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18-Sep-2020   08:29 Hrs IST Benchmarks to make cautious start amid mixed global cues <p align="justify">Indian markets ended lower on Thursday, dragged down by banking stocks and index heavyweights TCS and RIL, as China tensions remained in focus. Today, the markets are likely to make cautious start following mixed global cues. There will be some cautiousness with report that advance tax collections fell 25.5 per cent to Rs 1,59,057 crore in the second quarter of the fiscal, However, there was improvement over the first quarter ended June, when advance tax revenue had plunged 76 per cent to a tepid Rs 11,714 crore as the whole economy was under a stringent lockdown. Rising coronavirus cases are likely to dampen sentiments in the markets. India has recorded 96,730 Covid-19 cases in just 24 hours, taking its tally past the 5.2-million mark. With this, India is rapidly nearing the US tally of 6.8 million. However, traders may get some encouragement with report that the Reserve Bank of India (RBI) will purchase government securities under open market operations (OMOs) for an aggregate amount of Rs 10,000 crore on September 24, 2020. Some support may also come as investment through participatory notes (P-notes) in the domestic capital market surged to over Rs 74,000 crore till August-end, making it the highest level in 10 months. Meanwhile, the commerce ministry's investigation arm DGTR (Directorate General of Trade Remedies) has initiated a probe into an alleged circumvention of the anti-dumping duty imposed on the imports of axle for trailers from China. Banking stocks will be in focus with domestic ratings agency -- ICRA's report that divesting majority stake in state-run lenders by the government will be credit negative for such public sector banks (PSBs). Many of the entities where the government is mulling selling off majority stake as per reports have a weak credit profile. There will be some reaction in defence stocks as the government permitted foreign direct investment (FDI) of up to 74 per cent under automatic route in the defence sector with a view to attracting overseas investors. There will be some reaction in insurance sector as regulator Irdai is mulling over a plan to allow the tenure extension of COVID-19 specific insurance products as the vaccine for the disease is seemingly away by some more time.</p><p align="justify">The US markets declined on Thursday after data showed high levels of weekly jobless claims, while technology-related stocks resumed their slide. Asian markets are trading mostly higher on Friday as investors look for the next catalyst to reignite the rally.<br></p><p align="justify"></p><p align="justify">Back home, snapping a two-day rising streak, Indian equity benchmarks ended with losses of more than half percent each on Thursday, as border tensions with China and a negative trend in global peers, following US Fed's caution on economic recovery, dented investor appetite. The benchmarks staged a gap down opening as the Organisation for Economic Co-operation and Development (OECD) in its Interim Economic Outlook report forecast a deeper contraction of 10.2% for India in the current fiscal, surpassing its June estimate of -7.3% in the event of a second wave of infections. Traders remain concerned with a report stated that total tax collection of the Centre, including advance tax collection for the second quarter, fell 22.5% to Rs 2,53,532.3 crore till September 15 of the current fiscal as compared to the year-ago period. Key gauges continued to show a sluggish trend in afternoon session, with private report stated that India's GDP is likely to contract by 8.6 percent in FY21 as against its earlier prediction of 5.8 percent, citing factors including the modest government response to the crisis for its estimate. Market participants overlooked Commerce and Industry Minister Piyush Goyal's statement that the government is in the process of bringing out a strategy paper on boosting industrial growth which will be a road map for all businesses in the country. He said the government is in the process of rationalising the existing central labour laws into four labour codes -- on wages; industrial relations; occupational safety, health and working conditions; and social security by simplifying, amalgamating and rationalising the relevant provisions of the existing central labour laws. Finally, the BSE Sensex fell 323.00 points or 0.82% to 38,979.85, while the CNX Nifty was down by 88.45 points or 0.76% to 11,516.10.<br></p>
