rd Nov, 2018 – credit grew 15.3% YoY; strongest in past 5-years; growth in systemic deposits stood at 9.4% YoY. LDR at 76.7% is at its near multi-year high.

 

$ RBI sectoral deployment of credit for Oct, 2018 pointed to growth acceleration in  segments of services  (+27.4% YoY) and personal loan (+16.8% YoY). Banking credit to NBFC space remains healthy (up 55.6% YoY for the month of Oct’ 18 and fourth consecutive month of 40%+ YoY growth); share of credit to NBFC space is now at 7%, highest ever.

 

$ The quarterly statistics study revealed that private players continue to gain market share. As at Sept’18 – private banks accounted for 31% of systemic credit and 25.7% of overall deposits.

 

Systemic rates; bond yields and spread 

 

$ On a YTD basis, policy rates are up 50bps; MCLR is up 40-50bps over the same time.

 

$ The outbreak of default by IL&FS saw corporate bond spread widened. 10-yr AAA corporate bond spread over 10-yr G-sec is at 110bps (5-year average at 80bps); spread of 10yr AA over 10-yr Gsec is at 160bps (vs. 5-year average at 130bps).

 

$ Nov’2018, however has seen some normalcy returning in commercial paper market with Rs2.4tn of new CP issuances (Rs1.75tn in Oct’18 / Rs2.2tn in Sept’18). On a systemic basis, stock of CP O/s. at Rs5.8tn grew 23.4% YoY. 

 

$ The narrowing of spread between 1-yr AAA corporate bond and 1-yr MCLR rates have seen corporate resort to bank borrowing (over money market instruments).

 

12:17 PM

Emerging markets to face credit crisis in 2019 over currency fall: Report

Credit crisis in emerging markets like India is likely to grow both in scale and scope in 2019 due to the foreign-denominated debt and currency depreciations, a study said on Thursday. "An emerging markets credit crisis will unfold in 2019... Pressure on emerging markets will also mount as the US Federal Reserve increases interest rates and the dollar strengthens, raising the cost of repaying foreign currency-denominated loans," an A.T. Kearney report said. Read more

 

12:07 PM

S&P BSE Oil and Gas index up over 1%

12:01 PM

Market check

Index	Current	Pt. Change	% Change
S&P BSE SENSEX	36,119.59	+312.31	+0.87
S&P BSE SENSEX 50	11,374.78	+103.55	+0.92
S&P BSE SENSEX Next 50	32,901.47	+338.26	+1.04
S&P BSE 100	11,162.69	+103.50	+0.94
S&P BSE Bharat 22 Index	3,494.04	+32.80	+0.95

11:53 AM

CENTRUM RESEARCH | An emerging investment opportunity: FSI

 

Over the past decade, things have dramatically improved for FSI segment (comprising NBFCs, Insurance Companies, Asset Management Companies, Credit Rating Companies, Depositories and Exchanges). If we exclude lending businesses such as NBFCs, the other players can be termed as “Non-Lending Financial Institutions” (NLFIs). A virtuous cycle has unfolded over the last few years amongst these players feeding into success of each other, backed by Indian demographics, increased incomes and elevated disposable surplus. NLFIs have grown in size and confidence, finally setting their entry into Indian capital markets.

11:41 AM

Board meetings today

COMPANY	DATE	AGENDA
CENTRAL BANK	28-12-2018	BOARD MEETING
J K CEMENTS	28-12-2018	BOARD MEETING
MAN INFRA	28-12-2018	BOARD MEETING
NIIT TECH.	28-12-2018	BOARD MEETING
NIMBUS PROJ.	28-12-2018	BOARD MEETING

» More on Board

11:32 AM

All 30 stocks trading in green on S&P BSE Sensex

11:24 AM

Markets in December: 'Bizarre' stock moves leave traders scratching heads

 

As a turbulent December in equity markets draws to a close, there’s one thing traders and investors can agree on: these are not usual times, especially for this time of year. It’s “completely bizarre,” says Stephen Innes, head of trading for Asia Pacific at Oanda Corp. “It’s incredible just how harmful markets veer when sentiment slides.”

Innes has been taking profit on some winning investments, and snapping up blue-chip stocks whose valuations have dropped in the December sell-off, but for the most part he’s keeping his money on the sidelines. Read more

11:11 AM

Future Retail falls 14% in three days in a firm market

Shares of Future Retail, the flagship company of Future Group, have slipped 6 per cent to Rs 484 per share, extending their decline in the past two days in an otherwise firm market. In the past three trading days, the stock slipped has 14 per cent after the government on Wednesday tightened rules for e-commerce companies. In comparison, the S&P BSE Sensex was up 2 per cent during the same period. Read more

 

10:57 AM

5paisa Capital rallies 17% in two days as promoter hikes stake

Shares of 5paisa Capital (5PCL) is locked in the upper circuit of 10% at Rs 223 on Friday, surging 17% in past two trading days, after Nirmal Jain, the promoter of the company hiked his stake through an open market purchase. On Wednesday, December 26, Nirmal Bhanwarlal Jain had purchased an additional 50,000 equity shares of 5PCL through an open market purchase. READ MORE