Stock Market Latest Updates: Sensex plummets over 1,000 points, Nifty at 8,829; IndusInd Bank, HDFC among top losers

Nissan Motor drives in SUV Kicks’ facelift edition in India at Rs 9.49 lakh

Nissan Motor on Monday launched the facelift edition of its compact sports utility vehicle, Kicks, in India with seven variants in both manual and X-tronic CVT edition at a starting price of Rs 9.49 lakh.

The company, in a release, also announced the opening of booking for its latest offering.

“As part of our BS-VI upgrade, the new Nissan Kicks 2020 offers the most powerful turbo engine in its segment along with the class-leading X-tronic CVT transmission. It further strengthens on our customer centricity with high-value proposition offering the NissanConnect Technology, coupled with a complete vehicle package and class-leading premiumness,” said Nissan Motor India Managing Director Rakesh Srivastava.

The new Kicks includes features such as vehicle stability management system, electronic stability control, traction control system, and a hill start assist, and cruise control, among others, the company said.

Sensex nosedives over 1,000 points, Nifty below 8,850-mark 

Indices witnessed a sharp fall as Sensex plummeted 1039.24 points or 3.34 percent to 30,058.49 while the Nifty was down 313.35 points or 3.43 percent at 8,823.50 at around 3 pm.

Bank stocks plummeted over 6 percent followed by auto, metal and infra. Some buying was seen in the IT index.

IndusInd Bank was the top loser in the Sensex pack tumbling nearly 10 percent. TCS and Infosys were the only gainers.

Vedanta’s oil and gas head Ajay Dixit quits

Billionaire Anil Agarwal-led Vedanta Ltd’’s oil and gas division Cairn CEO Ajay Dixit has decided to hang up his boots at month-end, the fifth chief executive to quit the firm since it was taken over by the mining baron eight years back.

Dixit, who was appointed CEO of Cairn Oil and Gas in mid-April last year, has decided not to seek an extension of his contract when it comes to an end at the end of the month, sources with direct knowledge of the development said.

It wasn’t immediately known why Dixit quit.

When contacted, a company spokesperson said a statement is likely shortly.

Canara Bank launches gold loan business vertical to ease liquidity

Public sector Canara Bank said on Monday it has launched a business vertical dedicated for gold loans to meet emerging financial needs of customers in view of the current challenges and uncertainties.

It said the COVID-19 pandemic has changed socio-economic order of the country and managing everyday expenses, business continuity, health and family care are a challenge for many.

With this objective, the bank has launched a special gold loan campaign till 30 June with an interest rate of 7.85 percent per annum. The loans are payable within a period of one to three years with flexible repayment options.

TCS stock rises over 2%

#CNBCTV18Market | TCS climbs to day's high pic.twitter.com/evPlp6mOAh

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

IOC close to first tender to export fuel to Bangladesh

Indian Oil Corp, the country’s top refiner, is close to winning its first contract to supply diesel, jet fuel and gasoline in the second half of this year to state-run Bangladesh Petroleum Corp, two sources with knowledge of the matter said.

BPC has sought 870,000 tonnes of gasoil with sulphur content of no more than 500 parts per million (ppm), 120,000 tonnes of jet fuel, 20,000 tonnes of 180-centistoke high sulphur fuel oil and 30,000 tonnes of 95-octane gasoline in a tender issued this month.

IOC emerged as a lowest bidder for supply of up to 430,000 tonnes of diesel and 50,000 tonnes of jet fuel during July-December and 30,000 tonnes of gasoline through two equal size parcels in August and November, the two sources said.

Apparel export industry should be treated at par with MSME sector: AEPC

Reeling under the impact of COVID-19 pandemic, apparel exporters on Monday urged the government to treat the labour-intensive sector at par with MSMEs.

In a letter to Prime Minister Narendra Modi, Apparel Export Promotion Council of India (AEPC) Chairman A Sakthivel said the sector is facing huge losses due to nonpayment of export bills and cancellation of orders.

“We would request that the apparel exporting industry may be treated at par with the MSME sector as we work on wafer-thin margins of 4-5 per cent," Sakthivel said.

Domestic exporters have a huge pile-up of inventories because of lockdown in several countries, he said adding the industry is one of the largest employers of the country employing 12.9 million people directly.

Schaeffler India supports fight against COVID-19 pandemic

Schaeffler India, leading industrial and automotive supplier on Monday, shared the details of the company’s contribution towards fighting the ongoing COVID-19 pandemic.

Schaeffler India took two major initiatives in joining the support – procurement of emergency health equipment for a government-run hospital in Pune and voluntary donation of a part of salaries by employees, with the company matching an equivalent amount.

