Key equity barometers ended with decent gains on Thursday after oscillating between gains and losses for the first half of the trading session. The Nifty 50 index managed to close above the 11,850 level. Trading was volatile due to weekly expiry of index options.

Sentiment was fragile after Moody's cut India's GDP growth forecast to 5.6% for 2019. However, easing wholesale inflation in October triggered hopes that the Reserve Bank of India (RBI) may further cut interest rates.

The barometer index, the BSE Sensex, rose 170.42 points or 0.42% to close at a 40,286.48. The Nifty 50 index rose 30 points or 0.25% to 11,870.45.

In the broader market, the BSE Mid-Cap index rose 0.14% and the BSE Small-Cap index fell 0.01%. Both these indices underperformed the Sensex.

The market breadth was weak. On the BSE, 1004 shares rose and 1506 shares fell. A total of 172 shares were unchanged.

Domestic Macro:

Moody's Investors Service on Thursday cut India's economic growth forecast for current year to 5.6% from 5.8% estimated earlier, saying GDP slowdown is lasting longer than previously expected. It expected economic activity to pick up in 2020 and 2021 to 6.6% and 6.7%, respectively, but the pace to remain lower than in the recent past.

India's wholesale inflation, or Wholesale Price index (WPI), dipped marginally for the month of October at 0.16% compared to 0.33% in September 2019 and 5.28% in October 2018. The index was supported by higher food prices which prevented the index from falling into negative territory.

India's retail inflation for the month of October breached the Reserve Bank of India's (RBI) medium-term target of 4% for the first time since July 2018 due to higher food prices. The all-India general consumer price index (CPI) inflation touched 4.62% in October, according to the data released by the statistics office on Wednesday, compared to 3.99% in September. The CPI was 3.38% in October last year.

Crude & currency:

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 71.8975, compared with its close of 72.09 during the previous trading session.

In the commodities market, Brent crude for January 2019 settlement was rose 67 cents at $63.04 a barrel. The contract rose 56 cents or 0.90% to settle at $62.56 a barrel during the previous trading session.

Overseas

Most shares in Europe and Asia declined after China's October industrial production data missed expectations. Sentiment was soured after trade negotiations between the U.S. and China are understood to have hit a roadblock.

German GDP (gross domestic product) grew by 0.1% in the third quarter, exceeding the -0.1% contraction expected and narrowly avoiding a technical recession.

Chinese industrial production data for October grew 4.7% year-on-year as compared against expectations of a 5.4% growth, media reports said.

Japan's economic growth touched a 1-year low in the third quarter, the media reported on Thursday citing government data. GDP grew 0.2% on an annualized rate in the third quarter, well lower than a median market forecast of a 0.8% rise.

The US stock market finished session modest higher on Wednesday, 13 November 2019, on the back of Federal Reserve Chair Jerome Powell testimony that U.S. central bankers see a sustained expansion ahead for the country's economy. Also, factors supporting the rally include the resumption of short dated debt buying to add liquidity to money markets and a surge in government spending. However, market gains were capped amid lingering uncertainty about a potential U.S.-China trade deal.

In U.S. economic news, the Labor Department released a report showing consumer price index climbed by 0.4% in October after coming in unchanged in September. Excluding food and energy prices, core consumer prices edged up by 0.2% in October after a 0.1% uptick in September.

The U.S. federal government's budget deficit in October rose 34% from a year earlier to $134.5 billion, putting the U.S. on course to top the $1 trillion mark in fiscal 2020 for the first time in eight years, or nearly 5% of gross domestic product.

Buzzing Index:

The Nifty IT index rose 0.96% to 15,388, reversing its three-day losing streak. The index fell 2.45% in three sessions to 15,240.95 on Wednesday, from a recent high of 15,624.40 on 7 November 2019.

Persistent Systems (up 6.57%), Infosys (up 2.04%), Mindtree (up 1.29%), Hexaware Technologies (up 1.08%), TCS (up 0.78%), Tech Mahindra (up 0.65%) and HCL Technologies (up 0.25%) advance.

Oracle Financial Services Software (down 2.48%) and MphasiS (down 0.26%) declined.

The Nifty Metal index fell 1.89% to 2,508.35, extending decline for fourth straight session. The index has fallen 5.67% from a recent closing high 2659.05 on 7 November 2019.

Hindalco Industries (down 2.43%), NMDC (down 2.23%), Jindal Steel & Power (down 1.62%), Steel Authority of India (down 1.45%), Tata Steel (down 1.23%), Hindustan Copper (down 1.15%) and JSW Steel (down 1.09%) declined.

National Aluminium Company (Nalco) fell 2.99% after the company reported a consolidated net loss of Rs 28.25 crore in Q2 September 2019 compared with net profit of Rs 510.55 crore in Q2 September 2018. Consolidated net sales tumbled 22.27% to Rs 2,363.55 crore in Q2 September 2019 over Q2 September 2018. The result was announced after market hours yesterday, 13 November 2019.

Vedanta 2.90%. The company's consolidated net profit rose 44% to Rs 2,730 crore on a 3% decline in net sales to Rs 21,739 crore in Q2 September 2019 over Q2 September 2018.

Revenue declined primarily due to lower commodity prices partially offset by additional volumes from commencement of Gamsberg operations and higher sales at iron ore Karnataka. The result was announced during market hours today, 14 November 2019.

Stocks in Spotlight:

Telecom stocks tumbled after media reported suggested that the department of telecommunications (DoT) has issued a notice to telecom operators to pay their adjusted gross revenue (AGR) dues within three months as directed by the Supreme Court.

The Supreme Court (SC) on 24 October 2019 ruled in favor of the government on the AGR (adjusted gross revenue) issue, with grave revenue implications to the tune of over Rs 92,000 crore for the ailing telecom sector.

Bharti Airtel fell 1.59% to Rs 362.65. The telecom operator will be in focus as it will announce its Q2 2019 earnings today.

Vodafone Idea slumped 20.27% to Rs 2.95. The media reported that Aditya Birla Group will not infuse any fresh equity into Vodafone Idea, its telecom joint venture with Vodafone Group of UK, and let it opt for insolvency if the government does not provide substantial relief, including on the telco's adjusted gross revenue (AGR)-based dues.

Grasim Industries slipped 0.64% to Rs 734.30. The company has exposure to the telecom sector via its 11.55% stake in Vodafone Idea.

Separately, Grasim Industries reported a consolidated net profit of Rs 1002 crore in Q2 September 2019 as against a net loss of Rs 1468 crore in Q2 September 2018. Net revenue rose 3% to Rs 18,430 crore while EBITDA increased by 7% to Rs 3,180 crore in Q2 September 2019 over Q2 September 2018. The result was announced during market hours today, 14 November 2019.

Index heavyweight Reliance Industries (RIL) declined 0.58% to Rs 1463.40. Moody's Investors Service has affirmed RIL's Baa2 domestic long-term issuer rating and foreign currency senior unsecured rating.

At the same time, Moody's has affirmed the Baa2 backed domestic currency senior unsecured debt ratings on the USD denominated bonds issued by Reliance Holding USA, Inc., with a guarantee from RIL. The outlook on the ratings above is stable.

Aurobindo Pharma fell 8.73% to Rs 395.55. The U.S. Food and Drug Administration (USFDA) inspected the company's unit IV, a general injectable formulation manufacturing facility situated at Pashamylaram, Hyderabad, from 4th to 13th November 2019. At the end of the inspection, the company has been issued a 'Form 483' with 14 observations. The pharma company said that it will respond to the USFDA within the stipulated timeline.

Cadila Healthcare rose 4.25% to Rs 234.20. On a consolidated basis, net profit fell by 74.3% to Rs 107.20 crore in Q2 September 2019 from Rs 417.50 crore in Q2 September 2018. Net sales, however, recorded a growth of 14.1% to Rs 3244.20 in Q2 September 2019 over Q2 September 2018.

SpiceJet fell 5.94% to Rs 106.95. The airline company reported a consolidated net loss of Rs 461.21 crore in Q2 September 2019 as against a net loss of Rs 382.71 crore in Q2 September 2018. Revenue from operations for quarter ending September 2019 jumped by 51% to Rs 2848 crore on YoY basis.

IRCTC fell 2.68% to Rs 906.85. IRCTC announced its first ever quarterly result after getting listed on exchanges on 14 October 2019. IRCTC's net profit rose 14.01% to Rs 172.15 crore on 3.77% rise in net sales to Rs 972.61 crore in H1FY2020 over H1FY2019.

ARSS Infrastructure Projects jumped 3.13% to Rs 24.75. The company has received a work order of Rs 75.42 crore from Rail Vikas Nigam.

The benchmark indices ended with significant losses on Wednesday, dragged by banks and metal stocks. The Nifty 50 index fell below the 11,850 level. Losses in ICICI Bank, Axis Bank and HDFC eclipsed gains in Reliance Industries and TCS. Sentiment was affected due to weak domestic economic data and weak global cues.

The barometer index, the BSE Sensex fell 229.02 points or 0.57% to close at 40,116.06. The Nifty 50 index fell 73 points or 0.61% to close at 11,840.45.

The broader market tumbled. The S&P BSE Mid-Cap index fell 0.77% while the S&P BSE Small-Cap index lost 1.13%. Both these indices underperformed the Sensex.

There were more sellers than buyers. On the BSE, 957 shares rose and 1613 shares fell. A total of 168 shares were unchanged.

Economic Data:

India's industrial production shrank for the second consecutive month in September, its worst performance in the series that began April 2012. As per the Index of Industrial Production (IIP), factory output contracted 4.3% in September 2019 as compared to September 2018. The contraction was mainly due to poor performance in the manufacturing sector.

Meanwhile, State Bank of India (SBI) in its report predicted a 4.2% GDP growth for India in the second quarter. The bank attributes it to low automobile sales, deceleration in air traffic movements, flattening of core sector growth and declining investment in construction and infrastructure. The growth forecast for FY20 has now come down to 5% from 6.1% earlier, the report said. India's GDP was at a six-year low of 5% in Q1.

Currency and Crude:

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 72.035, compared with its close of 71.47 during the previous trading session.

In the commodities market, Brent crude for January 2019 settlement was down 75 cents at $61.31 a barrel. The contract fell 26 cents or 0.42% to settle at $62 a barrel during the previous trading session.

Overseas:

Shares in Europe and Asia edged lower as conflicting signals over the extent of progress made in US-China trade talks and concern about intensifying unrest in Hong Kong hurt demand for risky assets.

The moves in Hong Kong came after political turmoil in the embattled city escalated this week. Leader Carrie Lam said Tuesday that protestors 'paralyzing' the city were selfish. On Monday, protests that started nearly six months ago took another violent turn.

