Stock Market Latest Updates: Sensex surges over 900 points, Nifty holds 9,200-level; Axis Bank, ICICI Bank among major gainers

Rupee ends at 76.39 against dollar

#Rupee ends at 76.39/$ pic.twitter.com/ZI6dQumajp

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

TRAI raises international call termination charges to 35-65 paise/min

Telecom regulator TRAI on Friday said international call termination charges will be brought under forbearance but within prescribed range of 35 to 65 paise/min against a fixed rate of 30 paise/minute earlier — a move expected to benefit telecom operators.

International termination charge is the rate payable by an Indian International Long Distance Operator (ILDO), who carries the call from outside the country to access provider in the country in whose network the call terminates.

While the regulator has given a range with floor and a ceiling, and left it to operators to set the rate under a forbearance regime, it has, however, mandated that operators will offer non-discriminatory rate for such termination charges to everyone.

Reviewing govt order on refunds: Vistara

A day after the Centre stated that air passengers can ask for full refunds for tickets booked during the first phase of lockdown for travel up to 3 May, Vistara said it is “reviewing” the order and will comply once the government clarifies some of its aspects.

Several passengers have complained on social media against Indian airlines for giving refunds for flights cancelled due to the coronavirus lockdown and instead issuing credit vouchers for future travel.

“We are reviewing the ministry’’s notification on refunds for bookings affected in the lockdown and will comply once the authorities have clarified some aspects of it,” Vistara spokesperson said.

India imposed a lockdown for 21 days on 25 March and then extended it till 3 May.

RBI bans banks, cooperatives from paying dividends

The Reserve Bank on Friday debarred all commercial and cooperative banks from paying dividends to shareholders and promoter groups as the regulator fears the Covid-driven economic shocks would continue longer and may put the health of the financial system at risk.

The decision will hit the already scuppered finances of the Centre, given the massive shocks to the economy from the coronavirus-driven lockdown and the already falling growth rates which has brought down demand for loans and thus the profitability of banks which were anyways grappling with high bad loans.    

“It is imperative that banks conserve capital to retain their capacity to support the economy and absorb losses in an environment of heightened uncertainty. In this regard in view of the Covid-19-related economic shocks, commercial banks and cooperative banks shall not make any further dividend payouts from the profit pertaining to FY20 until further instructions,” RBI governor Shaktikanta Das said while announcing a slew of liquidity enhancing measures to prop up the economy.

Mahindra & Mahindra to raise Rs 1,000 cr via NCDs

Mahindra & Mahindra (M&M) on Friday said it will raise up to Rs 1,000 crore by issuing securities on private placement basis.

“The loans and investment committee at its meeting held on Friday approved issuance and offer of 10,000 rated, listed, unsecured, redeemable, non- convertible debentures (NCDs) of face value Rs 10,00,000 each aggregating Rs 1,000 crore on private placement basis,” M&M said in a regulatory filing.

The auto major, however, did not disclose the reasons for raising the capital.

Sensex surges over 1,000 points, Nifty close to 9,300-mark  

The market staged sharp recovery as Sensex surged 1038.28 points or 3.39 percent to 31,640.89 while the Nifty was up 292.45 points or 3.25 percent at 9,285.25 at 3.10 pm.

Axis Bank was the top gainer in the Sensex pack zooming nearly 15 percent.

AirAsia, Malaysia Airlines merger an option as COVID-19 hits industry, says minister

Merging money-losing state carrier Malaysia Airlines Bhd (MAB) with budget airline AirAsia Group Bhd is one of the options to “save” them as the COVID-19 crisis batters the industry, Malaysia’s second-most senior minister told Reuters on Friday.

The pandemic that has killed at least 143,744 people around the world has led to lockdowns in many countries, brought air travel to a virtual halt and left airlines battling for survival.

Mohamed Azmin Ali, Malaysia’s minister of international trade and industry and the government’s designated second-in-command, said deliberations would soon take place on various options to help out the country’s airline industry.

Ashok Leyland seeks govt support for MSMEs post-lockdown

Micro, small and medium enterprises, which form the backbone of Indian industry, will need to be supported by the government to kick-start the economy after lockdown is lifted, according to Ashok Leyland Managing Director and CEO Vipin Sondhi.

Measures such as easy access to working capital and liquidity through banks and NBFC’’s, providing interest free and collateral free loans; introduction of an incentive for MSME’s to help them pay salaries and wages to their employees in these times need to be considered by the government.

“It would be crucial to kick-start economic activity after this period of disruption. MSME’s are the backbone of Indian industry and form the key element of the product supply chain – be it agri-processing, textiles, or auto-ancillaries," Sondhi said in a statement.

RBI pumps Rs 1.2 lakh cr fresh currency into system in last 45 days: Shaktikanta Das

The Reserve Bank has pumped Rs 1.2 lakh crore of fresh currency into the system in last 45 days since the COVID-19 outbreak in the country, Governor Shaktikanta Das said on Friday.

Automated teller machines and business correspondents, who take banking services to far flung areas, are also working at high capacity levels to ensure financial services reach everybody, he said.

