Sensex Ends Over 300 Points Lower; Nifty Logs Steepest Fall In Nearly A Month 

Indian equity benchmarks extended declines for the second consecutive trading session.

The S&P BSE Sensex fell 0.82 percent or 334 points to close at 40,445.15. The NSE Nifty 50 fell 0.81 percent, the biggest fall since Nov. 08, to end at 11,921.50. The broader markets represented by the NSE Nifty 500 Index fell 0.9 percent.

On weekly basis, the 31-stock index halted their five-week gaining streak, the longest stretch of weekly gains since first week of April.

The market breadth was tilted in favour of sellers. About 1,262 stocks declined and 525 shares advanced on National Stock Exchange.

All the 11 sectoral gauges compiled by NSE ended lower, led by the NSE Nifty PSU Bank Index’s 4.4 percent fall.

Shares of KEC International rose as much as 1.3 percent to Rs 273.10.

The company has secured new orders of Rs 1,025 crore across its various businesses, according to its stock exchange filing.

The stock traded at 11 times its estimated earnings per share for the coming year, according to Bloomberg data. The stock declined 1.9 percent in the past 12 months compared to a 14 percent gain in the Sensex.

Camlin Fine Sciences

• Stock rose as much as 8 percent to Rs 64.35.
• Philip Capital maintained ‘Buy’ with a price target of Rs 140
• Dahej plant to drive rapid value growth.
• Expect saving in input materials to improve margins by 400 basis points.
• Expect sales and Ebitda to grow rapidly at a CAGR of 22 percent and 60 percent respectively over FY19-22.

Bharti Infratel

• Stock rose as much as 6.5 percent to Rs 262.
• Fresh longs seen with high open interest at 9 percent.
• Trading volume was 1.5 times its 20-day average.

Allcargo Logistics

• Stock rose as much as 5 percent to Rs 98.90.
• Board approves acquisition of 19.43 percent in Gati for Rs 177.9 crore.
• Launches open for 26 percent stake in Gati.
• To take over management control.

Eris Lifesciences

• Stock rose as much as 14.9 percent to Rs 509.70.
• The stock witnessed biggest intra-day gain this year.

Shares of Yes Bank extended declines to trade at day’s low. The stock fell as much as 9.4 percent to 56.25.

That comes after Moody’s Investors Service downgraded the lender’s long-term foreign currency issuer rating by two notches to ‘B2’ from ‘Ba3’.

The ratings agency has also downgraded the bank’s long-term foreign and local currency bank deposit ratings to ‘B2’ from ‘Ba3’, foreign currency senior unsecured medium-term note program rating to ‘(P)B2’ from ‘(P)Ba3’, and baseline credit assessment and adjusted BCA to ‘b3’ from ‘b1’, according to its statement.

MMTC

• Stock rose as much as 19.8 percent to Rs 21.50.
• Trading volume was more than 19 times its 20-day average.

Star Cement

• Stock fell as much as 2.6 percent to Rs 90.25.
• Trading volume was almost 40 times its 20-day average.

Eris Lifesciences

• Stock rose as much as 14.9 percent to Rs 509.70.
• Trading volume was almost 10 times its 20-day average.

Indian equity benchmarks extended declines to trade at day’s low.

The S&P BSE Sensex fell 1 percent or 400 points to 40,377 and the NSE Nifty 50 fell 1 percent to 11,899. The broader markets represented by the NSE Nifty 500 Index fell 0.96 percent.

(Corrects earlier headline that mentioned incorrect Nifty value)

The NSe Nifty Bank Index extended declines to trade at day’s low. The 12-share gauge fell as much as 1.3 percent or 400 points, led by the declines in Yes Bank Ltd. and RBL Bank Ltd.

Shares of Maruti Suzuki fell as much as 1.4 percent to Rs 6,912.50.

The company will ‘proactively’ and ‘voluntarily’ recall certain petrol Smart Hybrid (SHVS) variants of Ciaz, Ertiga and XL6 vehicles manufactured between Jan. 1, 2019 to Nov. 21, 2019, India’s largest carmaker said in a stock exchange filing.

“The Company will inspect 63,493 vehicles of petrol SHVS of Ciaz, Ertiga and XL6 for a possible issue with the Motor Generator Unit. A possible defect may have occurred in the MGU during manufacturing by an overseas global part supplier,” the company added.

The stock traded at 33 times its estimated earnings per share for the coming year, according to Blomberg data

Indian equity benchmarks traded near the day’s low in the afternoon session led by declines in state-owned lenders.

The S&P BSE Sensex traded 0.38 percent lower to 40,630.20 and the NSE Nifty 50 fell 0.41 percent to 11,969 respectively. The broader markets represented by the NSE Nifty 500 Index fell 0.50 percent.

