Gains in Microsoft shares pushed the benchmark S&P 500 within striking distance of its record high, a day after the Federal Reserve cut interest rates as expected but played down hopes of further monetary easing.
The software giant's plans to buy back $40 billion in shares also boosted the Dow and the Nasdaq, while driving a 0.7% gain in the wider technology sector.
Sitharaman on State of the Economy
Banks have started acting on the announcements made earlier. Reviewed liquidity movements from banks to NBFCs:… https://t.co/juN7kcWHd5
ETMarkets Evening Podcast: Bears in full control now. What’s next?
Market is in bad shape and we feel the situation may deteriorate further in the absence of any major positive. The recent fall indicates prevailing uneasiness among the participants, who are hoping for some major announcements from the government to arrest the slowdown signals. Nifty has breached its critical support at 10,750 and likely to test 10,600 in the near future. We advise aligning positions accordingly while focusing on stock selection
Nifty continues on its near term weakness and is threatening to break the large range it has been in for a while. Index has been in a range between 10,650-11,150 and is close to breaking it on the downside. If index manages to decisively breach below the lower end of the range expect further downside pressure for the Nifty. Fresh breakdowns are happening on individual leading stocks which is not a good sign. 10,650 zone is the last hope for the bulls in the near term
- Amit Shah, Technical Research Analyst, Indiabulls Ventures
Nifty has critical support in 10,602-10,568 range. Hence, even if the said low is breached, the downside initially may get cushioned around these levels with market also approaching oversold levels
- Mazhar Mohammad, Chartviewindia.in
Nifty has reached its daily lower Bollinger Band, and is now in expansion mode. This means that the band can permit the price action to extend on the downside. The August low of 10,637 can now provide some support to the index but is likely to break eventually. Traders can continue to hold the short positions and add more once the low breaks
- Gaurav Ratnaparkhi, Sharekhan
Nifty formed a Bearish Candle on the daily scale and extended the weakness towards the 10,670 mark, as every bounce got sold into. It has been forming lower highs for last four sessions and failed to hold its support at 10,750 level. Now, if it holds below the 10,800 level, it could extend its weakness towards its recent swing low of 10,637 and then towards 10,550- 10,500 zone while on the upside a hurdle is seen in the 10,850 – 10,800 zone
Tax collection at a slower rate is hurting the market to a large extent. There are concerns the government won’t be able to meet the revenue target at this pace. The Credit Suisse report on consumption slump is also bothering investors
- Ambareesh Baliga, Market Expert
Lower tax collection spooked market as FII continued selling in key pivotals dragging down indices. Exposure of many private sector banks towards commercial real estate further accentuated selling in afternoon trade. Investors are getting jittery on PSU names as they keep losing market capitalisation rapidly
- S Ranganathan, Head of Research at LKP Securities
Continuous selling by FIIs and uncertainty over future trajectory of Fed rate cut dampened investor sentiment. Slowdown in direct tax collection and rise in oil prices will limit government’s space for stimulus measures which will continue to act as a downside risk to the market
Vinod Nair, Head of Research, Geojit Financial Services
CLOSING BELL: Sensex tanks 470 pts on weak tax collection; Nifty slips below 10,700; YES Bank tumbles 15%
Cost of investing in equity funds quite expensive in India: Jeffrey Ptak
Sensex plunges 500 points; YES Bank drops 12%
Tax collection at a slower rate is hurting the market to a large extent. There are concerns the government won’t be able to meet the revenue target at this pace. Credit Suisse report on consumption slump is also bothering investors
- Ambareesh Baliga, independent analyst
IDBI Bank okays preferential issues to LIC, Govt
IDBI Bank on Thursday approved the proposal for preferential issue to the government and LIC aggregating after their infusion of Rs 4,557 crore and Rs 4,743 crore, respectively, a total capital infusion of a little over Rs 9,000 crore.
All sectors on Nifty in the red; Media worst performer
Consumer durables slip; PC Jeweller tanks 7%
Most consumer durable stocks were trading lower dragged by losses mainly in Bajaj Electric, PC Jeweller and VIP Clothing.
BSE Consumer Durables index was trading 0.5 per cent lower intraday. Seven of its 10 constituents were trading in the red and three were trading in the green with marginal gains.