The comments on currency come amid media reports of a Rs 86,000 crore jump in currency circulation in March and also a greater tendency among people to withdraw to hoard cash amid the lockdown.

“Regional offices of the RBI have supplied fresh currency of Rs 1.2 lakh crore from 1 March till 14 April to currency chests across the country to meet increased demand for currency in the wake of the COVID-19 pandemic,” Das said in his video message over social media.

RBI eases bad loan rules, freezes dividend payout by banks

The RBI on Friday further eased bad-loan rules, froze dividend payment by lenders and pushed banks to lend more by cutting the reverse repo rate by 25 basis points, as it unveiled a second set of measures to support the economy hit hard by a coronavirus-led slowdown.

In his second televised address since the nationwide lockdown began from March 25, the Reserve Bank of India (RBI) Governor Shaktikanta Das pledged to boost liquidity and expand bank credit.

In a measure that effectively meant that bad loans or non-performing asset (NPA) classification will now happen after 180 days instead of the current policy of 90 days of payment default, the RBI announced an asset status freeze on loans that have been granted moratorium or deferment on interest/principal payment.

Indices extend gains as Sensex zooms over 700 points, Nifty above 9,200-mark 

The market extended gains as Sensex zoomed 736.58 points or 2.41 percent to 31,339.19 while the Nifty was up 218.85 points or 2.43 percent at 9,211.65 at 2.40 pm.

Axis Bank was the top gainer in the Sensex pack surging over 7 percent. Other gainers included IndusInd Bank, ICICI Bank, Maruti, TCS and Reliance.

Passenger vehicle dispatches likely to decline by 10-12% in FY21: ICRA

Domestic passenger vehicle (PV) dispatches are likely to decline by 10-12 percent in the current financial year due to COVID-19 pandemic, rating agency ICRA said on Friday.
 

ICRA said the lockdown will put financial stress on consumer’’s income level and will result in deferral of non-discretionary items like PVs.

“This is likely to delay industry’’s recovery prospects by about 6-8 months. The overall wholesale dispatches will decline by 10-12 percent this year,” the rating agency said.

Recovery in rural income and improvement in overall economic activity will remain crucial to have any meaningful improvement in retail demand off-take, it added.

Companies can now intimate exchanges about board meetings till 31 July: SEBI

.@SEBI_India says cos can now intimate exchanges about bd meetings till July 31, 2 days before. There would be no penal provisions for informing late about loss of shr certificates till May 31. Also, digital signature to be considered authentic till June 30 for exchanges filing pic.twitter.com/AFhijnMBqV

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Yes Bank scam: DHFL promoters Wadhawan brothers’ plea for FIR copy rejected

A special court in Mumbai has rejected the plea of DHFL promoter Kapil Wadhawan and his brother Dheeraj, seeking inspection and certified copies of the FIR registered against them in connection with the Yes Bank scam.

The plea was rejected by the court on the grounds that the matter is not urgent and the accused has liberty to apply after the lockdown is lifted, Wadhawans’’ lawyer said on Friday.

The Wadhawan brothers are named as accused in the Central Bureau of Investigation (CBI) FIR pertaining to the swindling of money by Yes Bank promoter Rana Kapoor and others.

Both Kapil and Dheeraj were absconding since the case was registered against them on 7 March, prompting the CBI to get non-bailable warrants (NBWs) against them from a special court.

Sensex surges 604 points, Nifty above 9,100-mark

The market extended gains as Sensex surged 603.71 points or 1.97 percent to 31,206.32 while the Nifty was up 176.70 points or 1.96 percent at 9,169.50 at 2.10 pm.

Discoms to suffer Rs 30,000-cr revenue loss, face Rs 50,000-cr liquidity crunch: CII

Industry body CII on Friday said discoms are likely to suffer a net revenue loss of around Rs 30,000 crore and liquidity crunch of about Rs 50,000 crore due to the coronavirus-induced nationwide lockdown.

According to government data, the discoms owe Rs 92,602 crore to Gencos as of February, 2020.

In its report released on Friday, the CII has suggested host of measures like easy credit facility for discoms (from PFC and REC) to pay off its dues to Gencos, lower tariff especially for industrial and commercial consumers and deferral of indirect taxes like electricity duty, coal cess etc.

According to the report, power sector, one of the essential services under the lockdown till May 3, is battling the twin issues of demand and liquidity compression.

Govt to soon clear Rs 10,000 cr ‘fund of funds’ for MSMEs: Nitin Gadkari

A Rs 10,000 crore ‘fund of funds’ will soon be approved by the government to buy up to 15 percent equity in MSMEs with high credit rating that want to list on stock exchanges and raise money from the capital markets, Union minister Nitin Gadkari said.

Gadkari also said a separate scheme was being formulated for according credit rating to MSMEs based on their annual turnover, exports and GST payments, and that the National Small Industries Corporation or another government body will control the Fund of Funds.

He said the government wants the fund’s corpus to be utilised by micro, small and medium enterprises (MSMEs) having AAA rating. The AAA rating implies high credit worthiness.

