The Indian benchmark indices ended tad lower on Wednesday, led by losses in frontline bluechip such as Tata Steel, M&M, Idea Cellular, GAIL and HUL, HDFC, Bharti Airtel and TCS, as sentiments remained weak in the absence of any positive trigger.
The 30-share BSE SENSEX closed at 28091.42, down by 87.66 points or by 0.31 per cent, and the NSE Nifty ended at 8691.3, down by 17.65 points or by 0.2 per cent.
During the day’s trade, the BSE Sensex touched intraday high of 28211.41 and intraday low of 28013.69, while the NSE Nifty touched intraday high of 8722.65 and intraday low of 8663.45.
On the corporate front, shares of Tata group companies witnessed selling pressure after Tata Sons removed Cyrus Pallonji Mistry as chairman of the conglomerate and appointed Ratan Tata, chairman of Tata Trusts as interim chairman for four months.
The top losers of the BSE Sensex pack were Mahindra & Mahindra Ltd. (Rs. 1303.00,-2.72%), Tata Steel Ltd. (Rs. 415.50,-2.51%), GAIL (India) Ltd. (Rs. 434.90,-2.02%), Hindustan Unilever Ltd. (Rs. 832.05,-2.00%), Oil And Natural Gas Corporation Ltd. (Rs. 289.10,-1.30%), among others.
On the flip side, Adani Ports & Special Economic Zone Ltd. (Rs. 312.60,+9.43%), Dr. Reddy’s Laboratories Ltd. (Rs. 3200.45,+3.59%), ICICI Bank Ltd. (Rs. 289.10,+1.60%), Axis Bank Ltd. (Rs. 529.05,+1.49%), Bharti Airtel Ltd. (Rs. 311.05,+1.48%), were among top gainers on BSE.
On the sectoral front, IT and FMCG stocks were among top losers on BSE, falling as much as 0.84 per cent and 0.83 per cent respectively.
The Market breadth, indicating the overall strength of the market, was flat. On BSE out of total shares traded 3179, shares advanced were 1431 while 1496 shares declined and 252 were unchanged.
The Indian equities ended on robust note on Thursday, led by gains in index heavyweights such as ICICI Bank, Tata Steel, SBI, Hero MotoCorp, Maruti Suzuki, HDFC, Tata Motors, GAIL, ONGC and RIL, tracking firm cues from Asian peers after US Federal Reserve kept key short-term interest rate steady. Sustained inflows from foreign investors and across-the-board buying by the investors also helped market sentiments.
The 30-share BSE SENSEX closed at 28773.13, up by 265.71 points or by 0.93 per cent, and the NSE Nifty ended at 8867.45, up by 90.3 points or by 1.03 per cent.
In the bullish trade, the BSE Sensex touched intraday high of 28871.92 and intraday low of 28693.07 , while the NSE Nifty touched intraday high of 8893.35 and intraday low of 8837.8.
The top gainers of the BSE Sensex pack were State Bank of India (Rs. 257.35,+2.39%), Hero MotoCorp Ltd. (Rs. 3538.60,+2.27%), ICICI Bank Ltd. (Rs. 275.55,+2.19%), Adani Ports & Special Economic Zone Ltd. (Rs. 275.20,+2.06%), Asian Paints Ltd. (Rs. 1192.35,+1.97%), among others.
On the flip side Tata Consultancy Services Ltd. (Rs. 2377.65,-1.49%), Lupin Ltd. (Rs. 1528.30,-1.17%), Axis Bank Ltd. (Rs. 591.95,-1.01%), Coal India Ltd. (Rs. 327.70,-0.77%), Dr. Reddy’s Laboratories Ltd. (Rs. 3138.20,-0.45%), were among top losers on the BSE.
On the sectoral front, oil&gas and bankex stocks emerged as top gainers, adding as much as 1.51 per cent and 1.49 per cent respectively.
The Market breadth, indicating the overall strength of the market, was strong. On BSE out of total shares traded 3146, shares advanced were 1794 while 1106 shares declined and 246 were unchanged.
The market cap of HDFC jumped by Rs 4,777.47 crore to Rs 183,004.82 crore last week when the 30-share Sensex logged a second straight weekly gain, advancing by 72 points to end at 24,717.99 driven by robust foreign fund flows amid hopes that the RBI may cut interest rates as the government stuck to its fiscal prudence commitment, and on strong global cues after ECB’s robust easing measures and an oil price rally.
ITC witnessed an Rs 4,100.76 crore rise in its market value to Rs 258,187.17 crore last week while the market cap of ONGC surged by Rs 3,507.75 crore to Rs 175,473.10 crore.
The market capitalisation of RIL surged by Rs 3,012.13 crore to Rs 329,082.12 crore while that of drug major Sun Pharma climbed by Rs 2,539.03 crore to Rs 208,838.67 crore.
HDFC Bank’s market cap advanced by Rs 1,870.26 crore to Rs 259,928.45 crore last week while that of TCS jumped by Rs 1,369.45 crore to Rs 466,203.25 crore and that of HUL rose by Rs 119.01 crore to Rs 183,745.09 crore.
After capping agent commission, mutual fund industry body and front-line regulator AMFI may now ask the fund houses to disclose the individual distributor commission in the account statements sent to investors, said the media report.
The AMFI (Association of Mutual Funds in India) plans to take up the issue of “disclosing distributors commission in Statement of Accounts” in its board meeting this week.
The move is aimed at making distribution commissions more transparent as part of efforts to help the investors become better-informed about the total amount being paid by their Asset Management Company (AMC) as distributor commission from their investments in MFs, said the PTI report.
The industry also hopes that such a step will help address the issue of trust deficit about commission payouts, something which has been a matter of serious concern to the investors and the regulators lately.
Till now, the Statement of Account sent to each investor includes details about their folio number, investment amount, gains/loss, and certain KYC details.
If the new proposal gets ratified by the AMFI Board, it will force every fund house to add commission payout details – with names and amount – in every statement of account.
This follows a recent meeting convened by the capital markets regulator Sebi with the AMFI and senior industry officials — Birla Sun Life AMC CEO A Balasubramanian and HDFC AMC Managing Director Milind Barve — and leading transfer agents Karvy and CAMS to discuss best practice to curb heavy commission payouts in the industry and to bring in more transparency.
According to sources, AMFI in its earlier board meetings had also found favours for the proposed move from players like HDFC, Birla Sun Life and UTI Mutual Funds, who have been advocating more disclosures to bring in more transparency and accountability.
Other key issues likely to be discussed in the board meeting tomorrow is the recent Sebi letter on dividend stripping to the fund houses and the regulator’s directive to mutual funds to provide transaction data about distributors and agents to Sebi.