Hong Kong Senior Superintendent Kong Wing-cheung told reporters Tuesday that the city's society has been pushed to the brink of a total breakdown, according to media reports.

The US stock market finished modest higher on Tuesday, 12 November 2019, spurred by gains in trade-sensitive technology stocks, after President Donald Trump suggested signing a phase one trade deal with China could happen soon but did not offer clarity on a rollback of import tariffs.

Markets were keenly focused on trade negotiations between the U.S. and two of its major counterparts, Europe and China. At the Economic Club of New York, President Donald Trump gave an update Tuesday afternoon on trade negotiations with China, saying both sides are close to a phase-one deal, but that he would only accept it if the agreement worked to the advantage of U.S. workers and businesses. News reports also suggested Trump may put off for another six months a decision on whether to place tariffs of up to 25% on European auto imports, ahead of the Wednesday deadline.

US-China are looking to hammer out the first phase of an agreement that would ease some tariffs but details of a potential deal remain in flux. The U.S. is pushing for more open markets and the elimination of intellectual property theft. China, for its part, wants Washington to drop some $250 billion in tariffs imposed since the trade war began.

Attention now will shift to back-to-back testimony on Wednesday and Thursday by Federal Reserve Chairman Jerome Powell.

Domestic Shares In Spotlight:

Index heavyweight Reliance Industries (RIL) rose 3.10% to Rs 1,472.

Tata Consultancy Services (TCS) rose 3.76% to Rs 2,178.55. TCS announced an expansion of its long-term partnership with Phoenix Group, Europe's largest life and pensions consolidator, to drive the growth and transformation of the Standard Life business and meet the future needs of its customers, workplace clients and their advisers.

The expanded partnership will result in the digital transformation of Standard Life's pensions and savings operations onto the TCS BFSI Digital Platform, powered by TCS BaNCS. The transformation is expected to take approximately three years to complete, with a number of Standard Life employees transferring to TCS by the end of that period.

HDFC Asset Management Company surged 7.71% to Rs 3604.20. The stock hit a record high of Rs 3,650 in intraday today.

Buzzing Sectors:

The Nifty Bank index fell 1.84% to 30,541.55, snapping its four day winning streak. The index had surged 3% in previous four trading days.

Private sector banks crashed. Yes Bank (down 6.51%), Axis Bank (down 3.18%), City Union Bank (down 3.17%), RBL Bank (down 3.1%), ICICI Bank (down 2.24%), IndusInd Bank (down 2.14%), Federal Bank (down 0.84%), Kotak Mahindra Bank (down 0.71%) and HDFC Bank (down 0.47%) tumbled.

Public sector banks fell across the board. Union Bank of India (down 4.62%), State Bank of India (down 3.69%), IDBI Bank (down 3.6%), Bank of Baroda (down 3.26%), Canara Bank (down 3.05%), Bank of India (down 2.31%) and Punjab National Bank (down 2.27%) declined.

The Nifty Metal index fell 2.05% to 2,556.65, declining for the fourth straight trading session. The index fell 3.85% in four days from its recent closing high of 2,659.05 on 7 November 2019.

Jindal Steel & Power (down 5.8%), Nalco (down 5.54%), Steel Authority of India (down 4.42%), Hindustan Copper (down 3.21%), Vedanta (down 2.82%), JSW Steel (down 1.31%), Tata Steel (down 1.15%) and Hindustan Zinc (down 0.78%) declined.

Hindalco Industries slipped 3.59%. The company's consolidated net profit slumped 32.73% to Rs 974 crore on 8.76% fall in net sales to Rs 29,657 crore in Q2 September 2019 over Q2 September 2018. The result was announced after trading hours on 11 November 2019.

While profits were impacted by the global slowdown and lower commodity prices, the Company delivered steady results driven by an excellent performance by Novelis, supported by stable operations in the Indian business.

NMDC fell 2.94%. The iron-ore producer reported a 10.5% rise in net profit to Rs 703.27 crore in Q2 September 2019 over Q2 September 2018. NMDC reported an 8% drop in net sales to Rs 2241.76 crore in quarter ending September 2019 over September 2018.

Q2 Earnings:

Coal India fell 1.26%. The company's consolidated net profit rose 14.21% to Rs 3,522.70 crore on 6.27% fall in total income to Rs 22,012.94 crore in Q2 September 2019 over Q2 September 2018.

Adani Ports and Special Economic Zone (APSEZ) fell 4.36%. On consolidated basis, APSEZ reported a 10.9% rise in profit before tax (PBT) to Rs 886.34 crore in Q2 September 2019 over Q2 September 2018.

The profit after tax (PAT) of APSEZ jumped 72.44% to Rs 1059.20 crore in quarter ending September 2019 as against the corresponding quarter of the previous year. PAT was supported by one time tax gain of Rs 319 crore in Q2 2019 over Q2 2018. Revenue from operations rose 8.17% to Rs 2821.16 crore in Q2 2019 from Rs 2608.01 crore in Q2 2018.

Adani Enterprises tumbled 6.02% after consolidated adjusted net profit fell 0.9% to Rs 179.23 crore on 7.5% decline in net sales to Rs 8,464.19 crore in Q2 September 2019 over Q2 September 2018.

Britannia Industries surged 4.94% after consolidated net profit rose 32.90% to Rs 402.73 crore in Q2 September 2019 from Rs 303.03 crore in Q2 September 2018. The biscuit maker's total revenue from operations in Q2 September 2019 stood at Rs 3048.84 crore, up by 6.25% from Rs 2869.59 crore the company clocked in the year ago period.

Mahanagar Gas advanced 3.57%. The natural gas distribution company reported 98.6% increase in net profit to Rs 270.62 crore while net sales rose by 12.5% to Rs 783.58 crore in Q2 September 2019 over Q2 September 2018.

Indian Hotels Co jumped 6.08%. The company announced consolidated net profit of Rs 71.31 crore in Q2 September 2019 as against net loss of Rs 5.21 crore in Q2 September 2018. The hospitality chain reported a 4.4% rise in net sales to Rs 1007.44 crore in Q2 September 2019 over Q2 September 2018.

Hindustan Aeronautics rose 4.83% after consolidated net profit surged 116.41% to Rs 621.66 crore on 32.20% surge in net sales to Rs 3,451.07 crore in Q2 September 2019 over Q2 September 2018.

Sheela Foam rose 0.72%. On a consolidated basis, net profit jumped 142% to Rs 59 crore on a 7.1% decline in net sales to Rs 497 crore on a YoY basis. EBITDA for Q2 September 2019 increased 66.67% to Rs 70.5 crore from Rs 42 crore in corresponding quarter of the previous year.

Bata India fell 1.19% to end at Rs 1683.85. On a consolidated basis, the footwear maker's net profit rose 29.97% to Rs 71.30 crore on a 7.26% increase in revenue from operations to Rs in Q2 September 2019 over Q2 September 2018. The result was announced after market hours today, 13 November 2019.

The benchmark indices ended with small gains after a volatile session on Monday. The key indices, which hovered in negative terrain for most part of the session, recovered in late trade, supported by decent buying in banks shares.

The barometer index, the BSE Sensex rose 21.47 points or 0.05% to close at a 40,345.08. The Nifty 50 index rose 4.80 points or 0.04% to 11,912.95.

Gains were capped due to negative global cues amid escalating violence in Hong Kong that pushed Asian stocks to their lowest since August.

Sentiment was also affected after credit rating agency Moody's late Thursday (7 November) lowered India's outlook to negative from stable, while retaining the issuer rating at Baa2. The rating agency said its decision to change the outlook to negative reflects increasing risks that economic growth will remain materially lower than in the past, partly reflecting lower government and policy effectiveness at addressing long-standing economic and institutional weaknesses, leading to a gradual rise in the debt burden from already high levels. Moody's cited a growing debt burden and the government's struggle to narrow the budget deficit.

The market breadth was negative. On the BSE, 1,244 shares rose and 1,293 shares fell. A total of 177 shares were unchanged.

In the broader market, the BSE Mid-Cap index rose 0.29%. The BSE Small-Cap index rose 0.17%. Both these indices outperformed the Sensex.

The domestic stock market will remain shut on Tuesday, 12 November 2019, for Gurunanak Jayanti.

Politics:

Shiv Sena MP Sanjay Raut on Monday slammed the Bharatiya Janata Party (BJP) and went on an all-out attack against the party. Raut also said that Shiv Sena is ready to form the government in Maharashtra with Congress and Nationalist Congress Party (NCP).

The Congress has decided to go into wait and watch mode on supporting Shiv Sena's bid to form the government as the saffron party heads to the Governor at 5 p.m. to stake its claim to power. Sena chief Uddhav Thackeray and NCP supremo Sharad Pawar met in Mumbai today and decided to wait for the Congress to come to a decision.

Domestic macro:

India's industrial production data and manufacturing production data for September 2019 will be announced today, 11 November 2019.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 71.47, compared with its close of 71.285 during the previous trading session.

Overseas:

European markets were trading lower amid a dampening of optimism over US-China trade, after U.S. President Donald Trump denied that he had agreed to roll back tariffs on Chinese goods.

Hopes of trade progress rose on Thursday when China's Commerce Ministry said Beijing and Washington had agreed to lift existing tariffs on one another's goods, but Trump on Friday said he had not agreed to any rollbacks.

Back in Europe, a survey released Monday showed British employers' hiring plans have climbed off an 18-month low, indicating a slightly more upbeat picture of the labor market than that which caused two Bank of England policymakers to advocate for a cut to interest rates last week.

Further, U.K.'s sovereign credit rating was placed on negative outlook by Moody's Investors Service, which said the country's ability to set policy has weakened in the Brexit era along with its commitment to fiscal discipline.

Asian stocks ended lower led by slide in Hong Kong shares after two protesters were shot by police during the morning commute.

In Hong Kong, the Hang Seng index declined 2.6% as political turmoil in the city worsened. At least two protesters were said to be injured when local police opened fire on Monday at mass demonstrations. Over the weekend, three pro-democracy lawmakers were arrested.

In US, the three major stock indexes posted record closing highs on Friday as investors brushed aside worries over the progress of U.S.-China trade talks, and as Walt Disney shares rose.

Meantime, Saudi Aramco will allow investors to start bidding for shares starting on November 17. The firm said it will provide the number and percentage of shares sold at a later stage, with book-building kicking off this week.

Crude:

In the commodities market, Brent crude for January 2019 settlement was down 84 cents at $61.67 a barrel.

Buzzing Domestic Index:

The Nifty Bank index rose 1.27% to end at 31,138.90, extending its gaining streak for fourth straight session. The index has risen 3.04% from a recent closing low of 30,219.85 on 5 November 2019.

