Sensex Ends 110 Points Lower; Smallcap & Midcap Stocks Outperform
Closing

Indian share markets witnessed volatile trading activity throughout the day today and ended marginally lower, ahead of Q2 GDP data.

Benchmark indices traded on a volatile note, swinging between gains and losses, following muted trends in Asian peers.

Sentiment was weighed on renewed doubts about a highly-anticipated coronavirus vaccine.

British drug maker AstraZeneca's coronavirus drug was touted as a "vaccine for the world" due to its inexpensive cost, but the efficacy of the vaccine is now facing more intense scrutiny, which experts say could delay its approval.

{inlineads1}

At the closing bell, the BSE Sensex stood lower by 110 points. The NSE Nifty ended down by 18 points.

Asian Paints was among the top gainers today. Power Grid, on the other hand, was among the top losers today.

SGX Nifty was trading at 13,069, up by 82 points, at the time of writing.

The BSE Mid Cap index ended up by 1.9%. The BSE Small Cap index zoomed 2.4%.

Sectoral indices ended on a mixed note with stocks in the realty sector and consumer durables sector witnessing buying interest. Energy and IT stocks, on the other hand, witnessed selling pressure.

{inlineads2}

Market participants were also tracking automobile stocks today ahead of the November month sales numbers, which release next week.

Shares of Cummins India, Tata Motors and TVS Motor Company gained over 5% while Ashok Leyland, Motherson Sumi Systems, Bajaj Auto, Balkrishna Industries, Exide Industries and Amara Raja Batteries from the BSE auto index gained in the range of 3-5%.

Asian stock markets ended on a positive note. Japan's Nikkei stock average ended at its highest since April 1991 as it rallied for the fourth session in a row, buoyed by hopes of economic recovery and strong corporate earnings, after progress in Covid-19 vaccine development.

The rally was driven by progress in vaccine-related developments, with many investors expecting their delivery next year.

Easing US political uncertainty after President-elect Joe Biden's transition to the White House and signs of pick-up in the Chinese economy also lifted sentiment.

As of the most recent closing prices, the Shanghai Composite ended up by 1.1% and the Hang Seng ended up by 0.3%.

US stock futures are trading in green. Nasdaq Futures are trading up by 46 points (up 0.4%), while Dow Futures are trading up by 69 points (up 0.2%).

The rupee is trading at 74.01 against the US$.

{inlineads3}

Speaking of stock markets, in his latest video, Co-head of Research at Equitymaster, Rahul Shah, discusses the hype around Adani Green Energy and analyses whether it is justified.

Shares of Adani Green have seen a meteoric rise and are up almost 10x in the last one year. The company is now the 17th or the 18th largest company in India by market value.

Rahul discusses whether the company will continue to rise or is it all a big, speculative bubble that can burst any time.

Tune in to the video to find out more:

In news from the commodity space, domestic gold and silver prices traded on a flat note today amid weak global trend.

Gold prices for the latest contract on MCX are trading up by 0.2% at Rs 48,618 per 10 grams.

In the previous session, gold prices had slipped 0.1% while silver had ended flat.

So far this week, gold rates in India have dropped nearly Rs 1,700 per 10 gram, in line with a similar fall in global rates.

In global markets, gold prices edged 0.3% lower to US$ 1,810.44 an ounce.

For the week, gold remains down over 3% as progress in Covid-19 vaccine development and US President-elect Joe Biden's transition to the White House bolstered risk sentiment.

Speaking of the precious yellow metal, how lucrative has gold been as a long-term investment in India?

The chart below shows the annual returns on gold over the last 15 years...

As you can see, barring just two years - 2013 and 2015, gold has delivered positive returns in 13 of the last 15 years.

The recent price volatility in the bullion market has rattled many traders. Even with the recent volatility in prices, gold remains among the best performing commodities this year to combat the fallout from the coronavirus pandemic.

In his latest video, India's #1 trader, Vijay Bhambwani, talks about the investment case for gold, now that gold prices have started to fall.

To know more about gold, you can check out our detailed article on investing in gold here: How to Invest in Gold?

