Stock Market Latest Updates: Indices give up intra-day gains as Sensex, Nifty end in red; ICICI Bank, HUL among major losers

Labour laws suspension by states to pull businesses out of crisis: ISF

Apex body of staffing firms ISF on Monday hailed the decision of certain states on suspension of some key labour laws for the next three years to help revive businesses hit by the COVID-19 crisis.

The India Staffing Federation (ISF) said that simplified labour laws will propel faster growth and hiring, significantly allowing employers to increase opportunities for citizens.

“ISF welcomes the decision of various states to “suspend multiple labour law provisions across its boundaries for the next three years considering it will not only help the industry come out of the crisis and boost their investments, but also promote ease of doing business induced by the lockdown to combat COVID-19 pandemic”, it said.

Nykaa employees donate 1 day salary to PM Cares Fund 

Over 1,500 Nykaa employees donated one day’s salary, matched by an equal contribution by founder Falguni Nayar and family, and raised close to Rs. 1 crore towards the PM Cares Fund. 

Falguni Nayar, founder & CEO, Nykaa said, “This Nykaa family contribution is in solidarity with our nation and people at this time of a crisis, to support our government in their work towards relief and rehabilitation.”

Nykaa has also donated masks and hygiene products to police forces in Mumbai, Delhi, Pune and Bangalore in appreciation of their dedication towards ensuring the safety of the citizens in extremely challenging conditions.

Oil falls on fears of coronavirus second wave

Oil prices fell on Monday as a new wave of coronavirus infections in some countries and concern over a persistent glut cancelled out support from supply cuts by the world’s biggest producers.

Brent crude was down $1.11, or 3.6 percent, at $29.86 a barrel, while US West Texas Intermediate crude fell 92 cents, or 3.7 percent, to $23.82.

Possible signs of a second wave of infections worried investors as Wuhan, the epicentre of the coronavirus outbreak in China, on Monday reported its first cluster of infections since the city’s lockdown was lifted a month ago.

South Korea also warned of a second wave of the coronavirus on Sunday as countries across the globe begin to step up efforts to ease coronavirus-related restrictions.

Expect financial package from govt in 2-3 days: Nitin Gadkari to industry

Union minister Nitin Gadkari on Monday said he expects the Centre to unveil a financial package in two-three days, observing that the situation “was very bad” despite the three-month moratorium on loan repayments announced by the RBI.

The minister for MSME, and Road Transport and Highways said the government stands with the industry but it also needs to understand the government’s limitations.

“We are trying our level best on how we can protect everybody,” Gadkari said, adding that while Japan and the US governments have announced mega packages, their economies are bigger than India’s.

Bajaj Auto dealerships, service centres reopen in several parts of India

Bajaj Auto on Monday said it has commenced reopening of dealerships and service centres in various parts of the country following relaxation in guidelines by the government for the third phase of lockdown till 17 May.

The reopening began on 4 May with the dealerships taking permission from respective local authorities. All the touch points are following mandated protocols to ensure the safety of customers and dealer staff, Bajaj Auto said in a statement.

Commenting on reopening of dealerships, Bajaj Auto Ltd Executive Director Rakesh Sharma said, “India is gearing up for the new normal post the COVID-19 pandemic and so are we at Bajaj Auto. The opening of workshops and dealerships is another step towards making a fresh start.”

Indices extend losses as Sensex down 73 points, Nifty at 9,242  

Indices extended the losses as Sensex was trading 73.33 points or 0.23 percent lower at 31,569.37 while the Nifty was down 9.25 points or 0.1 percent at 9,242.25 at around 3.15 pm.

Sterlite Tech to go slow on Rs 300 cr expansion of cable manufacturing units

Data network solutions provider Sterlite Technologies has said it will go slow on the proposed Rs 300 crore expansion of cable manufacturing units in India and Italy, following global coronavirus pandemic.

The expansion, which was slated to begin in June this year, will now start around March 2021, when there is greater clarity on the business environment, Sterlite Technologies Group CEO Anand Agarwal told PTI.

“We have a plan of expanding cabling facility but we have slowed that down, we are currently looking at supply-demand scenario…,” he said.

The Rs 300 crore expansion blueprint of cable manufacturing units in India and Italy entailed increasing the capacity from 18 million to 33 million fibre kilometres, he said adding, “we have delayed that plan by 6-9 months”.

TRAI asks public to check rates before joining online conferencing platforms

The telecom regulator on Monday asked public to exercise due caution while joining online conference platforms via audio calls by first checking applicable rates for dialling such numbers and their helplines.

