Nifty 9,351/Sensex 30,133 / Bank Nifty 22,242
21 Advances / 30 Declines/ 0 Unchanged
Indian benchmarks set new record close; Sensex ends above 30,000 mark
The penultimate day of April series futures and options contract expiry turned out to be a good session for the Indian frontline equity indices as they managed to settle higher for a third straight session, with both Sensex and Nifty closing at fresh record highs, buoyed by better-than-expected quarterly results and positive global cues. Investor sentiments around the globe turned optimistic on possible tax cuts, likely to be announced on Wednesday by President Donald Trump to stimulate the US economy and the outcome of the French election allaying immediate concerns of political uncertainty in the euro zone. On the domestic front, sentiments got a boost after Finance Minister Arun Jaitley asserted that the government was giving top priority to addressing the issue of bad loans, while acknowledging that the problem of non-performing assets was ‘adversely impacting’ the Indian banking system. Besides, Indian rupee appreciating against the dollar to trade at a near 21-month high of 64.07 fuelled the bull run of the bourses. Investors got some confidence from the survey indicating that India continues to remain an economic bright spot despite some bold but disruptive reforms. The FICCI-PwC India Manufacturing Barometer (IMB) survey stated that about 63% of respondents were 'somewhat optimistic' about the prospects of the Indian economy for the coming year, representing a significant jump over last year's 58%.
Some support also came with Revenue Secretary Hasmukh Adhia assuring that prices will not increase due to higher incidence of tax and instead, are likely to come down under the Goods and Services Tax (GST) regime. He said that though most services will be taxed at 18% under the GST regime, as against the current 15% service tax, a majority of these will get input tax credit on purchases and the overall tax incidence will remain the same. Meanwhile, with the Sensex climbing over 30,000 points, India's market capitalization (m-cap) inching towards $2 trillion-mark. The country's m-cap in dollar terms currently is highest-ever $1.94 trillion, less than 3% shy of the elite milestone. Currently, only 8 other countries have a market value higher than India. A stronger rupee has raised the value of Indian markets and has also increased returns for foreign investors in constant currency terms.
On the global front, Asian markets ended mostly higher on Wednesday, following the overnight gains on Wall Street amid upbeat corporate earnings results and on optimism that US President Donald Trump is expected to unveil a tax plan later in the day. Chinese market edged higher after China's politburo said the country will continue to adopt a proactive fiscal policy and prudent monetary policy. Further, Japanese markets rose to near one-month highs, buoyed by a weaker yen and record high for the Nasdaq Composite, while Financials led the Hong Kong stock market higher as fund managers bet on expectations the quality of banks' balance sheets will likely get better on an improving economic cycle and cheaper valuations. However, European markets opened slightly lower ahead of an important tax announcement in the US. Meanwhile, dollar edged higher against the yen on Wednesday, while the euro held firm near a 5-1/2 month high due to receding concerns about the risks posed by the French presidential election. The dollar rose 0.3% to 111.38 yen, pulling further away from a five-month low of 108.13 yen set on April 17.
Back home, the local benchmark got off to a positive start as investors were largely influenced by the supportive leads from global markets. Thereafter, the frontline indices slowly and steadily started gathering steam and surged by over half a percent by late morning trades. But the optimism soon started showing signs of easing in late hours of trade and profit booking in few sectors and drifting European markets weighed down the local bourses in late afternoon session. However, some short covering in final hours of trade, stoked the bourses once again near highest point in the session. Eventually, the NSE's 50-share broadly followed index Nifty, convalesced by close to half percent to settle above the crucial 9,350 support level, while Bombay Stock Exchange's Sensitive Index, Sensex accumulated close to two hundred points and closed above the psychological 30,100 mark. Moreover, the broader markets succumbed to the selling pressure despite showing positive moves early on and settled with moderate cuts.
MCD Election Results 2017: BJP victory crushes AAP hope (www.business-standard)
The Bharatiya Janata Party (BJP) scored an emphatic victory in all the three municipal corporations in Delhi, despite allegations of corruption and dismal performance, as well as strong anti-incumbency.