In latest developments from the IPO space, the initial public offering of quick service restaurant chain Burger King India will open on December 2.

The price band for the IPO has been set at Rs 59-60 per share.

The company is aiming to raise Rs 8.1 billion through the issue which comprises a fresh issue of shares worth Rs 4.5 billion, and an offer for sale of up to 60 million shares by promoter entity QSR Asia Pte worth Rs 3.6 billion.

Burger King intends to utilize the fresh proceeds to finance the roll-out of new company-owned Burger King Restaurants and to meet the general corporate purposes.

Burger King was the fastest growing international QSR chain in India during the first five years of their operations, based on the number of restaurants. Their master franchisee arrangement provides them with the ability to use Burger King's globally recognized brand name to grow their business in India.

As per the company's red herring prospectus, the Burger King brand is the second largest fast food burger brand globally as measured by the total number of restaurants, with a global network of over 18,000 restaurants in more than 100 countries and US territories, as of June 30, 2019.

So far this year, 12 companies have raised nearly Rs 250 billion through IPOs compared with Rs 123.6 billion raised by 16 companies in 2019.

Some of the companies that had deferred their IPO plans, now want to tap the market again on robust investor appetite.

How the above IPO sails through remains to be seen. Meanwhile, we will keep you updated on the latest developments from this space.

Moving on to stock specific news...

Shares of gas transmission companies witnessed buying interest today after oil regulator Petroleum and Natural Gas Regulatory Board (PNGRB) notified regulations for unified gas transmission tariff structure.

Oil regulator PNGRB has simplified the country's gas pipeline tariff structure to make fuel more affordable for distant users and to attract investment for building gas infrastructure.

As per reports, the PNGRB has notified regulations for a 'unified' tariff structure for over a dozen pipelines that form the National Gas Grid which will lead to a 20-30% rise in transportation charges paid by users near the source but a reduction for consumers in the hinterland.

Currently, the tariff is levied in proportion to the distance transported - the longer the distance, the higher is the charge. This resulted in consumers away from the coast paying higher charges as compared to those near it.

PNGRB has now notified a two-zone tariff structure - Zone-1 will be 300-km from the source of gas (gas field or LNG import terminal) and Zone-II will be beyond that.

PNGRB said the tariff for the first tariff zone will be 40% of the tariff for the second zone.

Stocks such as Gujarat Gas, Indraprastha Gas, Mahanagar Gas, Adani Gas and Gujarat State Petronet surged in the range of 9-20% on the back of above news.

Moving on to news from the IT sector, Vakrangee was among the top buzzing stocks today.

Shares of the company moved higher by 14% intraday today, surging 28% in the past two trading days, after its board approved the withdrew amalgamation scheme for two wholly-owned subsidiaries due to "substantial changes in the business environment".

In March 2020, the company had filed Scheme Application with National Company Law Tribunal, Mumbai (NCLT) which is presently pending with NCLT to seek appropriate directions.

"Since then, there have been substantial changes in business environment in the last few months and the management of the Company is of the opinion that, considering the present scenario, it would not be prudent to proceed with proposed amalgamation of Vakrangee Logistics Private Limited and Vakrangee Finserve Limited with Vakrangee Limited," Vakrangee said in a regulatory filing.

Vakrangee share price ended the day up by 10.4%.

To know what's moving the Indian stock markets today, check out the most recent share market updates here.


Sensex Trades Marginally Lower; Dow Futures Up by 13 Points
12:30 pm

Share markets in India are presently trading marginally lower.

The BSE Sensex is trading down by 44 points, down 0.1% at 44,216 levels.

Meanwhile, the NSE Nifty is trading flat.

Tata Motors and Bajaj Auto are among the top gainers today. HDFC Life and Power Grid Corporation are among the top losers today.

The BSE Mid Cap index is trading up by 2%.

The BSE Small Cap index is trading up by 1.6%

{inlineads1}

On the sectoral front, stocks from the real estate sector are witnessing most of the buying interest.

On the other hand, stocks from the IT sector are witnessing most of the selling pressure.

US stock futures are trading higher today, indicating a positive opening for Wall Street indices.