The advice by the Telecom Regulatory Authority of India (Trai) comes in the wake of instances where users experienced “bill shocks” after inadvertently dialling international numbers to get onto online conferencing.

The regulator said it is also aware of cases where the customer care centres of service providers are either premium numbers or international numbers.

“Obviously, the members of public who use such services inadvertently may have to pay higher rates applicable to premium numbers or international numbers which would imply application of ISD tariffs,” the telecom sector watchdog said in a statement.

HDB Financial Services sacks about 150 employees

HDB Financial Services, a non-banking financial arm of HDFC Group, has sacked about 150 employees during the lockdown, a development which the company said involves a minuscule number of employees and has nothing do with the current economic situation.

However, many of these employees came out on social media platforms against the firing while alleging that HDB Financial Services asked them to resign with immediate effect or face termination.

The company left them to fend for themselves when there is practically no scope of finding a new job in the middle of the lockdown due to the coronavirus pandemic, the sacked employees alleged.

When contacted, HDFC Bank, the parent company of HDB Financial Services, said those resorting to Twitter were a set of disgruntled employees who were being watched for their performances and were intimated well in advance about the same as also there were some ethical issues.

No hike in lease rent for SEZ units this fiscal: Govt

There will be no increase in lease rent for the Special Economic Zone (SEZ) units for the financial year 2020-21. Payment of lease rent of 1st quarter is to be deferred up to 31st July 2020 for all SEZ units: Ministry of Commerce and Industry pic.twitter.com/VfTPRZBQ38

— ANI (@ANI) May 11, 2020

European shares turn lower as travel, oil stocks weigh

European stocks gave up early gains on Monday, with travel and oil stocks taking a hit even as several countries emerged from coronavirus-driven lockdowns.

The pan-European STOXX 600 shed 0.25 percent, easing from a near 1 percent gain at the open. Europe’s travel and leisure as well as oil and gas sectors fell about 1 percent each.

Britain’s FTSE 100 also pared early gains to trade flat and midcap shares edged 0.4 percent higher after Prime Minister Boris Johnson said on Sunday the lockdown would not end yet but encouraged some people to return to work.

France is also set to cautiously lift coronavirus-induced restrictions, although Germany saw a spike in cases just days after its leaders eased the country’s lockdown.

Sensex slips into red, Nifty below 9,300-mark  

Indices gave up the early gains and slipped into the red in the afternoon trade.

Sensex was trading 19.14 points or 0.06 percent lower at 31,623.56 while the Nifty was up 5.50 points or 0.06 percent at 9,257 at around 2.50 pm.

Adani Agri Logistics dispatches 30,000 tonne of food grains for PMGKAY

Adani Agri Logistics (AALL) said on Monday it facilitated the dispatch of 30,000 tonnes of food grains during the COVID-19 lockdown which amounts to feeding over 60 lakh citizens across different states like Tamil Nadu, Karnataka, Maharashtra and West Bengal.

Seven trains owned and operated by the company for transportation of food grains from production centres in northern India to consumption centres played a critical role in facilitating this.

Besides, in close coordination with the state government of Madhya Pradesh, AALL started the wheat procurement process of rabi crop with adequate safety and precautionary measures at its units from 15 April.

Wockhardt stock surges nearly 5% on Q4 earnings

#4QWithCNBCTV18 | Wockhardt reports Q4 consolidated profit at Rs 48.29 cr Vs loss of Rs 14.47 cr (YoY) pic.twitter.com/J7pCk3Hewx

— CNBC-TV18 (@CNBCTV18Live) May 11, 2020

Bizongo donates over 2 lakh PPE kits

Packaging services provider Bizongo on Monday said it has donated more than two lakh personal protective equipment (PPE) kits across India as part of its contribution in the fight against coronavirus pandemic.

These PPEs were distributed in 5,500 localities, servicing 127 organisations spread in 57 urban and rural centres across the country. The recipients of the kits include public and private healthcare service providers, NGOs and private sector organisations, Bizongo said in a statement.

“Bizongo worked with NGOs like HT Parekh Foundation, ATE Chandra Foundation, Piramal Swasthya, Foundation for Ecological Security, Christian Medical Association of India to ensure the critical PPE kits reached a larger number of people at the forefront of fighting COVID-19,” its COO Sachin Agarwal said.

Rupee settles 19 paise lower at Rs 75.73

The rupee slipped 19 paise to close at 75.73 against the US dollar on Monday as strengthening American currency overseas and rising coronavirus cases in the country weighed on investor sentiment.