The market breadth was tilted in favour of buyers. About 1,181 stocks declined and 551 shares advanced on National Stock Exchange.

Ten out of 11 sectoral gauges compiled by NSE traded lower, led by the NSE Nifty PSU Bank Index’s 3.2 percent fall. On the flipside, the NSE Nifty Pharma Index was the only sectoral gainer, up 0.15 percent.

Shares of Omaxe hit their lower circuit of 20 percent at Rs 143.95 on Bombay Stock Exchange.

Trading volume was more than two times its 20-day average, Bloomberg data showed. The Relative Strength Index was below 30, indicating that the stock may be overbought.

Nifty’s 12,000 put option contract was among the most active Nifty option contracts on National Stock Exchange.

Premium on the contract, which is set to expire on Dec. 12, rose 0.36 percent to Rs 55.95. Over 8.87 lakh shares were added to the open interest which stood at over 20.77 lakh shares.

Indian equity benchmarks erased their opening gains.

The S&P BSE Sensex and the NSE Nifty 50 traded little changed at 40,765.48 and 12,012 respectively. The broader markets represented by the NSE Nifty 500 Index fell 0.1 percent.

Shares of Dish TV India fell as much as 5.76 percent to Rs 13.90. The stock was the worst performer on NSE Nifty 500 Index.

The stock traded at 23 times its estimated earnings per share for the coming year, according to Bloomberg data. The scrip returned 12 percent in the past five days and 1.1 percent in the past 30 days.

Shares of Shree Renuka Sugars rose as much as 6.3 percent to Rs 8.40. The stock was moved out of short-term ASM Framework.

The stock declined 25.2 percent so far this year compared to a 14.6 percent rally in the Sensex.

Shares of MMTC extended gains for the second consecutive trading session. The stock rose as much as 19.8 percent, the most since Oct. 18, to Rs 21.50.

Trading volume was 150 times its 20-day average, Bloomberg data showed. The stock returned 14 percent in the past five days and 8.5 percent in the past 30 days.

Of the shares traded on NSE, 34 percent were at the ask price and 24 percent were at the bid, according to Bloomberg data.

Shares of Allcargo Logistics rose as much as 3.8 percent to Rs 97.80, while shares of Gati fell as much as 5.5 percent to Rs 62.40.

Allcargo Logistics’s board has approved acquisition of 19.43 percent stake in Gati, effectively taking over management control of the Hyderabad-based supply chain solutions company, according to its statement on the exchanges.

Allcargo Logistics will acquire the stake for Rs 177.9 crore from promoters and via preferential issue of equity shares, the statement said, adding that the container freight stations operator also announced an open offer for acquisition of up to 3.17 crore shares, which represent 26 percent of the paid-up voting share capital, to comply with the Securities and Exchange Board of India’s norms.

Besides, Gati said in a media statement that Japan’s Kintetsu Group continues to remain invested in a joint venutre with the company, which was formed in 2012 and will retain its existing association with the company. Gati has sold the entire stake of 12.43 percent in TCI Finance on Nov. 1.

Shares of Yes Bank extended declines for the second consecutive trading session. The stock fell as much as 4.8 percent to Rs 59.10.

Moody’s Investors Service downgraded the lender’s long-term foreign currency issuer rating to ‘B2’ from ‘Ba3’, bringing it down by two notches, acording to its statement

The ratings agency has also downgraded the bank’s long-term foreign and local currency bank deposit ratings to ‘B2’ from ‘Ba3’, foreign currency senior unsecured medium-term note program rating to ‘(P)B2’ from ‘(P)Ba3’, and baseline credit assessment and adjusted BCA to ‘b3’ from ‘b1’, the statement added

Indian equity benchmarks opened higher, in line with Asian peers as traders awaited news on the U.S. job market and a looming scheduled American tariff hike on Chinese goods.

The S&P BSE Sensex rose 0.23 percent to 40,883 and the NSE Nifty 50 rose 0.23 percent to 12,046. The broader markets represented by the NSE Nifty 50 rose 0.23 percent.

The market breadth was tilted in favour of buyers. About 869 stocks advanced and 471 shares declined on National Stock Exchange.

Nine out of 11 sectoral gauges compiled by NSE traded higher, led by the NSE Nifty PSU Bank Index’s 0.5 percent gain. On the flipside, the NSE Nifty IT Index was the top sectoral loser, down 0.1 percent.