“We have submitted a proposal for a Fund of Funds of Rs 10,000 crore which has been approved by the Finance Ministry. It is going to be placed before the Cabinet and will soon be cleared,” said the minister for MSMEs.

.@nitin_gadkari says govt to soon unveil fund of funds for MSME of Rs 10,000 Cr. MSME Min to seek Cabinet nod for the fund. Finance Min approved the creation of fund. Fund to be used to assist MSMEs with good credit rtg. Credit rtg to depend on track record of I-T, GST returns pic.twitter.com/RCAMGFA2mN

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Indices erase gains as Sensex up 460 points 

The market staged a comeback as Sensex was trading 459.83 points or 1.50 percent higher at 31,062.44 while the Nifty was up 135.15 points or 1.5 percent at 9,127.95 at 1.30 pm.

India to stage sharp V-shaped recovery in 2021-22: RBI governor Shaktikanta Das

The Reserve Bank governor Shaktikanta Das on Friday said there are a few slivers of brightness amidst the encircling gloom and hoped that India will stage a sharp V-shaped recovery in 2021-22 as projected by the International Monetary Fund (IMF).

Softening inflation, Das said would make available more policy space to the central bank to address risks to the growth going forward. The IMF has projected sizable V-shaped recoveries for 2021, close to 9 percentage points for global GDP.

It expects India to record a sharp turnaround and resume its pre-COVID pre-slowdown trajectory by growing at 7.4 percent in 2021-22.

The RBI governor said, over the last three weeks, there have been a few data releases on domestic developments (including on factory output), but they are too disjointed to allow a comprehensive assessment of the state of the economy.

Markets hold on to gains; auto, realty, financials top sectoral gainers

Indian markets at half time are still holding on to its gains, however; headline indices have cooled off from the high point of the day following that massive GAP up opening of 300 points, said Aditya Agarwala, senior technical analyst, YES Securities.

Further, bears continue to step on the accelerator as Nifty approaches key resistance zone of 9,300-9,350, he said.

“On the downside, 9,090-9,050 is immediate demand zones and it is crucial for the bulls to take the Index past the 9,190-9,200 hurdle for the short covering rallies to extend to levels of 9,300-9,350,” said Agarwala.

Broader markets have continued to outperform the headline indices throughout the week; both midcap and smallcap indices are up between 3.5-6 percent respectively this week so far, he said.

Auto, realty and financials are the top sectoral gainers today while FMCG is underperforming. European markets have opened with massive gains of almost 3 percent for all the three major Indices i.e., FTSE, CAC and DAX, said Agarwala.

Palghar industries in Maharashtra asked to prepare for operations

The district administration of Palghar in Maharashtra on Friday asked industries in the area to be prepared to start operations, in keeping with the directives issued by the ministry of home affairs (MHA).

In a letter, collector Kailas Shinde asked the industries in the rural parts of the district to keep things in order in case they are asked to begin operations on 20 April.

The collector wrote to industrial associations at Boisar, Palghar, Vasai, Wada and Dahanu, asking them to follow the directives of the MHA.

Industries in the rural areas that are permitted to operate will function with limited staff and also provide accommodation for workers or provide dedicated transport to its employees, the collector’’s letter stated.

IndiGo stocks jumps over 4%

#CNBCTV18Market | IndiGo higher in trade as well pic.twitter.com/M4mcDmk15G

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Oil prices mixed on weak China GDP data

Oil prices were mixed on Friday after the weakest Chinese economic data in decades showed the impact of the coronavirus pandemic, offsetting some earlier gains on optimism for President Donald Trump’s early plans to revive the US economy.

Brent was up by 66 cents, or 2.4 percent, at $28.48 a barrel, while US crude for May delivery, which expires on 21 April, was down 47 cents, or 2.4 percent, at $19.40 a barrel. The more active June contract was up 74 cents, or 2.9 percent, at $26.27.

China’s economy shrank for the first time since at least 1992 in the first quarter, as the coronavirus outbreak paralysed production and spending and punched a huge hole in global demand for crude and refined products.

Sensex jumps over 600 points, Nifty above 9,100

The market staged a comeback as Sensex jumped 602.84 points or 1.97 percent to 31,205.45 while the Nifty was up 175.45 points or 1.95 percent at 9,168.25 at 1 pm.

GVK MIAL exports 5,200 tonne air cargo since during lockdown

GVK MIAL, which manages Mumbai’s Chhatrapati Shivaji Maharaj International Airport (CSMIA), has exported air cargo of 5,200 tonne of medicines, medical equipment, vaccines, diagnostic reagents, dangerous goods, engineering goods and chemicals since 23 March.

It also imported 3,324 tonne of freight including high volumes of commodities such as pharmaceuticals, dangerous goods, engineering goods and chemicals. 
 

On an average, the airport witnesses 8 to 9 cargo flights per day. The export flights majorly operate to countries such as USA, Germany, South Africa, France, United Kingdom.