Among the private sector banks, RBL Bank (up 6.02%), Yes Bank (up 5.80%), ICICI Bank (up 1.53%), IndusInd Bank (up 1.50%), Federal Bank (up 1.22%), Axis Bank (up 1.12%), Kotak Mahindra Bank (up 0.94%), HDFC Bank (up 0.73%) and City Union Bank (up 0.40%) advanced.

Among the public sector banks, IDBI Bank (up 1.68%), Canara Bank (up 1.32%), Central Bank (up 1.23%), Bank of India (up 1.05%), Union Bank of India (up 1.01%), United Bank of India (up 0.91%), State Bank of India (up 0.78%) and Punjab National Bank (up 0.57%) advanced.

Bank of Baroda rose 2.88% after the bank registered 73.2% increase in net profit to Rs 736.68 crore in Q2 September 2019 from Rs 425.38 crore in Q2 September 2018. Total income rose 64.5% to Rs 22,097.91 crore in Q2 September 2019 over Q2 September 2018.

Q2 results:

NTPC rose 0.72% after the company reported 36.37% rise in net profit to Rs 3400.84 crore on 5.66% rise in total income to Rs 26266.05 crore in Q2 September 2019 over Q2 September 2018.

Nestle India fell 2.54% . Nestle India's net profit rose 33.5% to Rs 595.41 crore on 9.5% increase in net sales to Rs 3,199.31 crore in Q3 September 2019 over Q3 September 2018.

Tata Power Company lost 3.70% after consolidated net profit slipped 19.5% to Rs 270.17 crore on 4.4% increase in net sales to Rs 7,677.82 crore in Q2 September 2019 over Q2 September 2018. Net profit declined mainly due to favourable tariff order in Mumbai licensed area in the previous year.

Dr. Lal PathLabs gained 2.02% after the company recorded 41.48% jump in consolidated profit after tax to Rs 80.50 crore on 15.15% increase in revenues to Rs 365.60 crore in Q2 September 2019 over Q2 September 2018.

Real estate developer Sobha fell 3.26%. The real estate development company's consolidated net profit rose 9.1% to Rs 67 crore on a 19% increase in net sales to Rs 783.90 crore in Q2 September 2019 over Q2 September 2018.

Akzo Nobel India slumped 8.67%. The global paints and coatings company's consolidated net profit increased by 34% to Rs 49.25 crore in Q2 September 2019 from Rs 36.75 crore in Q2 September 2018. Net sales, however, fell to Rs 633.82 crore in Q2 September 2019, down by 11.2% from 713.80 crore in Q2 September 2018.

Amara Raja Batteries surged 9.83%. The battery maker reported 81.8% increase in consolidated net profit to Rs 218.61 crore in Q2 September 2019 over Q2 September 2018. The company's net sales recorded a de-growth of 3.3%, falling to Rs 1,695.31 crore in Q2 September 2019 from Rs 1753.05 crore in Q2 September 2018.

Narayana Hrudayalaya jumped 5.40% after consolidated net profit jumped 233.8% to Rs 45.33 crore in Q2 September 2019 from Rs 13.58 crore in Q2 September 2018. Net sales improved 15.6% to Rs 822.30 crore in Q2 September 2019 from Rs 711.28 crore in Q2 September 2018. The result was announced after market hours on Friday, 8 November 2019.

Motherson Sumi Systems rose 4.14% after consolidated profit after tax rose by 4% to Rs 385 crore in Q2 FY20 from Rs 371 crore in Q2 FY19. Revenues increased by 6% to Rs 15,709 crore in Q2 September 2019 from Rs 14,854 crore in Q2 September 2018. The result was announced during market hours today, 11 November 2019.

IDBI Bank rose 1.68% after the bank reported net loss of Rs 3,458.84 crore in Q2 September 2019, lower than net loss of Rs 3,602.49 crore during Q2 September 2018. Total income rose 1.12% to Rs 6,231.02 crore in Q2 September 2019 over Q2 September 2018. The announcement was made after market hours on Friday, 8 November 2019.

Stocks in Spotlight

Maruti Suzuki India fell 0.94%. Maruti Suzuki India reported a fall in total automobile production in October 2019 over October 2018. Maruti Suzuki India's total automobile production fell 20.67% to 1.19 lakh units in October 2019 from 1.50 lakh units in October 2018. Total passenger vehicles produced in October 2019 stood at 1.17 lakh units, down by 20.95% from 1.48 lakh units in October 2018. The production of light commercial vehicles fell 10.33% to 1,954 units in October 2019 as against 2,179 units in October 2018.

Tata Motors rose 1.68%. Jaguar Land Rover retail sales in October 2019 were 41,866 vehicles, down 5.5% compared to October 2018. Sales continued to recover in China (up 16.2% year-on-year), the fourth consecutive month of double-digit sales growth in the region. UK sales were down 18.7% for the month, bringing the year-to-date figure to 4.2% down, which is in line with industry trends. Sales were relatively flat (down 0.3%) in North America and down in Europe (down 7.9%) and overseas (down 10.8%).

The market reversed two-rising streak amid broad based selling pressure on Friday. Sentiment was affected after Moody's cut India's credit ratings outlook to negative from stable, citing the government's struggle to lift economic growth and narrow the budget deficit.

Investors also mirrored negative global stocks amid uncertainty about the ongoing China-US trade war. The media reported that an agreement between the United States and China to roll back existing tariffs as part of a phase one trade deal faces fierce internal opposition in the White House and from outside advisers. The idea of a tariff rollback was not part of the original October handshake deal between Chinese Vice Premier Liu He and U.S. President Donald Trump, reports added.

The barometer index, the BSE Sensex fell 330.13 points or 0.81% to close at a 40,323.61. The Sensex scaled fresh all time high of 40,749.33 in afternoon trade.

The Nifty 50 index fell 103.90 points or 0.86% to 11,908.15. The index hit an intraday high of 12,034.15 in afternoon trade.

In the broader market, the S&P BSE Mid-Cap index fell 0.79% while the S&P BSE Small-Cap index declined 0.53%.

The market breadth was negative. On the BSE, 1040 shares rose and 1482 shares fell. A total of 175 shares were unchanged.

Economy:

Credit rating agency Moody's lowered nation's outlook to negative from stable, while retaining the issuer rating at Baa2. The rating agency said its decision to change the outlook to negative reflects increasing risks that economic growth will remain materially lower than in the past, partly reflecting lower government and policy effectiveness at addressing long-standing economic and institutional weaknesses, leading to a gradual rise in the debt burden from already high levels. Moody's cited a growing debt burden and the government's struggle to narrow the budget deficit.

Finance Minister Nirmala Sitharaman on Thursday chaired a meeting with members of the Financial Stability and Development Council (FSDC). The FSDC is an apex-level body constituted, with an aim to strengthen and institutionalise the mechanism of maintaining financial stability and financial sector development among others, by the government of India with the finance minister as its head.

The body also includes the Reserve Bank of India (RBI) governor and chairpersons of the Securities and Exchange Board of India (SEBI), Insurance Regulatory and Development Authority (IRDA) as its members along with finance ministry officials. The last meeting of the FSDC was held on June 19, in which the global and domestic economic situation and financial stability issues including, inter-alia, those concerning banking and NBFCs were reviewed among others.

Crude & Currency:

In the foreign exchange market, the Indian rupee edged lower against the dollar. In the spot currency market, the Indian unit was last seen trading at 71.205. On Thursday, it closed at 70.97 against the US dollar.

In the commodities market, Brent crude for January 2020 settlement was down 91 cents at $61.38 a barrel. The contract rose 55 cents or 0.89% to settle at $62.29 a barrel during the previous trading session.

Foreign market:

European stocks declined while most Asian markets ended lower amid uncertainty about the fate of the trade negotiations between the United States and China. Worries the pact could fall apart are now prompting some investors to sell heading into the weekend.

China's Commerce Ministry said Thursday that the world's two largest economies had agreed to lift existing tariffs in phases. Shortly thereafter, a White House spokesperson told Fox News that she was “very optimistic” that Washington and Beijing would reach a trade deal soon.

It prompted a surge of optimism in financial markets on Thursday, but worries that the pact could fall apart has since dampened investor sentiment.

German exports posted their biggest rise in almost two years in September, data showed on Friday.

China's exports and imports declined less than expected in October.

In US, the Dow and S&P 500 notched record closing highs on Thursday as the latest signs of progress in U.S.-China trade relations relieved investors, but a report raising fresh worries about the outlook for a deal limited the day's gains.

Buzzing Index:

The Nifty Pharma index fell 2.24% at 7,787.40, snapping its 2-day winning streak.

Sun Pharmaceutical Industries (down 4.23%), Aurobindo Pharma (down 2.89%), Lupin (down 2.54%), Glenmark Pharmaceutical (down 2.37%), Cipla (down 2.06%), Dr. Reddy's Laboratories (down 1.77%), Piramal Enterprises (down 1.26%), Divi's Laboratories (down 0.99%) and Cadila Healthcare (down 0.92%) declined.

Wockhardt tumbled 4.79%. The company reported a consolidated net loss of Rs 94.24 crore on a net loss in Q2 September 2019, higher than net loss of Rs 30.84 crore in Q2 September 2018. Net sales declined 28.7% to Rs 802.18 crore on YoY basis. The company announced its Q2 2019 earnings after market hours yesterday.

Q2 earnings:

Mahindra & Mahindra (M&M) slipped 0.07%. M&M reported 24% decline in combined profit after tax (after EI) to Rs 1,355 crore on a 15% decline in revenues to Rs 10,935 crore in Q2 September 2019 over Q2 September 2018.

The company reported a combined operating margin of 14.1% in Q2 FY20 as against 14.5% in Q2 FY19.

The company sold 1.10 lakh vehicles in Q2 FY20, lower by 21% from 1.41 lakh units in Q2 FY19. The total tractors sales decrease by 6% to 68,359 units in Q2 FY20 as against 73,012 units in Q2 FY19. Total exports slumped 21% to 10,540 units in Q2 FY20 as compared to 13,377 units in Q2 FY19.

The results include the combined results of M&M and Mahindra Vehicle Manufacturers (MVML), which is a manufacturing unit of M&M.

Eicher Motors rose 1.26%. On consolidated basis, the company's net profit rose 1.19% on YoY basis backed by corporate tax rate cut during the current quarter. The company reported profit after tax at Rs 573 crores in Q2 September 2019 as compared to Rs 549 crores in Q2 September 2018. Total revenue from operations fell 9% amid slowdown in auto segment. The company reported revenue from operations stood at Rs 2,192 crore in Q2 2019 compared with Rs 2,408 crore in Q2 2018. EBITDA stood at Rs 541 crore in Q2FY19, down by 26% compared to Rs 729 crore in Q2FY2018.

