Moneycontrol
Last Updated : Dec 13, 2018 07:43 AM IST | Source: Moneycontrol.com

What changed for the market while you were sleeping? 12 things you should know

A list of important headlines from across news agencies that could help in your trade today.

Sandip Das @Im_Sandip1

The 30-share BSE Sensex rallied 629.06 points or 1.79 percent to 35,779.07 while the Nifty50 climbed 188.40 points or 1.79 percent to 10,737.60, recouping around 400 points from its major support of 10,333 levels.

The index formed robust bullish candle on the daily charts for the second consecutive session.

After the sharp rally, the index is likely to cross 10,800 levels in coming session but there could be profit booking at same levels, experts said, adding in next couple of weeks, it may hit psychological 11,000 levels.

The broader markets continued to outperform frontliners with the Nifty Midcap rising 2.64 percent and Smallcap 3 percent). Even the buying was seen across sectors with Bank, Auto, FMCG, IT, Metal and Realty indices gaining 1-4 percent.

India VIX fell sharply by 11.90 percent to 15.81 levels. It has seen a sharp cut of 22.65 percent in last two sessions which suggests that now bulls are getting a grip on the market with the expectation of limited downside.

According to Pivot charts, the key support level is placed at 10,614.87, followed by 10,492.13. If the index starts moving upward, key resistance levels to watch out are 10,806.27 and then 10,874.93.

The Nifty Bank index closed at 26,643.85, up 480.45 points on December 12. The important Pivot level, which will act as crucial support for the index, is placed at 26,348.16, followed by 26,052.53. On the upside, key resistance levels are placed at 26,806.06, followed by 26,968.33.

Stay tuned to Moneycontrol to find out what happens in currency and equity markets today. We have collated a list of important headlines from across news agencies.

Wall Street closes up, investors optimistic on China trade

US stocks closed up on Wednesday afternoon, though well below their session highs as investors pulled back in the last few minutes of trading despite optimism about US-China trade relations and some reassuring signs in British politics.

The Dow Jones Industrial Average rose 157.03 points, or 0.64 percent, to 24,527.27, the S&P 500 gained 14.29 points, or 0.54 percent, to 2,651.07 and the Nasdaq Composite added 66.48 points, or 0.95 percent, to 7,098.31.

Asian shares up on pause in Brexit, trade fears

Asian shares and the pound moved higher on Thursday as investors breathed a sigh of relief after British Prime Minister Theresa May survived a no-confidence vote, and as China appeared to be taking more steps to meet US demands to open its markets.

MSCI’s broadest index of Asia-Pacific shares outside Japan was up 0.2 percent in early Asian trade after US stocks finished the previous session higher, amid cautious optimism for progress in Chinese-US trade talks.Japan's Nikkei stock index gained 0.8 percent, while Australian shares were up 0.2 percent.

SGX Nifty

Trends on SGX Nifty indicate a positive opening for the broader index in India, a rise of 41.5 points or 0.38 percent. Nifty futures were trading around 10,830-level on the Singaporean Exchange.

Retail inflation hits 16-month low; softens to 2.3 % in Nov

India's retail inflation eased to 2.3 percent in November, according to data released by the government on December 12. It stood at 4.88 percent in November last year and was 3.31 percent in October.

Led by deflation in food items, softening crude oil prices and relatively stable domestic currency, the central bank kept key policy rates unchanged last week.

Consumer food price index recorded de-growth of 2.61 percent in November, from (-) 0.86 percent in October, mainly driven by cheaper vegetables, eggs, pulses and sugar.

Factory output grows 8.1% in Oct

India’s industrial production (IIP) grew 8.1 percent in October as against 4.5 percent in September, aided by a favourable base effect and robust output in all key sectors—manufacturing, electricity and mining, data released by the statistics office showed.

Manufacturing sector output, which accounts for more than three-fourths of the entire index, grew 7.9 percent in October from 4.6 percent a month ago and 2 percent a year ago.

According to ratings agency ICRA, the pickup in industrial growth in October is likely to be temporary, as portended by a considerable deterioration in the performance of indicators such as auto production, electricity generation and Coal India’s output during November.