Procurement of emergency medical equipment worth Rs 60 lakh Schaeffler procured and donated emergency medical equipment and essentials for a government-run hospital (Aundh hospital) in Pune city.

The Aundh Hospital that specializes in treating diseases related to the respiratory system has been identified as a dedicated COVID-19 hospital by the ministry.

It is a 300-bed facility, with the allocation of 50-beds to their isolation ward to treat COVID-19 patients and ten beds to the ICU facility.

European markets rally

#CNBCTV18Market | European markets trade with gains of 1-3% pic.twitter.com/aX1Vv27APV

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

Cash strapped Thai Airways to seek bankruptcy rehabilitation

Thailand’s flag carrier Thai Airways International will file a plan for restructuring its business with the Central Bankruptcy Court, a government spokeswoman said on Monday.

Narumon Pinyosinwat said the plan submitted by the State Enterprise Policy Office to salvage the airline will be submitted Tuesday to for Cabinet approval. She said she had no details of the plan.

Thai Airways had been suffering financially even before the coronavirus crisis brought travel and tourism in the country to a near standstill.

Gold futures surge on spot demand

Gold prices on Monday rose by Rs 479 to Rs 47,860 per 10 gram in futures trade as speculators created fresh positions on firm spot demand.

On the Multi Commodity Exchange, gold contracts for June traded higher by Rs 479, or 1.01 percent, to Rs 47,860 per 10 gram in a business turnover of 12,881 lots.

The yellow metal for August delivery edged up by Rs 469, or 0.99 percent, to Rs 48,038 per 10 gram in a business turnover of 9,121 lots.

Fresh positions built up by participants mainly led to the rise in gold prices, analysts said.

Axis Bank reduces lending rates

Axis Bank cuts lending rates by 5-15 bps across tenures pic.twitter.com/Nyo1FNu4Jv

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

CDSL Q4 net profit drops 18%; total income up 6.5%

Central Depository Services (India) Limited (CDSL) on Monday reported an 18 per cent decline in its net profit to Rs 28.07 crore for three months ended March 2020.

In comparison, the company had reported a net profit of Rs 34.4 crore in the year-ago period, CDSL said in a regulatory filing to NSE.

The company’s total income for the quarter ended 31 March 2020, increased by 6.5 percent to Rs 73 crore from Rs 68.5 crore in the same period last fiscal.

The company said it has taken a one-time charge for a non-recurring previous years’’ anticipated statutory liability of Rs 10.56 crore.

Indices off day’s low; Sensex down 791 points, Nifty at 8,901 

Indices staged slight recovery as Sensex was trading 790.85 points or 2.54 percent lower at 30,306.88 while the Nifty was down 235.80 points or 2.58 percent at 8,901.05 at around 2.15 pm.

IndusInd Bank, ICICI Bank, HDFC, Bajaj Auto, Maruti, Axis Bank, Bajaj Finance, SBI, HDFC Bank and Ultra Cement were the major losers in the Sensex pack. 

The gainers included Infosys, TCS, HCL Tech and ITC.

Rupee falls 35 paise to 75.91 at close

#Rupee ends lower against the Friday's close pic.twitter.com/RgKrb6yR1Q

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

Return to work at office? 70% workers in US energy sector say ’not-so-fast’, says study

As States across the US reopen after weeks-long coronavirus lockdown, more than 70 percent people in the energy sector still prefer working from home to returning to their offices as they fear contracting the deadly COVID-19, according to a study.

The study, a collaboration between the University of Houston, Robert Gordon University and Texas A&M University, involved 448 energy workers, 81 percent of whom normally work in an office.

The study found that more than 70 percent of workers preferred to continue working remotely. About 20 percent of those surveyed said they would prefer taking an unpaid furlough to a physical return to their offices next month. And nearly 5 percent said they would consider quitting rather than returning to the office now.

“Workers expected good sanitation and cleaning protocols as well as solid supplies of masks, sanitiser and supervisors who they feel are committed to eliminating workplace transmission of COVID-19 felt more comfortable,” said Indian-American co-author of the study Ramanan Krishnamoorti, who is chief energy officer at University of Houston (UH).

US restriction on chipmakers deals critical blow to Huawei

The latest US sanctions on Huawei threaten to devastate China’’s first global tech competitor, escalating a feud with Beijing that could disrupt technology industries worldwide.

Huawei Technologies Ltd. is one of the biggest makers of smartphones and network equipment, but that $123 billion-a-year business is in jeopardy after Washington announced restrictions on use of American technology by foreign companies that make its processor chips.