GAIL (India) fell 3.86%. On consolidated basis, the company's net profit declined 34.73% YoY to Rs 1167.58 crore in Q2 September 2019. Total revenue from operations fell 6% to Rs 18249.90 crore in Q2 2019 compared with Rs 19352.98 crore in Q2 2018.

Power Grid Corporation of India shed 1.26%. The company reported 9.49% rise in consolidated net profit to Rs 2571.10 crore on 2.34% fall in total income to Rs 9659.79 crore in Q2 September 2019 over Q2 September 2018.

Bharat Petroleum Corporation (BPCL) declined 2.03%. BPCL reported 2.68% rise in consolidated net profit to Rs 1502.63 crore on 10.99% fall in total income to Rs 65015.28 crore in Q2 September 2019 over Q2 September 2018.

GlaxoSmithkline Consumer Healthcare slipped 2.80%. The company reported 25.34% rise in net profit to Rs 345.31 crore on 4.57% rise in total income to Rs 1423.22 crore in Q2 September 2019 over Q2 September 2018.

UPL fell 4.18%. The company's consolidated net profit fell 59.4% to Rs 126 crore on 83.6% surge in net sales to Rs 7,817 crore in Q2 September 2019 over Q2 September 2018.

Stocks in Focus:

Morgan Stanley Capital International (MSCI) announced the results of the November 2019 semi-annual index review for the MSCI equity indexes. All changes will be implemented as of the close of 26 November 2019.

HDFC Asset Management Company (up 5.65%), DLF (up 5.59%), ICICI Prudential Life (up 0.31%), SBI Life Insurance Co (down 0.44%), Siemens India (down 1.08%) and Berger Paints India (down 4.19%) were included in the MSCI India Domestic Index.

Indraprastha Gas (up 6.44%) and Info Edge (India) (up 0.76%) were also added in the MSCI India Domestic Index. Simultaneously, these two stocks were excluded from the MSCI India Domestic Small Cap Index.

Meanwhile, Indraprastha Gas reported 101.25% rise in consolidated net profit to Rs 415.82 crore on 19.93% rise in total income to Rs 1773.84 crore in Q2 September 2019 over Q2 September 2018.

DLF reported 140% rise in consolidated net profit to Rs 414.72 crore on 11.7% decline in net sales to Rs 1331.19 crore in Q2 September 2019 over Q2 September 2018.

Bajaj Finance fell 1.58% to Rs 4160.55. The company allotted 2.17 crore shares to eligible qualified institutional buyers at the issue price of Rs 3,900 per equity share, aggregating to Rs 8,499 crore. The issue opened on 4 November 2019 and closed on 7 November 2019.

Reliance Industries fell 0.92%. Reliance Strategic Business Ventures (RSBVL), a wholly owned subsidiary of the Reliance Industries has acquired further shares in SkyTran Inc. on 6 November 2019, to increase its shareholding in SkyTran Inc. to 17.37% on a fully diluted basis.

Raymond hit 20% upper circuit at Rs 808.40. The company announced the demerger of its core lifestyle business into a separate entity that will be listed through mirror shareholding structure. Every shareholder of Raymond will be issued the shares of the new company in the ratio of 1:1. The move will create a clear demarcation of lifestyle & other businesses leading to the simplification of the group structure.

In another development, Raymond announced the allotment of equity shares and compulsorily convertible preference shares (CCPS) to J. K. Investo Trade (India) (JKIT), an associate company, against the infusion of net proceeds of JKIT land sale that was announced in October 2019. A total of Rs 350 crore will be used to repay the debt thus deleveraging the balance sheet of Raymond.

The benchmark indices extended gains for second straight session on Thursday, reacting to development on the US-China trade front. Media reports suggested that China and the U.S. have agreed to roll back tariffs on each other's goods in phases as they work toward a deal between the two sides.

The barometer index, the BSE Sensex rose 183.96 points or 0.45% to close at a 40,653.74, its record closing high level. The Sensex scaled fresh all time high of 40,688.27 at the fag end of the trading session.

The Nifty 50 index rose 50.05 points or 0.42% to 12,016.10. The index hit an intraday high of 12,021.40. The Nifty closed above the crucial 12,000-mark for the first time since 4 June 2019. The NSE benchmark index is 86.95 points away from its all time high of 12,103.05 hit on 3 June 2019.

The broader market outperformed the benchmark index. The S&P BSE Mid-Cap index rose 0.69% while the S&P BSE Small-Cap index rose 0.54%.

The market breadth was positive. On the BSE, 1339 shares rose and 1187 shares fell. A total of 185 shares were unchanged.

Currency & crude:

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 70.98, compared with its close of 70.9775 during the previous trading session.

In the commodities market, Brent crude for January 2019 settlement was up 75 cents at $62.52 a barrel. The contract fell $1.21 or 1.92% to settle at $61.77 a barrel during the previous trading session.

Foreign markets:

Trading in US index futures indicated that the Dow Jones Industrial Average could rise 158 points at the opening bell today, 7 November 2019.

Shares in Europe and Asia edged higher after China said the world's two largest economies had agreed to cancel additional tariffs imposed in their months-long trade war.

China's Commerce Ministry said Thursday that Washington and Beijing had over the past two weeks agreed to a phased removal of duties on billions of dollars' worth of each other's goods.

If China, U.S. reach a phase-one deal, both sides should roll back existing additional tariffs in the same proportion simultaneously based on the content of the agreement, which is an important condition for reaching the agreement, China's Ministry of Commerce spokesperson Gao Feng said Thursday.

China's key demand since the beginning of negotiations has been the removal of tariffs imposed by US President Donald Trump, which by now apply to the majority of its exports to the U.S.

Buzzing index back home:

Real estate shares advanced after the Union Cabinet approved special window for funding of stalled affordable and middle-income housing projects.

The Nifty Realty index rose 0.88% at 276.45. Peninsula Land (up 12.08%), D B Realty (up 4.98%), Indiabulls Real Estate (up 4.94%), HDIL (up 4.60%), Unitech (up 3.70%), Phoenix Mills (up 3.11%), Sobha (up 2.34%), Prestige Estates (up 1.48%), Oberoi Realty (up 0.83%), DLF (up 0.44%) and Godrej Properties (up 0.22%) advanced.

The Union Cabinet chaired by Prime Minister Narendra Modi on Wednesday approved the establishment of a 'special window' fund to provide priority debt financing for the completion of stalled housing projects that are in the affordable and middle-income housing sector. For the purposes of the fund, the government shall act as the sponsor and the total commitment to be infused by the government would be upto Rs 10,000 crore. The fund will be set up as a Category-11 AIF (alternate investment fund) debt fund registered with Sebi and would be professionally run.

For the first AIF under the special window, it is proposed that SBICAP Ventures shall be engaged to be the investment manager. This fund would in turn provide relief to developers that require funding to complete a set of unfinished projects and consequently ensure delivery of homes to the home-buyers. Since the real estate industry is intrinsically linked with several other industries, growth in this sector will have a positive effect in releasing stress in other major sectors of the Indian economy as well.

Stocks in spotlight:

Gains in index pivotals Reliance Industries (RIL), HDFC and ITC pushed key benchmarks higher. Index heavyweight RIL rose 1.86% to Rs 1458.80. HDFC rose 1.38% to Rs 2250.90. ITC rose 1.78% to Rs 265.90.

Indiabulls Housing Finance jumped 8.85% after the board approved fund raising plans. The company said its board approved issuance of secured and/or unsecured redeemable non-convertible debentures (NCDs), in one or more tranches, by way of a public issue and/or private placement of up to Rs 10,000 crore. The NCDs are proposed to be listed on the National Stock Exchange of India, BSE or any other stock exchange, as may be decided by the board of directors of the company from time to time.

The board also approved issuance of non-convertible debentures along with warrants through qualified institutions placement of up to Rs equivalent to $1 billion.

Indiabulls Housing Finance reported its Q2 earnings after market hours yesterday. On consolidated basis, company's net profit declined 32.15% to Rs 702.18 crore on a 19.62% drop in total revenue from operations to Rs 3419.54 crore in Q2 September 2019 over Q2 September 2018. The board has also declared an interim dividend of Rs 7 per equity share.

JB Chemicals & Pharmaceuticals jumped 6.19% after the company said its board will consider buyback of equity shares on 12 November 2019.

Prakash Industries rose 8.10% after the company announced on Wednesday that it emerged as highest bidder for Bhaskarpara coal mine in Chhattisgarh.

Hindustan Unilever (HUL) fell 1.93%. HUL said that the National Company Law Tribunal, Mumbai Bench, has sanctioned the scheme of amalgamation among GlaxoSmithKline Consumer Healthcare and HUL and their respective shareholders and creditors.

MSTC was locked in an upper circuit of 20% at Rs 147.8. The company has entered into a memorandum of understanding (MOU) with Burn Standard Co for e-Auction services for sale of movable assets and immovable assets. The agreement shall remain valid up to 31 March 2021 until it is terminated by either party by giving three months notice.

Further, Larsen and Toubro appointed MSTC as the selling agent for the sale of scrap arising (ferrous and non-ferrous) from buildings and factories of L&T in India through MSTC's e-Auction website. The contract will remain valid till its termination by giving advance notice of 1 month.

Q2 results:

Drug major Sun Pharmaceutical Industries rose 3.02% after consolidated net profit stood at 1,064.09 crore in Q2 September 2019 over a net loss of Rs 269.60 crore in Q2 September 2018. The consolidated net sales jumped 16.10% to Rs 7,949.19 crore in Q2 September 2019 over Q2 September 2018. The result was announced during market hours today, 7 November 2019.

Adjusted for the exceptional item of Rs 1,214 crores for Q2 last year, net profit growth was 12.6% in Q2 September 2019. EBITDA was at Rs 1,616 crore, up by 12% over Q2 last year.

HPCL fell 1.12%. The firm announced its Q2 earnings during market hours today. Net profit fell 3.63% to Rs 1,052.31 crore on 9.40% decline in total income to Rs 66,850.89 crore in Q2 September 2019 over Q2 September 2018. Average gross refining margin during the six months ended 30 September 2019 was $1.87 per BBL as against $5.93 per BBL during the corresponding period of previous year.

Bombay Stock Exchange (BSE) rose 0.57%. The exchange announced weak Q2 numbers after market hours yesterday. The company's net profit declined 22% to Rs 36 crore in Q2 September 2019 over Rs 46 crore in Q2 September 2018. Revenue from operations were down 5% to Rs 109 crore on YoY basis.

