Stock market

YES Bank failed to see a change of fortunes as the stock plunged nearly 10 per cent in Friday’s day, after ratings agency Moody’s downgraded its credit profile. Vodafone Idea closed 5 per cent lower after Kumar Mangalam Birla said the company may have to shut shop if the government doesn’t come to its aid. Most bank stocks ended with deep cuts a day after RBI kept its policy rates unchanged, going against all expectations. Nifty PSU Bank index dived over 4 per cent. BSE flagship Sensex shed 334 points to close at 40,445 while its NSE counterpart Nifty ebbed 96.90 points to 11,921. Broader market indices underperformed and bled through the day. “Clouds over economic growth outlook and premium valuation influenced investors to stay away from rate-sensitive stocks. While a rise in 10-year yields due to a spike in inflation, a potential slippage by the government on fiscal discipline may result in near-term consolidation of the market,” said Vinod Nair, … [Read more...] about After Market: Voda Idea, PSU banks bleed; 23 stocks cross 50-EMAs

Mumbai: Veteran investor Rakesh Jhunkhunwala bet on shares of YES Bank on Monday as he picked up 0.51 per cent stake in the lender. However, market experts are uncertain that this will change the fortunes for the stock, which has witnessed heavy beating this year. The Big Bull bought 1.30 crore shares at Rs 67.10 per share, putting the deal value at around Rs 86.89 crore. Shares of the lender closed at Rs 66.10, down 0.50 per cent or 0.75 per cent against 0.34 per cent rise in BSE Sensex. YES Bank’s shares have more than doubled from their decade low of Rs. 29.05 seen in early October, but are down 84 per cent from their record highs of Rs 404 seen in August last year. “He is a legendary investor. We hold him in high esteem,” said a senior official at a brokerage, who did not wish to be identified. “There have been many lemons in recent times too. With the exception of Titan and a few stocks, quite a few of his holdings haven’t performed well of … [Read more...] about Will Big Bull’s healing touch change the game for YES Bank & lift stock?

Donald Trump has tweeted his satisfaction after a closely-watched report suggested the US economy was in a healthier place than feared.At the end of a week dominated by an escalation in the US president's trade war, which pulled US indices back from record highs, it was revealed that hiring in the American economy jumped to its highest level since January last month.The numbers in the non-farm payrolls report smashed market expectations on every level.It showed the US jobless rate falling to 3.5% - matching its lowest level for 50 years. Stock Markets Up Record Numbers. For this year alone, Dow up 18.65%, S&P up 24.36%, Nasdaq Composite up 29.17%. “It’s the economy, stupid.”— Donald J. Trump (@realDonaldTrump) December 6, 2019 In all, 266,000 net new jobs were created across the economy. Economists had expected a figure around 180,000. Advertisement The Labor Department also reported wages rising by a better-than-expected figure of 3.1% … [Read more...] about Trump hails ‘blowout’ job numbers as stock markets bounce

Non-Banking Financial Companies (NBFCs) have been under severe pressure for over a year, but the sector now appears ripe for a turnaround.Most NBFCs had a decent quarter amid a challenging environment as they reported steady net interest margins (NIMs) despite an increase in borrowing costs."A lot of pieces are falling in place for NBFCs. Stronger liability profile supported by more diversified, granular and longer duration bank borrowings, deposits and securitisation along with the lower cost of borrowing and normalisation of credit spreads, and a significant improvement in overall system liquidity will aid in a return of confidence to the sector," said JM Financial in a report on December 2.Close With lower valuations, JM Financial believes the sector is attractively placed in the context of improving liquidity conditions, lower funding costs and lower credit spreads going ahead. related news This stock has gained 77% in the last 14 consecutive sessions Shakti Pumps shares … [Read more...] about 5 NBFC stocks brokerages recommend for your basket as the sector looks for turnaround

Investors should shift from overvalued stocks (quality names) and sectors (like consumer) to cyclical and quality mid-small caps, Vinod Nair, Head of Research at Geojit Financial Services, says in an interview to Moneycontrol’s Kshitij Anand.Edited excerpts:Q) The RBI kept rates unchanged in its December meeting. Do you think it is the right move, considering that the GDP growth dropped to over a six-year low in the September quarter?A) It is a well-thought unanimous decision of the RBI to give ample time for the transmission of five consecutive rate cuts undertaken since January 2019 and get better clarity on the inflation trajectory.With the slowdown in India getting more severe than expected and RBI cutting real GDP forecast to 5 percent from 6.1 percent for FY20, we can expect more rate cuts, depending on the evolving macro-economic data in the upcoming MPC meetings.Close We don’t expect this decision to completely change the trend of the market, but there could be … [Read more...] about ‘Time to shift from overvalued stocks to cyclical and quality mid & small-cap stocks’