Of the 270 seats in the east, south and north municipalities, the BJP won 181 — the highest since the civic body was trifurcated in 2012. In the election that year, the BJP had won 138 seats of the 272 that went to polls. The Aam Aadmi Party (AAP), which for the first time contested all the seats, finished second with 48. The Congress, which has suffered massive electoral losses across the country since the 2014 general election, was further decimated. Its tally came down to 30 seats, from 77.
There are at least two ways in which the election results can be inferred. First, Delhi voters ignored the dismal performance of sitting councillors despite a record outbreak of dengue and chikungunya in the national capital last year. People voted for the BJP ostensibly because of Prime Minister Narendra Modi’s growing popularity and party president Amit Shah’s personal handling of the elections. Shah repeated the Gujarat style in Delhi by replacing all the sitting councillors and quelled internal feuds among leaders. The BJP extensively used its star campaigners and focused on the city’s large migrant population.
The victory would enthuse the BJP to keep up its winning trajectory for the next Assembly elections in Gujarat and Himachal Pradesh. Elections are also due in Chhattisgarh, Madhya Pradesh, Rajasthan, Karnataka, Meghalaya, Mizoram, Nagaland and Tripura. Odisha Assembly elections are due in 2019. The BJP is expected to face opposition from the Congress in Gujarat, Himachal Pradesh, Rajasthan and Karnataka and Chhattisgarh.
HDFC may sell realty, digital units to Quikr for 5% stake (livemint)
Housing Development Finance Corp. Ltd (HDFC) is in talks with online classifieds company Quikr India Pvt. Ltd to sell its brokerage business HDFC Realty and its digital business HDFC Red in an-all stock deal, four people with direct knowledge of the matter said.
The size of the deal is likely to be Rs350-400 crore and HDFC, India’s largest mortgage lender, will get a stake of around 5% stake in Quikr in return, said two of the people. The term sheet has been signed and the due diligence process is on, said one of the two persons.
In its last funding round in April 2015, when it received a $150-million cheque from Kinnevik AB, Tiger Global Management and Stead view Capital, Quikr was valued at about $1 billion. The valuation has since risen to $1.5 billion (Rs9,600 crore) following multiple acquisitions over the past 12 months. On the basis of this valuation, a 5% stake would be worth Rs480 crore.The $1.5 billion seems to be disproportionate to the revenue of Quikr, one of a handful of homegrown unicorns (start-ups worth $1 billion or more).
The acquisition of HDFC Red and Realty will be the second big acquisition by Quikr in the online real estate segment after it acquired Tiger Global Management-backed real estate platform Commonfloor in January last year for $120 million. Quikr also acquired Grabhouse, a home rental start-up, for about $10 million in November.The acquisitions are aimed at bolstering Quikr’s revenue. For instance, Commonfloor’s revenue was Rs45 crore in FY15 compared with Quikr’s Rs25 crore.HDFC Realty had revenue of Rs38 crore and a loss of Rs34 lakh for fiscal 2015-16, according to the annual report of HDFC. HDFC Red’s owner, HDFC Developers Ltd, had revenue of Rs6 crore and a loss of Rs12.4 crore in the same period.
FII’s Activity 26-April-17
The FIIs as per Wednesday’s data were net buyers in equity segment, while they were net sellers in debt segment, according to data released by the NSDL.
In equity segment, the gross buying was of Rs 5660.25 crore against gross selling of Rs 5334.27 crore. Thus, FIIs stood as net buyers of Rs 325.98 crore in equities.
In the debt segment, the gross purchase was of Rs 790.89 crore with gross sales of Rs 882.07 crore. Thus, FIIs stood as net sellers of Rs 91.18 crore in debt.
Now what to expect??
Nifty Levels
Mind-blowing rally we have seen in last three trading session.
Now what to expect???
Support at 9240 and Resistance at 9380---9450.
Above 9330 rally remain continue till 9380---9450 mark else will it could test its support level of 9240 again
Close below 9240 will take to 9180---9130 mark. Major support intact at 9080
Today's Top Pick
Results Today
Biocon Limited
Shriram Transport Finance Company Limited
TVS Motor Company Limited
Ujjivan Financial Services Limited
Tata Elxsi Limited
Reliance Capital Limited
Kotak Mahindra Bank Limited
Maruti Suzuki India Limited
Indiabulls Real Estate Limited
More will update soon!!