The conflict is politically explosive because Huawei is more than just China’’s most successful private company. It is a national champion among industries the ruling Communist Party is promoting in hopes of transforming China into a global competitor in profitable technologies.

“The United States wants to kill Huawei,” the official China Daily newspaper said Sunday.

SAT to remain closed till 31 May 

The Securities Appellate Tribunal (SAT) has said it will remain closed till 31 May in view of the nationwide lockdown announced by the government to prevent the spread of coronavirus.

Earlier, the tribunal had said it will remain closed till 15 May.

In view of the extension of nationwide lockdown, till 31 May, declared by the government on 17 May. The judicial work of the tribunal will remain suspended till 5 June, the SAT said in a notification on Sunday.

Besides, the office of the tribunal will function from 1 June from 11 am to 4:30 pm.

Also, the matters fixed for hearing on 18 May to 22 May will now stand adjourned till 23, 24, 26, 30 June and 1 July, respectively.

Sugar export expected to normalise in coming days: ISMA

India’s sugar export is expected to normalise in the coming days amid relaxation in the COVID-19 lockdown rules, industry body ISMA said on Monday.

The government has allowed export of 6 million tonne of sugar under maximum admissible export quota (MAEQ) during the 2019-20 marketing year (October-September) to liquidate surplus sugar in the global markets.

India has so far signed orders for shipment of 4.2 million tonnes for the 2019-20 marketing year.

Quoting market sources, Indian Sugar Mills Association (ISMA) said that contracts for export of 4.2 million tonnes of sugar have been made till the beginning of May.

As per reports available from mills and ports, about 3.6 million tonnes of sugar has been moved/dispatched from the mills for export.

Page Industries stock rises over 1%

#CNBCTV18Market | Page Ind gains nearly 5% from lows pic.twitter.com/x2MLOjO2by

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

RBI may extend moratorium on repayment of loans for 3 more months: Report

With the government extending the nationwide lockdown up to 31 May, the Reserve Bank of India (RBI) is likely to extend the moratorium on repayment of loans for three more months, according to an SBI research report.

On Sunday, the National Disaster Management Authority (NDMA), the nodal department, announced lockdown 4.0 till 31 May to check the spread of the novel coronavirus.

The lockdown was first announced by Prime Minister Narendra Modi on 24 March for 21 days in a bid to combat the COVID-19 pandemic. It was first extended till 3 May and again till 17 May.

In March, RBI had allowed a three-month moratorium on payment of all term loans due between 1 March 2020 and 31 May 2020.

LG completes removal of deadly Styrene Monomer gas from Vizag, ships back to Korea

LG Polymers on Monday said it has completed transportation of its inventory of deadly Styrene Monomer (SM) from Visakhapatnam to South Korea.

It has shipped the entire stock lying at its Visakhapatnam plant and styrene tanks that were at the local port there, said LG Polymers, a step down firm of South Korean Petro giant LG Chem, said in a statement.

“There is now no SM left at the LG Polymers plant in Vizag,” LG Polymers Managing Director Jeong Sunkey said.

Besides, an eight member team sent by the South Korean company from its Seoul headquarter to investigate the Visakhapatnam gas leak incident and rehabilitate the victims of the tragedy that killed at least 11 people and forced the evacuation of thousands has started its work.

Spectrum auction likely to be held before October without 5G radiowaves

The Department of Telecom (DoT) is likely to hold the spectrum auction before October without the frequency band considered suitable for 5G services, according to official sources involved in the process.

The department is expected to finalise the auctioneer– agency that will develop and manage software for the auction — by 22 May and the timeline will also depend on the firm selected.

“Four bidders have qualified in the technical round. They include 2 firms that have experience of spectrum auction. In case an experienced firm is selected, then the auction can begin after two months, and in other case, it can begin after 3 months. Based on the plan in process, the auction can start in August-September also, but the timeline will not go beyond October,” a source said.

The source mentioned that DoT is also preparing a Cabinet note to get approval for the auction which does not include spectrum in the frequency range of 3,300 -3,600 Mhz band that was proposed to be used for 5G services.

Railways operates 1,300 Shramik trains since 1 May

The Indian Railways has operated 1,300 ‘Shramik Special’ trains since 1 May, ferrying more than 17 lakh workers, it said.

During the last three days, more than 2 lakh people have been transported per day. In days to come, it is expected to be scaled up to 3 lakh passengers per day, the railway said.

Out of the trains which have terminated so far, the maximum has been in Uttar Pradesh. The state has so far given approval for over 500 trains, followed by Bihar with almost 300 trains.

The operation of these trains has, however, led to a political mudslinging with the opposition accusing centre of charging fare from migrants. The Union government has clarified that the fare is being shared on a 85-15 ratio between the Railways and the state governments.

