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

MEMBER'S LOGIN

MEMBER'S LOGINX

     
Invalid Username / Password
   
     
   
     
 
Invalid Captcha
   
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Indian share markets slump
Mon, 8 Dec 01:30 pm

Indian share markets slipped deeper in the red in the post-noon trading session. Barring FMCG, all the stocks are trading in the red. IT and engineering stocks are the biggest losers today.

BSE-Sensex is down 264 points and NSE-Nifty is trading 87 points down. Both BSE Mid Cap and BSE Small Cap indices are trading down by 0.9%. The rupee is trading at 61.91 to the US dollar.

Majority of the large software stocks are trading in the red with HCL Infosys and Infosys being the biggest losers. As per a leading financial daily, Infosys founders have put 32.6 m shares of the company on the block. The company's founders N R Narayan Murthy, Nandan Nilenkani, K Dinesh and S D Shibulal and their families have decided to sell 25% of their holding of 124 m shares at base price of Rs 1,988 per share. The total worth of the founder's stake offered for sale is around $1.1 bn. The company has not disclosed the reason for the sale share citing family affair of the promoters, none of whom are actively involved in the company's business any more. Infosys stock is trading down 4.4% presently.

Most of the energy stocks are trading in the red with Gujarat State Petronet and Petronet LNG being the major losers. As per a leading financial daily, the gross refining margins (GRMs) of state-owned refiners such as Indian Oil Corporation Ltd (IOCL), Hindustan Petroleum Corporation Ltd (HPCL) and Bharat Petroleum Corporation Ltd (HPCL) declined to a four-year low. The fall has been on account of low prices of petrol and diesel that forms a bulk of sales for the two companies. GRM is the difference between purchase price of crude and the end price of the refined product. The major refined products include petrol, diesel, kerosene, LPG, furnace oil and naptha. Therefore GRMs depend on the weighted average of the price difference of each refined product with crude oil prices also known as crack. Reportedly the petrol to WTI crude crack and diesel to Brent crack has contracted more sharply than the price of crude in the last four years. The margins of Indian state refiners are not only getting impacted by weak cracks but also inventory losses due to time difference between purchase of crude and sale of final refined products.

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

View all commentaries | Archives

Read the latest Market Commentary


Equitymaster requests your view! Post a comment on "Indian share markets slump". Click here!

  
ABOUT EQUITYMASTER

Since 1996, Equitymaster has been the source for honest and credible opinions on investing in India. With solid research and in-depth analysis Equitymaster is dedicated towards making its readers- smarter, more confident and richer every day. Here's why hundreds of thousands of readers spread across more than 70 countries Trust Equitymaster.

PREMIUM PRODUCTS
QUICK LINKS
POPULAR TOPICS
TRENDING TOPICS
FREE NEWSLETTERS
EQUITYMASTER SUPPORTS
  • HelpYourNGO
  • You Tube
  • Linkedin
  • Twitter
  • Telegram
  • Google Play

Copyright © Equitymaster Agora Research Private Limited.

Whitelist | Refer | Terms | Privacy | Contact | About | Sitemap

Phone +91-9136015013

Equitymaster Agora Research Private Limited (Research Analyst)
SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
Telephone: +91-22-61434055. Email: info@equitymaster.com. Website: www.equitymaster.com.
CIN:U74999MH2007PTC175407

Name of the Compliance & Grievance Officer: Ms Sonal Ramachandran
Telephone: +91-22-61434003 | Email: compliance@equitymaster.com

LEGAL DISCLAIMER:
Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.

All rights reserved. Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

Equitymaster Agora Research Private Limited (Research Analyst) bearing Registration No. INH000000537 (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA, Canada or the European Union countries, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.