Nasdaq Futures are trading up by 36 points (up 0.3%) while Dow Futures are trading up by 13 points (up 0.04%).

The rupee is trading at 73.81 against the US$.

Gold prices are trading flat at Rs 48,534 per 10 grams.

In global markets, gold prices edged 0.3% lower today as progress in the Covid-19 vaccine development and US President-elect Joe Biden's transition to the White House bolstered risk sentiment.

Amid a weak global trend, gold prices in India also edged lower. On MCX, gold futures dipped marginally to Rs 48,501 per 10 grams. In the previous session, gold prices had slipped 0.1%.

{inlineads2}

Note that in the last five days, gold prices in India have dropped nearly Rs 1,700 per 10 grams, in line with a similar fall in global prices.

To know more about gold, check out our article on how to invest in gold here: How to Invest in Gold?

Moving on to stock specific news...

Among the buzzing stocks today is Mahindra & Mahindra.

On November 26, Mahindra and Mahindra (M&M) announced the sale of its vehicle service business, Mahindra First Choice Services to TVS Automobile Solutions (TASL), part of Chennai based TVS Group, in a share swap deal. As part of the engagement, M&M will take 2.8% stake in TASL and will invest approximately Rs 350 million.

The Mumbai based conglomerate has been restructuring its loss-making businesses and exiting the auto after-market business seems to be a part of the same strategy.

M&M owned both First Choice Services and Auto Digitech through its subsidiary Mahindra Holdings.

The deal will be effective once ratified by the Competition Commission of India (CCI).

TVS Automobile Solutions operates a multi brand after-market vehicle service business under the 'myTVS' brand. It has also created a digital platform and ecosystem for over 2,500 garages especially across south India.

With Mahindra First Choice Services, the company will have an opportunity to create a pan India digital footprint. As of now 'myTVS' was mostly confined to the south Indian states.

{inlineads3}

M&M is planning to exit businesses that have not performed over the last decade. The company recently announced that it will not invest in any further in its Korean vehicle manufacturers, SsangYong.

We will keep you updated on all the news from this space. Stay tuned.

At the time of writing, Mahindra & Mahindra share price was trading up by 0.3% on the BSE.

Speaking of the stock markets, India's #1 trader, Vijay Bhambwani shares two very important updates, in his latest video for Fast Profits Daily.

In the video below, Vijay talks about the investment case for gold, now that gold prices have started to fall. He also introduces Fast Profits Daily's newest team member who will be joining him on the channel hereon.

Tune in here to find out more:

Moving on to news from the banking sector...

Indiabulls Housing Finance Moves Court Challenging LVB-DBS Merger

Indiabulls Housing Finance, one of the major shareholders of the Lakshmi Vilas Bank (LVB) has moved the Bombay High Court (HC) seeking legal intervention in the merger of the bank with Singapore-based DBS Bank. The petition urges the court to protect the interest of the equity holders.

According to the final scheme of amalgamation, the entire equity paid-up capital of LVB shareholders will be written off and the shares will cease to trade and get de-listed from the exchanges with effect from November 27.

Indiabulls has close to 5% stake in the bank. Besides Indiabulls, a clutch of other shareholders including one of the founders, KR Pradeep, too has moved courts. Pradeep has filed his petition in the Bombay HC.

Other investors who have moved court include Kare Electronics & Development Private and Pranava Electronics Private.

Other major shareholders in LVB include Prolific Finvest Private (3.4%), Srei Infrastructure Finance (3.3%), MN Dastur and Co. (1.9%), Capri Global Holdings (1.8%), Capri Global Advisory Services (2%), Boyance Infrastructure (1.4%) and Trinity Alternative Investment Managers (1.6%).

As per the scheme for the amalgamation, all the branches of LVB will function as branches of DBS Bank India with effect from November 27. Customers, including depositors of LVB, will be able to operate their accounts as customers of DBS Bank India.

Consequently, the moratorium on the Lakshmi Vilas Bank will cease to be operative from that date.

DBS Bank India is making necessary arrangements to ensure that service, as usual, is provided to the customers of the LVB.

