Connect with us

Business

Sensex dives 572 points as Huawei arrest roils global markets

Published

on

Huawei

Mumbai | Benchmark Sensex buckled under selling pressure for the third straight day on Thursday, in step with a global sell-off triggered by the arrest of a top executive of Chinese telecom giant Huawei in Canada.

Asian markets nosedived after Huawei CFO Meng Wanzhou, who is also the company founder’s daughter, was arrested in Canada for extradition to the US for suspected Iran sanctions violations, dealing another blow to US-China relations.

The BSE Sensex plunged 572.28 points, or 1.59 per cent, to close at 35,312.13. Similarly, the broader NSE Nifty fell 181.75 points, or 1.69 per cent, to 10,601.15. All sectoral indices on the BSE and NSE ended in the red, led by metal, oil and gas, pharma and financial stocks. Sun Pharma was the lone gainer in the 30-share Sensex pack. A weakening rupee, which plunged below the 71 per dollar mark intra-day, and fresh foreign fund outflows further dented investor sentiment, analysts said.

“Capital markets had a rough day, as they are trying to navigate too many data points such as re-emergence of sharp weakness in Indian rupee, upcoming OPEC meeting outcome in terms of production cut, and upcoming results of five state assembly elections. The nervousness is quite evident, as there is sharp sell-off across the industries, and especially in those stocks where there are corporate governance concerns,” said Jagannadham Thunuguntla, Senior VP and Head of Research Wealth), Centrum Broking Limited.

Top index losers included Maruti, Tata Motors, Reliance Industries, Yes Bank, Adani Ports, Bharti Airtel, Asian Paints, ONGC, HUL, Kotak Bank, IndusInd Bank and Axis Bank, falling up to 4.63 per cent. Sun Pharma rose 1.57 per cent.

On a net basis, foreign portfolio investors (FPIs) sold shares worth Rs 357.82 crore Wednesday, and domestic institutional investors (DIIs) were net sellers to the tune of Rs 791.59 crore, provisional data available with BSE showed. Crude oil prices slipped below the USD 60 per barrel level amid a crucial meeting of Opec members. Elsewhere in Asia, Korea’s Kospi fell 1.55 per cent, Japan’s Nikkei dropped 1.91 per cent, Hong Kong’s Hang Seng shed 2.47 per cent and Shanghai Composite Index tumbled 1.68 per cent. In Europe, Frankfurt’s DAX shed 2.36 per cent and Paris’ CAC 40 fell 2.21 per cent in early deals. London’s FTSE too slipped 2.50 per cent.

Business

Banks’ consortium considering Rs 500 cr interim funding to Jet Airways, says PNB chief

Published

on

By

New Delhi | A consortium of banks is considering an interim funding of Rs 500 crore for debt-laden Jet Airways but a final decision is yet to be taken, Punjab National Bank Managing Director Sunil Mehta said on Friday.

PNB is part of the lenders’ consortium, led by State Bank of India (SBI), that has extended loans to the airline.

The full service carrier is looking to raise funds and restructure its debt.

Regarding Jet Airways, Mehta said the consortium is looking at the entire process and something is being worked out.

“Of course, (the) consortium is in favour (of interim funding). It is a going concern and we would like to preserve its (airline’s) value,” he said.

About interim funding for the carrier, Mehta said, “it is too premature to tell you about that plan” and the bankers are already working on it.

The SBI has taken a lead on it, and let the entire plan be worked out, he said, adding that it would be too early to announce the timings.

“Rs 500 crore that you are talking about is the interim funding but banks are looking at the long term resolution of the issues for which the plan is already in place for discussions,” he noted.

He was responding to a query about the banks’ extending interim funding to Jet Airways.

On February 14, the board of Jet Airways approved a Bank-Led Provisional Resolution Plan (BLPRP), whereby lenders would become the largest shareholders in the airline.

Lenders are to convert part of the airline’s debt into 11.4 crore shares at a consideration of Re 1 apiece as per RBI norms.

Later, appropriate interim credit facilities by domestic lenders would be sanctioned to the airline, as per a regulatory filing made on February 14.

The extraordinary meeting of Jet Airways shareholders was held on February 21 where various proposals were discussed. The results of the voting on the proposals would be released on Saturday.

Continue Reading

Business

Rupee gains 2 paise to 71.22 vs US Dollar

Published

on

By

trade

Mumbai | The rupee inched up 2 paise to 71.22 against the US dollar in early trade Friday amid a dip in crude oil prices and fresh foreign fund inflows.

At the Interbank Foreign Exchange (forex) market, the local unit opened almost flat at 71.23 and stayed in a narrow range. The rupee had skidded by 13 paise to close at 71.24 against the US dollar Thursday.

Foreign institutional investors (FIIs) net bought equities worth Rs 55 crore Thursday while domestic institutional investors bought shares to the tune of Rs 202 crore, provisional data showed.

Brent crude futures, the global oil benchmark, was trading 0.25 percent lower at USD 66.90 per barrel. The dollar index, which gauges the greenback’s strength against a basket of six currencies, traded flat at 96.60.

Meanwhile, the benchmark BSE Sensex fell 56.40 points, or 0.16 percent, to 35,841.95 in opening trade Friday.

Continue Reading

Business

Rupee rises 9 paise to 71.02 vs US dollar

Published

on

By

Rupee; paise

Mumbai | The rupee darted up 9 paise to 71.02 against the US dollar in early trade on Thursday amid a reversal in foreign fund outflows even as oil prices hardened.

At the Interbank Foreign Exchange (forex) market, the domestic unit opened slightly higher at 71.06 and built on the gains to reach 71.02.  Snapping a four-session downturn, the rupee had appreciated by 23 paise to end at 71.11 against the US dollar Wednesday.

Foreign institutional investors (FIIs), who had been heavy sellers over the past few sessions, net bought equities worth Rs 713.47 crore on Wednesday, provisional data showed.  Brent crude futures, the global oil benchmark, was trading 0.24 percent higher at USD 67.24 per barrel.

The dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.07 percent to 96.52. Meanwhile, the benchmark BSE Sensex climbed 19.16 points, or 0.05 percent, to trade at 35,775.42 in early trade Thursday.

Continue Reading
Advertisement

Popular Stories

Copyright © 2018 Theo Connect Pvt. Ltd. info@hwnews.in