Voltas fell 0.87%. On a consolidated basis, the company's year-on-year profit after tax was flat at Rs 107 crore in Q2 September 2019. Total income inched up 1.91% at Rs 1495 crore in Q2 September 2019 over Q2 September 2018. PBT rose 7.14% to Rs 150 crore in Q2 September 2019 over Q2 September 2018. The company reported a 8.53% decline in employees expense to Rs 157.60 crore during the period under review. The result was announced after market hours yesterday, 7 November 2019.

Tata Steel fell 0.30%. The firm announced its Q2 earnings after market hours yesterday. On consolidated basis, the steel major reported a 6% rise in net profit to Rs 3,302.31 crore on the back of one time deferred tax gain of Rs 4365.33 crore in Q2 September 2019. Adjusted profit after extra-ordinary item fell 10.88% to Rs 3,123.65 crore in Q2 September 2019 over Q2 September 2018. Net sales fell 15.77% to Rs 33,953.75 crore during the period under review. Adjusted EBITDA dropped 46% to Rs 3817 crore on YoY basis. The company had a favorable tax impact of Rs 4,233 crore of which Rs 2,425 crore was on adoption of the new corporate tax rate by Tata Steel Standalone and some subsidiaries in India and Rs 1,808 crore was on account of recognition/reversal of deferred tax assets and liabilities in offshore subsidiaries.

Key equity benchmarks reversed early losses and ended in the green on Wednesday. Positive global cues supported sentiment. Gains in private banks and index major Infosys pushed the indices higher. Realty stocks surged on buzz of likely reforms for the sector.

The barometer index, the BSE Sensex rose 221.55 points or 0.55% to close at a 40,469.78. The Sensex ended at record closing high level after hitting an all time high of 40,606.91 in intraday today.

The Nifty 50 index rose 48.85 points or 0.41% to 11,966.05. The index hit an intraday high of 12,002.90. The Nifty is still 142.05 points, or 1.19% away from its all time high of 12,103.05 hit on 3 June 2019.

In the broader market, the BSE Mid-Cap index rose 0.15% and the BSE Small-Cap index was fell 0.36%.

The market breadth was negative. On the BSE, 1224 shares rose and 1280 shares fell. A total of 199 shares were unchanged.

Economy:

Fitch Solutions has raised India's fiscal deficit forecast to 3.6% of the GDP for this fiscal year, from 3.4% previously, due to weak revenue collections resulting from sluggish economic growth and government's sweeping corporate tax rate cut.

Fitch said it was revising the fiscal deficit forecast as revenue collection is likely to fall far short of the projections in the FY2019/20 Union Budget due to weak goods and services tax (GST) and corporate income tax collections.

Foreign markets:

Most European shares were trading higher while most Asian stocks ended higher on Wednesday as investors awaited new developments toward scaling back a bruising trade war between the United States and China.

China is reportedly pressing U.S. President Donald Trump to roll back tariffs the U.S. imposed in September before a phase one trade deal is signed between the world's two biggest economies.

UN economists warned in a report on Tuesday that the Sino-U.S. trade war was a lose-lose situation, costing China $35 billion in the first half of this year while U.S. consumers and companies bore the brunt of the most expensive tariffs.

Meanwhile, media report on Tuesday suggested that finalizing a location for a meeting between Trump and Chinese leader Xi Jinping has become another hurdle for the deal. However, traders are largely optimistic that the preliminary agreement could be signed as early as this month.

US stocks were mixed on Tuesday as investors paused in the wake of a rally buoyed by hopes of a trade deal between the United States and China that sent the three main U.S. stock indexes to record highs in the previous session.

Buzzing sectors:

The Nifty Realty index jumped 2.30% to 273.85, reversing losses incurred in past two sessions.

Indiabulls Real Estate (up 4.95%), Sobha (up 4.44%), DLF (up 4.07%), Godrej Properties (up 3.46%), Prestige Estates (up 3.05%), Sunteck Realty (up 1.58%), Oberoi Realty (up 1.02%), Mahindra Lifespace Developers (up 0.31%) and Omaxe (up 0.24%) advanced.

Realty stocks buzzed on hopes that the government's next round of reforms are likely to be focused on real estate sector. Finance minister Nirmala Sitharaman was quoted by the media as saying on Tuesday, that the real estate sector requires a lot more attention because the sluggishness which prevails there has got to be addressed. The government is very keen and is working very clearly together with Reserve Bank of India (RBI) to see how best we can make necessary tweaks to the existing blocks to help the people who are affected in this one sector which I have not really completely addressed till now, she added.

The Nifty Bank index rose 1.23% to 30,591, reversing yesterday's losses.

Private sector banks were in demand. RBL Bank (up 1.89%), IndusInd Bank (up 1.74%), HDFC Bank (up 1.42%), Axis Bank (up 1.29%), Kotak Mahindra Bank (up 1.13%), Yes Bank (up 0.59%) and Federal Bank (up 0.3%) edged higher.

ICICI Bank rose 2.64%. MSCI is due to announce the results of its semi-annual index review on November 8, including a list of stock additions and removals, along with changes in weightages. The changes will be effective November 27.

Thanks to foreign portfolio investors reducing their stake in ICICI Bank during the preceding quarter, its weightage in the MSCI index is likely to double. According to a domestic broking firm, MSCI rejig will result in a flow of approximately $1.2 billion into the ICICI Bank stock.

Most public sector banks declined. Bank of Baroda (down 2.41%), IDBI Bank (down 1.18%), Punjab National Bank (down 0.85%), Bank of India (down 0.64%) and State Bank of India (down 0.52%) declined.

Canara Bank rose 1.98%. The bank's net profit rose 21.83% to Rs 364.92 crore on a 14.06% rise in total income to Rs 14,461.73 crore in Q2 September 2019 over Q2 September 2018. The bank reported an improvement in asset quality. The ratio of gross NPAs to gross advances stood at 8.68% as on 30 September 2019 as against 8.77% as on 30 June 2019 and 10.56% as on 30 September 2018.

Stocks in spotlight:

IT major Infosys rose 2.37% to Rs 712.30 after chairman Nandan Nilkeni said that co-founders had no role in the whistleblower complaints. The company said it strongly condemns the mischievous insinuations made by anonymous sources against the co-founders and former colleagues, suggesting their involvement in the recent whistleblower allegations.

According to Nandan Nilekani, chairman, Infosys, These speculations are appalling and seem to be aimed at tarnishing the image of some of the most accomplished and respected individuals. I have deep regard for the life-long contribution of all our cofounders. They have built this institution and have served this company selflessly and even today, remain committed to the long-term success of Infosys.

As previously stated, the audit committee has appointed an external law firm to conduct an independent investigation into the allegations made in the complaints. The firm will share the outcome of the investigation at the relevant time with all stakeholders, the company added in its statement issued during trading hours today, 6 November 2019.

PC Jeweller jumped 8.04% to Rs 34.95 after the company settled a case with Sebi regarding alleged non-disclosure of certain information about a share buyback offer that was withdrawn later. The company paid Rs 19,12,500 towards full and final settlement of the alleged default, according to an order.

Aurobindo Pharma fell 4.80% to Rs 450.75. The company said that the U.S. Food and Drug Administration (FDA) issued Form 483 to the company with four observations after inspecting its Hyderabad facilities in October 2019.

Hero MotoCorp rose 0.50% to Rs 2677.10. The board of directors of Hero MotoCorp has considered and approved an investment of upto Rs 450 crore in its associate company, Hero FinCorp (HFCL) by subscribing to the issue of shares by way of private placement in one or more tranches.

Maruti Suzuki India fell 1% to Rs 7311.55. Maruti Suzuki and Toyota Tsusho Group announced setting up one-of-its-kind vehicle dismantling and recycling joint venture, Maruti Suzuki Toyotsu India (MSTI). The joint venture is between Maruti Suzuki India (MSIL) and Toyota Tsusho Group (Toyota Tsusho Corporation (TTC) and Toyota Tsusho India (TTIPL)) with each owning a 50% equity.

Earnings watch:

Drug major Lupin rose 2.29% to end at Rs 772.15. On consolidated basis, the company reported a net loss of Rs 127 crore in Q2 September 2019 as against a net profit of Rs 265.98 crore in Q2 September 2018. The company's revenue from operations rose 10.34% to Rs 4359.65 crore on YoY basis.

Lupin reported a one-time loss of Rs 546 crore due to adjustments made during the quarter, including provisions worth Rs 379.18 crore toward a Texas lawsuit and a loss of Rs 167.30 crore toward selling stake in a Japanese joint venture, Kyowa CritiCare Co.

Drug major Cipla advanced 2.76% to Rs 480.50. Net profit rose by 25% to Rs 471 crore on a 10% in total revenue from operations to Rs 4,395.78 crore in Q2 September 2019 over Q2 September 2018. EBITDA jumped by 21% to Rs 909 crore in Q2 September 2019 as compared to Rs 753 crore in corresponding quarter in the last fiscal. Revenue and EBITDA growth were aided by growth across key businesses.

Titan Company slumped 9.96% to Rs 1156. The company lowered guidance of its jewellery business for the rest of the year due to weak consumer sentiment and high gold prices.

Titan's standalone net profit rose 1.83% to Rs 320.16 crore on 0.4% rise in net sales to Rs 4,370.82 crore in Q2 September 2019 over Q2 September 2018. Revenue growth during the quarter was impacted substantially by the decline in the revenues of the jewellery division due to the sudden spike in gold prices in June 2019. Jewellery segment revenue declined by 1.5% in Q2. After a sudden surge in gold prices in mid-June, there was a considerable decline in sales in July. Higher level of promotion and schemes, led to strong growth in the months of August and September.

The company lowered its jewellery sales growth guidance to 11-13% for the second half of 2019-20 from 20% earlier, the company said in its conference call Tuesday.

IT firm Tech Mahindra slipped 0.17% to Rs 771.85. The company reported 17.2% rise in consolidated profit after tax to Rs 1124 crore on a 4.8% rise in revenue to Rs 9070 crore in Q2 September 2019 over Q1 June 2019. EBITDA rose 14.2% to Rs 1501 crore while the EBITDA margins rose by 130 bps to 16.5% in Q2 September 2019 over Q1 June 2019.

Gillette India fell 3.45% to Rs 7625.55. The company reported 5.49% fall in net profit to Rs 61.76 crore on 1.25% rise in net sales to Rs 462.20 crore in Q1 September 2019 over Q1 September 2018.

The company stated that the fall in net profits was largely due to increased spending on advertising and innovation. The result was announced after market hours yesterday, 5 November 2019.