How this pans out remains to be seen. Meanwhile, stay tuned for all the updates from this space.

Note that LVB is the third bank to be placed under moratorium since September last year after the co-operative bank PMC in 2019 and Yes Bank this March.

Back in May 2019, we wrote an article around how we avoided a 60% loss in Lakshmi Vilas Bank.

Here's an excerpt from the article:

  • "LVB had an interesting story.

    The bank had a new management team in place. The bank was shedding its old image to bring out a new look.

    The new management had a clear vision and set several goals. These included deposit and loan growth targets, CASA (current account saving account) ratio targets, a focus on retail loans, and the reduction in cost-to-income ratio.

    So far so good.

    But the bank had its own legacy issues. These were rising bad loans, a weak balance sheet with a poor capital adequacy ratio (CAR).

    The falling CAR was a concern.

    The CAR is the ratio of a bank's capital in relation to its risk-weighted assets and current liabilities. The RBI has set the minimum CAR at 9% for all banks.

    A ratio below 9% indicates the bank does not have enough capital to expand its operations. It ensures that banks don't expand their business without having adequate capital.

    On one hand, LVB had bad loan issues and on the other, it badly needed capital to shore up its CAR."

If you look at the shareholding pattern of LVB during the 2-year time frame between May 2017 to May 2019, retail investors increased by 15% while the number of shares owned by them increased by 24%.

A typical example of retail investors catching a falling knife!

To know more, you can read about it in one of the latest editions of Profit Hunter: Lesson for Investors from the Lakshmi Vilas Bank Fiasco.

Speaking of the banking sector, note that the sector was one of the worst affected sectors when Covid-19 struck.

Banking stocks were severely punished. No investor wanted to touch them even with a 10-ft pole.

However, the sentiment has changed now as investors are chasing banking stocks like never before.

Have a look at the monthly returns of major sectors for the month of March and October 2020 in the chart below:

Banks were among the major losers with a cut of 34% in the month of March. Cut to October they are the biggest gainers for the month with 11% returns!

What could be the reason behind such a change in sentiment?

Many analysts believe banks are moving up because the uncertainty regarding the moratorium is clearing now.

But Senior Analyst at Equitymaster, Apurva Sheth believes the writing was on the wall...or rather on the charts.

If you're interested in knowing how he used charts to predict this move, you can read about it in one of the latest editions of Profit Hunter: Banks are booming in a Covid World

And to know what's moving the Indian stock markets today, check out the most recent share market updates here


Indian Share Markets Open Flat; NTPC & Bajaj Auto Top Gainers
09:30 am

Asian stock markets fell slightly today, pulling back from record highs hit earlier this week, amid renewed doubts about a highly-anticipated coronavirus vaccine and concern about the economic impact from the pandemic.

The Nikkei is trading down by 0.1% and the Hang Seng is trading lower by 0.4%.

US stock markets were closed on Thursday for the Thanksgiving holiday and will trade on a partial schedule later today.

Back home, Indian share markets have opened the day on a flat note, following the trend on SGX Nifty.

{inlineads1}

Market participants will be tracking India's Q2 GDP data, which is scheduled to be released due later today.

From an unprecedented 23.9% contraction in the June quarter, the economy is seen shrinking 8.6% in the September quarter, as per the central bank.

The BSE Sensex is trading up by 24 points. The NSE Nifty is trading higher by 16 points.

NTPC and Asian Paints are among the top gainers today.

The BSE Mid Cap index and the BSE Small Cap index have opened the day up by 1% and 0.9%, respectively.

Sectoral indices are trading on a mixed note with stocks in the capital goods sector and oil & gas sector witnessing maximum buying interest.

Investors are also tracking FMCG stocks today after market research agency Nielsen said that India's FMCG market will contract by 1-3% in the 2020 calendar year, as headwinds such as commodity inflation outweigh tailwinds.

The rupee is trading at 73.76 against the US$.

Gold prices for the latest contract on MCX are trading down by 0.1% at Rs 48,485 per 10 grams.

{inlineads2}

Domestic gold and silver prices edged higher yesterday though the gains were moderate.