Index Futures

• Nifty Dec futures closed at 12,047.7, premium of 29.3 versus 46.6 points.
• Nifty Dec futures series open interest down 3.7 percent, sheds 5 lakh shares in open interest.
• Nifty Bank Dec futures closed at 31,762.5, premium of 49.6 points versus 101.6 points.
• Nifty Bank Dec futures series open interest down 4 percent, sheds 75,000 shares in open interest.

Options

• Nifty PCR at 1.53 versus 1.44 (across all series).

Nifty Weekly Expiry: Dec. 12

• Max open interest on call side at 12,100 (13.2 lakh shares).
• Max open interest on put side at 12,000 (11.8 lakh).
• Open interest addition seen in 12,100C (+9 lakh shares), 12,500C (+7.8 lakh shares), 11,500P (+6.8 lakh shares).

Nifty Monthly Expiry: Dec. 26

• Max open interest on call side at 12,000 (18.2 lakh shares).
• Max open interest on put side at 12,000 (32.2 lakh shares).

• Tata Steel to meet HDFC MF, Goldman Sachs and other investors from Dec. 9-17.
• Affle to meet New Vernon Capital, Sixteenth Street Capital and Bank of America Merrill Lynch from Dec. 6-11.

• Electrosteel Castings promoter Malay Commercial acquired 8 lakh shares from Dec. 2-3.
• Vakrangee promoter Dinesh Nandwana acquired 10 lakh shares on Dec. 5.
• Filatex India promoter Nouvelle Securities acquired 1 lakh shares on Dec. 3.
• KRBL promoters acquired 65,000 shares from Dec. 3-4.

The Indian rupee opened unchanged at against the U.S. dollar. The home currency appreciated 0.34 percent yesterday against the greenback.

Indian equity benchmarks are set for a positive start.

The S&P BSE Sensex rose 0.68 percent to 41,056.76 during the pre-market trade and the NSE Nifty 50 rose 0.6 percent to 12,092.

• Thomas Cook record date for demerger.
• GTL, Sintex Plastics Technology, Indiabulls Integrated Services, Adhunik Industries to move into short ASM Framework.
• Shree Renuka Sugars, Hindustan Construction Company, MEP Infrastructure Developers, D B Realty to move out of short term ASM Framework.

Price Band Revisions

From 2 percent to 5 percent

• B&A Packaging
• GBL Industries
• CHD Developers
• Ludlow Jute & Specialities
• Raunaq EPC International
• Premier Synthetics

From 5 percent to 10 percent

• 5paisa Capital
• Aksh Optifibre
• Alphageo
• Arshiya
• ARSS Infrastructure Projects
• Aurionpro Solutions
• Bajaj Healthcare
• BF Utilities
• Birla Cable
• Camlin Fine Sciences
• Edelweiss Financial Services
• Electrotherm, Eveready Industries
• Filatex Fashions
• Gati
• Genus Paper & Boards
• GSS Infotech
• Indiabulls Real Estate
• Jaypee Infratech
• JBF Industries
• Jubilant Industries
• Mangalam Organics
• Mcleod Russel
• MT Educare
• Pioneer Distilleries
• R P P Infra Projects
• Ramky Infrastructure
• Rajnish Wellness
• Shankara Building Products
• Shyam Century Ferrous
• Siti Networks
• SMS Lifesciences
• SORIL Infra Resources
• SREI Infrastructure Finance
• The New India Assurance Company
• Vakrangee
• Williamson Magor

From 5 percent to 20 percent

• Coffee Day Enterprises
• GVK Power & Infrastructur
• Hathway Cable & Datacom
• Patel Engineering
• Shilpa Medicare

From 10 percent to 20 percent

• 63 Moons Technologies
• Apex Frozen Foods
• Bharat Gears
• Birla Precision Technologies
• Corporation Bank, Essel Propack
• IL&FS Investment Managers
• India Tourism Development Corporation
• LGB Forge
• Lyka Labs
• MSTC
• Omax Autos
• RPG Life Sciences
• Sadhana Nitro Chem
• Sundaram Multi Pap
• Tata Teleservices (Maharashtra)
• UCO Bank
• United Bank of India
• V2 Retail

