Bourses extend losses in late noon deals

Indian equity bourses extended losses in late afternoon session to reach near their intraday low points, on the back of mixed cues from European markets. Sentiments remained pessimistic, as Finance Minister Nirmala Sitharaman cautioned that trade wars and protectionism have generated uncertainties, which will ultimately impact the flow of capital, goods and services. The street paid no heed towards the Retirement fund body, Employment Provident Fund Organisation’s (EPFO) latest ‘Provisional Estimate of Net Payroll’ data report showing that India created 10,86,113 new jobs in the month of August 2019.

On the global front, European markets were trading mixed, as the UK budget deficit for September increased for the first time in five years. The data from the Office for National Statistics showed that public sector net borrowing excluding banks increased by GBP 0.6 billion from last year to GBP 9.4 billion in September. However, Asian markets were trading in green.

Back home, the banking industry stocks were in focus, amid a private report stating that at a time when growth is slowing, productivity gains are fading and digital pressures are on the rise, the banking sector should urgently consider radical measures to strengthen profitability and boost returns.

The BSE Sensex is currently trading at 39015.15, down by 283.23 points or 0.72% after trading in a range of 38966.40 and 39426.47. There were 16 stocks advancing against 15 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.07%, while Small cap index was up by 0.45%.

The top gaining sectoral indices on the BSE were Healthcare up by 1.72%, Consumer Durables up by 1.52%, Bankex up by 1.06%, Oil & Gas up by 0.64% and FMCG up by 0.54%, while IT down by 6.66%, TECK down by 5.78%, Metal down by 0.69%, Auto down by 0.39% and Utilities down by 0.27% were the top losing indices on BSE.

The top gainers on the Sensex were ICICI Bank up by 2.57%, Hero MotoCorp up by 1.31%, HDFC Bank up by 1.26%, ITC up by 1.14% and Bajaj Auto up by 1.01%. On the flip side, Infosys down by 15.05%, Tata Motors - DVR down by 3.75%, HCL Tech. down by 3.28%, Tata Motors down by 2.67% and Tech Mahindra down by 1.96% were the top losers.

Meanwhile, the Retirement fund body, Employment Provident Fund Organisation (EPFO) in its latest ‘Provisional Estimate of Net Payroll’ data report has showed that India created 10,86,113 new jobs in the month of August 2019 as against revised figure of 11,71,793 in July 2019.

As per the report, the maximum jobs were created in the age bracket of 22-25 and in this bracket the top sectors which have created more fresh jobs include Expert Services, Trading - Commercial Establishments, Establishments engaged in Manufacturing- Marketing Servicing & Usage of Computers, Engineers- Engineering Contractors, Electric-Mechanical-or General Engineering Products, Building & Construction Industry, Financing Establishment, Hospitals and Heavy - Fine Chemicals. In the similar age bracket, Maharashtra was the first among the States to create maximum payroll, followed by Karnataka, Gujarat, Tamil Nadu, Delhi and Telangana.

According to the data report, 7704 new jobs were created in less than 18 age group category, while 283243 jobs in 18-21 age group category. Further, 22-25 age, 26-28 age, 29-35 age and more than 35 age group category witnessed 293496, 135139, 189487 and 177044 new payrolls, respectively in August 2019.

The CNX Nifty is currently trading at 11595.70, down by 66.15 points or 0.57% after trading in a range of 11589.45 and 11714.35. There were 26 stocks advancing against 24 stocks declining on the index.

The top gainers on Nifty were Dr. Reddy’s Lab up by 2.93%, BPCL up by 2.67%, ICICI Bank up by 2.54%, Cipla up by 2.24% and Titan Co up by 2.15%. On the flip side, Infosys down by 15.35%, HCL Tech. down by 3.24%, Tata Motors down by 2.92%, Bajaj Finserv down by 2.37% and Tech Mahindra down by 2.34% were the top losers.

Asian markets were trading mostly in green; Taiwan Weighted strengthened 87.10 points or 0.78% to 11,271.25, Hang Seng increased 46.99 points or 0.18% to 26,772.67, Straits Times advanced 27.42 points or 0.87% to 3,166.57, KOSPI rose 24.02 points or 1.16% to 2,088.86 and Shanghai Composite was up by 6.72 points or 0.23% to 2,946.34. On the flip side, Jakarta Composite was down by 15.36 points or 0.25% to 6,183.63.

European markets were trading mixed; FTSE gained 10.75 points or 0.15% to 7,174.39 and DAX was up by 4.45 points or 0.03% to 12,752.41, while CAC fell 22.37 points or 0.40% to 5,625.98.