A rally in equities after upbeat covid vaccine trial results from Pfizer, Moderna and AstraZeneca has weighed on gold prices.

So far this week, domestic gold prices are down Rs 1,600 per 10 grams.

To know more about gold, you can check out our detailed article on investing in gold here: How to Invest in Gold?

Speaking of the current stock market scenario, note that Indian share markets have climbed back to their highest levels since the pandemic began.

The Sensex is trading above the 44,000-mark. Meanwhile, the Nifty is trading near the psychological 13,000-mark.

The smallcap index is up as much as 90% since 23 March.

{inlineads3}

As per Richa Agarwal, lead smallcap analyst at Equitymaster, there could still be a lot of steam left to this smallcap rebound rally.

The smallcap index is still 20% away from the lifetime highs in January 2018.

Have a look at the history of previous smallcap crashes and rebounds over the last two decades...

As you can see, every big fall in the smallcap index was followed by a sharp up move, a minimum gain 200%. Twice the rebounds were just shy of touching 300%.

Richa believes if you focus on the quality of business, margin of safety in valuations, and an optimum asset allocation, you are likely to create huge wealth for yourself.

In latest developments from the IPO space, as per a leading financial daily, nearly half a dozen unlisted companies are lining up to launch their initial public offer (IPO) next month.

Companies like Suryoday Small Finance Bank, ESAF Small Finance Bank, Nazara Technologies, RailTel, Burger King, Kalyan Jewellers and Antony Waste Management are among those that are conducting road shows and planning IPOs in December, The Economic Times mentioned in a report citing bankers.

So far this year, 12 companies have raised nearly Rs 250 billion through IPOs compared with Rs 123.6 billion raised by 16 companies in 2019.

Some of the companies that had deferred their IPO plans, now want to tap the market again on robust investor appetite, said bankers.

How the above IPOs sail through remains to be seen. Meanwhile, we will keep you updated on the latest developments from this space.

Speaking of IPOs, in one of his videos, Vijay Bhambwani shares his thoughts on the recent spate of IPOs and what it means for the market.

Tune in to the video to find out more:

Moving on to stock specific news...

Adani Green Energy is among the top buzzing stocks today.

The company said that it released the promoter pledge of 33.5 million equity shares on Thursday.

Vistra ITCL India released 33.5 million equity shares of the company. Vistra ITCL is a security trustee acting on behalf of one of the lenders of the company.

As a condition of availing the financial facility, one of the promoter entity had pledge the shares in favour of Vistra ITCL.

The company's consolidated net profit dropped 81.2% to Rs 188 million on a 11.1% fall in net sales to Rs 6 billion in Q2 September 2020 over the year-ago period.

Adani Green Energy share price has opened the day up by 4.2%.

Speaking of Adani Green, note that shares of the company have seen a meteoric rise and are up almost 10x in the last one year.

The company is now the 17th or the 18th largest company in India by market value.

In his latest video, Co-head of Research at Equitymaster, Rahul Shah, discusses the hype around Adani Green Energy and analyses whether it is justified.

Tune in to the video to find out more:

In news from the engineering sector, the Rs 380 billion Murugappa Group's Tube Investments will allot shares to Azim Premji Trust, SBI Mutual Fund, subject to shareholder approval.

The company has approved the issue of equity shares worth Rs 3.5 billion.

The shares will be allotted on a preferential/private placement basis to non-promoter entities.

Azim Premji Trust will be allotted 2,733,360 equity shares at Rs 731.70 and inclusive of a premium of Rs 730.70 per equity share. The total investment would be around Rs 2 billion.

Meanwhile, the SBI-focused equity fund will be alloted 1,503,348 equity shares at Rs 731.70 and inclusive of a premium of Rs 730.70 per equity share, aggregating to Rs 1.1 billion and for SBI Magnum mid-cap fund, 546,672 equity shares at Rs 731.70 and inclusive of a premium of Rs 730.70 per equity share, aggregating to Rs 399.9 million.

In other news, CG Power and Industrial Solutions on Thursday said Tube Investments of India has acquired a controlling stake in it and now holds 50.62% stake of the company's paid-up share capital.