Key equity indices declined on Tuesday, as investors locked profits after seven-day rising streak. The barometer index, the BSE Sensex fell 53.73 points or 0.13% to close at a 40,248.23. The Nifty 50 index fell 24.10 points or 0.20% to close at a 11,917.20.

In the broader market, the S&P BSE Mid-Cap index fell 1.13% while the S&P BSE Small-Cap index fell 0.80%. Both these indices underperformed the Sensex.

The market breadth was weak. On the BSE, 989 shares rose and 1505 shares fell. A total of 162 shares were unchanged.

The Sensex rose 3.28% and the Nifty rose 3.13% in seven straight trading sessions till Monday, 4 November 2019, from their recent closing low on 24 October 2019. Gains were supported by better-than-expected Q2 results, rate cut by US Federal Reserve and easing Sino-US trade war tensions.

Macro data:

The IHS Markit India Services Business Activity Index rose to 49.2 in October 2019 from 48.7 in September 2019.

The Composite PMI Output Index fell from 49.8 in September 2019 to 49.6 in October 2019.

The indices vary between 0 and 100, with a reading above 50 indicating an overall increase compared to the previous month and below 50 an overall decrease.

Currency and crude:

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 70.69, compared with its close of 70.77 during the previous trading session.

In the commodities market, Brent crude for January 2019 settlement was up 64 cents at $62.77 a barrel. The contract rose 50 cents or 0.81% to settle at $62.14 a barrel during the previous trading session.

Economy:

India on Monday declined to join a 16-nation grouping led by China known as the Regional Comprehensive Economic Partnership (RCEP).

RCEP is a proposed agreement between the member states of the Association of Southeast Asian Nations (Asean) and its free trade agreement (FTA) partners. The pact aims to create an integrated market with 16 countries, making it easier for products and services of each of these countries to be available across this region. The RCEP countries include the 10 members of the Association of Southeast Asian Nations, plus China, Japan, South Korea, Australia and New Zealand.

A summit of the leaders of RCEP left open the door for India to still join if it can resolve issues before the deal is set to be signed in 2020.

Foreign market

Most European shares traded higher as investors awaited updates on a potential U.S.-China trade deal and monitored global economic developments.

New data published by the British Retail Consortium (BRC) on Tuesday showed that consumer spending in the U.K. saw its strongest year-over-year increase in October for six months. However, the organization warned that sales growth over a 12-month period fell to a new low of 0.1%.

PMI data from IHS Markit showed that the euro zone's manufacturing sector continued to contract during October.

Asian stocks ended higher following record closes overnight on Wall Street. A private survey of China's services sector showed activity slowing to a eight month low in October. The Caixin/Markit services Purchasing Managers' Index (PMI) for October came in at 51.1 - its lowest reading since February. The 50-point level separates expansion from contraction in PMI readings.

The US stock market finished session at fresh record high on Monday, 4 November 2019, as investors risk sentiments boosted up on hopes of a U.S.-China trade deal, third-quarter earnings season, and an improving U.S. economy.

Media reports suggested that US President Donald Trump has invited his Chinese counterpart Xi Jinping to sign the phase one of a bilateral trade deal when it is agreed upon.

Domestic Q2 results:

Titan Company fell 1.2% to end at Rs 1283.85. The company's net profit rose 1.83% to Rs 320.16 crore on 0.4% rise in net sales to Rs 4,370.82 crore in Q2 September 2019 over Q2 September 2018. Revenue growth during the quarter was impacted substantially by the decline in the revenues of the jewellery division due to the sudden spike in gold prices in June 2019. The result was announced after market hours today, 5 November 2019.

Tech Mahindra rose 0.49% to end at Rs 773.15. The company reported 17.2% increase in consolidated profit after tax to Rs 1124 crore on a 4.8% rise in revenue to Rs 9070 crore in Q2 September 2019 over Q1 September 2018. EBITDA improved by 14.2% to Rs 1501 crore while the EBITDA margins rose by 130bps to 16.5% in Q2 September 2019 over Q1 September 2018. The result was announced after market hours today, 5 November 2019.

Dabur India rose 4.73%. The firm's consolidated net profit rose 6.91% to Rs 403.64 crore on 4.09% rise in net sales to Rs 2,211.97 crore in Q2 September 2019 over Q2 September 2018. The result was announced during market hours today, 5 November 2019.

The net profit was impacted by one-time impairment in value of investments to the tune of Rs 40 crore. Excluding this impairment, the net profit for Q2 of 2019-20 marked a 15.1% growth year-on-year. The domestic FMCG business reported an underlying volume growth of 4.8% during the quarter. The domestic FMCG volume growth for the quarter, excluding the foods business, stood at 7.4%.

Dabur India mitigated the impact of macro-economic headwinds and a prolonged slowdown to deliver a 4.09% growth in consolidated revenue and an improvement of 90 bps in operating margin during the second quarter of 2019-20 financial year.

Punjab National Bank (PNB) fell 5.06%. PNB reported a net profit of Rs 507.05 crore in Q2 September 2019 compared with a net loss of Rs 4,532.35 crore in Q2 September 2018. Total income rose 10.83% to Rs 15,556.61 crore while net interest income rose 7.29% to Rs 4,263.84 crore in Q2 September 2019 over Q2 September 2018.

The bank's provisions and contingencies fell 69.98% to Rs 2,928.90 crore in Q2 September 2019 over Q2 September 2018. It, however, jumped 44.76% compared with Rs 2023.31 in Q1 June 2019.

Indian Overseas Bank tanked 11.27%. The bank reported a net loss of Rs 2,253.64 crore in Q2 September 2019 compared with a net loss of Rs 487.26 crore in Q2 September 2018. The total income fell 6.1% to Rs 5,024 crore in Q2 September 2019 as against Q2 September 2018. The result was announced after market hours yesterday, 4 November 2019.

The bank's provisions and contingencies jumped 48.56% to Rs 2,996.04 crore in Q1 September 2019 over Q1 September 2018. Provision coverage ratio of the bank was at 75.85% as on 30 September 2019.

Stocks in focus:

Yes Bank rose 3.40% to Rs 68.35. According to the bulk deal data, Rakesh Jhunjhunwala, purchased 1,29,50,000 shares, or 0.51% stake, in Yes Bank at an average price of Rs 67.10 on the BSE yesterday, 4 November 2019.

InterGlobe Aviation rose 1.77% to Rs 1461.45. Reports suggested that the company and Qatar Airways will make a strategic business announcement on 7 November 2019. IndiGo is planning an aggressive push to more international destinations and the airline's CEO Ronojoy Dutta and Qatar Airways CEO Akbar Al Baker will talk about the vision and future for both the airlines, reports suggested.

Qatar Airways CEO later confirmed to the media that he has no plans for making any investment in IndiGo.

Bajaj Finance rose 2.77% to Rs 4229.80. The company on Monday launched its qualified institutional placement (QIP) offer. The company's special committee has recommended a floor price of Rs 4,019.78 per equity share. The company may offer such discount on the floor price as may be approved by the special committee.

In a separate announcement, Bajaj Finance said that a meeting of the special committee is scheduled to be held on 7 November 2019 to consider and approve the issue price, including a discount for the equity shares to be allotted to qualified institutional buyers, pursuant to the issue.

Varun Beverages surged 11.44% to Rs 701.80. A global brokerage has maintained buy rating with a price target of Rs 860 per share. The company has posted strong growth in the international segment and it remains as our preferred pick in the consumer space, the brokerage said.

Key equity indices extended their winning streak for seventh trading session and ended with decent gains on Monday, supported by positive global cues. The barometer index, the BSE Sensex rose 136.93 points, or 0.34%, to attain a record closing high of 40,301.96. The Sensex hit an all time high of 40,483.21 in intraday today.

The Nifty 50 index rose 54.55 points, or 0.46%, to end at 11,945.15. The Nifty is still 157.90 points, or 1.32% away from its all time high of 12,103.05 hit on 3 June 2019.

The S&P BSE Mid-Cap index rose 0.01% while the S&P BSE Small-Cap index rose 0.22%. Both these indices underperformed the Sensex.

The market breadth was positive. On the BSE, 1430 shares rose and 1152 shares fell. A total of 173 shares were unchanged.

The Nifty opened higher and advanced further in early trade. It hit the day's high of 11,989 level in mid-morning trade. The 50-unit index pared gains in early afternoon trade. The Nifty managed to hold 11,900 throughout the session. The index firmed up once again in mid-afternoon trade and managed to close near 11,950 level.

Domestic shares have seen steady gains in the last few sessions supported by better-than-expected Q2 results, rate cut by US Federal Reserve and easing Sino-US trade war tensions. The Sensex has risen 3.28% and the Nifty is up 3.13% in seven straight trading sessions from their recent closing low on 24 October 2019.

Crude and currency:

In the foreign exchange market, the Indian rupee edged higher against the dollar. In the spot currency market, the Indian unit was last seen trading at 70.78. It closed at 70.81 in the previous session.

In the commodities market, Brent crude for January 2020 settlement was up 54 cents at $62.23 a barrel. The contract rose $2.07 or 3.47% to settle at $61.69 a barrel during the previous trading session.

Foreign Markets:

Overseas, shares in Europe continued to trade higher while Asian stocks ended higher on Monday as growing optimism over U.S.-China trade talks and upbeat U.S. job data boosted global investors' appetite for riskier assets.

U.S. stocks gained on Friday as the S&P 500 set a closing record for the third time in five days after an upbeat U.S. jobs report and data on Chinese manufacturing eased concerns about slowing global growth.

U.S. nonfarm payrolls rose by 128,000 in October, a Labor Department report showed, overshadowing data showing a contraction in the manufacturing sector for the third straight month.

The United States and China both said on Friday that they had made progress in talks aimed at defusing their protracted 16-month-long trade war, and U.S. officials reportedly said a deal could be signed this month.

Domestic Q2 results:

Housing Development Finance Corporation (HDFC) rose 2.48%. On a standalone basis, HDFC reported 60.58% increase in net profit to Rs 3,961.53 crore on a 19.87% increase in total income to Rs 13,494.12 crore in Q2 September 2019 over Q2 September 2018.

HDFC reported 80.38% jump in consolidated net profit to Rs 10,388.61 crore on a 43.14% increase in total income to Rs 32,850.89 crore in Q2 September 2019 over Q2 September 2018.

During the quarter ended 30 September 2019, HDFC sold 6,74,00,000 equity shares of GRUH Finance. This resulted in a pre-tax adjusted gain of Rs 8,000.29 crore in the consolidated financial results. The corporation has recognised such gains as realised gain of Rs 1,473.75 crore on sale of shares and the net unrealised gain of Rs 6,526.54 crore being fair value of the retained investment in GRUH. HDFC still holds 38% in GRUH.

