Stock Market

Nifty firmly holds 8800; HDFC Bank loses 5% from day’s high

2:25 pm Buzzing:

State-run housing company NBCC fell more than 10 percent intraday after the stock adjusted for bonus issue.
The board of directors of the company, on January 4, recommended the issue of bonus shares that would be from its free reserves created out of profit.
The company has fixed February 21 as a record date for ascertaining the eligibility of shareholders for issuance of one bonus share of Rs 2 each on every existing two fully paid-up equity shares, subject to the approval of shareholders through postal ballot, it said on January 13.
With this bonus issue, the share capital of the company will increase to Rs 180 crore (90 crore shares) from Rs 120 crore (60 crore shares).
2:14 pm MFs may trade in commodities soon: With an aim to deepen the nascent commodity market, SEBI is likely to give mutual funds the go-ahead to trade in commodity markets in a month, while the regulator is also in talks with the RBI to allow institutional investors like banks and Foregin Portfolio Investors to trade in the segment.
“Mutual funds’ participation in commodities derivatives would be the first one to happen among institutional investors,” Securities and Exchange Board of India Chairman UK Sinha said on Friday, and hinted that the move could be implemented in a month.
Sinha, whose term as SEBI Chairman ends on March 1, was speaking to reporters on the sidelines of the regulator’s international conference on commodity derivatives.
Also read – ANALYSIS: Confident of growth, RBI chief has watchful eye on inflation

2:00 pm Market Check
The market remained in positive terrain in afternoon despite flat trade in Europe, led by private banking & financials, healthcare and select oil & gas stocks.
The 30-share BSE Sensex was up 186.31 points at 28487.58 and the 50-share NSE Nifty gained 49.90 points at 8827.90 while the broader markets rose 0.4 percent.
The market breadth was not strong as about 1432 shares advanced against 1201 declining shares on the BSE.
HDFC Bank, the country’s second largest private bank, erased more than half of its gains in afternoon trade after the Reserve Bank put the bank back in its FIIs ban list, up 3.5 percent after rising as much as 10 percent in opening trade today.
ICICI Bank, Sun Pharma, Tata Motors, Lupin, Cipla and GAIL gained 1-3 percent while TCS, Infosys, Axis Bank, SBI, Maruti and Asian Paints were under pressure.
European bourses were flat, pausing for breath after a strong rally at the start of the week, as investors eyed economic data and more earnings reports.
Asia markets finished mostly lower, as Samsung Group shares were in focus following the arrest of its chief.