Financials

A benchmark index of Indian equities markets closed Wednesday’s trade 274.94 points or 1.08 percent down as bank and oil and gas stocks declined.

The markets were cautious amidst weak global cues as a result of the worsening security situation in Iraq with crude oil prices scaling up to a nine-month high.

The 30-scrip sensitive index (Sensex) of the S&P Bombay Stock Exchange (BSE), which opened at 25,565.19 points, closed trade at 25,246.25 points, down 274.94 points or 1.08 percent from the previous day’s close at 25,521.19 point.

A benchmark index of Indian equities markets closed Wednesday’s trade down 326 points or 1.28 percent as bank and oil and gas stocks declined.

The markets were cautious amidst weak global cues as a result of the worsening security situation in Iraq with crude oil prices scaling up to a nine-month high.

The 30-scrip sensitive index (Sensex) of the S&P Bombay Stock Exchange (BSE), which opened at 25,565.19 points, closed trade at 25,194.99 points (provisional), down 326.20 points or 1.28 percent from the previous day’s close at 25,521.19 point.

The rupee fell by 29 paise to 60.32 against the US dollar in early trade on Wednesday on the Interbank Foreign Exchange market due to appreciation of the American currency against other rivals overseas.

Besides, increased demand from importers also put pressure on the domestic unit.

Dealers attributed this fall to dollar’s gains against other currencies overseas on reports of US inflation rising in May at its fastest pace in more than a year-and-a-half. However, a higher opening in the domestic stock market restricted the rupee’s fall.

After two consecutive sessions of losses, a benchmark index of Indian equities markets Tuesday closed trade in the green, gaining 330 points or 1.31 percent, as bank and oil and gas stocks rallied.

Markets went up recouping early losses as capital goods, metal and automobile scrip too climbed.

The rally comes after two straight session of losses amidst weak global cues as a result of the worsening security in Iraq and the US threatening intervention with crude oil prices scaling to a nine-month high.

A benchmark index of Indian equities markets was trading in the negative territory in the late afternoon trade session Tuesday – marginally down 1.27 points or 0.01 percent as metal and automobile stocks declined.

However, healthy buying was observed in oil and gas, information technology (IT) and capital goods stocks.

The 30-scrip sensitive index (Sensex) of the S&P Bombay Stock Exchange (BSE), which opened at 25,189.46 points, was trading at 25,189.21 points around 1.15 p.m. trade session, down 1.27 points or 0.01 percent from previous day’s close at 25,190.48 point.

The rupee today fell by 34 paise to trade at a fresh six-week low of 60.50 against the US dollar in early trade due to sustained demand for the American currency from oil importers amidst rising crude prices that may further push inflation. The price rise of essential food items like vegetables, fruits and cereals, pushed up inflation to five-month high of 6.01% in May.

The benchmark Sensex today fell for the second session and ended 37.69 points down at 25,190.48, its lowest level in over ten days, as banking shares slipped after May wholesale inflation surged, amid a weak rupee. Besides, rising crude oil prices in global markets on escalating tensions in Iraq further dampened hopes of a rate cut by the RBI as WPI inflation in May rose to 5-month highs.

A benchmark index of Indian equities markets closed Monday’s marginally down at 37 points or 0.15 percent as capital goods and bank stocks declined.

However, healthy buying was observed in information technology (IT), healthcare and consumer durables stocks.

The 30-scrip sensitive index (Sensex) of the S&P Bombay Stock Exchange (BSE), which opened at 25,239.50 points, closed trade at 25,190.48 points (provisional), down 37.69 points or 0.15 percent from previous day’s close at 25,228.17 point.

As economic recovery continues to be slow, state-run banks are likely to face asset quality woes despite recent fall in non-performing loans, a report said.

“The decline in non-performing loans recorded at many large state-owned banks in the last quarter of FY’14 does not mean the asset-quality stress in the banking system has subsided. This is because economic conditions continue to be rather weak, with recovery slow,” Fitch Ratings said in a report here today.

India’s wholesale price based inflation rose to a five-month high of 6.01 percent in May against 5.20 percent in the previous month due to a sharp jump in food and fuel prices, government data showed Monday.

The country’s key inflation based on the Wholesale Price Index (WPI) was recorded at 4.58 percent in May 2013.

Fuel and power inflation soared to 10.53 percent due to a 14.21 percent jump in diesel prices year-on-year during the month under review, according to data released by the ministry of commerce and industry. Petrol prices soared 12.28 percent.

The benchmark BSE Sensex dropped over 34 points in opening trade on Monday as funds and retail investors indulged in reducing positions on weak Asian cues amid fears over the growing crisis in Iraq.

Besides, a cautious approach adopted by participants ahead of wholesale inflation data for May to be released later in the day, also influenced the sentiments.

Stocks of realty, metals, capital goods, consumer durables, PSUs, oil & gas and banking sectors led the fall.

Foreign investors pumped more than Rs 26,000 crore into the Indian market this month so far primarily on account of positive bias after polls and reform- oriented decisions taken by the new government.

According to the data compiled by securities depositories, net investment by foreign investors into equity markets stood at Rs 10,359 crore, while in debt market it was Rs 15,806 crore — a total of Rs 26,165 crore ($4.42 billion) — this month so far.

Dragged down by state-run ONGC, seven of the top 10 most valued Indian companies together lost Rs 67,233 crore in terms of market capitalisation last week.

Barring TCS, HDFC Bank and Infosys in the top 10 club, the rest seven, including the likes of RIL, ITC and Coal India, witnessed declines in their market valuation for the week ended Friday (June 13).

