India : Nifty crosses 8900, Sensex hits 29,000
Both the Sensex and Nifty saw biggest one-day gains in last two months. The Sensex hits 29,000 for the first time since April 15, 2015. The Nifty also touched 8950. The Sensex is up 445.91 points or 1.6 percent at 28978.02 and the Nifty is up 133.35 points or 1.5 percent at 8943. About 1614 shares advanced, 1135 shares declined, and 205 shares are unchanged.Tata Motors, Axis Bank, ICICI Bank, Asian Paints and Tata Steel were top gainers while TCS, Coal India, Wipro, Sun Pharma and ITC were major losers in the Sensex.
Lupin shares gained over a percent intraday on approval from the US health regulator for anti-bacterial drug.
“US subsidiary Gavis Pharmaceuticals has received tentative approval for its Moxifloxacin hydrochloride tablets 400 mg from the United States Food and Drug Administration to market in the US,” the Mumbai-based pharma company said in its filing.
This drug is a generic version of Bayer Healthcare Pharmaceuticals Inc’s Avelox tablets 400 mg.
It is fluoroquinolone anti-bacterial indicated for treating infections in adults 18 years of age and older caused by designated susceptible bacteria in certain conditions.
The entry of Reliance Jio into the market will prove negative for incumbents, especially smaller telecom operators, believes Fitch Ratings.
Speaking to CNBC-TV18, Nitin Soni of Fitch Ratings said the revenue growth of telecom companies is likely to be flat. The agency has a negative outlook on the sector.
Expected blended tariff is expected to fall by 10-15 percent in next year, Soni said.
With the new entrant, the earnings before interest, tax, depreciation and amortisation (EBITDA) margin could see contraction of 200-250 basis points in case of larger companies and 300-350 basis points fall in case of small telcos.
Madhya Pradesh and Jharkhand have begun testing of Johnson & Johnson’s baby powder and shampoo to check the presence of cancer causing agents.
Madhya Pradesh officials have collected samples from eight cities in the state. The test results will be sent to India’s child rights body National Commission for Protection of Child Rights (NCPCR) by this week.
Andhra Pradesh is also in the process of forming a committee to order testing of Johnson & Johnson’s products. NCPCR has been pushing states to issue test results at the earliest. It had written to chief secretaries of MP, AP, Assam, Jharkhand, Rajasthan on May 17.
Reliance Capital said it has raised Rs 2,000 crore (USD 300 million) through private placement of non-convertible debentures for expanding lending business and refinancing existing debt.
The issue size offered was Rs 1,000 crore with an option to retain oversubscription up to Rs 1,000 crore aggregating up to shelf limit of Rs 2,000 crore.The issue was fully subscribed, including the green-shoe
option, and will be listed on BSE.
“The funds will be used to refinance our existing debt and also grow our lending businesses,” Reliance Capital ED and Group CEO Sam Ghosh said in a statement.
Most of the positive developments in the economy have been factored in by the markets, says Shyamsunder Bhat, Chief Investment Officer, Exide Life Insurance. Hence he advises all investors to keep to have a longer outlook at the current index levels.
Although he doesn’t sense any near-term negative triggers that may affect the markets. Market is till very good and the rallies may extend due to fund inflows and positive sentiment of the investors.
Liquidity is waiting to get into the markets, he says. But a correction is bound to come sometime in the near future. However it is expected to be shortlived.
India’s biggest coal company Coal India is in “deep consultation” with Bangladesh to export the dry fuel, Coal Secretary Anil Swarup said today.
The development comes in the backdrop of a sharp decline in demand for coal as well as with an inventory of over 80 million tonnes (MT) of the fuel at the pitheads and power plants.
“We are already into it and they (CIL) are in very deep consultations with Bangladesh for exporting it,” he told reporters on the sidelines of an event here.
Exports to Bangladesh would also aid CIL in increasing sales as India in July inked a landmark deal with Bangladesh to construct a 1,320 mw coal fired power plant, the biggest project under bilateral cooperation.
Lanco Kodapalli Power has secured the highest allocation of 3.11 mmscmd of gas followed by Dabhol project at 2.43 mmscmd for 6 months till March in an e-auction by Power Ministry.
The auction for supplying 9.93 mmscmd gas for a six-month period till March, 2017 was conducted on Saturday by the Ministry under Power System Development Fund (PSDF), an initiative to revive the stranded gas based power plants.
With secured gas supplies, the 9 plants that emerged as the lowest bidders will generate a total 8.81 billion units of electricity, which would be supplied at or below Rs 4.70 per unit for the said period.
European stocks reversed earlier gains to trade mixed as oil prices slipped and lack of drivers gave investors little to be bullish about. The pan-European STOXX 600 was flat-to-lower after initially starting the day in positive territory.
Brent crude prices dipped 0.7 percent following Monday’s rally as other oil producers welcomed an agreement between Saudi Arabia and Russia to stabilize the oil market.
Oil prices rallied after the major producers confirmed they had agreed to cooperate to stabilize the oil market and limit output, although experts largely dismissed the statement from the two major oil producers as “lip service.”