When I take a look at leading indicators as well as forecasts for the economy of important places such as China they are quite frankly not particularly good when you compare it with the prospects for the US. However, the prospects for India are much better than other emerging markets. Based on the relative performance of the emerging markets versus the US, then the US is still a place to be.
- Hugh Johnson
FMCG stocks trade lower on CS slowdown bugle; Future Consumer down 3%
Most of the Fast Moving Consumer Goods (FMCG) stocks were trading lower after Credit Suisse sounded the bugle of slowdown in the sector. BSE FMCG index was trading over 0.3 per cent lower intraday.
India’s consumer goods industry could post its slowest pace of revenue growth in a decade and a half this financial year, Credit Suisse said, even as category leaders Dabur and Godrej Consumer sounded more optimistic about sales revival in the second half of FY20.
Top 10 NSE losers in afternoon session
Price as on 19 Sep, 2019 12:40 PM, Click on company names for their live prices.
According to Kotak Institutional Equities, Ashok Leyland, Tata Motors, and TVS Motor Company fit the bill. The brokerage estimates 5-13 per cent increase in the FY21 expected earnings per share (EPS) assuming 5 per cent higher volume due to GST cut.
We reiterate our view that a move below 10,800 (Nifty) could bring the
decisive support of 10,740 under threat. A breach of the same
could possibly bring the index back to 10,600 or lower levels.
One of India’s top shadow financiers by assets -- Edelweiss Financial Services -- is betting that central bank easing will bring an end to the nation’s prolonged credit crisis, even as fresh strains in the sector emerged this week.
Silver futures slump Rs 344 per kg on weak global cues
Silver prices fell by Rs 344 to Rs 46,248 per kg in futures trade on Thursday as investors trimmed their positions amid subdued demand tracking weak trend overseas.
Silver contracts for December delivery traded lower by Rs 344, or 0.74 per cent, to Rs 46,248 per kg in a business turnover of 2,238 lots on the Multi Commodity Exchange. (Source: PTI)
Top 5 NSE gainers
Price as on 19 Sep, 2019 11:37 AM, Click on company names for their live prices.
Lupin gets warning letter from USFDA for Mandideep facility
Price as on 19 Sep, 2019 11:15 AM, Click on company names for their live prices.
Hero MotoCorp urges govt for phased GST reduction
Hero MotoCorp on Thursday urged the government to consider a phase-wise reduction in GST on automobiles, cutting rates for two-wheelers in the first stage, and deferring tax cut on four-wheelers to a later stage.
"I understand that potential adverse impact on government revenue is becoming a constraint (for GST rate cut). While increased sales should take care of that, even if we assume a shortfall in revenue, a resolution can be found if we approach this topic in phases," Hero MotoCorp CFO Niranjan Gupta told PTI. (Source: PTI)
Oil shows chances of a further drop of $2: CK Narayan
Oil shows chances of a further drop of $2 to lower channel of pitchfork https://t.co/PQRaLPj1ar
Around 32 stocks fell to touch their 52-week lows on NSE in Thursday's session.
Among the stocks that touched their 52-week lows were Dalmia Bharat, PNB Housing Finance, Corporation Bank, Eveready Industries and LIC Housing Finance
Fiem Industries, IndoStar Capital Finance and Lakshmi Finance & Industrial Corporation also featured among the stocks that touched their 52-week lows on NSE.
ZEEL fall 3% after Chandra barred from selling unpledged shares
Zee Entertainment Enterprises fell about 3 per cent intraday on Thursday as an arbitrator asked its promoters to not sell any unpledged shares. The stock was trading at Rs 325, down about Rs 10 on BSE.
A Delhi High Court-appointed arbitrator asked Essel Group chairman Subhash Chandra not to sell his unpledged stake in Zee Entertainment Enterprises (ZEE) till next month in an ongoing dispute with Indiabulls Housing Finance over default in repayment of loans worth Rs 200 crore.
The order exempts ZEE shares already pledged with non-banking finance companies and mutual funds but is likely to complicate matters for these lenders as they seek to recover their money.
Voda Idea surges 16% as Trai mulls deferring zero IUC regime
Vodafone Idea shares rose 16 per cent in early trade, after the telecom regulator issued a discussion paper on deferring the implementation of the zero interconnect usage charges (IUC) regime that was slated to kick in from January 2020, saying that consumers are yet to migrate completely to data calls and that the imbalance in voice traffic between operators still exists.