Also, scheduled freighters and ad-hoc cargo charters continue to remain operational. CSMIA air cargo has traded a total of 3788 tonnes of pharma products within India and globally

Cathay Pacific to close 3 cabin crew bases in US; 286 staff to lose jobs

Hong Kong’s Cathay Pacific Airways will close its three cabin crew bases in the United States, the airline said on Friday, laying off 286 staff as the coronavirus pandemic has virtually halted global travel.

The carrier has grounded most of its planes because of the fall in demand, flying only a skeleton network to major destinations such as Beijing, Los Angeles, Singapore, Sydney, Tokyo and Vancouver in April and May that represents just 3 percent of normal capacity.

Appliances, electronics industry seek nod to restart production

Home appliances and consumer electronics manufacturers said they are gearing up to resume production and are in talks with local authorities for permission to operate factories which are located within or near city municipal limits.

While welcoming the government’’s guidelines for the extended lockdown and giving nod to resume production from April 20, industry body Consumer Electronics and Appliances Manufacturers Association (CEAMA) said there are still ambiguities which need to be cleared.

“Individually, each brand is seeking more clarity and approval on the guidelines. The guidelines say that we would have to open in a phased manner. All brands are gearing up to open up, wherever, it will be permitted," CEAMA president Kamal Nandi said.

He, however, added, “many places (factories) are falling under red zone and several places under municipal limits, wherever, we have clarity and approvals, we would open up.”

Indices in green as Sensex up 461 points, Nifty above 9,100

The market continued to stay in the green as Sensex was trading 461.37 points or 1.51 percent higher at 31,063.98 while the Nifty was up 136.60 points or 1.52 percent at 9,129.40 at 12.30 pm.

L&T to donate PPEs, other medical equipments

To help India fight against COVID-19 pandemic, Larsen & Toubro will provide medical aid worth Rs 40 crore comprising of PPEs, N95 masks, diagnostic kits and other medical equipments, a top company official said on Friday.

This will be in addition to the Rs 500 crore provision per month by the engineering giant for providing support to 160,000 contract labour spread across the country and donation of Rs 150 crore to the PM CARES Fund announced on 30 March.

The company will provide 45,000 PPEs, 151,000 N95 masks and 155 diagnostic kits. The value of the medical aid to combat deadly coronavirus is estimated at about Rs 40 crore.

“As a responsible corporate citizen, we are providing the PPEs, diagnostic kits, N95 masks and critical hospital equipment including ventilators that will be helpful in effectively combating the pandemic”, SN Subrahmanyan, CEO & MD, Larsen & Toubro told PTI.

Uttar Pradesh govt to woo industry disenchanted with China

Accepting the coronavirus pandemic as not just a challenge but also a big opportunity for the economy, the Uttar Pradesh government has decided to offer a special package to investors “disenchanted” with China and eager to shift base to other countries, a senior official said Friday.

“Many companies appear to be disenchanted with China. If a company or investor wants to invest in the state, chief minister Yogi Adityanath will give them a special package and facility,” additional chief secretary (home) Awanish Awasthi said.

Adityanath has asked officials to work out the package, which could be offered to investors in addition to the existing incentives, Awasthi said, adding the Industrial Development and MSME departments have also been asked to come up with a package.

S&P Ratings revises India’s FY21 GDP growth forecast to 1.8%

S&P cuts #India FY21 GDP growth forecast to 1.8% from 3.5%. It says India slowdown cyclical, the structural growth story is still intact.

India's growth should return to 7% levels in the medium-term. S&P sees India FY22 #GDP growth at 7.5% pic.twitter.com/QEp9ZGy4iu

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Britain offers freeze on auto finance repayments in pandemic

Britain’s financial watchdog has proposed a repayment freeze for consumers with auto finance leases, goods bought on high-cost credit, and pawned belongings during the coronavirus pandemic.

The Financial Conduct Authority (FCA) said on Friday it expects car leasing firms to provide a three-month payment freeze to customers who are having temporary difficulties meeting payments due to the coronavirus.

“If customers are experiencing temporary financial difficulties due to coronavirus, firms should not take steps to end the agreement or repossess the vehicle,” the FCA said in a statement.

Payday lending firms that offer short-term loans at a high interest rate, are expected to provide a one month interest-free payment freeze.

Indices trim gains as Sensex up 442 points, Nifty holds 9,100-mark

The market continued to lose gains as Sensex was trading 442.54 points or 1.45 percent higher at 31,045.15 while the Nifty was up 125.85 points or 1.4 percent at 9,118.65 at 12.10 pm.

Boeing restarting commercial airplane production next week

Boeing Co said it will resume commercial airplane production next week in Washington state after suspending operations last month in response to the coronavirus pandemic, and the company’s chief executive told employees the aerospace industry will need financial help from the government.

“Our industry will need the government’s support, which will be critical to ensuring access to credit markets and likely take the form of loans versus outright grants,” Boeing chief executive Dave Calhoun told employees in a letter seen by Reuters.

“Our team continues to focus on the best ways to keep liquidity flowing through our business and to our supply chain until our customers are buying airplanes again,” it said.