Kotak Bank slashes lending rates by 15-25 bps across tenures

. @KotakBankLtd cuts lending rates by 15-25 bps across tenures pic.twitter.com/0JwHrNqksp

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

InnoVen Capital invests Rs 13 cr in LetsTransport

InnoVen Capital on Monday said it has invested Rs 13 crore in LetsTransport, a marketplace for fulfilling intra-city last mile deliveries.

The recent investment underlines the firm’’s commitment in being an integral part of the transformation of logistics-led space in India, a statement said.

LetsTransport provides urban logistics solutions to enterprises by offering tech-enabled intra-regional transportation services.

It enables enterprise clients to book light commercial trucks and manage bookings for distance range 100-200 kms.

The company has a presence in 15 cities in India and has a registered trucker supply of over 58,000 drivers.

Suzuki Motorcycle resumes production at Gurugram plant

Suzuki Motorcycle India Pvt Ltd (SMIPL) on Monday said it has resumed production at its manufacturing facility at Kherki Dhaula, Gurugram.

The company commenced operations after receiving permission from concerned authorities, by adopting detailed safety guidelines and safety measures for its employees, SMIPL said in a statement.

SMIPL Managing Director Koichiro Hirao said, “At the onset, SMIPL will resume operation with limited workforce and will gradually shift to full production cycle as per the government’’s directive”.

He further said the company has implemented detailed operating guidelines with emphasis on social distancing to ensure maximum precautions are taken by all its employees.

Markets at half-time under performs against global peers

The Indian markets at half time are trading with a massive cut of 2.70 percent underperforming it’s global peers, said Aditya Agarwala, Senior Technical Analyst, YES Securities.

Further, Banking and NBFC stocks are taking it on the chin as Bank Nifty trades with a gigantic cut of 6 percent he said adding Nifty, however, has recovered marginally from the 8,800 support zone but still trade below the crucial hurdle of 9,000-9,040.

“A sustained trade below 9040 could resume the corrective wave dragging the Index further lower to levels of 8700-8500. On the flipside if bulls manage to take the Index beyond the 9040 resistance zone then short covering rally maybe triggered in late trade taking the Index higher to levels of 9100-9180,” said Agarwala.

Broader markets are underperforming the headline Indices as selling pressure is seen across all major sectors baring the IT Index which is bucking the trend, he said.

European markets have opened with handsome gains which could provide some support to the bulls in taking the Nifty beyond 9040 levels, Agarwala said.

Sensex sinks 863 points, Nifty below 8,900

Sensex tumbled 862.82 points or 2.77 percent to 30,234.91 while the Nifty was down 255.15 points or 2.79 percent at 8,881.70 at around 1 pm.

IndusInd Bank was the top loser in the Sensex pack plunging over 9 percent. 

ICICI Bank provides protective equipment to Gujarat coronavirus warriors

ICICI Bank has announced it is providing protective equipment to the Gujart state government, hospitals and police forces for their efforts to safeguard citizens of the state in the wake of COVID-19 pandemic.

The Bank has donated protective equipment like over 1.4 lakh three-ply surgical masks, over 8,000 litres of sanitisers, 10,750 gloves, 2,500 N95 masks, 4,000 handkerchiefs, 2,000 soaps and 30 thermal scanners to the authorities of almost all the districts of Gujarat.

This initiative is part of the Bank’s nation-wide drive of contributing various protective gears to aid the front-liners to combat the pandemic.

The doctors treating the COVID-19 suspects / patients and the police and paramilitary forces managing orderly implementation of the lockdown are at the frontline of this combat. ICICI Bank has focussed efforts to reach out to the government hospitals and the forces in the state.

Swiggy lays off 1,100 staff

. @swiggy_in lays off 1,100 employees spanning across grades & functions pic.twitter.com/j6opDrwMmR

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

Survey finds 57% passengers planning bus travel within a month after lockdown ends

A large number of people in India are planning inter-city bus travel within a month of the lifting of travel restrictions, according to a randomised online survey of over 10,300 customers of redBus, India’s largest online bus ticketing platform.

Nearly 57 percent of the respondents are planning to travel within a month post the lockdown. However, there is a high standard of expectation on the implementation of measures to make buses safe for travel with over 79 percent wanting deep cleaning and sanitisation of buses after every trip.

Hand sanitisers, mandatory masks and temperature screening for all passengers are next in expectations for bus travel. Over 78 percent of the respondents want the implementation of hygienic conditions at boarding points and 70 percent want social distancing protocols to be implemented at boarding points.

