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Last Updated : Sep 28, 2016 11:55 AM IST | Source: Moneycontrol.com

Sensex, Nifty sluggish; Bharti, Tata Steel, SBI top gainers

Bharti Airtel, GAIL, Dr Reddy's Labs, Tata Steel and SBI are top gainers while Reliance, Sun Pharma, Wipro, HUL and Infosys are losers in the Sensex.

Moneycontrol Bureau

11:55 am
Aurobindo Pharma shares gained nearly 3 percent intraday Wednesday after it received approvals from the US health regulator for three drugs, including Zoledronic filed from unit IV that inspected during the month. The Hyderabad-based pharma company has received approval from US Food and Drug Administration for Levonorgestrel- Ethinyl Estradiol oral and Norethindrone tablets, which both are contraceptive pill. It also received approval for Zoledronic acid (also called Zometa) that is used to treat paget's disease of bone due to high levels of calcium.

11:45 am Interview: The non-banking financial companies' (NBFCs) stocks have been outperforming now for over two years but over the last six months their performance has really shot up because from April 2016, yields have fallen resulting in lower cost of funds. Also, the money flow into the lower-end of the consumer segment is expected to drive demand for loans from NBFCs, as they are difficult to get from banks.

Speaking on the outlook for the sector and the company going forward Vellayan Subbiah, Managing Director, Cholamandalam Investment and Finance Company said everybody in the space has seen a decrease in the cost of funds and the company per se has shifted their mix more towards debentures.

“When we raise via debentures it is at least 100 basis points cheaper than term-loans for the same tenure, which has helped pricing,” he said.


11:30 am Global markets view: Deutche Bank shares hit a lifetime low after the US Justice Department suggested the bank pay USD 14 billion to settle investigations related to mortgage securities. The bank is a lever to all the major institutions in Europe, which is a continent with already fragile banks and practically no economic growth. So if Deutsche Bank would debilitate then would this have a rippling effect on banks and weaken Europe further and impact global markets too is the big worry. Michael Every of Rabobank said it is difficult to say if the Germany will bail it out because although the hundred-year history of Central Banks tell you how to handle these things but currently politics seems to rule over economic logic in Europe.

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The market is absolutely flat with the Nifty holding 8700 somehow. The Sensex is up 12.14 points at 28235.84 and the Nifty is up 9 points or 0.1 percent at 8715.40. About 1425 shares have advanced, 728 shares declined, and 154 shares are unchanged.

Bharti Airtel, GAIL, Dr Reddy's Labs, Tata Steel and SBI are top gainers while Reliance, Sun Pharma, Wipro, HUL and Infosys are losers in the Sensex.

Oil prices posted marginal gains as an industry report showing a decline in US stockpiles was offset by worries about the chances of this week's key producers meeting ending with a deal to limit output.

The American Petroleum Institute (API) said yesterday that US supplies fell by 752,000 barrels last week, fuelling hopes official figures Wednesday will also show lower inventories in the world's top economy and oil consumer.

However, there are fears a deal between Organization of Petroleum Exporting Countries (OPEC) and Russia this week will not be struck when they meet in Algeria to discuss a global supply glut and overproduction that has hammered prices for two years.

First Published on Sep 28, 2016 11:00 am