The company also said it has received Rs 5.9 billion from Tube Investments.

CG Power's board also issued 17,52,33,645 warrants, each carrying a right exercisable by the warrant holder to subscribe to one equity share per warrant within 18 months from allotment.

Tune Investments of India share price has opened the day up by 2.3%.

To know what's moving the Indian stock markets today, check out the most recent share market updates here.


SGX Nifty Up 23 Points; Indicates Flat Opening for Indian Stock Markets
SGX Nifty

The SGX Nifty opened on a positive note today.

At 8:10 am, it was trading up by 22 points, or 0.2% higher at 13,050 levels.

Trends on SGX Nifty indicate a flat opening for Indian stock markets.

Asian stock markets fell slightly today, pulling back from a record high hit earlier this week, amid renewed doubts about a highly-anticipated coronavirus vaccine and concern about the economic impact from the pandemic.

As of the most recent prices, the Nikkei is trading down by 0.3% and the Hang Seng is trading lower by 0.4%.

US stock markets were closed on Thursday for the Thanksgiving holiday and will trade on a partial schedule later today.

US stock markets ended mixed on Wednesday as jobless claims were a disappointment, rising more than expected. GDP for Q3 came out in line with expectations, while durable goods orders were stronger than expected.

{inlineads1}

As of Wednesday's closing prices, the Dow Jones Industrial Average ended down by 0.6% while the Nasdaq ended up by 0.5%, hitting an all-time high intraday.

European share markets ended flat on Thursday as an extension of coronavirus restrictions in Germany and a grim growth forecast for the United Kingdom brought the focus back to the near-term economic damage caused by the pandemic.

US stock futures are trading lower today as AstraZeneca said it would likely need to conduct another study for its coronavirus vaccine.

This comes after results from its first study raised some concerns. Initial readings from the first late-stage trials showed an average efficacy of 70%.

Dow futures lost 79 points or 0.3%, while Nasdaq futures are trading down by 7 points.

Crude oil prices are mixed today in quiet trade due to the US Thanksgiving holiday, with West Texas Intermediate (WTI) dropping more than 1% amid concerns about oversupply and doubts about a vaccine to end the coronavirus pandemic.

Both benchmarks, WTI and Brent crude have risen about 6% this week, after AstraZeneca earlier announced that its Covid-19 vaccine could be up to 90% effective.

Back home, Siemens and Laurus Labs will be among the top buzzing stocks today.

To know the top cues in today's stock market session, check out the pre-open commentary here.

Stay tuned for more updates on Indian stock markets in the upcoming commentary.


5 Reasons Why Sensex Surged 432 Points, Revival in Steel Sector, and Top Buzzing Stocks Today
Pre-Open

Indian share markets ended yesterday's volatile session higher.

The BSE Sensex, that hit a low of 43,582, bounced back nearly 700 points and ended around 44,250 levels.

At the closing bell yesterday, the BSE Sensex stood higher by 432 points (up 1%).

The NSE Nifty closed higher by 129 points (up 1%).

Bajaj Finance and Tata Steel were among the top gainers.

The BSE Mid Cap index ended up by 0.9%. The BSE Small Cap index ended up by 0.7%.

{inlineads1}

On the sectoral front, gains were largely seen in the metal sector and finance sector.

At 8 am today, the SGX Nifty was trading up by 25 points, or 0.2% higher at 13,050 levels. Indian share markets are headed for a flat to positive opening today following the trend on SGX Nifty.

Gold prices for the latest contract on MCX were trading up by 0.5% at Rs 48,736 per 10 grams at the time of closing stock market hours yesterday.

To know more about gold, you can check out our detailed article on investing in gold here: How to Invest in Gold?

Note that Indian share markets fell sharply on Wednesday this week. One of the reason for this fall was the new rules on margins announced by the regulator.

From 1st December, new margin rules will apply in the Indian stock market.

In his latest video, Vijay Bhambwani talks about this topic. As per Vijay, from 1st December, your life as a trader will get harder.

For a detailed discussion on this important topic, tune in to Vijay's video:

Top Stocks in Focus Today

Siemens will be among the buzzing stocks today.