About 27,000 Boeing workers in the Puget Sound area will return to production of the 747, 767, 777 and 787 jet programmes.

Rupee rises 45 paise to 76.42 post-RBI presser

The Indian rupee appreciated by 45 paise to 76.42 against the US dollar in intra-day trade on Friday after Reserve Bank of India governor Shaktikanta Das announced measures to ensure adequate liquidity in the system to ease the financial stress caused by the COVID-19 pandemic.

Forex traders said positive domestic equities and weakening of the American currency in the overseas also supported the rupee.

At the interbank foreign exchange, the rupee opened at 76.59, and then gained further ground and touched a high of 76.42 against the US dollar, registering a rise of 45 paise over its previous close.

On Thursday, rupee had settled at an all-time low of 76.87 against the US dollar.

European new car sales plunge by 51.8% in March: ACEA

Passenger car sales tumbled by more than 50 percent in Europe’s major markets in March as lockdowns imposed due to the new coronavirus took their toll, data showed on Friday.

In March, new car registrations dropped by 51.8 percent to 853,077 vehicles in the European Union, Britain and the European Free Trade Association (EFTA) countries, statistics from the European Auto Industry Association (ACEA) showed.

Sales fell in all EU markets, with Italy – hit particularly hard by the pandemic – reporting the biggest drop of 85.4 percent, while registrations tumbled by 37.7 percent in Germany, 72.2 percent in France and 69.3 percent in Spain.

Govt lifts curbs on exports of formulations made from Paracetamol

The government on Friday removed restrictions on exports of formulations made from Paracetamol amid outbreak of COVID-19.

However, restrictions on exports of Paracetamol active pharmaceutical ingredients (APIs) will continue on, the Directorate General of Foreign Trade (DGFT) said in a notification.

“…The formulations made from Paracetamol (including fixed-dose combinations)…are made free for export with immediate effect. However, Paracetamol APIs will remain restricted for export,” it said.

The government on 3 March had put export restrictions on 26 pharma ingredients and medicines, including paracetamol.

DGFT vide Notification No. 03/2015-20 dated 17.04.2020 has removed restriction on the export of formulations made from Paracetamol(including FDCs), with immediate effect.

For more details, pls refer to the link belowhttps://t.co/n30mIeyx61

— DGFT (@dgftindia) April 17, 2020

Japan airlines keep most domestic flights despite few takers for seats

Japan’s top airlines are operating a majority of their domestic capacity even though the coronavirus outbreak has left seats on flights mostly empty, amid a lack of clear government directives on the functioning of transport infrastructure in the crisis.

ANA Holdings Inc and Japan Airlines Co, Japan’s two biggest airlines, have cut around 90 percent of international flights but left their domestic networks relatively intact, industry data showed. The two normally fly around 800 or more domestic flights daily.

They are currently flying around two-thirds of capacity with 10 percent of the usual demand, according to the airlines. That is despite Japan declaring a one-month state of emergency in major cities on 7 April which was expanded on Thursday to include the entire country.

RBI to use all instruments to deal with COVID-19 challenges: Shaktikanta Das

Reserve Bank of India governor Shaktikanta Das on Friday assured that the central bank will use all instruments to deal with the challenges posed by the outbreak of COVID-19.

He also said that this is not the last of the announcements on financial support during the crisis, stating that the central bank will come up with responses in the future in the interest of the economy based on evolving situations.

Pointing out that the Reserve Bank of India (RBI) is monitoring all macro parameters on a continuous basis, he said, economic activity has come to standstill during lockdown.

S&P cuts Shriram Trans’ rating to BB from BB+

S&P cuts Shriram Trans’ rating to BB from BB+, outlook negative pic.twitter.com/EfSVMWwdWv

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Sensex up 603 points, Nifty above 9,100-mark

The market continued to trade in the green zone as Sensex was trading 602.86 points or 1.97 percent higher at 31,205.47 while the Nifty was up 169.05 points or 1.88 percent at 9,161.85 at 11.30 am.

Banks not to make any dividend payment

Providing relaxation to lenders, the Reserve Bank of India on Friday said that banks shall be exempted from making dividend payment in the light of financial difficulties posed by COVID-19 pandemic.

Making a slew of announcement to ease the pressure on financial sector, RBI Governor Shaktikanta Das said that the 90-day norm will not apply on moratorium granted on existing loans by banks.

To maintain financial health, he said, banks have been exempt to make any further dividend payout in view of financial difficulties arising from COVID-19.

On the inflation front, he said CPI based inflation has declined March and it is expected to ease further.

RBI measures likely to provide big relief to NBFCs

RBI’s latest announcements to infuse liquidity and expand bank credit are expected to provide big relief to the non-banking financial companies (NFBCs) as 50 percent of the proposed TLTRO worth Rs 50,000 crore will be invested in small and mid-sized NBFCs and MFIs, said Sundar Sanmukhani, head of fundamental research desk, Choice Broking. 

