Sensex Trades 296 Points Higher; Dow Futures Down by 155 Points

Fri, 6 Nov 12:30 pm

   Previous Close   

   Pre-Open   

   SGX Nifty   

   09:30 am   

   Closing   

Share markets in India are presently trading on a strong note.

The BSE Sensex is trading up by 296 points, up 0.7%, at 41,636 levels.

Meanwhile, the NSE Nifty is trading up by 68 points.

Reliance and Mahindra & Mahindra are among the top gainers today . Maruti and Nestle India are among the top losers today.

The BSE Mid Cap index is trading up by 0.6%

The BSE Small Cap index is trading up by 1.1%.

On the sectoral front, stocks from the energy sector are witnessing most of the buying interest.

On the other hand, stocks from the IT sector are witnessing most of the selling pressure.

US stock futures are trading lower today, indicating a negative opening for Wall Street indices.

Nasdaq Futures are trading down by 130 points (down 1.1%), while Dow Futures are trading down by 155 points (down 0.6%).

The rupee is trading at 74.06 against the US$.

Gold prices are trading down 0.4% at Rs 51,833 per 10 grams.

Gold prices in domestic markets dropped today after posting big gains in the previous session. In the previous session, gold prices on the MCX rose Rs 1257 per gram tracking a global rally this week. However, in global markets, gold prices fell weighed down a stronger US dollar.

Note that gold prices have moved higher this week as uncertainty over the US election results and a surge in coronavirus infections boosted the demand for the yellow metal.

To know more about gold, visit our YouTube Playlist on gold investing.

Speaking of the stock markets, India's #1 trader Vijay Bhambwani talks about how you should trade the current stock market rally, in his latest video for Fast Profits Daily.

In the video below, Vijay shares how he changed his mind about the market going up using a 360 degree approach on the basis of hard asset prices, i.e commodity prices, staying up in spite of the fact that there could be a second wave of the coronavirus.

Tune in here to find out more:

Moving on to stock specific news...

Among the buzzing stocks today is SBI.

State Bank of India (SBI) on November 4 reported a 51.9% year-on-year (YoY) growth in standalone profit for the quarter ended September, driven by lower provisions and tax cost, and higher net interest income.

The bank's standalone profit increased to Rs 45.7 billion during the quarter, compared to Rs 30.1 billion in the year-ago period.

Net interest income - the difference between interest earned and interest expended - climbed 14.6% YoY with credit growth at 6% YoY and net interest margin at 3.3%.

The bank delivered a strong performance during the quarter with an all-round improvement in profitability, capital adequacy and provision coverage ratio, including additional provisions over minimum regulatory provisions required.

On the asset quality front, the bank's gross non-performing assets (NPAs) declined sequentially to 5.3% and net NPAs fell sequentially to 1.6% for the quarter.

The gross NPA and net NPA would have been at 5.8% and 2.1% respectively if the bank had classified the loan accounts as NPAs after August 2020, in accordance with the Income Recognition and Asset Classification (IRAC) norms of the Reserve Bank of India.

The bank also made additional provisions of Rs 2.4 billion on Covid-19 related accounts in Q2, taking the total Covid-19 related provisions to Rs 3.2 billion.

At the time of writing, SBI share price was trading up by 0.2% on the BSE.

Moving on to news from the finance sector...

Indiabulls Housing Finance to Consider Fund Raising

In an exchange filing on November 5, mortgage lender Indiabulls Housing Finance disclosed that its board will meet on November 11 to consider its fundraising programme.

The company said that it will consider fundraising by way of bond issuances in one or more tranches.

The disclosure on the exchanges came after the lender declared earlier in the day that it had sold a portion of its stake in OakNorth Holdings for Rs 640 million.

The company has previously raised Rs 18.9 billion from the stake sale in OakNorth and Rs 6.8 billion through a qualified institutional placement (QIP). Overall, it has raised a total of Rs 25.7 billion as fresh equity between September and November this year and has issued bonds of Rs 27.8 billion in the current fiscal till date.

The proceeds of the stake sale will be used for strengthening the capital adequacy ratio and making bond payments, which are due to mature this year. The company's capital adequacy ratio stood at 27.9% at the end of the June quarter.

The board of the lender had earlier taken shareholders' approval on July 29 for raising around US$ 300 million by issuing securities through qualified institutional placement (QIP) or through foreign currency convertible bonds (FCCBs) during the course of the next one year.

How this fundraising pans out remains to be seen. Meanwhile, stay tuned for all the updates from this space.

Speaking of the finance sector, note that the market crash impacted all stocks, but finance stocks took the worst hit.

Even as the Sensex made a comeback to pre-Covid levels, the slowdown and asset quality concerns amid the moratorium extension, is an overhang on the financial sector.

Richa Agarwal, lead Smallcap Analyst at Equitymaster, expects a long road to recovery for this sector.

Here's what she wrote about it in one of the editions of the Profit Hunter:

• "Just to be sure, being cautious in this sector makes sense to me. However, I believe it would be folly to paint all financial stocks with the same brush.
  