Sensex slides over 900 points, Nifty at 8,879

Indices continued to trade in the red as Sensex was trading 904.21 points or 2.91 percent lower at 30,193.52 while the Nifty was down 258.15 points or 2.83 percent at 8,878.70 at around 12.10 pm.
 

IndusInd Bank, ICICI Bank, Maruti, Axis Bank, and Bajaj Finance were the major losers in the Sensex pack.

As many as 377 shares have advanced, 1495 shares declined, and 107 shares are unchanged.

Dairy products output to grow 10% to Rs 2.83 lakh crore in FY21: Ind-Ra

The manufactured dairy products output is estimated to grow 10 percent to Rs 2.83 lakh crore in the current financial year from Rs 2.56 lakh crore in FY20 as households continue to drive the consumption of milk and milk products, India Ratings and Research (Ind-Ra) said on Monday.

The household consumption demand for milk and milk products occupies the highest share in the private final consumption expenditure on food after breads, cereals and pulses.

The share of milk and milk products averaged 21 percent in household expenditure on food during FY12 to FY18.

Notwithstanding the disruption in economic activity due to COVID-19 pandemic and closure of non-essential commercial establishments like hotels, restaurants, bakery and sweet shops, theatres and malls, Ind-Ra expects the consumption demand for liquid and pouch milk, ultra-high temperature milk and dairy products like butter, clarified butter and cheese to draw sustained support from the household demand.

Thai economy slips into recession after worst quarter in eight years

Thailand’s economy contracted at its sharpest pace in eight years in the first quarter, pushing Southeast Asia’s second largest economy into recession sooner than expected, as the coronavirius pandemic hit tourism and domestic activity.

The state planning agency, reporting January-March data on Monday, slashed its forecast for 2020 gross domestic product (GDP) to a contraction of 5.0-6.0 percent from growth of 1.5-2.5 percent projected in February.

That would be the worst decline since 1998 when the Asian financial crisis damaged the economy.

The economy shrank 1.8 percent in the first quarter from a year earlier, the deepest contraction since the fourth quarter of 2011, when there was bad flooding.

SoftBank posts record $13 bn operating loss as tech bets slide

SoftBank Group Corp on Monday reported a record 1.4 trillion yen ($13 billion) operating loss in the April-March financial year as the value of its tech bets via the $100 billion Vision Fund crumbled.

The tech and telecoms conglomerate’s disastrous result, caused by a 1.9 trillion loss at the Saudi Arabian-backed fund, compared with a group operating profit of 2 trillion yen in the same period a year earlier.

Accenture acquires Byte Prophecy to enhance AI, digital analytics capabilities

Professional services firm Accenture on Monday said it has acquired Ahmedabad-based IT company Byte Prophecy to meet the growing demand for enterprise-scale artificial intelligence (AI) and digital analytics solutions across the region.

Financial terms of the acquisition were not disclosed.

The acquisition will add nearly 50 data science and data engineering experts, with a particular focus on insight automation, to Accenture Applied Intelligence, the company said.

The move will deepen existing consulting and technology capabilities that help clients in areas such as data foundations and advanced analytics.

Rupee falls to day’s low of Rs 75.94

#Rupee at day's low against the US dollar pic.twitter.com/Bm1uVMJUGM

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

RIL shares gain nearly 2% after General Atlantic deal

Shares of Reliance Industries on Monday gained nearly 2 percent after the company announced the sale of 1.34 percent stake in its digital unit to global equity firm General Atlantic for Rs 6,598.38 crore.

The heavyweight stock rose by 1.58 percent to Rs 1,482 on the BSE in opening session. On the NSE, shares of the company went advanced 1.54 per cent to Rs 1,482.

However, as the session progressed, the company surrendered the early gains and was quoting 1.07 percent down at Rs 1,443.25 on the BSE in line with weak market sentiment.

Defence stocks in limelight; zoom up to 10%

Shares of companies related to the defence sector zoomed up to 10 percent in early trade on Monday after the government said it will relax foreign direct investment norms in defence manufacturing by allowing 74 percent FDI under the automatic route.

Bucking the overall weak broader market trend, shares of Hindustan Aeronautics jumped 10 percent, Bharat Electronics rose 5.53 percent, BEML advanced 5.31 percent, Astra Microwave Products surged 4.93 percent and Bharat Dynamics was trading up 4.71 percent on the BSE.

The government on Saturday said it will relax foreign direct investment norms in defence manufacturing by allowing 74 percent FDI under the automatic route with a view to attracting overseas players in the sector.