• Yes Bank: Moody’s Investors Service on Thursday downgraded Yes Bank Ltd.’s long-term foreign currency issuer rating to ‘B2’ from ‘Ba3’, bringing it down by two notches. The ratings agency has also downgraded the bank’s long-term foreign and local currency bank deposit ratings to ‘B2’ from ‘Ba3’, foreign currency senior unsecured medium-term note program rating to ‘(P)B2’ from ‘(P)Ba3’, and baseline credit assessment and adjusted BCA to ‘b3’ from ‘b1’, it said in a statement. The outlook for the bank has been retained at negative, Moody’s said. It had put the bank’s rating on review last month.
• Allcargo Logistics: Allcargo Logistics Ltd.’s board has approved acquisition of 19.43 percent stake in Gati Ltd., effectively taking over management control of the Hyderabad-based supply chain solutions company. Allcargo Logistics will acquire the stake for Rs 177.9 crore from promoters and via preferential issue of equity shares, according to its exchange filing. The container freight stations operator also announced an open offer for acquisition of up to 3.17 crore shares, which represent 26 percent of the paid-up voting share capital, to comply with the Securities and Exchange Board of India’s norms, the filing said. The acquisition, expected to be completed by March 30 next year, is subject to approval from shareholders and other authorities, it said.
• Gati said in a media statement that Japan’s Kintetsu Group continues to remain invested in a joint venutre with the company, which was formed in 2012 and will retain its existing association with the company. Gati has sold the entire stake of 12.43 percent in TCI Finance on Nov. 1.
• Bharti Airtel: S&P kept the ratings for long-term facilities at BBI, with ratings with negative implications, due to Rs 34,300 crore setback from the Department of Telecom’s litigation will decisively weaken Bharti Airtel's leverage.
• RBL Bank closed institutional placement of shares. The lender approved the allocation of 5.77 crore shares at Rs 351 per share, which is at a discount of 0.45 percent to the floor price of Rs 352.57 each. The allocation price is at a discount of 4 percent to the closing prices of Dec. 5. Bank has raised Rs 2025.3 via this QIP issue. Bajaj Finance did not participate in the preferential issue of the Bank.
• LIC Housing Finance will raise Rs 550 crore via debt, according to Bloomberg report.
• Tata Motors: Board approved allotment of 20.16 crore ordinary shares at a price of Rs 150 each, which is at a discount of 9.7 percent to the closing prices as on Dec. 5. The Board also approved allotment of 23.13 crore warrants, with each warrant carrying a right to subscribe one ordinary share per warrant, at a price of Rs 150 per warrant to Tata Sons. Company will raise up to Rs 6540 crore by this allotment.
• Bank of Baroda: Board approved raising Rs 1,850 via Tier-1 Bonds.
• Mahindra & Mahindra acquired 36.63 percent stake in Meru for Rs 44.71 crore. On Aug. 31 the company had signed an agreement to acquire 55 percent stake in Meru. Post this transaction, the company will have the right to appoint majority of directors in the cab service company.
• Welspun Group: Promoters acquired majority stake in warehousing platform. The group will be the exclusive development manager for a portfolio of ready land assets owned by the promoters in their personal capacity with an estimated value of US$ 50 million and development potential of over 50 lakh square feet of Grade-A industrial/warehousing space. This includes a marquee 50 lakh square feet project in Mumbai Metropolitan Region.
• Info Edge said that due to change in FDI laws, SoftBank will directly invest in Etechaces instead of the Bank’s arm Dipdha.
• Camline Lifesciences said that the commercial production for Dahej product is most likely to be expected in January 2020.
• VST Tiller Tractors November Sales: Power Tillers Sales down 41 percent year-on-year to 1238 units. Tractor Sales down 10 percent year-on-year to 568 units.
• Nirlon signed long-term leave and license agreement with JPMorgan who will take up 1.15 million square feet of office space and this is expected to be delivered by the second quarter of 2021.
• Sadbhav Infra Projects’ arm has canceled concession agreement with NHAI due to non-availability of required 80 percent of right of way by NHAI within stipulated time period. Agreement will be treated as terminated with mutual consent of the parties without any outstanding claims on each other.
• Narayana Hrudayalaya to discontinue its hospital project in Kenya due to the inability to fund the project by a financial institution partner.
• Greaves Cotton completed the acquisition of Ampere Vehicles. The company acquired 18.72 percent stake for the target company’s promoter Hemlatha Annamalai through secondary purchase.
• Indiabulls Ventures record date for share-buyback on Dec. 19.

• U.S. stocks advanced as investors speculated the Trump administration won’t move forward with a tariff hike on Chinese goods scheduled for Dec. 15. Bonds and the dollar fell.
• Oil prices sputtered after OPEC failed to impress traders with what appeared to be a cosmetic revision to output quotas.

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Good Morning!

The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, rose 0.21 percent to 12,069 as of 8:26 a.m.

Asian stocks saw modest gains today as traders awaited news on the U.S. job market and a looming scheduled American tariff hike on Chinese goods.

Shares ground higher in Hong Kong, Seoul and Sydney, with moves more muted in Tokyo and Shanghai. U.S. futures were little changed.

Short on time? Well, then listen to this podcast for a quick summary of All You Need To Know before the opening bell.