  Financials, especially NBFCs, have gone through multiple disruptions and challenges in the last few years - demonetisation, the IL&FS crisis, and now...coronavirus and moratoriums. This has led to a liquidity squeeze for these players, due to a risk aversion attitude among investors and lenders.
  
  The streak of disruptions will force inefficient and unorganised players in this sector to scale back. I also see a consolidation happening. The survivors and beneficiaries of this shift will be the well capitalised companies with balanced growth and high asset quality.
  
  Investors who identify these stocks now and are willing to be patient with returns, will be rewarded with huge rebound gains."

Richa recently recommended one such stock - a high quality NBFC. Subscribers can read the report here (requires subscription).

And if you are not a Hidden Treasure subscriber, here's where you can sign up.

To know what's moving the Indian stock markets today, check out the most recent share market updates here.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

Read the latest Market Commentary

Top Gainers TodayTop Gainers over 1-WeekTop Gainers over 1-MonthTop Gainers over 1-YearTop Gainers over 3-YrsTop Gainers over 5-YrsTop Losers TodayTop Losers over 1-WeekTop Losers over 1-MonthTop Losers over 1-YearTop Losers over 3-YrsTop Losers over 5-YrsOnly BuyersOnly SellersMost Active StocksMost Popular Stocks52 Week High Stocks52 Week Low Stocks

INDICESBSE (Rs 0 to 1)BSE (Rs 1 to 2)BSE (Rs 2 to 4)BSE (Rs 4 to 10)BSE (Rs 10 to 20)BSE (Above Rs 20)BSE - AllBSE-30BSE-100BSE-200BSE-500BSE AutoBSE BankexBSE Capital GoodsBSE Consumer DurablesBSE FMCGBSE HealthcareBSE ITBSE MetalBSE Oil & GasBSE PSUBSE TeckBSE RealtyBSE PowerBSE A GroupBSE B GroupBSE Mid-CapBSE Small-CapBSE Basic MaterialsBSE Consumer DiscretionaryBSE IndustrialsBSE UtilitiesBSE Sensex 50BSE Sensex Next 50BSE Bharat 22BSE 150 MidCapBSE 250 SmallCapBSE 250 LargeMidCapBSE 400 MidSmallCapBSE AllCapBSE LargeCapBSE SmallCap SelectBSE 100 LargeCap TMCBSE InfraBSE ManufacturingBSE CPSEBSE Private BankBSE Diversified FinancialsBSE MomentumBSE Low VolatilityBSE QualityBSE Enhanced ValueBSE Divident StabilityS&P BSE IPOBSE SMEIPOBSE 100 ESGBSE CarbonexBSE GreenexNSE (Rs 0 to 10)NSE (Rs 10 to 20)NSE (Above Rs 20)NSE - AllNSE-50NSE ITNSE Nifty Midcap 50NSE JR. NiftyNSE Bank NiftyNIFTY Next 50NIFTY 100NIFTY 200NIFTY 500NIFTY MidCap 100NIFTY SmallCap 250NIFTY SmallCap 50NIFTY SmallCap 100NIFTY LargeMidCap 250NIFTY MidSmallCap 400NIFTY AutoNIFTY Consumer DurablesNIFTY FinanceNIFTY FMCGNIFTY MediaNIFTY MetalNIFTY PharmaNIFTY Private BankNIFTY PSU BankNIFTY RealtyNIFTY Oil & GasNIFTY SME EmergeNIFTY CommoditiesNIFTY CPSENIFTY EnergyNIFTY India ConsumptionNIFTY InfraNIFTY MNCNIFTY PSENIFTY Serv SectorNIFTY100 Liquid 15NIFTY Midcap Liquid 15NIFTY Midcap 150 Quality 50NIFTY50 Equal WeightNIFTY100 Equal WeightNIFTY100 Low Volatility 30NIFTY100 Alpha 30NIFTY Alpha 50NIFTY Dividend Opportunities 50NIFTY High Beta 50NIFTY Low Volatility 50NIFTY200 Quality 30NIFTY 500 Value 50NIFTY 100 Quality 30SECTORSAgricultureAirlinesAluminiumAsset Management CompaniesAutomobilesAuto AncillariesBanks (Private)Banks (PSU)BankingCementChemicalsDefenceDiagnosticsDronesEngineeringElectric VehicleElectric Vehicle BatteryEnergy SourcesESGEthanolFertilizersFintechFMCGFoodGreen HydrogenHotelsInfrastructureInsuranceInvestment and FinanceInvITIT (Large)IT (Others)LogisticsMediaMetalMiningIndia's Big Tech StocksIndian PharmaMNC PharmaPSUPaintPaperPlasticPowerRating AgenciesReal EstateREITsRenewable EnergyRetailingSemiconductorShippingSteelSugarSupply ChainTelecomTextilesTravel Support Services

10 results 25 results 50 results 100 results All results

Indian Share Market Update: Top Gainers and Losers