Forex traders said while positive domestic equities supported the local unit, market participants were concerned about the impact of spiking coronavirus cases on the economy.

The local unit opened at 75.55, then lost further ground and finally settled at 75.73 against the greenback, down 19 paise over its previous close.

It had settled at 75.54 against the US dollar on Friday. During the day, the local unit saw an intra-day high of 75.55 and a low of 75.77.

Market erases gains as Sensex up 145 points, Nifty above 9,300-mark 

Indices remained volatile in the afternoon trade as Sensex was trading 145.01 points or 0.46 percent higher at 31,787.71 while the Nifty was up 51.35 points or 0.56 percent at 9,302.85 at around 2.20 pm.

Bajaj Auto, Maruti and Hero MotoCorp were the top gainers in the Sensex pack.

BSE StAR MF contributes 61% of industry’s net equity inflow in April

Mutual funds distributor platform BSE StAR MF contributed Rs 3,806 crore as net equity inflow in April, which is 61 percent of the MF industry’s total Rs 6,212 crore, the exchange said on Monday.

In 2019-20, the platform contributed Rs 56,038 crore as net equity inflow, which is 66 percent of the mutual fund (MF) industry’s net inflow of Rs 83,781 crore, the BSE said in a statement.

It processed over 63.17 lakh transactions amounting to Rs 37,200 crore in April despite the nationwide lockdown due to coronavirus pandemic as it helped AMCs, members and their clients in smooth paperless transactions.

Italy March industry output plunges 28% month-on-month on coronavirus lockdown

Italian industrial output plummeted 28.4 percent in March from the previous month, more than expected and the steepest drop on record, as a lockdown imposed to contain the coronavirus pandemic shuttered most businesses.

The fall in output was larger than any of the 18 forecasts in a Reuters survey of analysts which pointed to a 20 percent decline.

National statistics bureau ISTAT, which issued the data on Monday, said it was the steepest fall in industrial production since the current series began in 1990.

February’s data was revised to show a 1 percent decline, originally reported at -1.2 percent.

Restaurant chains plan to shut up to 30% branches

#CNBCTV18Exclusive | Sources say many large restaurant chains plan to shut 20-30% of branches. The restaurants re-negotiating rental deals & dine-in capacity at outlets pic.twitter.com/yx5QXJmUi3

— CNBC-TV18 (@CNBCTV18Live) May 11, 2020

Tata Power SED bags Rs 1,200 crore contract from Ministry of Defence

Tata Power Strategic Engineering Division (Tata Power SED) on Monday announced the signing of a Rs 1,200 crore contract with Ministry of Defence for modernisation of infrastructure of 37 airfields of Indian Air Force, Indian Navy and Indian Coast Guard.

To be executed over the next four years, the contract involves supply, installation and commissioning of modern airfield equipment like CAT II instrument landing system and CAT II airfield lighting system along with other navigational aids and air traffic management system besides creating the required civil and electrical infrastructure.

Hero MotoCorp re-opens 1,500 retail touchpoints, sells 10,000 units

Hero MotoCorp has started its retail operations with the re-opening of more than 1,500 customer touchpoints including authorised dealerships and service centres.

These outlets contribute to about 30 percent of the company’s total domestic retail sales. A total of 10,000 units of motorcycles and scooters have already been sold since the reopening of these customer touchpoints, it said in a statement.

Hero MotoCorp also started vehicle dispatches from its manufacturing facilities for the current fiscal year (FY21) on 7 May.

Keeping the safety and well-being of everyone as a top-most priority, the company has issued a re-start manual to all its dealerships, service centres and parts distributors.

FICCI warns of massive job losses, calls for 4-5% of GDP in stimulus package

There is a critical and immediate need for a significant stimulus of Rs 9 lakh crore to 10 lakh crore or 4-5 percent of the GDP to stimulate demand and supply for averting a long-term economic slowdown, the Federation of Indian Chambers of Commerce and Industry (FICCI) said on Monday.

“If we do not help industries (large and small), we will have large-scale job losses which will contract demand significantly and will lead to further pressure on the utilisation of businesses and their liquidity,” FICCI President Sangita Reddy said in a letter to Finance Minister Nirmala Sitharaman.

The situation will reduce government tax collections significantly and fiscal deficit will remain high (even without stimulus outflow) if the economic engine does not re-start, said Reddy.