Yes Bank fell 0.75%. The bank reported net loss of Rs 600.08 crore in Q2 September 2019 as compared to net profit of Rs 964.70 crore in Q2 September 2018. Total income fell 4.28% to Rs 8332.21 crore in Q2 September 2019 over Q2 September 2018. Yes Bank's overall profitability was hurt by a deferred tax asset (DTA) impact that resulted in a one-time additional charge of Rs 708.61 crore arising on account of change in corporate tax rate regime. Excluding this onetime impact, adjusted profit after tax (PAT) stood at Rs 109 crore in Q2 September 2019. The bank's profit before tax stood 122.19 crore in Q2 September 2019, down by 91.43% from 1426.46 crore in Q2 September 2018. The total income of the bank fell 4.28% to Rs 8332.21 crore in Q2 September 2019 over Q2 September 2018.

Relaxo Footwear rose 3.85%. On standalone basis, the company's net profit jumped 78.8% to 70.54 crore on a 14.5% increase in net sales to Rs 621.77 crore in Q2 September 2019 as compared to Q2 September 2018. The company's PAT margin improved to 11.3% in Q2 2019 from 7.3% in Q2 2018. The revenue growth was driven mainly by premiumization, product mix and price increase in selected categories. EBITDA jumped 42% to Rs 105 crore in Q2 September 2019 as against 74 crore in Q2 September 2018. The EBITDA margin improved to 16.8% in Q2 2019 from 13.5% in Q2 2018.

J K Lakshmi Cement surged 5.95%. The cement company reported a consolidated net profit of Rs 48.67 crore in Q2 September 2019 compared with net loss of Rs 4.80 crore in Q2 September 2018. Net sales rose 5.6% to Rs 1012.36 crore in the quarter ended on 30 September 2019 as compared to the corresponding quarter in last fiscal.

JSW Energy rose 4.84%. Consolidated net profit rose 11.7% to Rs 352.98 crore on 12.8% decline in net sales to Rs 2,118.55 crore in Q2 September 2019 over Q2 September 2018. Consolidated EBITDA climbed 5% to Rs 1,048 crore in Q2 September 2019 compared with Rs 998 crore in Q2 September 2018.

Shares in focus:

IT major Infosys rose 3.05% to Rs 709 after the company responded to NSE email on whistle-blower complaints. Last month an anonymous whistleblowers accused the chief executive officer (CEO) Salil Parekh and chief financial officer (CFO) Nilanjan Roy of unethical practices. The National Stock Exchange (NSE) sought clarification from the company on 22 October 2019 with reference to whistleblower complaints.

Infosys clarified on 2 November 2019 that the anonymous complaints make certain allegations. There is no supporting evidence to substantiate the allegations. The anonymous complaints were placed before the audit committee and the non-executive members of the board, in accordance with the whistleblower practice of the company.

Further, given the circumstances at this stage, where there is complete absence of prima facie evidence and the anonymous complaints are still under investigation, the company is not in a position to determine the concreteness, credibility and materiality of the anonymous complaints. In light of the above, no disclosure is required to be made, Infosys said.

Commercial vehicles manufacturer, Ashok Leyland fell 0.92%. The company said it proposes to observe non-working days ranging from 0-12 days in November 2019 to align production in line with the market demand.

Eicher Motors declined 1.12%. Total Royal Enfield sales rose 2% to 71964 units in October 2019 over October 2018. Royal Enfield exports surged 987% to 4426 units in October 2019 over October 2018.

Tata Motors fell 1.57%. The auto maker's total sales in the domestic & international market fell by 33.58% to 41,354 units in October 2019 as compared to 62,264 units during October 2018.

Cadila Healthcare declined 5.42% after the company said its Moraiya formulation facility in Gujarat has received a warning letter from the US drug regulator.

Coal India advanced 3.74%. The coal mining and refinery company registered a decline of 20.9% in its total coal production to 39.35 million tonnes while the total coal offtake decreased by 18.9% to 40.50 million tonnes in October 2019 over October 2018.

Key equity benchmarks ended with tepid gains on Friday. The barometer index, the BSE Sensex rose 35.98 points or 0.09% to 40,165.03. The Nifty 50 index rose 22.05 points or 0.19% to 11,899.50. Strong gains were capped as weak domestic economic data spoiled sentiment.

Domestic shares have seen steady gains in the last few sessions supported by better-than-expected Q2 results. The Sensex has risen 2.93% and the Nifty is up 2.74% in six straight trading sessions from their recent closing low on 24 October 2019.

In the broader market Friday, the S&P BSE Mid-Cap index rose 0.18% while the S&P BSE Small-Cap index rose 0.32%. Both these indices outperformed the Sensex.

The market breadth was positive. On the BSE, 1430 shares rose and 1163 shares fell. A total of 174 shares were unchanged.

The Nifty edged higher in early trade but soon witnessed profit booking at higher level. Selling pressure in morning trade dragged the index lower as it hit the day's low of 11,843.55. The 50-unit recovered from lows in early afternoon trade and remained range bound for most part of the day. The Nifty finally managed to end a tad below 11,900-mark.

Among the sectoral indices, the S&P BSE Metal index (up 2.5%), the S&P BSE Telecom index (up 1.49%) and the S&P BSE Basic Materials index (up 1.02%) outperformed the Sensex.

The S&P BSE Consumer Durables index (down 1.16%), the S&P BSE IT index (down 0.77%) and the S&P BSE Auto index (down 0.75%) underperformed the Sensex.

Domestic economic data:

Goods & Services Tax (GST) collections for October stood at Rs 95,380 crore, an increase from the Rs 91,916 crore collected in September, but a drop from the Rs 1 lakh crore collected in the same period last year. Central GST (CGST) and State GST (SGST) collections stand at Rs 17,582 crore and Rs 23,674 crore, respectively.

Even though GST collection in October have declined 5.29% over the same month last year, the same has grown 6.74% between April and October. The government has settled Rs 20,642 crore to CGST and Rs 13,971 crore to SGST from IGST as regular settlement. The total revenue earned by the Centre and state governments after regular settlement in October is Rs 38,224 crore for CGST and Rs 37,645 crore for SGST.

India's unemployment rate in October rose to 8.5%, the highest since August 2016, and up from 7.2% in September, according to data released by the Centre for Monitoring Indian Economy (CMIE) on Friday, reflecting the impact of a slowdown in the economy.

The headline seasonally adjusted IHS Markit India Manufacturing PMI fell to a two-year low of 50.6 in October 2019 from 51.4 in September. The indices vary between 0 and 100, with a reading above 50 indicating an overall increase compared to the previous month, and below 50 an overall decrease.

India's fiscal deficit reached nearly 93% of the budget estimate at Rs 6.52 lakh crore at the end of September in the current financial year, government data showed on Thursday. In absolute terms, the fiscal deficit or the gap between expenditure and revenue was Rs 6,51,554 crore as on 30 September, according to the data released by the Controller General of Accounts (CGA). The deficit stood at 95.3% of the 2018-19 budget estimate (BE) in the corresponding month a year ago. The government has pegged the fiscal deficit for the current financial year at Rs 7.03 trillion, aiming to restrict the deficit at 3.3% of the gross domestic product (GDP).

The output of the core sector fell a record 5.2% in September, with production by seven of the eight industries declining. In September 2018, it had risen 4.3%, and 0.1% in August 2019. The Eight Core Industries comprise 40.27% of the weight of items included in the Index of Industrial Production (IIP) and includes industries like coal, crude oil, natural gas refinery products, fertilizers, steel, cement and electricity.

Currency & commodity:

In the foreign exchange market, the Indian rupee edged higher against the dollar in mid afternoon trade. In the spot currency market, the Indian unit was last seen trading at 70.86. On Tuesday, it closed at 70.925 against the US dollar.

In the commodities market, Brent crude for January 2020 settlement was up 11 cents at $59.73 a barrel. The contract fell 62 cents or 1.03% to settle at $ 59.62 a barrel during the previous trading session.

Foreign markets:

European stocks were trading higher as investors await corporate earnings and monitor global trade developments.

Asian stocks ended mostly higher Friday. A private survey of factory activity in China showed manufacturing activity in the country expanded more than expected in October. The Caixin/Markit Purchasing Managers's Index (PMI) for the manufacturing sector rose from 51.4 in September to 51.7 in October.

The US stock market finished session lower on Thursday, 31 October 2019, on skepticism about a U.S.-China trade truce deal and weakening manufacturing data. Concerns around trade and the economy dampened the enthusiasm around strong earnings from Apple and Facebook.

Concerns over trade tensions resurfaced after reports that Chinese officials are doubtful that they will be able to reach a comprehensive, long-term trade deal with the U.S. The preliminary deal was meant to be signed at the APEC meeting in Chile, but the South American country announced this week that it will no longer be hosting. President Donald Trump tweeted Thursday China and the USA are working on selecting a new site for signing of Phase One of Trade Agreement, about 60% of total deal.

The tariff war between the world's two biggest economies has disrupted supply chains and roiled financial markets for more than a year.

Domestic Q2 results:

Indian Oil Corporation declined 2.83% after announcing a dismal Q2 result during market hours yesterday. On a standalone basis, the net profit tumbled 82.64% to Rs 563.42 crore on 12.66% drop in net sales to Rs 132,375.69 crore in Q2 September 2019 over Q2 September 2018.

The average gross refining margin for the period April-September 2019 was at $2.96 per barrel as against $8.45 per barrel during April-September 2018.

The company has accounted for a budgetary support of Rs 944.41 crore in April-September 2019 compared with Rs 2,270.03 crore during April-September 2018 as revenue grants on sale of SKO (PDS) included in revenue from operations and no under-realization is suffered by the firm on this account. Expenses include foreign exchange loss of Rs 1,135.13 crore in July-September 2019 period over Rs 2,619.72 crore in July-September 2018.

Dr. Reddy's Laboratories fell 1.02%. The drug maker reported 117% jump in net profit to Rs 1,093 crore on a 26% increase in revenue to Rs 4,801 crore in Q2 September 2019 over Q2 September 2018.

The drugmaker's revenue was aided by a tax write-back of Rs 330 crore and a licence fee worth Rs 720 crore for selling territory rights for two neurology brands to U.S.-based Upsher-Smith Laboratories, the filing said.

Kansai Nerolac Paints fell 3.06%. The paint maker reported 59.98% increase in net profit to Rs 190.77 crore on a 2.79% decline in net sales to Rs 1319.57 crore in Q2 September 2019 over Q2 September 2018. The company has chosen to exercise the option of lower tax rate of 25.17%. The full impact of this change has been recognized in tax expense for the quarter ended 30 September 2019.

