Frauds at Public Sector Banks, Upcoming IPOs, and Top Cues in Focus Today

Fri, 22 Nov Pre-Open

   Previous Close   

   09:30 am   

   12:30 pm   

   Closing   

   Podcast   

India share markets ended their volatile day marginally lower yesterday.

At the closing bell yesterday, the BSE Sensex stood lower by 76 points (down 0.2%) and the NSE Nifty stood down by 30 points (down 0.3%).

The BSE Mid Cap index ended the day down 0.7%, while the BSE Small Cap index ended the day down 0.4%.

Sectoral indices ended on a mixed note. Stocks in the telecom sector, metal sector and energy sector witnessed huge selling pressure, while realty stocks were trading in the green.

PSBs Report Frauds of Over Rs 957 Billion in H1FY20

In the news from the banking sector, Finance Minister Nirmala Sitharaman recently said Public Sector Banks (PSBs) reported frauds of over Rs 957 billion in the first six months of the current fiscal (H1FY20).

During the period from April 2019 to September 2019, as many as 5,743 cases of fraud were reported. She further said that comprehensive measures have been taken to curb the incidence of frauds in banks.

The measures included the freezing of 3,38,000 bank accounts of inoperative companies in the last two financial years in addition to the enactment of a law with a provision to confiscate the property of economic offenders.

Besides, the Reserve Bank of India's (RBI) annual report for FY19 released earlier this year, cases of frauds reported by banks went up by 15% on a year-on-year basis from FY19.

As per the report, the sector reported 6,801 frauds cases which amounted to a loss of Rs 715.4 billion in FY19. This was higher than the 5,916 cases reported in FY18, which caused a loss of Rs 411.7 billion in FY18.

Public sector banks, which constitute the largest market share in bank lending, accounted for the bulk of frauds reported in FY19.

From the IPO Space...

Moving on to the news from the IPO space, realty firm Puranik Builders has filed fresh papers with Indian stock markets regulator to raise an estimated Rs 10 billion through its initial share-sale.

The IPO comprises fresh issue of shares worth Rs 8.1 billion, besides, an offer for sale up to 18,59,620 equity shares by the company's promoters and existing shareholders.

Proceeds from the above issue will be utilised towards repayment of loan and other general corporate purposes of the company. In addition, the company plans to receive the benefits of listing of its equity shares on the stock exchanges.

Edelweiss Financial Services Ltd and Axis Capital will manage the company's initial share-sale and the shares of the company will be listed on the BSE and NSE.

Earlier in June 2018, the company had approached Sebi with its IPO papers and had received the markets regulator's clearance to launch the public issue but did not go ahead with the plans then.

In other news, the IPO of Kerala-based private sector lender CSB Bank, formerly known as Catholic Syrian Bank will hit the markets today and will be available at a price band of Rs 193-195 apiece.

The bids for the offer can be applied for a minimum of 75 shares and its multiples.

CSB Bank is one of the oldest private lenders in India, having a strong presence in Kerala, Tamil Nadu, Maharashtra and Karnataka.

For the six months ended September 30, the bank reported a revenue of Rs 8.17 billion. Its profit, for the first half of FY20, stood at Rs 443 million, reversing the loss of Rs 657 million reported in FY19.

In terms of asset quality, the bank's gross non-performing assets (NPA) were 2.86% of its total advances, declining from 4.87% as of March 31.

Its total NPA provisioning and write-offs stood at Rs 2.7 billion for the six month period ended September 30, against Rs 11.3 billion provisioning and write offs between FY17-19.

How this IPO sails through the market remains to be seen. Meanwhile, we will keep you updated on the latest developments from this space.

Fed Minutes Show Neutral Stance on Interest Rates

In the news from the global financial markets, according to the minutes of their most recent meeting, Federal Reserve officials agreed that they likely won't need to cut interest rates again unless economic conditions change significantly.

Central bankers in late October cut their benchmark overnight lending rate a quarter point to a range of 1.5%-1.75%, the third such move in 2019.

However, in doing so most Federal Open Market Committee members saw the moves as enough to support the outlook of moderate growth, a strong labor market, and inflation near the Committee's symmetric 2% objective.

However, the members maintained that the policy isn't on a preset course, even if it is likely to remain on hold, and members will continue to assess changes in data and the general outlook.

Members often note that Fed policy adjustments work on a lag that can take a year or more to be felt, so they intend on watching how the switch to easier policy will impact financial conditions.

The cuts started in July, just seven months after the committee approved the fourth-rate hike of 2018.

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