At around 10.15 am, the scrip was trading up 9.7 per cent at Rs 5.33 on BSE.
Hopes that Trai will defer implementing the zero-IUC regime, which will ensure that the financially struggling telco stands to receive some revenue from interconnect fees in 2020, compared with a scenario of no revenue on this account from January 2020 boosted the stock.
Time to let go of LTCG?
The way its going There is going to be significant carry forward of "Long Term Capital Losses" this year As such e… https://t.co/5cGOd8dKIW
Shares of IIFL Wealth and Asset Management, the demerged entity of IIFL Holding, got listed today at Rs 1,210 on NSE. The listing price was higher than analyst estimates of Rs 900 to Rs 1,050 per share.
With this, the IIFL Group company became the first standalone wealth management company to list in India.
At 10.02 am, the scrip was trading 5 per cent above its listing price at Rs 1,270.50.
Worst Sensex laggards
Today, USDINR pair is expected to quote in the range of 71.05 and 71.60
Podcast: Let's talk business & markets
Voda Idea, YES Bank, Cox & Kings among most active stocks on NSE
Price as on 19 Sep, 2019 09:33 AM, Click on company names for their live prices.
OPENING BELL: Sensex slips 90 points, Nifty tests 10,800; Voda Idea surges 15%, ZEEL drops 2%
Sensex drops 80 pts, Nifty above 10,850; rupee trades at 71.35 against US dollar.
Singapore trading sets stage for flat start
Nifty futures on the Singapore Exchange were trading 6 points, or 0.06 per cent, higher at 10,862, indicating a flat start for Dalal Street.
Tech view: Nifty forms small bearish candle
Nifty50 on Wednesday failed to capitalise on early gains, as the index ended up forming a small bearish candle on the daily chart. The index respected the 10,800 level during the day, which should act as immediate support in the short term. A consolidation is likely in the coming sessions with a negative bias.
Asian shares edge higher
Asian shares edged higher on Thursday, tracking some modest Wall Street gains after the US Federal Reserve cut interest rates as expected but offered mixed signals on the next easing, keeping investors cautious. MSCI's broadest index of Asia-Pacific shares outside Japan was 0.03%. Japan's Nikkei rose 0.46 per cent, while Australian shares rose 0.23 per cent.
BoJ policy decision today
The BOJ is widely expected to maintain its pledge to guide short-term interest rates at -0.1 per cent and the 10-year government bond yield around zero.Investors will closely watch BOJ Governor Haruhiko Kuroda's post decision press conference to see how he assesses risks to Japan's economic outlook.
US Fed cuts interest rate by 25 bps
The US central bank cut its benchmark interest rate by 25 basis points to a target range of 1.75 to 2.0 per cent, and Federal Reserve chief Jerome Powell vowed to do whatever is needed to keep the economy growing. But the Fed's policy committee was divided, with three of 10 voting members dissenting from the decision, one because he wanted even more stimulus, AFP reported.
US stocks closed higher
Major US stock indices closed mostly higher Wednesday after the Federal Reserve cut its benchmark interest rate for a second time this year, AP reported. The S&P500 index inched 1.03 points higher, or less than 0.1 per cent, to 3,006.73. The benchmark index is now within 0.7 per cent of its all-time high set in July. The Dow Jones Industrial Average index rebounded after being down most of the day, adding 36.28 points, or 0.1 per cent, to 27,147.08.
FIIs sell Rs 959 crore worth equities
Net-net, foreign portfolio investors (FPIs) were sellers of domestic stocks to the tune of Rs 959 crore on Wednesday, data available with NSE suggested. DIIs were net buyers to the tune of Rs 780 crore, data suggests.
Sensex on Wednesday
Equity markets found firmer ground on Wednesday after two days of steep declines as easing crude oil prices and a recovering rupee shored up investor confidence. After a range-bound session, the 30-share BSE Sensex ended 82.79 points, or 0.23 per cent, higher at 36,563.88. Similarly, the broader NSE Nifty gained 23.05 points, or 0.21 per cent, to finish at 10,840.65.
Good Morning, dear reader! Here's something to kickstart your trading day