The News International Team
12:30pm Market Expert
The Delhi election outcome has been a defining one, which clearly shows that voters want a corruption free government that focuses on governance, says Dipan Mehta, Member, BSE & NSE . The outcome is quite positive for the Indian electorate and the economy, believes Mehta.
According to him, the sell-off seen in yesterday’s trade was a bit overdone and now the reality seems to be sinking in. The election outcome would be an eye opener for the BJP that they need to move towards providing better governance.
When asked if the Delhi election would have an impact on the upcoming Budget, he does not think so. He says the Budget process is already underway and the BJP needs to build a perfect platform and prepare the Budget on basis on merit and on what the country and the economy really requires at this point of time.
12:00pm Market Check
The market erased more than half of gains in noon trade due to profit booking in banks (at higher levels), and fall oil & gas and select IT stocks. The Sensex rose 135.66 points to 28363.05 and the Nifty climbed 33.05 points to 8559.40.
About 1520 shares have advanced, 889 shares declined, and 215 shares are unchanged on the BSE.
It’s going to be a landslide win for the Aam Aadmi Party in Delhi. The party is set to win over 60 of the 70 seats with nearly 54 percent of the vote share in Delhi elections. However, BJP conceded its defeat while Congress is on the way to a historic complete rout.
Hindalco Industries topped the buying list, up 3.5 percent on Novelis’ earnings. Novelis reported an 18 percent jump in revenue with profit rising 250 percent to USD 46 million. Barclays says the marginal miss in volumes was offset by improved profitability which was driven by improving product mix towards auto.
DLF tanked 4 percent after posting a revenue decline of 5 percent and profit fall of 10 percent in the third quarter. Meanwhile, Larsen and Toubro recovered almost 4 percent from its session lows after brokerages retained a buy on the stock despite weak Q3 earnings. They remain bullish on outlook for FY16.
HDFC, TCS, Sun Pharma, Reliance Industries and Wipro declined 0.6-1.7 percent followed by ONGC, HUL, Hero Motocorp, Bharti Airtel and Baja Auto with marginal losses.
Globally, Asia is mixed as tensions of Greek debt negotiations weighed along with geopolitical tensions re-emerging in Ukraine. Fresh Chinese inflation data also added to investors’ concerns.