The central bank has also relaxed NPA recognition norms for NBFCs.  Banks would also get relaxation on special mentioned account, which are unpaid with 60-90 days as on March, but have to make 10 percent provisioning against such standstill account, he said.

“The 25 bps cut in reverse repo rate to 3.75 percent would further provide liquidity into the system as it would make banks reluctant to invest money at lower rate with RBI,” Sanmukhani said.

Nifty Bank erases more than 500 points in morning trade

#CNBCTV18Market | Nifty Bank gives up more than 500 points from high point of the day pic.twitter.com/vEPtKiXO62

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

RBI sees inflation falling below 4% target by mid-FY21

RBI governor Shaktikanta Das on Friday said the inflation is on a declining trajectory and could fall below the central bank’’s 4 per cent target by the second half of this fiscal amid challenges posed by COVID-19 pandemic.

He said the consumer price index based retail inflation has fallen by 170 bps from its January 2020 peak.

“In the period ahead, inflation could even recede further, barring of course any supply side disruptions and may even settle well below the target of 4 per cent by the second half of 2020-21,” Das said in a early morning video conference.

Das added that such an outlook would make policy space available to address the intensification of risks to growth and financial stability brought about by COVID-19.

Sensex holds 31,200-mark, Nifty up 173 points

The market recovered slightly as Sensex was trading 618.89 points or 2.02 percent higher at 31,221.50 while the Nifty was up 173.30 points or 1.93 percent at 9,166.10 at 11.10 am.
 

TCS, PowerGrid, Maruti and ICICI Bank were the major gainers in the Sensex pack.

RBI to ensure adequate liquidity in system

The Reserve Bank of India governor Shaktikanta Das on Friday said the central bank will ensure adequate liquidity in the system to ease the financial stress caused by the COVID-19 pandemic.

The central bank reduced the reverse repo rate – the rate at which banks park their fund with the central bank – by 25 basis points to 3.75 per cent.

This will encourage banks to lend to the productive sectors of the economy.

With regard to other measures, Das said RBI will begin with giving an additional Rs 50,000 crore through targeted long-term repo operation (TLTRO) to be undertaken in tranches.

Indices give early gains as Sensex up 510 points, Nifty holds 9,100-mark

The market continued to give up early gains as Sensex was trading 509.75 points or 1.67 percent higher at 31,112.36 while the broader Nifty was up 154.35 points or 1.72 percent at 9,147.15 at around 10.50 am.

L&T bags orders worth up to Rs 2,500 cr from domestic clients

Infrastructure company Larsen & Tourbro on Friday said its buildings and factories business has bagged significant orders worth up to Rs 2,500 crore from domestic clients.

Though the company did not specify the exact amount of the orders, an order under the ‘‘significant’’ category ranges between Rs 1,000 crore and Rs 2,500 crore.

In a regulatory filing the company said the factories arm of buildings and factories business has secured an order from a leading cement maker to execute and commission a plant with a production capacity of 9,500 tonnes per day at Ametha in Katni, Madhya Pradesh.

Rupee rises 29 paise to 76.58 in early trade

The Indian rupee appreciated by 29 paise to 76.58 against the US dollar in early trade on Friday tracking positive opening in domestic equities, as investors awaited cues from the Reserve Bank of India to tide through the coronavirus crisis.

At the interbank foreign exchange the rupee opened at 76.59, and then touched a high of 76.58 against the US dollar, registering a rise of 29 paise over its previous close.

On Thursday, rupee had settled at an all-time low of 76.87 against the US dollar.

Sensex up 900 points, Nifty above 9,200-mark

The market trimmed the gains as Sensex was trading 900.24 points or 2.94 percent higher at 31,502.85 while the broader Nifty was up 260.30 points or 2.89 percent at 9,253.10 at around 10.20 am.

Gold on track for second weekly gain on global recession fears

Gold prices inched lower on Friday as Asian equities showed signs of a rebound, but fears of a steep global recession due to the coronavirus pandemic limited a drop in the metal’s price, putting it on course for its second straight weekly gain.

Spot gold eased 0.1 percent to $1,716.56 per ounce. US gold futures slipped 0.1 percent to $1,730.30.

The metal was up about 1.6 percent for the week so far, on track to post its second consecutive weekly gain.

Asian stocks look set to bounce on Friday to recover towards a one-month high as investors, following Wall Street’s lead overnight, sought silver linings in a run of data that showed the world is in its worst recession in decades.

Services PMI contracts

Services PMI contracted due to a sharp downturn due to export hit. 25-30% sharp decline in electricity demand due to virus, says @RBI Governor @DasShaktikanta #RBIActs #Covid_19 #IndiaFightsCorona

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Shaktikanta Das begins press conference

.@RBI Governor @DasShaktikanta addresses media, says the mission is 'to do whatever it takes'#CoronavirusOutbreak #COVID19 pic.twitter.com/aKNQPtq6gn

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

RBI monitoring situation, says Shaktikanta Das

RBI has been proactive & monitoring the situation very closely, says @RBI Governor @DasShaktikanta #RBIActs #Covid_19 #IndiaFightsCorona https://t.co/JngHldW4W8

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Moratorium to NBFCs may be extended

IBA Chief says thinking about extending moratorium to NBFCs. Also looking at how businesses can be supported post the lockdown pic.twitter.com/Tm5vMH8Xa7

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Rupee opens marginally high

#Rupee opens with minor gains against the US dollar pic.twitter.com/65AjrxHT2C

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Saudi Aramco to supply full May crude volumes to Asian refiners

Saudi Arabia, the world’s largest oil exporter, has notified some refiners in Asia that it will supply full contractual volumes of crude in May, three sources with direct knowledge of the matter said on Friday.

