Indian Stock Market News, Equity Market and Sensex Today in India | Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Indian Markets Trade in the Red
Thu, 10 Mar 11:30 am

After opening the day on a flattish note, the Indian indices registered losses and went on to trade in the red. Sectoral indices are trading on a discouraging note with stocks from the IT, FMCG and capital goods sector witnessing maximum selling pressure.

The BSE Sensex is trading down 245 points (down 1%) and the NSE Nifty is trading down 65 points (down 0.9%). The BSE Mid Cap index is trading lower by 0.1% while the BSE Small Cap index is trading flat. The rupee is trading at 67.05 to the US$.

PSU banking stocks are trading on a mixed note with UCO Bank and Bank of Baroda leading the losses. As per a leading financial daily, State Bank of India (SBI) announced that its board has approved raising the remaining Rs 50 billion of the 120 billion fund raising programme through private placement of Basel-III compliant debt instrument.

The bank stated that the Committee of Directors for Capital Raising has authorised the bank to consider raising the residual amount either by way of issue of AT-I/Tier-ll instrument or any other debt instrument.

The programme for raising Rs 120 billion was announced by the bank earlier in December. The bank had so far raised Rs 40 billion and Rs 30 billion in two tranches through issue of debt instrument as a part of the programme. On February 19th, the bank had informed BSE that it raised Rs 30 billion from Basel-III compliant bonds to fund business growth. Further, the bank on December 24th announced that it raised Rs 40 billion by issuing Tier-II bonds on private placement basis under the Basel-III norms.

One shall note that the Basel-III norms are aimed at bolstering banks' resilience. Further, according to Fitch Ratings Report, Indian banks need US$ 140 billion worth of capital to ensure full compliance with the Basel-III norms by 2018-19. Several PSU banks have in the recent past announced capital raising by way of bond issue. This is because they would need to hold more capital for every new loan they give in order to absorb any losses that may arise if the borrowers default on the loan, according to the Basel III accord. One should also note that earlier in August last year the government had announced fund infusion of Rs 201 billion into 13 PSU banks. SBI cornered a hefty sum of Rs 55 billion in the same.

Presently the stock of SBI is trading down by 1.5%.

In another news update, drug price regulator National Pharmaceutical Pricing Authority (NPPA) has sought Rs 45 billion from various pharmaceutical companies for overcharging consumers for drugs. The amount mentioned by the regulator has been sought till February 2016 from 1995, when NPPA was set.

It was noted that there are 1,389 cases where the NPPA has issued notices to pharmaceutical companies for overcharging for medicines. For this, a sum of Rs 49 billion has been demanded as overcharged amount including interest whenever updated. Out of this, Rs 4 billion has been realised till February-end this year.

Minister of State for Chemicals and Fertilisers Hansraj Ahir said that the outstanding amount is Rs 45 billion as on February 29, 2016, and Rs 36 billion, representing about 82% of the total outstanding amount, is under litigation in various High courts and Supreme Court.

NPPA is pursuing these court cases and their settlement would mean a cash outflow for pharmaceutical companies that have been overcharging for medicines.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

Read the latest Market Commentary


What else is happening in the markets today? Dig in...

Equitymaster requests your view! Post a comment on "Indian Markets Trade in the Red". Click here!

  

Views on News

ITI Mid-Cap Fund: Investing in Potential Midcap Companies for Growth (Outside View)

Feb 26, 2021

PersonalFN analyses the features of ITI Mid-Cap Fund and explains the potential this fund has to offer to its investors.

NSE Glitch: Why Did the Market Go Up? (Fast Profits Daily)

Feb 26, 2021

In today's video, I'll discuss why thew stock market went up on Wednesday, 24 February 2021, when the NSE had to shut trading due to a technical glitch.

My Personal Checklist for Your Trading Success (Profit Hunter)

Feb 26, 2021

You my personal trading checklist and you will be well on your way to making it big as a trader.

Make Rs 5,000 Per Day Trading the Market (Fast Profits Daily)

Feb 25, 2021

In this video, I'll show you how to get started on the path to daily trading profits.

Refresh Your Investment Portfolio in 2021 to Align with Your Financial Goals (Outside View)

Feb 25, 2021

Timely review of your investment portfolio is the key, to enable stable returns and work towards your envisioned financial goals during various market phases.

More Views on News

Most Popular

It's the Beginning of a New Bull Phase in Smallcaps (Profit Hunter)

Feb 24, 2021

Last time the smallcap index crossed 19k a big correction followed. Here's what makes it different this time.

Intraday Trading for a Living (Fast Profits Daily)

Feb 15, 2021

In this video, I'll cover your queries on intraday trading and also share my view on how to decide stop losses and target prices.

Top 5 Stocks Mutual Funds Bought and Sold in January 2021 (Sector Info)

Feb 16, 2021

A look at what India's top equity mutual funds bought and sold in January 2021.

I Would Recommend this Small-cap Stock Over Tesla (Profit Hunter)

Feb 16, 2021

Do you enjoy reading Tesla and Bitcoin stories? Here's a not so famous small-cap stock to profit from the rise of EVs.

More

India's #1 Trader
Reveals His Secrets

Secret To Increasing Your Trading Profits Today
Get this Special Report,
The Secret to Increasing Your Trading Profits Today, Now!
We will never sell or rent your email id.
Please read our Terms

S&P BSE SENSEX


Feb 26, 2021 (Close)

MARKET STATS