Nifty Bank drips over 6%

#CNBCTV18Market | Market extends losses, Nifty Bank down more than 6% pic.twitter.com/azdCLmLLMr

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

Sensex plunges 1,005 points, Nifty slips below 8,900-mark 

Indices extended the losses in the morning trade as the government’s Rs 20 lakh crore economic package failed to evoke any positive response.

Sensex plunged 1004.99 points or 3.23 percent to 30,092.74 while the Nifty was down 291.75 points or 3.19 percent at 8,845.10 at around 11.15 am.

IndusInd Bank was the top loser in the Sensex pack plummeting over 9 percent.

Other major losers included Axis Bank (8.20 percent), ICICI Bank (7.86 percent), Maruti (6.29 percent), Bajaj Finance (6.24 percent) and SBI (5.95 percent).

SoftBank in talks to sell down T-Mobile US stake to Deutsche Telekom 

SoftBank Group Corp is in talks to sell “a significant portion” of its T-Mobile US stake to controlling shareholder Deutsche Telekom AG, the Wall Street Journal reported on Monday, citing unidentified sources.

A deal would see Deutsche Telekom’s stake in the carrier, which merged with SoftBank’s wireless unit Sprint last month, rise above 50 percent, the newspaper reported.

It did not say how much of SoftBank’s 24 percent stake in T-Mobile US the Japanese conglomerate was planning to sell down, nor how much it would raise for it.

Ryanair reports full-year profit up 13%

Ryanair on Monday reported a profit after tax of 1 billion euros ($1.08 billion) for the year to 31 March, but said it was unable to provide a forecast for the current year due to COVID-19 and cut its annual passenger traffic target by a further 20 percent.

The Irish low-cost carrier, Europe’s largest, said it expected to post a loss of 200 million euros in the three months to the end of June but said a forecast for the full-year was impossible as it had “no visibility” on customer behaviour and demand once it reopens much of its network on 1 July.

It cut its passenger target for the year to end-March 2021 to 80 million, down from a target of 100 million given last week and from an original target of 154 million.

Cipla submits application with USFDA for generic version of asthma drug

Drug major Cipla on Monday said it has submitted an application with the US health regulator for a generic version of GSK’s Advair Diskus, which is used in the treatment of asthma and other respiratory disorders.

The company has submitted an abbreviated new drug application (ANDA) for Fluticasone propionate and Salmeterol inhalation powder (100/50 mcg, 250/50 mcg and 500/50 mcg) to the US Food and Drug Administration (USFDA), Cipla said in a regulatory filing.

The drug firm had recently announced the successful completion of its phase-3 clinical end-point study for the product in the first attempt, it added.

US mulls paying companies, tax breaks to pull supply chains from China

US lawmakers and officials are crafting proposals to push American companies to move operations or key suppliers out of China that include tax breaks, new rules, and carefully structured subsidies.

Interviews with a dozen current and former government officials, industry executives and members of Congress show widespread discussions underway – including the idea of a “reshoring fund” originally stocked with $25 billion – to encourage US companies to drastically revamp their relationship with China.

President Donald Trump has long pledged to bring manufacturing back from overseas, but the recent spread of the coronavirus and related concerns about US medical and food supply chains dependency on China are “turbocharging” new enthusiasm for the idea in the White House.

Airline companies’ shares fall

#CNBCTV18Market | Aviation stocks trade deep in the red terrain pic.twitter.com/c110THhEv5

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

Rupee slips 31 paise to Rs 75.89 in early trade

The rupee depreciated 31 paise to 75.89 against the US dollar in opening trade on Monday tracking weak opening of domestic equities and sustained foreign fund outflows.

Forex traders said market participants are concerned about the effectiveness of the fiscal stimulus package and the impact of extended nationwide lockdown amid a significant rise in COVID-19 cases on the domestic economy.

The local unit opened at 75.85, then lost further ground and fell to 75.89 against the US dollar, down 31 paise over its previous close.

It had settled at 75.58 against the US dollar on Friday.

Sensex down 688 points, Nifty at 8,941

Indices erased some of the losses as Sensex was trading 687.71 points or 2.21 percent lower at 30,410.02 while the Nifty was down 195.45 points or 2.14 percent at 8,941.40 at around 10.30 am.

Almost all the sectoral indices were trading in the red. 

Axis Bank was the major loser in the Sensex pack sliding over 6 percent.

Cipla stock rises over 3%

#CNBCTV18Market | Cipla higher after positive management commentary pic.twitter.com/oJNhvGz7ig

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

Oil prices jump more than $1 ahead of WTI June contract expiry

Oil prices climbed by more than $1 a barrel on Monday to their highest in more than a month, supported by ongoing output cuts and signs of gradual recovery in fuel demand as more countries ease curbs imposed to stop the coronavirus pandemic spreading.