This comes after the Organization of the Petroleum Exporting Countries and allies including Russia agreed to reduce production and ease a supply glut exacerbated by a collapse in global oil demand following the coronavirus outbreak.

China first quarter pork output falls 29% after pig disease decimates herd

China’s pork output in the first quarter fell 29.1 percent from a year ago to 10.38 million tonnes, official data showed on Friday, as the world’s biggest producer continues to feel the impact of the African swine fever that decimated its hog herd.

China’s pork output hit a 16-year low of 42.6 million tonnes in 2019 after African swine fever, deadly to almost all pigs but not harmful to people, killed millions of hogs. Some experts estimate China’s sow herd shrank by at least 60 percent last year after the disease spread throughout the country, largely unreported, since 2018.

Farmers are trying to rebuild, but restocking takes time and pork output is expected to fall further this year. Production over January to March was also hit by coronavirus-related curbs.

COVID-19 to impact sectors

'There is no structural breakdown in any sector due to the #CoronavirusOutbreak, @TCS' Rajesh Gopinathan says pic.twitter.com/XYpwpAwTML

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Brent oil jumps nearly 3% 

Oil prices rose on Friday with Brent gaining nearly 3 percent after President Donald Trump laid out guidelines on reviving a US. economy ravaged by the coronavirus pandemic that has punched a huge hole in global demand for crude and refined products.

Brent was up by 75 cents, or 2.7 percent, at $28.57 a barrel by 0058 GMT, while US crude for May delivery, which expires on 21 April, was up 1 cent, or 0.1 percent, at $19.88 a barrel. The more active June contract was up $1.1, or 4.3 percent, at $26.63.

Trump laid out a three-stage process for ending lockdowns to stop the spread of the coronavirus that has now killed more than 32,000 Americans and nearly 140,000 worldwide, while some other countries were also relaxing restrictions.

“Oil prices are surging after President Trump issued guidelines that will see a portion of the country open a lot sooner than anyone expected,” said Edward Moya, senior market analyst at OANDA in New York.

TCS shares surge 7%

TCS was the top gainer in the Sensex pack, surging up to 7 percent. The country’s largest software exporter reported a marginal dip in March quarter net at Rs 8,049 crore on Thursday.

The company reported a 5.1 percent increase in revenue to Rs 39,946 crore for the reporting quarter, while the same for the full year FY20 was up 7.1 per cent to Rs 1.57 lakh crore.

Other gainers included Axis Bank, ICICI Bank, HDFC, PowerGrid and IndusInd Bank.

Indices soar ahead of RBI governor’s press conference at 10 AM

#CNBCTV18Market | NBFCs sharply higher as street awaits outcome of @RBI's media address at 10 am pic.twitter.com/xl9aVej2PK

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

TCS CEO Rajesh Gopinath says revenue, margins to return to year-ago levels

.@TCS management speaks to CNBC-TV18 after the co reported a margin above expectations in its Q4 review yesterday, CEO Gopinathan says revenue & margin will return completely to levels a year ago, in Q3FY21#Covid_19 #CoronavirusOutbreak #TCSQ4 pic.twitter.com/FgeDFGjUQD

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Asia shares up as plans to re-open US economy offset record slump in China GDP

Asian stocks gained on Friday as President Donald Trump’s plans to gradually re-open the U.S. economy offset data that showed China suffered its worst economic contraction on record due to the coronavirus outbreak.

MSCI’s broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS was up 2.6% after reaching a five-week high. Shares in China .CSI300 rose 1.8 percent as the weak GDP data reinforced expectations that more stimulus is coming, while shares in Australia were up 2.62 percent. E-Mini futures for the S&P 500 index ESc1 traded 3.38 percent higher, also close to a five-week high.

Data from China showed the world’s second-largest economy shrank for the first time since at least 1992 because of the coronavirus outbreak and tough containment measures. Gross domestic product contracted 6.8 percent in the quarter year-on-year, slightly more than expected, and 9.8 percent from the previous quarter.

China March crude oil runs hit 15-month low

China’s daily crude oil throughput in March hit the lowest level since December 2018 with state refiners maintaining deep output cuts as the coronavirus pandemic eroded fuel demand.

Crude processing volumes were 50.04 million tonnes, equivalent to about 11.78 million barrels per day (bpd), data from the National Bureau of Statistics showed on Friday. That was well below 12.07 million bpd in January and February combined, and 12.49 million bpd in March 2019. The statistics bureau did not disclose numbers for January and February separately.