Technology major Siemens reported a 4.7% year-on-year (YoY) fall in net profit at Rs 3.3 billion for September quarter. The company's profit was impacted mainly due to expenses amounting to Rs 2.8 billion incurred during the lockdown period. The company follows October-September financial year.

{inlineads2}

The company also saw its revenue from operations decline 9.2% to Rs 34.2 billion over the corresponding quarter of the previous year.

Laurus Labs share price will also be in focus today as the company has signed a definitive agreement to acquire a 72.5% stake in Bengaluru-based Richcore Lifesciences for Rs 2.5 billion.

This acquisition marks Laurus Labs' entry into the broader biologics and biotechnology segments, providing the company access to its high growth areas, globally and in India.

With this acquisition, Laurus adds a fourth revenue stream to its three existing divisions - API, formulations and synthesis.

{inlineads3}

Top 5 Reasons Why Sensex Ended 432 Points Higher Yesterday

Economic Recovery: Reserve Bank of India (RBI) Governor Shaktikanta Das said the country's economy has recovered stronger than expected from the initial impact of the Covid-19 pandemic, but there is a need to be watchful of demand sustainability after the end of festivities.

Relaxation in Surveillance Measures: The capital market regulator on Wednesday relaxed certain surveillance measures, including those pertaining to market-wide position limits, that were put in place eight months ago to curb volatility in the markets due to the coronavirus pandemic.

Positive Global Cues: Indian share markets reversed trend with positive opening in European markets yesterday.

Japanese shares closed at a more than 29-and-a-half-year high today, as tech shares advanced overnight in the US, but worries over latest coronavirus restrictions at home hindering economic recovery capped gains.

Steel Stocks Extend Rally: Steel stocks witnessed huge buying interest yesterday with the BSE Metal index surging as much as 4.5%. Data from the World Steel Association (WSA) showed that India's steel production increased by almost 1% to 9.06 million tonnes in October compared with the same period a year ago.

Bluechips Regain Momentum: Select bluechips including HDFC Bank, HDFC, Reliance Industries and Kotak Mahindra Bank surged in the last hour of trading.

We will keep you updated on how these factors develop in the coming days and what effect they have on Indian stock markets. Stay tuned!

Bank Credit Growth Decelerates to 5.8% in September

Bank credit growth decelerated to 5.8% in the September quarter from 8.9% in the year-ago period, according to the RBI data.

Aggregate deposits of banks rose 11% YoY in the July-September period as compared to 10.1% growth a year ago, according to the 'Quarterly Statistics on Deposits and Credit of Scheduled Commercial Banks (SCBs), September 2020' - released by the Reserve Bank of India.

The deceleration in bank credit growth was seen across all the population groups.

Annual growth in credit by private sector banks moderated significantly to 6.9% in September 2020 from 14.4% a year ago, whereas it increased marginally for public sector banks to 5.7% from 5.2% over the same period last year.

How these numbers pan in the coming months remains to be seen. Meanwhile, we will keep you updated on all the developments from this space.

Steel Sector Sees Revival in Q3

Steel stocks witnessed huge buying interest yesterday with the BSE Metal index surging as much as 4.5%.

Shares of Tata Steel, JSW Steel and Jindal Steel & Power surged over 6% intraday.

After being hit badly by the onset of Covid-19 pandemic, Indian steel production has begun to gather steam since the third quarter of the current fiscal.

Data from the World Steel Association (WSA) showed that India's steel production increased by almost 1% to 9.06 million tonnes in October compared with the same period a year ago.

WSA data also showed that China alone accounted for over half the production in October at 92.2 million tonnes, a rise of 12.7% over October 2019.

For the 10 months to October, the steel association data showed a sharp 14% drop in India output.

Steel production in India was affected due to Covid-19 pandemic in March with the Union Government announcing a shutdown.

According to the Organization for Economic Cooperation and Development, India's steelmaking capacity could touch 142 million tonnes by 2022.

We will keep you updated on all the latest news from this space. Stay tuned.

And to know what's moving the Indian stock markets today, check out the most recent share market updates here.