Energy major ONGC’s M-cap plunged Rs 35,548.06 crore to Rs 3,61,426.68 crore, taking the steepest hit in the domestic market capitalisation (m-cap) chart.

With the aim of reviving the primary market, market regulator, The Securities and Exchange Board of India (SEBI) will this week consider wide-ranging rule changes, including the size of share sales and a mandatory minimum 25 percent public shareholding for listed PSUs.

The proposed measures may help the government garner almost Rs 60,000 crore through share sales in listed public sector undertakings, deepen the markets and rationalise the regulatory framework for different sets of companies — private, public, small and large.

Finance minister Arun Jaitley may have some good news for the salaried class in the budget for 2014-15.

The government is learnt to be gearing up for an overhaul of India’s tax regime by considering a restructuring of tax slabs and increasing the income tax exemption limit from the existing Rs. 200,000 to more than Rs. 300,000 —a move that would leave more money in the hands of people.

A rejig in income tax slabs is also on the cards, the details of which are being currently examined.

Infosys co-founder N.R. Narayana Murthy Saturday had a dig at a section of the media, which has been commenting on the troubled company following exits by senior executives and exodus of its techies since his return a year ago.

“As this is the last time I am addressing you as the chairman of the company, let me describe the realities of what some outsiders and some section of the media have been commenting based on malicious rumours, unfounded allegations and speculations,” Murthy told shareholders at the company’s 33rd annual general meeting (AGM) here.

Infosys’ co-founder and outgoing chairman N.R. Narayana Murthy Saturday credited his prodigal son Rohan Murthy for all the smart initiatives the troubled IT bellwether took in the last 12 months to revive its sagging fortunes.

Rohan, 31, joined the $8.3-billion global software major as executive assistant to his illustrious father, who returned from retirement as executive chairman June 1 2013 for steering the company in troubled times.

Stocks and the rupee logged their biggest drop in over four months after crude oil prices surged due to the unrest in Iraq but gold provided investors some succour as the precious metal rose in the Rs 350-390 range in prominent metro cities on Friday.

The 30-share S&P BSE benchmark Sensex tanked 348.04 points, or 1.36 per cent, to end at 25,228.17 and NSE 50-share Nifty dropped 107.80 points, or 1.41 per cent, to 7,542.10.

Friday’s drop in the two equity benchmarks was their biggest since January 27, 2014 when the Sensex fell by 426.11 points and the Nifty slipped by 130.90 points.

After declining for two consecutive weeks, India’s forex reserves rose by USD 203.2 million to USD 312.585 billion in the week to June 6 on the back of gain in currency assets.

In the previous week, total reserves dropped by USD 273.8 million to USD 312.382 billion.

Foreign currency assets (FCAs), a major constituent of the overall reserves, surged by USD 338.9 million to USD 285.630 billion in the period under review, Reserve Bank said in its weekly statement here on Friday.

A benchmark index of Indian equities markets was trading 335.99 points or 1.31 percent down in the late afternoon trade session Friday, as consumer durables, metal, oil and gas and capital goods stocks plummeted.

The market’s early morning gains were eroded as major gainers like capital goods and bank stocks plunged amidst weak global cues following Iraq security crisis and a possible US intervention.

The benchmark BSE Sensex failed to hold initial gains and plunged over 357 points during midsession as funds indulged in selling stocks on concerns over rising tensions in Iraq and surging crude prices.

After rising to 25,688.31 in morning trade on the back of positive retail inflation and IIP data, the Sensex fell back to trade lower by 357.29 points, or 1.40 percent, to 25,218.92 at 1330 hours.

A benchmark index of Indian equities markets was trading flat in the morning trade session Friday — up 54 points or 0.21 percent as capital goods and bank stocks gained.

However, heavy selling was observed in IT, fast moving consumer goods (FMCG) and technology, entertainment and media (TECK) stocks.

The 30-scrip sensitive index (Sensex) of the S&P Bombay Stock Exchange (BSE), which opened at 25,677.05 points, was trading at 25,630.46 points around 11.00 a.m. trade session, up 54.25 points or 0.21 percent from previous day’s close at 25,576.21 point.

The benchmark BSE Sensex extended gains for the second straight day by adding nearly 111 points in early trade today on sustained capital inflows after the country reported positive economic data yesterday.

The 30-share barometer rose 110.69 points, or 0.43 per cent, to 25,686.90 with stocks of realty, capital goods, power, PSU, metal and oil & gas sectors leading the gains.

The index had jumped 102.32 points in the previous session.

Similarly, the National Stock Exchange index Nifty moved up by 8.30 points, or 0.11 per cent, to 7,658.20.

A benchmark index of Indian equities markets Thursday ended trade 102 points or 0.40 percent higher as healthcare, automobile and bank stocks gained.

However, heavy selling pressure was observed in oil and gas, technology, entertainment and media (TECK) and consumer durables stocks.

The 30-scrip sensitive index (Sensex) of the S&P Bombay Stock Exchange (BSE) opened the day’s trade at 25,597.21 points and closed at 25,576.21 points (provisional), up 102.32 points or 0.40 percent from previous day’s close at 25,473.89 point.

It has nearly been a month since the historic BJP electoral sweep. We have seen equities climb to record highs on expectations that the Modi government led reforms will finally unlock India’s true economic potential. Mid-cap and small-cap stocks have outperformed blue chips in recent weeks indicating that the risk appetite is returning to the Indian markets. Gold has witnessed a correction and FII has flowed into the debt markets with the ten year yield having fallen 50 basis points since April.