Total throughput in the first three months of 2020 was 149.28 million tonnes, down 4.6% from the same period last year.

State-backed refiners were operating at low runs and put some crude oil processing units under overhaul amid the coronavirus outbreak that has hobbled supply chains and dampened refined oil products consumption.

TCS shares up

#CNBCTV18Market | TCS up 4% in opening trade after company reports Q4 margin higher than poll pic.twitter.com/o7xyWgd1Qp

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

TCS shares jump 6% post Q4 results

All 30 Sensex stocks were trading in positive territory with TCS as the top gainer with a growth of 6,11 percent to Rs 1,820.35 apiece on BSE, followed by Axis Bank, HDFC and ICICI Bankssion; Nifty rallies 293.70 pts to 9,286.50.

IndusInd, HDFC Bank among major gainers

#CNBCTV18Market | All #Nifty stocks trade with gains, here are top gainers pic.twitter.com/bcFLXdOjYb

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Markets open high following Asian market cues

#CNBCTV18Market | Indian market opens sharply higher ahead of RBI Governor's address at 10 am#Nifty #Sensex pic.twitter.com/eeBiMsbm3L

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Nifty stocks trade in green

#CNBCTV18Market | All #Nifty stocks trade with gains, here are top gainers pic.twitter.com/bcFLXdOjYb

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020

Will bulls manage to take the Nifty past the crucial resistance of 9,300?

Aditya Agarwala, Senior Technical Analyst, YES Securities says, “Asian markets are on a roll this morning as all the early risers are trading in the green with handsome gains. NIKKEI, HANG SENG, TAIWAN, KOSPI and JAKARTA are all up between 2.5 percent-3 percent a piece. 

“SGX Nifty is indicating a substantial GAP up opening for our markets as well which is currently trading with gains of 290 points. Overnight the European and the US markets ended trade minor gains. Currently Dow Jones Fut. Is trading with massive gains of 3.6% which has triggered this rally in the Asian markets as well and can take our markets higher.

“Coming back to Indian markets, Nifty ended Thursday’s session in the green just under the 9000 mark following a weak start to the session. Following this colossal GAP up opening, it will be key to watch if bulls manage to take the Nifty past the crucial resistance of 9300 and then 9400 which is the upper end of the rising wedge pattern. Failure to sustain beyond the 9300 mark could lead to minor profit booking to levels of 9200-9150,” Agarwala said.

China’s economy shrank 6.8% in January-March

China’s economy shrank 6.8 percent in January-March from a year earlier, official data showed on Friday, the first such decline since at least 1992 when quarterly gross domestic product (GDP) records began.

The historic slump in the world’s second-largest economy comes after efforts to contain the coronavirus, which first emerged in China late last year, shut down factories, transport and shopping malls.

Similar shutdowns now in effect in major economies elsewhere have devastated global trade and suggest an immediate Chinese recovery is likely to be some way off.

The decline was larger than the 6.5 percent forecast by analysts in a Reuters poll and reverses a 6 percent expansion in the fourth quarter of 2019.

On a quarter-on-quarter basis, GDP fell 9.8 percent in the first three months of the year, the National Bureau of Statistics said, which compared with expectations for a 9.9 percent contraction and 1.5 percent growth in the previous quarter.

Markets could open higher following strong Asian markets

Deepak Jasani, Head Of Research, HDFC Securities said: “China weak data out, now hopes on US economy reopening and possible breakthrough in cure of COVID-19. Indian markets could open higher today following strong Asian markets today and US indices that rose modestly higher led by tech names on Thursday. 

“US stocks on Thursday closed modestly higher, led by technology-related companies, against a backdrop of grim economic news and plans by the government to restart long-dormant economies while preventing a fresh outbreak of the deadly pandemic. Negative economic reports didn’t stop investors from picking up health-care and technology-related stocks, which helped to propel the market higher.

“Asian stocks rose on Friday with US and European futures amid tentative steps to restart the American economy and progress on the fight against the coronavirus.

“China reported that its first quarter GDP contracted by 6.8 percent in 2020 (vs 6.5 percent contraction as per analyst poll) from a year ago as its economy took a huge hit from the coronavirus outbreak. The contraction in the first quarter would also be the first decline since at least 1992. In the first quarter, retail sales in China fell 19 percent from a year ago while industrial production fell 8.4 percent in the same period.

“Reserve Bank of India (RBI) Governor Shaktikanta Das will address the media at 10 am on April 17. There are hopes of some additional measures to alleviate the current issues faced by the businesses and lenders.

“Technically, with the Nifty bouncing back, traders will need to watch if the Nifty can now hold above the immediate supports of 8961-8874; else a further correction is likely that could take the Nifty towards the 13 day simple moving average support at 8554. On upmoves, it could face resistance at 9261.” Jasani said.

RBI governor to address media at 10 AM

.@RBI Governor @DasShaktikanta to address the media at 10 am today pic.twitter.com/LVnZYBowAT

— CNBC-TV18 (@CNBCTV18Live) April 17, 2020