Cement demand picks up in infra sector

Cement demand is picking up in infra sector; though seeing demand in cement but there is a paucity of trucks & drivers, says Sanjay Ladiwala on CNBC-TV18 pic.twitter.com/cRpB4tlvln

— CNBC-TV18 (@CNBCTV18Live) May 11, 2020

Audi India launches online sales initiative

German luxury carmaker Audi on Monday said it has introduced online sales and service initiative in India in order to enable customers book vehicles from their homes as coronavirus pandemic rages on.

The company, which considers digitalisation as a key focus area, has integrated its entire sales network to enable customers to book new vehicles or get vehicles booked for service from home.

Audi India Head Balbir Singh Dhillon said the company has been at the forefront of enabling and introducing future technologies for customers – including augmented and virtual reality elements.

“Taking this digitalisation strategy a step forward, we are pleased to announce digital sales for our product portfolio and after-sales support for our existing and future customers,” he added.

Karnataka govt eyes foreign companies seeking to move out of China

The Karnataka government appears set to roll out red carpet welcome to foreign companies seeking to move out of China.

The State’s Large and Medium Scale Industries Minister Jagadish Shettar said the government plans to constitute a task force, under the chairmanship of the Chief Secretary TM Vijay Bhaskar, to spearhead the drive to attract such investment. A proposal to this effect has been sent to the Chief Minister BS Yediyurappa for approval, the Minister told PTI in an interview.

This panel would take feedback and suggestions from a consultative committee to be formed with prominent industrialists from the state and representatives of various countries located in the state, Shettar said.

Traders’ strike in Raj agri mandis against 2% charge to continue till 15 May

The traders’ strike in 247 mandis across Rajasthan against the 2 percent Krishak Kalyan charge levied by the state government on the purchase and sale of agricultural goods will continue till 15 May, a traders’ body said on Monday.

On 5 May, the Rajasthan government had imposed Krishak Kalyan charge of 2 percent on all agricultural purchase and sale in mandis for financing the Rs 1,000 crore Farmers’ Welfare Fund.

Mandi traders have been on strike since 6 May to demand withdrawal of this fee.

SBI General Insurance FY20 profit rises 23% to Rs 412 cr

SBI General Insurance on Monday reported a 23 percent jump in its net profit to Rs 412 crore for the fiscal ended 31 March 2020.

It had reported a profit after tax of Rs 334 crore in the previous financial year.

The company’’s underwriting profit declined by 23 percent to Rs 61 crore as against Rs 79 crore reported in FY19.

Its gross written premium (GWP) stood at Rs 6,840 crore in FY20 compared to Rs 4,717 crore in the previous fiscal.

“We have maintained a steady growth in FY20, we have managed a growth of 45 per cent as compared to an industry growth of around 12 per cent for FY20. Growth has been evident across all lines of businesses,” its managing director and CEO Pushan Mahapatra said in a release.

Markets trade in green at half-time

The Indian markets at half-time are still trading in the green with gains of 90 points on Nifty amidst bouts of volatility as bears are defending the 9,450 resistance level which happens to be the upper end of the trading range, said Aditya Agarwala, senior technical analyst, YES Securities.

“Auto, media, metal and IT stocks are spearheading the markets higher while banking and NBFC stocks remain under pressure which is dragging the markets lower. Further, if bulls manage to keep the Index above the 9,300 mark, late short covering rally could take it beyond the upper end of the trading range i.e. 9,450,” he said.

On the flip side if bears push the Index below the 9,300-level, fresh selling pressure could intensify and take the Index lower to levels of 9,230-9,170 being lower end of the range, added Agarwala.

“The key Index to watch out will be the Bank Nifty which is facing stiff resistance at the 20-DMA at 19915. On the Nifty key resistance above 9,450 will be the 50-DMA at 9,500. European markets have also opened in the green providing cushion to the bulls back home,” he said.

ICICI Bank stock dips nearly 3%

ICICI Bank cuts retail term deposit rates by 5-50 bps pic.twitter.com/sWyqjHh8pw

— CNBC-TV18 (@CNBCTV18Live) May 11, 2020

Market extends gains as Sensex jumps 310 points, Nifty at 9,350 

Indices extended the gains as Sensex jumped 310.04 points or 0.98 percent to 31,952.74 while the Nifty was up 98.35 points or 1.06 percent at 9,349.85 at around 1.10 pm.

Hero MotoCorp was the top gainer in the Sensex pack surging over 7 percent followed by Maruti (7.15 percent), Bajaj Auto (6.05 percent), Ultra Cement (3.32 percent) and TCS.