Rupee tumbles 16 paise, breaches 72-mark vs US Dollar

The rupee declined by 16 paise to close at 72.01 against the US dollar on December 12 amid strengthening of the greenback and rising crude oil prices even as the equity markets staged a sharp up move.

At the Interbank Foreign Exchange (forex) market, the local unit opened lower at 72.10 and fell further to touch the day's low of 72.17. The domestic currency, however, pared some losses and finally ended at 72.01 per dollar, down by 16 paise against its previous close.

US oil prices inch up amid stockpile drop, signs of easing trade tensions

US oil prices edged up on Thursday, buoyed by a drawdown in inventories and by signs of easing trade tensions between Washington and Beijing. Oil prices have also been supported by OPEC-led supply curbs announced last week, although gains have been muted after the producer group lowered its 2019 demand forecast.

US West Texas Intermediate (WTI) crude futures were at $51.27 per barrel at 0020 GMT, up 0.23 percent from their last settlement.

SEBI allows side-pocketing in mutual funds

After weeks of deliberation, the Securities and Exchange Board of India (SEBI) allowed mutual funds to segregate their holdings in stressed securities. Known as side-pocketing in mutual fund (MF) parlance, this refers to a practice where fund houses isolate risky assets from the rest of their holdings and cap redemption.

Once segregated, a set of units will contain investments made in the troubled paper, while the other set of units will contain all other investments and cash holdings.

This will ensure that if a paper gets downgraded to 'default' grade and the fund doesn't receive the money from its underlying investment in time, resulting in a sharp drop in the scheme's net asset value (NAV), the bad asset will then be segregated.

Jindal plans Rs 4,500-cr IPO for JSW Cement in 2020

The Sajjan Jindal-run JSW Group is planning to divest a quarter of the promoter holdings in its cement business through a public issue of around Rs 4,500 crore by 2020. JSW Cement is on an aggressive expansion plan to take annual installed capacity to 20 million tonne by 2020 from the present 12.8 mt, which will reach 14 mt by March 2019.

"JSW Cement is targeting Rs 18,000 crore enterprise valuation by the time of the proposed IPO through which the promoters plan to dilute 25 percent of their holding," the chief executive Nilesh Narwekar said.

SEBI relaxes norms for clubbing of investment limits by foreign portfolio investors

SEBI in its board meeting on December 12 relaxed norms for clubbing of investment limits by foreign portfolio investors (FPIs) in its board meeting on the basis of the recommendations of the HR Khan Committee report.

SEBI has approved amendment to the regulations pertaining to institutional trading platform, including re-naming to Innovators Growth Fund. This platform will be eligible for listing on the IGP and the issuer shall be company which is intensive in the use of technology, IT, intellectual property, data analytics, bio-technology or nano-technology to provide products, services or business platforms with substantial value.

In this amendment, 25 percent of the pre-issue capital of the issuer company for at least 2 years. On this platform minimum application size and trading lot to be Rs 2 lakh and in multiple of 2 lakh.

Mutual funds log Rs 1.4 lakh crore inflows in Nov

Investors pumped in over Rs 1.4 lakh crore into various mutual fund schemes in November, with liquid schemes accounting for most of the inflows. With the latest inflow, the total infusion in mutual fund (MF) schemes reached about Rs 2.23 crore in the first eight months (April-November) of the current fiscal, latest data with the Association of Mutual Funds in India (Amfi) showed.

"We appreciate the maturity shown by retail investors in staying invested in the markets, in spite of the volatility over the last few months," Amfi Chief Executive N S Venkatesh said. "Overall, both inflows and AUM have shown an upward trend. The industry added over 1.5 lakh unique investors last month," he added.

2 stocks under ban period on NSE

Securities in ban period for the next day's trade under the F&O segment include companies in which the security has crossed 95 percent of the market-wide position limit.

For December 13, 2018, Adani Enterprises and Adani Power are present in this list.

 With inputs from Reuters & other agencies
First Published on Dec 13, 2018 07:43 am
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