Brent crude was up $1.19, or 3.7 percent, at $33.69 a barrel, after touching a high since 13 April. US West Texas Intermediate crude was up $1.26, or 4.3 percent, at $30.69 a barrel, after rising to its highest since 16 March.

“Oil prices may show further upside momentum as the easing in mobility restrictions grows,” said Stephen Innes, chief global market strategist at AxiCorp in a note, referring to curbs that were designed to counter the coronavirus.

The June WTI contract expires on Tuesday, but there was little sign of WTI repeating the historic plunge below zero seen last month on the eve of the May contract’s expiry amid signs that demand for crude and derived fuels is recovering from its nadir.

Alibaba’s Jack Ma resigns from SoftBank board

SoftBank Group Corp said on Monday that Alibaba co-founder Jack Ma will resign from its board, in the latest departure by a high-profile ally of CEO Masayoshi Son.

The departure of Ma, who retired as Alibaba’s executive chairman in September, comes as he pulls back from formal business roles to focus on philanthropy.

SoftBank will propose three new appointments to the board, including group Chief Financial Officer Yoshimoto Goto, at its annual general meeting on 25 June. The number of board members will expand to 13.

Shareholders to pay 25% for subscribing to RIL’s Rs 53,125-cr right issue now

Reliance Industries shareholders will have to pay only 25 percent for subscribing to the company’s mega Rs 53,125-crore rights issue, and the balance will have to be paid in two installments in May and November next year, the company said.

Oil-to-telecom conglomerate’s rights issue will open for subscription of shareholders on 20 May and will close on 3 June. One share will be offered for every 15 shares held at Rs 1,257.

Of the Rs 1,257 per share price, only 25 percent is to be paid at the time of subscription. A similar amount will be due for payment in May 2021 and the balance 50 percent has to be paid in November 2021, the company said in a regulatory filing.

Diageo likely to delist United Spirits

#CNBCTV18Exclusive | Diageo exploring options to delist United Spirits. Global management believes current mkt price conducive for delisting, Sources to @kritika_saxena1 pic.twitter.com/gAx9IJLE7A

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

Japan slips into recession, slump set to worsen

Japan’s economy slipped into recession for the first time in 4-1/2 years, putting the nation on course for its deepest postwar slump as the coronavirus crisis ravages businesses and consumers.

Monday’s first-quarter GDP data underlined the broadening impact of the outbreak, with exports plunging the most since the devastating March 2011 earthquake as global lockdowns and supply chain disruptions hit shipments of Japanese goods.

Analysts warn of an even bleaker picture for the current quarter as consumption crumbled after the government in April requested citizens to stay home and businesses to close, intensifying the challenge for policymakers battling a once-in-a-century pandemic.

RIL share price rises after General Atlantic invests in Jio Platforms

Reliance Industries (RIL) share price rose in early trade on 18 May after the company sold more stake in its digital arm Jio Platforms.

The company on 17 May announced that private equity firm General Atlantic Partners will invest Rs 6,598.38 crore in Jio Platforms.

This investment values Jio Platforms at an equity value of Rs 4.91 lakh crore and an enterprise value of Rs 5.16 lakh crore, company said in the release.

This is a fourth major deal in a little less than four weeks from leading global technology investors including Facebook, Silver Lake, Vista Equity Partners, that will infuse a total Rs 67,194.75 crore in the digital unit of the company.

Startup Eggoz raises Rs 2.5 cr seed funding

Egg producer and agri-tech startup Eggoz has raised Rs 2.5 crore as part of its seed funding to fuel its growth and expansion plans.

The seed funding round saw participation of investors like Tracxn Labs, Angellist, Tri-Deep Capital, founders of Letstransport, and Angel investors along with existing investors — Narendra Sankar, Sunil Mishra, and Vishal Sharma.
 

Uttam Kumar, an IIT Kharagpur alumnus and Eggoz founder, said, “Eggoz poultry farming is one of the most profitable and stable business to generate allied income for many marginal farmers as well as to fulfill protein enriched food requirement of the growing population.”

Eggoz works with farmers under deep integration at several locations in North India, using cutting-edge nutritional engineering and technology to produce high quality and nutrition-rich eggs.  Farms on the Eggoz platform are run with high efficiency as the venture leverages smart technology and follows best processes.

Rupee opens lower at Rs 75.84

#Rupee opens lower against the US dollar pic.twitter.com/vPlsNV5Vbs

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

Govt to privatise state-run companies, halt fresh insolvencies

The government said on Sunday it would privatise state-run companies in non-strategic sectors and stop fresh insolvency cases for a year, as the country battles with the economic fallout from the coronavirus pandemic.