NASSCOM task force develops tech platform for Telangana govt

IT body NASSCOM on Monday said its COVID-19 task force has developed a platform for the Telangana government to help it take informed decisions in managing the lockdown and its phased release across the state.

The open architecture technology platform brings together multiple solutions and delivers more than 100 dashboards, across over 30 government and public datasets, with thousands of data points to support the central and state governments in fighting this pandemic, a statement said.

Working closely with the Telangana government, the platform will assist in sustainable industry recovery and will help them in taking informed decision in managing lockdown and phased opening across the state, it added.

“As part of this NASSCOM task force, we have built a technology-driven vision of a Pandemic Response Platform for India,” Nivruti Rai, country head Intel India and VP Data Center Group, Intel and Lead NASSCOM Task Force, said.

Agriculture experts advise Telangana to implement govt regulated farming

Agriculture experts and officials have suggested to the Telangana government that there should be a regulated policy in the state by which farmers should cultivate crops as suggested by the government and they should follow the administration’’s directions on the cropping pattern.

At a review meeting here on Sunday, chaired by Telangana Chief Minister K Chandrasekhar Rao,they advised the government that those farmers who have not cultivated the crops as suggested by the government should not be given the ‘‘Rythu Bandhu’’ (an agriculture investment support scheme) benefits and they also should not be paid the Minimum Support Price for their produce, an official release said.

Rao held a review on crop cultivation pattern in the state, identification of alternative crops, to make farmers go in for a regulatory cultivation, ensuring the minimum support price (MSP)for the agriculture produce and other related issues.

The experts from the agriculture sector said instead of farmers cultivating the crops as per their wishes, the farmers should invariably go in for the crops as suggested by the agriculture scientists, officials and experts and a policy in this regard should be enacted, the release said.

European market opens higher

#CNBCTV18Market | European market trade with gains in the 1st hour of trade pic.twitter.com/JFIiKCLKy5

— CNBC-TV18 (@CNBCTV18Live) May 11, 2020

China auto sales mark first gain in almost two years

China’s monthly auto sales rose for the first time in almost two years in April, industry data showed, as more customers visited showrooms after the economy began to open up and authorities loosened coronavirus-related travel restrictions.

Auto sales in April hit 2.07 million units in the world’s biggest car market, up 4.4 percent from a year earlier, according to data from the China Association of Automobile Manufacturers (CAAM), the country’s largest auto industry association.

This follows a 43 percent drop in March and a sharper 79 percent plunge in February as the pandemic pummelled auto demand. Monthly auto sales in China last rose in June 2018.

Indian bond yields surge as govt borrowing balloons

India’s benchmark 10-year bond yield surged on Monday following the government’s decision to sharply increase market borrowing amid a major hit to the economy and public finances from the coronavirus pandemic.

The government plans to borrow Rs 12 lakh crore ($160 billion) in the fiscal year to March 2021, up from the previously budgeted Rs 7.8 lakh crore, to cushion the blow from the pandemic, it said on Friday.

The government did not specify whether the additional borrowing would be used to cover the revenue shortfall caused by a national lockdown since 25 March or used to fund additional expenditures.

UK economy will not be back to work until July at very earliest, says foreign secretary

The British government said non-essential retailers would not go back to work until June at the earliest while other sectors will not go back to work until July at the earliest, foreign secretary Dominic Raab said on Monday.

“There’s the other changes for things like non essential retail and people going back to school, particularly primary school, which won’t start until the earliest on the first of June, subject to conditions,” Raab said.

“Starting from the 4th of July at the very earliest, those other sectors where they are inherently more difficult because people are mixing together and it’s difficult to maintain the social distancing, we wouldn’t be able to say … that we would start them at least until the 4th of July.”

Okinawa resumes production with 25% workforce

Electric two-wheeler maker Okinawa on Monday said it has resumed operations at its plant in Bhiwadi (Rajasthan), and corporate office in Gurugram (Haryana), with 25 percent workforce.

The company said it will maintain safety measures at its offices, manufacturing unit and dealership networks as it begins business activities.

It has also issued an advisory to its dealership network, which too will be operating with 25 percent staff, Okinawa said in a statement.

All the products will be sanitised at the plant before being dispatched and the exercise will be repeated again when dealerships receive them, the company added.

Sensex up 272 points, Nifty above 9,300-mark

Indices continued to stay in the green zone as Sensex was trading 272.53 points or 0.86 percent higher at 31,915.23 while the Nifty was up 79.05 points or 0.85 percent at 9,330.55 at around 12.15 am.