24th Sept 2020 Highlights: Markets End 3% Down, Jio Continues Getting Subscribers, Baggage Limit Removed, & More.

Jio Continues Getting Subscribers, Baggage Limit Removed.


24th SEPTEMBER 2020


Sensex 36,553.6 ▼2.96% 
Nifty 10,805.55 ▼ 2.93%

The markets were down nearly 3% today. This fall was being attributed to mostly the higher chances of lockdowns due to the increasing number of cases in different parts of the world. The US markets were down too.


Top Gainers (Nifty)


Vedanta - Rs 131.75 ▲ 1.35%
Bharti Infratel - Rs 169.10 ▲ 1.29%
HUL - Rs 2060.90 ▲ 0.41%

Top Losers (Nifty)


IndusInd Bank - Rs 490.25 ▼ 7.16%
Bajaj Finance - Rs 3028.90 ▼ 6.63%
Tata Motors - Rs 122.80 ▼ 6.54%
M&M - Rs 575.10 ▼ 6.12%
TCS - Rs 2332.25 ▼ 5.48%


June Telecom Data: Jio Continues to Add Subscribers


Reliance Jio added 4.5 million subscribers in June 2020 which takes its total subscriber tally to 397 million in June 2020, according to data released by the Telecom Regulatory Authority of India (TRAI).

Its peers, Bharti Airtel and Vodafone Idea (Vi) lost subscribers in the month under review.

Airtel lost 1.12 million subscribers and Vi lost 4.82 million subscribers.

Their user subscriber base was 316.67 million and 305.10 million respectively as on June 30, 2020, according to data released by Trai.

ALSO READ: VODAFONE- IDEA IS NOW VI - Vodafone and Idea can survive?

Gold, Silver Continue Their Fall This Week


Gold prices in India continued to fall today. October gold futures, on MCX, fell almost Rs 2,207 per 10 grams between Friday and Wednesday’s closing date.

On the other hand, December silver futures continued to fall since the previous week. In the last six trading days, silver has lost around Rs 10,293 per 1 kg.

Domestic Flight Baggage Restriction Removed


The government has removed restrictions on the weight of checked-in baggage allowed in domestic flights.

After the flights were restarted in May, passengers weren’t even allowed to carry cabin baggage.

Such restrictions have now been removed. Passengers will be able to carry baggage as per the baggage rules of individual airlines.

Derivatives Expiry Day


The derivatives expiry day turned out to be the worst day of the week for the benchmark indices. Heavy selling was seen across all sectoral indices with most damage seen in the Nifty IT (-4.2%), Nifty Metal (-4.2%) and Nifty PSU Bank (-3.8%) indices. The fact that 47 of the Nifty50 stocks declined indicates overall weakness. IndusInd Bank (-7.4%), Tata Motors (-6.5%), and Bajaj Finance (-6.5%) were the top Nifty50 losers today. 

Here are the top stories of the day.

 

SP Group exit hurts Tata Group stocks 

Expectations are rife that Tata Sons might either reduce its stake in TCS or raise funds by pledging shares to buy SP Group’s stake. Shares of TCS (Tata Group’s largest company by market cap) are already feeling the heat of this selling overhang and were down 5.4% today. Similarly, shares of other major Tata Group companies—Tata Motors (-6.5%), Tata Steel (4.7%) and Tata Chemicals (-4.7%)—were also trading lower. The value of the SP Group’s stake is expected to be as high as ₹1.75 lakh crore, and it is believed that the sale could be spread over a few years.  

 

Apollo Hospitals surges on improved occupancy

Contrary to the general market weakness, shares of Apollo Hospitals are at a lifetime-high, due to improving operational metrics in its healthcare services segment. As per reports, hospital occupancy has gone up to 60% in September versus 38% in June, when the movement of people was restricted due to the lockdown. Further, the company’s financials have strong support from its pharmacy business, where revenues grew by 21% on a year-on-year basis in Q1FY21. For this fiscal, the company is looking to save around ₹180–200 crore by cutting administrative, manpower, and travel costs, etc. The Apollo shares saw investor interest, as the stock went up 7.2% today and have risen nearly 18% this month.

ALSO READ : Top 10 Mutual Funds in India 2020.

 

Gold drops as the dollar makes a comeback

With fading hopes of an additional stimulus in the US, the dollar index has strengthened nearly 1.5% this week. This has resulted in selling in gold and silver, which generally move inversely to the dollar index. In general, investors seem to be turning risk-averse and are withdrawing money from risky assets, including bullion. This week, Comex Gold futures have dropped over 5%, while Comex Silver futures have slipped about 18%. As the selling pressure subsides, one could see fresh vigour in bullion leading up to the US presidential election, which is scheduled for 3 November 2020.

Closing bell

Most of the global equity markets are witnessing a sell-off. In the US, the major benchmark indices—the Dow Jones Industrial Average (-1.9%) and Nasdaq (-3.0%)—were down yesterday. Similar negative trends were also seen in Asian and European indices. Usually, investors seek respite in defensives (mainly FMCG stocks) during such times. FMCG stocks like Godrej Consumer Products (+1.7%), Colgate Palmolive (+1.4%), Marico (+0.6%) and HUL (+0.2%) ended in the green today. 


🥇 Gold: Rs 49,489 ▼ 0.79% at 6 PM

🥈 Silver: Rs 57163 ▼ 2.94% at 6 PM


🔀  USD-INR Rate: Rs 73.89/USD ▲ 0.44%


Dow Jones: 26,763.13 ▼ 1.92% - Sept 23

Nasdaq: 10,632.99 ▼ 3.01% - Sept 23


HAPPY INVESTING !! 


See you tomorrow!