Closing Bell: Nifty reclaims 11k, Sensex up 263 pts ahead of FM presser

"Q1 GDP at 5 percent is below the 5.7 percentpoll consensus estimates. It is the lowest quarterly GDP we have witnessed in the past five years and key reasons for the miss are a decline in manufacturing, rural distress, liquidity tightening, and consumption slowdown. We expect the fiscal, monetary and regulatory measures announced recently to improve the situation,"SRanganathan, Head of Research atLKPSecurities said.

Technical View: Nifty forms spinning-top pattern on weekly scale, snaps two-week losses

Positional traders are advised to go long in the index, with a stop below 10,870 levels on closing basis and look for a initial target of 11,250, says Mazhar Mohammad.... Read More

"Amalgamation of public sector banks would create larger and stronger entities. Also, the market linked compensation to key executives will enable the merged entities to strengthen their leadership team. These are strategically positive steps though the amalgamation activity could impact limit near term operations and credit growth,"GauravDua, Senior VP, Head – CapitalMarket Strategy,SharekhanbyBNPParibas said.

An evening walk down D-St: Sensex, Nifty snap two-day losing streak; PSBs shine

Gains in shares of bank, finance, FMCG and IT heavyweights underpinned the gain of equity barometer Sensex which endured bouts of selling after opening higher.... Read More

"By consolidating 10 major banks into 4 and bringing the total count of PSB to 12 will help in credit up tick and will help revive the economy. Diligence in selection of entities, regional inclusion, usage of technological platform, NPA’s and allocation of funds to these entities will make sure of availability of liquidity in the system. Moreover, it will help these merged entities to aspire to be competitive on account of their All India presence besides cutting down on duplication of overheads,"Rajiv Singh, CEO,KarvyStock Broking said.

"Recruitment of chief risk officers and linking their performance will bridge the discount in valuations between private and public banks. Encouragement of individual development plan will ensure smooth transition and succession plans for these merged entities which will also ensure proper functioning of these banks. She has commented that after Asset Quality review framework from RBI loan recoveries have improved over last one year which will help bring down NPAs," he added.

"The banking sector is one of the major beneficiaries. The Public sector banks consolidation was majorly needed and with banks number coming down from 27 to 12 is a major reform. The integration will provide further liquidity and help in organic growth. Since we have had a long time hearing of Bank's NPA this move will make sure the consolidation brings synergy in banking space,"Mustafa Nadeem CEO Epic Research said.

"The risk management committee is going to further transparency to bank's balance sheet and its health. The aim is focused on two points. firstly the growth, as many of the banks are in profit but there are constraints on capital. So this may address some leaks that re aiding to a liquidity crisis in the medium term to long term. We believe the major benefit will be to banking space. Post that we believe NBFC and other allied spaces should get ripple effects out of it," he added.

"We continue to remain positive for long term onJSWSteel and maintain buy rating on the stock with a revised target price of Rs 283 per share," Anand Rathi said.

JSW Steel has reported a de growth of 3.4 percentin its consolidated revenues at Rs 19,812crore in Q1-FY20 as against Rs 20,519 crore in same quarter previous year. The decline was mainly driven by subdued domestic market demand and a weaker sentiment as reflected in slow automotive and consumer durables momentum leading to lower volumes and inventory buildup.

Punjab National Bank will get approximately Rs 16,000 crore,Union Bank of India Rs 11,700 crore,Bank of Baroda Rs 7,000 crore,Canara Bank Rs 6,500 crore andIndian Bank Rs 2,500 crore, FM said.

Indian Overseas Bank will also get approximately Rs 3,800 crore,Central Bank of IndiaRs 3,300 crore, UCO Bank Rs 2,100 crore, United Bank of India Rs 1,600 crore and Punjab & Sind Bank Rs 750 crore, she added. The total is around Rs 55,250 crore.

The Indian rupee gained 42 paise to trade at 71.38 against the US dollar.