Nifty below 11300 | Bank Nifty down 772 pts

Market Updates: Nifty below 11300 |Sensex plunged 298 pts| Bank Nifty down 772 pts

Indian market opened in red today, SGX Nifty also indicated a negative start for the market. The profit booking on global cues, Q2 earning has dragged the market down today. In the end, Nifty declined 78.80 points or 0.70% and closed below 11300 at 11234.50. The Sensex fell 297.55 points or 0.78% and closed at 37880.40.

Bank Nifty plunged 772.30 or 2.68% during the day and closed at 28013.50. On Intraday basis Bank Nifty made a movement of 638.60 points. Today IndusInd Bank’s Q2 result announced in the second half and the share fell around 6.5% intraday basis.

Nifty gainers and losers

The top five gainers in Nifty50 stocks are Bharti Airtel, Grasim, Reliance, HCL Tech, and HUL. The five losers in the Nifty50 stocks are IndusInd Bank, Yes Bank, Gail, Tata Motors and Vedanta. Bharti and Reliance gained today because of Reliance Jio’s tariff hike announcement.

The Nifty midcap 100 index also fell 182.15 points or 1.16% and Nifty smallcap 100 index declined 25.40 points or 0.47%. The top gainers in Nifty midcap are GRUH Finance and Berger paints and the losers are DHFL and Indiabulls Vent. The top gainers in Nifty smallcap are Wockhardt and RITES and the losers are Jain Irrigation and Rcom.

As per the world bank report the Asia-Pacific growth is expected to be slow down from 6.3% in 2018 to 5.8% in 2019. The main reason for slow growth is due to the uncertainty of the ongoing US-China trade war. This is one of the reasons why Nifty closed below 11300 today.

RBI has granted permission for Kerala Bank. Now Kerala government can merge district co-operative banks and set up Kerala Bank as the largest networking bank in the state.

The Finance Minister Nirmala Sitharaman meets PMC Bank depositors and says that the banking regulator RBI is taking action on the matter. Earlier today PMC Bank depositors protest outside BJP office in Mumbai Nariman Point. 

Nifty Stocks in News

Reserve Bank Of India has rejected a merger between Lakshmi Vilas Bank and Indiabulls Housing Finance. Both the company declined today LVB down around 5% and closed at Rs 25.65 and IBHF down 18.54% and closed at Rs 195.35 per share.

After the yesterday’s news of Jio IUC charges, Bharti Airtel and Vodafone Idea shares jumps today. Yesterday Jio hiked the tariff for IUC charges 6 paise per minute, so far it was free. The share price of Bharti gained 4.97% and closed at Rs 377.25 per share. The share price of Idea gained 5.98% and closed at Rs 6.20 per share.

Tata Motor’s global sales data declined 27% in September. The share price of Tata Motors declined 3.39% and closed at Rs 116.80 per share.

Larsen and Toubro has gained orders worth of Rs 2500 cr from the domestic and international markets for construction arm. The share price of L&T closed almost flat at Rs 1425.10 per share.

IndusInd Bank profit reported Rs1401 crores up 52% YoY, provision and contingencies raise to 25% to Rs 737.71 crores. The had reported 920.34 profit is the same quarter last year. Asset quality deteriorated gross NPA jumped to 2.9% from 1.09% last year. Net Interest Income is up 2.3%. The share price of IndusInd Bank plunged 6.12% and closed at 1228.50 per share.

Crude and Rupee updates

Brent crude oil future is trading lower today is currently trading at $58.11 per barrel almost 0.38% down from yesterday’s close. Indian Rupee is trading flat Rs 71.05 against the US dollar.

Conclusion

Today Nifty closed below 11,300, the reason for market down is Q2 earnings, global cues. The Q2 earning session started. If the corporate Q2 performance is not up to the mark, the market will penalize the stock. IndusInd Bank’s provision and NPA have increased, the share price declined 6.12% today at close. Investors should be careful while picking up the stocks, should check out the fundamentals carefully and also follow their quarterly results.

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Happy Investing!

Editors Desk