Bank of India fell 0.42%. The state-run bank reported a net profit of Rs 266.37 crore in Q2 September 2019 as against a net loss of Rs 1,156.25 crore in Q2 September 2018. Total income rose 10.97% to Rs 11,985.50 crore on a 31.88% increase in net interest income to Rs 3860 crore in Q2 September 2019 over Q2 September 2018.

October auto sales:

TVS Motor Company fell 3.11%. The company registered sales of 3.23 lakh units in October 2019 as against sales of 3.98 lakh units in the month of October 2018, registering a decline of 18.83%. The auto maker, however, witnessed 2.36% increase in October compared with 3.15 lakh units in September 2019.

Bajaj Auto fell 0.47%. The company reported a 9% decline in total auto sales, selling 4.63 lakh units in October 2019 as against 5.06 lakh units October 2018. However, the total auto sales rose 15% on a month-on-month basis from 4.02 lakh units in September 2019.

Escorts fell 0.59%. Total tractor sales rose 1.6% to 13,353 units in October 2019 compared with 13,140 in October 2018. Sequentially, total tractor sales rose 23.01% in October 2019 compared with 10,855 units in September 2019.

Ashok Leyland fell 1.04%. The company reported a 35% fall in total vehicle sales to 9857 units in October 2019 as against 15149 units in October 2018. Sequentially, auto sales jumped 12.27% in October from 8,780 units in September 2019.

Maruti Suzuki India rose 0.78%. The car major reported 25.11% increase in total auto sales in October 2019 compared with 1.22 lakh units in September 2019. Total auto sales rose 4.5% to 1.53 lakh units in October 2019 over October 2019.

Mahindra & Mahindra (M&M) fell 2.81%. The company's total auto sales fell 11% to 51,896 units in October 2019 as against 58,416 units in October 2018. Sequentially, total auto sales jumped 19.73% in October 2019 as against 43,343 units in September 2019.

Total tractor sales fell 4% to 45,433 units in October 2019 over 47,376 units in October 2018. Sequentially, tractor sales surged 22.75% to 45,433 units in October 2019 as against 37,011 units in September 2019.

SML Isuzu declined 1.96%. The company said its total sales tumbled 37.9% to 515 units in October 2019 over 829 units in October 2018. Sequentially, total sales fell 16.12% in October 2019 over 614 units in September 2018.

The market ended with decent gains on Thursday, supported by banks and IT stocks. The barometer index, the BSE Sensex rose 77.18 points or 0.19% to 40,129.05. The Nifty 50 index rose 33.35 points or 0.28% to 11,877.45.

Steep volatility was witnessed on account of monthly expiry of F&O contracts. The Sensex pared gains after hitting a fresh record high of 40,392.22 in intraday today.

The Sensex has risen 2.84% and the Nifty is up 2.58% in five trading sessions from their recent closing low on 24 October 2019.

The market sentiment was boosted as data showed that foreign institutional investors were net buyers of Indian stocks. The trading activity showed that the foreign portfolio investors (FPIs) bought shares worth a net Rs 7192.42 crore yesterday, 30 October 2019, as per data released by the stock exchanges.

Investors awaited India's fiscal deficit data for April-September period and infrastructure output data for September 2019 which will be announced later today, 31 October 2019.

The broader market outperformed the key benchmarks. The S&P BSE Mid-Cap index rose 1.14% while the S&P BSE Small-Cap index rose 0.94%.

The market breadth was strong. On the BSE, 1540 shares rose and 1016 shares fell. A total of 149 shares were unchanged.

The Nifty opened higher and advanced above 11,900 mark in morning trade. It remained firm throughout the session amid broad based buying support. The index hit an intraday high of 11,944 in mid-afternoon trade. Profit selling in last hour of the session dragged the index below 11,900 level.

Currency and commodity:

In the foreign exchange market, the Indian rupee edged lower against the dollar. In the spot currency market, the Indian unit was last seen trading at 70.96. The Indian rupee on Tuesday closed at 70.9 against the US dollar.

In the commodities market, Brent crude for December 2019 settlement was up 22 cents at $60.83 a barrel. The contract fell 1.59% or 98 cents to settle at $60.61 a barrel during the previous trading session.

Foreign market:

European shares were trading in the red while Asian markets closed on a mixed note on Thursday. The US Federal Reserve cut rates for the third time this year but signaled its rate-cut cycle might be at a pause.

The US stock market ended at record high after swinging between gains and losses on Wednesday, 30 October 2019, on the back of the policy statement by the U.S. Federal Reserve that cut interest rates by a quarter of a percentage point. However, market gains capped as the APEC summit in Chile was canceled, removing hopes for Trump to sign a trade deal there with Xi Jinping.

U.S. President Donald Trump said this week he hoped to sign an interim trade deal with Chinese counterpart Xi Jinping during the Nov. 16-17 Asia-Pacific Economic Cooperation summit in Chile. Chilean officials said they canceled the summit to focus on restoring law and order in the country.

The White House said afterwards the United States still expects to sign an initial trade agreement with China next month, but no alternate location had yet been set for Xi and Trump to meet.

The US Fed announced its widely expected decision to lower the target range for the federal funds rate by 25 basis points to 1.5% and 1.75%, but dropped a previous reference in its statement to act as appropriate to support the economic expansion, which could signal the Fed may hold off on future rate cuts.

Meanwhile, the Bank of Japan announced Thursday that it would be keeping monetary policy steady, but signaled in its forward guidance a readiness to cut rates if required.

Factory activity in China shrank for the sixth straight month in October, official data showed. The official Purchasing Managers' Index (PMI) was at 49.3 in October, dipping from 49.8 in September.

Domestic shares:

Index pivotal Reliance Industries (RIL) fell 0.98% to Rs 1464.20 after hitting a record high of Rs 1,489.50.

FMCG major Hindustan Unilever (HUL) rose 0.35% to Rs 2176.75 after hitting a record high of Rs 2187.

Vodafone Idea rose 2.10% to Rs 3.89 on reports that is likely to exit India business as operating losses mount in the joint venture company, Vodafone-Idea, loss of lakhs of subscribers every month and a dwindling market capitalization which is hurting any fresh fund raising.

The stock fell as much as 13.12% to hit its record low at Rs 3.31 in intraday today. Shares tumbled after CARE Ratings downgraded its rating on 'long-term bank facilities' and non-convertible debentures', citing the recent court ruling on the adjusted gross revenue (AGR) issue and extension of timelines with regard to sale of Indus Tower stake to Bharti lnfratel.

The credit rating has been revised to credit Watch with negative implications from previously negative on Long Term Bank Facilities and Non-Convertible Debentures, the filing added.

Tata Global Beverages rose 8.70%. The firm's consolidated net profit fell 18.5% to Rs 153.59 crore on 4.2% rise in net sales to Rs 1,834.06 crore in Q2 September 2019 over Q2 September 2018. The result was announced after market hours yesterday, 30 October 2019. The company said that during the second quarter, it had a one-time impact of the tax rate change on the group consolidated net profit with a charge of Rs 9 crore, arising mainly on account of reversal of opening net deferred tax assets. The group consolidated net profit, excluding the impact of one off items as explained above, is higher by 45% as compared to corresponding quarter of the previous year.

Lakshmi Machine Works dropped 8.76%. The company reported 71.31% fall in consolidated net profit to Rs 12.16 crore on 48.71% rise in total income to Rs 433.20 crore in Q2 September 2019 over Q2 September 2018. The announcement was made after market hours yesterday, 30 October 2019.

Adani Transmission rose 3.36%. The company said that it has received the letter of intent (LOI) from REC Transmission Projects Company (RECTPCL) to build, own, operate and maintain a transmission project in the state of Gujarat for a period of 35 years.

Shares of Hindustan Construction Company (HCC) were locked in an upper circuit of 20% at Rs 10.06 on reports of Haldiram Snacks, the Pune-based builder, Aniruddha Deshpande, and UV Asset Reconstruction Company (UVARC) offering to buy out Lavasa Corporation. Promoted by HCC, Lavasa was set up as a private, planned hill city built near Pune in Maharashtra in 2000. It reportedly defaulted on Rs 4,150 crore in loans to banks. Thereafter, an operational creditor of Lavasa filed application before NCLT for admission of Lavasa into corporate insolvency resolution process (CIRP) under IBC and the same was admitted on 30 August 2018.

Buzzing sectors:

The Nifty Bank index continued its winning streak for fifth consecutive session. The banking index was up 0.47% at 30,129.35. The index managed to close above the crucial 30,000-mark.

The Nifty Bank index is up 3.17% from its recent closing low of 29,107.95 on 24 October 2019.

PSU banks supported the uptrend. United Bank of India (up 13.71%), Central Bank (up 12.32%), State Bank of India (up 7.69%), Punjab & Sind Bank (up 7.61%), Syndicate Bank (up 6.71%), UCO Bank (up 5.5%) and Bank of Maharashtra (up 5.32%) advanced.

Syndicate Bank jumped 6.71% to end at Rs 30.20 after the bank reported a net profit of Rs 251.05 crore in Q2 September 2019 over a net loss of Rs 1,542.54 crore in Q2 September 2018. Total income rose 4.49% to Rs 6,153.10 crore on a 10.62% increase in net interest income (NII) to Rs 1,739.25 crore in Q2 September 2019 over Q2 September 2018.

Most private sector banks declined. ICICI Bank (down 1.74%), Axis Bank (down 1.56%), HDFC Bank (down 1.48%) and Kotak Mahindra Bank (down 0.36%) slipped.

Yes Bank surged 24.03% to Rs 70.45 after the bank said it received a binding offer from a global investor for an investment of $1.2 billion in the bank through fresh issuance of equity shares. The offer is subject to regulatory approvals/conditions as well as bank's board and shareholders approvals, the bank said during trading hours today.

IT shares were in demand. The Nifty IT index rose 1.14% to 15,570.40. Persistent Systems (up 3.06%), Wipro (up 1.77%), Oracle Financial Services (up 1.66%), HCL Technologies (up 1.50%), Hexaware Technology (up 1.09%), Mphasis (up 0.99%), TCS (up 0.73%) and Mindtree (up 0.25%) advanced.

Sector bellwether Infosys jumped 3.79% to Rs 685.50. The stock slumped recently after the company announced on 21 October 2019, that it received anonymous whistleblower complaints alleging certain unethical practices. These have been placed before the Audit Committee as per the company's practice and will be dealt with in accordance with the company's whistleblower policy.