A list of strategic sectors will also be announced in which only one to four public sector enterprises will remain, Finance Minister Nirmala Sitharaman said, as part of a slew of measures to kickstart the economy.

Indian officials said most of the privatisations would happen in the next fiscal year, starting April 2021.

India has been trying to divest parts of state-run companies in sectors ranging from aviation to power to fill its coffers, but it has confronted weak investor sentiment and limited demand.

IndiGo yet to formulate any indicative proposal in sale of Virgin Australia

IndiGo says co has not formulated any indicative proposal or expressed interest in sale of Virgin Australia. Not party to/involved in any proposal of Interglobe Ent w.r.t sale of Virgin Australia. pic.twitter.com/6kKkVRVF2Q

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

Sensex plummets over 800 points, Nifty below 8,900-mark

Indices extended losses in early trade as Sensex plunged 821.88 points or 2.64 percent to 30,275.85 while the Nifty was down 240.70 points or 2.63 percent at 8,896.15 at around 9.45 am.
 

ICICI Bank was the top loser in the Sensex pack sliding nearly 6 percent. Other losers included IndusInd Bank, Axis Bank, Kotak Mahindra Bank, Bajaj Finance, SBI and L&T

Markets open flat

#CNBCTV18Market | Financials drag market, Nifty Bank down more than 2%. #Nifty below 9,100 and #Sensex below 31,000 pic.twitter.com/76gel5iUax

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

Markets could open flat

Deepak Jasani, Head Retail Research, HDFC securities, said: “Markets could open flat as mildly positive global markets offset disappointments over the last three round of announcements. Indian markets could open flat today following a mildly positive US markets on Friday and similar trend in Asian markets today.

US stocks recovered from steep losses early Friday to close higher, despite data showing U.S. April retail sales plunged more than forecasts and news the Trump administration will block shipments of semiconductors to China’s Huawei Technologies, stoking fears of renewed trade tensions.

Crude-oil prices rose as traders turned their attention to production cuts and signs of a preliminary pickup in demand as countries around the world eased travel restrictions they had imposed to curb the spread of the coronavirus. West Texas Intermediate Crude for June delivery rose $1.87, or 6.8%, to settle at $29.43 barrel on the NYME, gaining 19.7% in the week.

Stronger signs of a recovery in China kept the positive sentiment going as industrial output rose 3.9% in April, beating economists’ forecasts of a 1% rise, the first monthly rise this year. German gross domestic product shrank by 2.2% in the first quarter, its steepest three-month decline since the 2009 financial crisis.

Although the intent of the five announcements by the FM was no doubt sincere and good and fiscally responsible, markets will get disappointed with them because the immediate spend out of the big fiscal stimulus is relatively small and hence there will be doubts on whether economic growth will revive soon and in proportion to the large figure of the stimulus. Worry about rating downgrade could however get postponed. However to be fair, in most major countries, 50-90% of the stimulus amounts comprise of contingent liabilities like loan guarantee, conditional capital infusion. The rest are fiscal measures – revenue foregone and additional spending.

Goldman Sachs revises GDP forecasts for India

Goldman Sachs revises #GDP forecasts for India. It sees contraction of 45% in Q2 Vs earlier forecast of 20% with a sharp rebound in Q3. For Q4 & Q1 of FY21, it keeps forecast unchanged at 14% & 6.5% respectively pic.twitter.com/4RTvqZt3Co

— CNBC-TV18 (@CNBCTV18Live) May 18, 2020

Markets to open flat

Aditya Agarwala, Senior Technical Analyst, YES Securities, said: “The Indian markets are slated to kickstart trade on a flat to mildly negative note as indicated by the SGX Nifty which is currently trading lower mildly by 25 points. The early risers in Asia are all trading in the green with gains between 0.30% to 0.80%. NIKKEI, STRAIT, KOSPI are leading the gains while Taiwan market is trading marginally in the red. US markets rebounded in trade on Friday to shut shop in the green, currently, Dow Jones Futures is trading with handsome gains of 1.20% setting a bullish tone for the Asian markets.   

“The Nifty ended a volatile week down by 0.70%. Further, bulls need to protect the immediate support zone of 9050-9000 this week for any pullback significant pullback rally to materialize. Moreover, a sustained trade above 9265 i.e. 20-DMA could trigger short covering rallies taking the Index higher to its 9300-9350. However, failure to do so will trigger a breakdown from a trendline support and lead to extended selling pressure dragging the Index lower to levels of 8900-8780. Overall our markets continue to oscillate in trading band between 9000-9450.”