17-Sep-2020   08:30 Hrs IST Benchmarks to make negative start on Thursday <p align="justify">Indian markets ended higher Wednesday led by gains in pharma, auto and realty stocks amid strong global cues. Today, the markets are likely to make negative start following weakness in the global peers. Traders will be concerned as the Organisation for Economic Co-operation and Development (OECD) in its Interim Economic Outlook report forecast a deeper contraction of 10.2% for India in the current fiscal, surpassing its June estimate of -7.3% in the event of a second wave of infections. Market participants will be anxious with report that total tax collection of the Centre, including advance tax collection for the second quarter, fell 22.5% to Rs 2,53,532.3 crore till September 15 of the current fiscal as compared to the year-ago period. Also, showing no signs of a relief, India has recorded 97,859 Covid-19 cases in just 24 hours, taking its tally past the 5.1-million mark. With this, India is rapidly nearing the US tally of 6.8 million. Though, some support may come later in the day with report that the government is in the process of bringing out a strategy paper on boosting industrial growth which will be a road map for all businesses in the country. There will be some buzz in the sugar stocks with report that the government has extended the deadline for exporting sugar from existing stocks by three months to December to help industry take advantage of the global supply disruption because of the pandemic, and clear cane dues of farmers. Aviation stocks will be in focus with DGCA data showing that passenger load factor crossed 60 per cent in August for the first time since the resumption of domestic flights in May this year. Industry-wise load factor or seat occupancy was 63.2 per cent in August. There will be some reaction in insurance industry's stocks with a private report that the lockdown imposed by the government to contain the spread of the coronavirus in the second fortnight of March resulted in the life insurance industry losing around 4 million policies and premiums to the tune of Rs 45,000 crore. Meanwhile, Happiest Minds is set to make its debut on the bourses. The issue, which was sold between September 7 and September 9 in the price band of Rs 165-166, was subscribed 151 times.</p><p align="justify">The US markets ended mostly lower on Wednesday as Fed Chairman Jerome Powell said the pace of the ongoing economic recovery is expected to slow. Asian markets are trading mostly in red on Thursday after the US Federal Reserve's policymaking committee indicated the overnight rate could stay close to zero for years to reach its 2 percent inflation target.</p><p align="justify">Back home, extending gains to a second straight day, Indian equity benchmarks ended the Wednesday's session with gains of over half percent each, supported by buying interest in realty, healthcare and auto shares. After making slightly positive start, key indices gained some traction, as traders took some support as Chief Economic Advisor Krishnamurthy Subramanian exuded confidence that the country would be back to a high growth path through reforms announced by the government, after overcoming the COVID-19 pandemic. Some support also came with a private report stated that consumer confidence index has shown a marginal uptick of 1.1 percentage points in September 2020. However, markets trimmed some of their gains in late morning session, as traders got anxious with the government data showing that contracting for the sixth straight month, India's exports slipped 12.66% to $22.7 billion in August, on account of decline in the shipments of petroleum, leather, engineering goods and gems and jewellery items. The trade deficit for August this year was estimated at $6.77 billion, against $4.8 billion in July 2020 and $13.86 billion in August 2019. But, benchmark indices regained their upward momentum in second half of the session, taking support from Foreign Secretary Harsh Vardhan Shringla's statement that India has received over $20 billion in FDI amid the coronavirus pandemic, showcasing the country as one of the most attractive destinations for investment globally.&nbsp; Traders also took solace with RBI Governor Shaktikanta Das's statement that India has seen some stabilisation in economic activity in the ongoing fiscal's second quarter. He said that the economic recovery will be gradual, but some of the high-frequency indicators such as agriculture activity, manufacturing PMI, and private estimates of unemployment point to some stabilisation of economic activity in the second quarter. Finally, the BSE Sensex rose 258.50 points or 0.66% to 39,302.85, while the CNX Nifty was up by 82.75 points or 0.72% to 11,604.55.<br></p>
16-Sep-2020   08:31 Hrs IST Markets likely to open in red on Wednesday
15-Sep-2020   08:25 Hrs IST Benchmarks to make flat to positive start on Tuesday
14-Sep-2020   08:49 Hrs IST Markets to get positive start on Monday
11-Sep-2020   08:32 Hrs IST Domestic markets likely to make pessimistic start
10-Sep-2020   08:28 Hrs IST Benchmarks likely to make flat-to-positive start on Thursday
09-Sep-2020   08:26 Hrs IST Markets likely to open in red following global sell-off
08-Sep-2020   08:30 Hrs IST Benchmarks to make flat-to-positive start on Tuesday
07-Sep-2020   08:26 Hrs IST Markets to get pessimistic start on Monday