Spectacular confirmation of Bounce Back: Indian markets had a spectacular confirmation of its bounce back today with Nifty rising another 130 points to close at 7818(1.70%). There was a significant gap up of more than a 100 points in Nifty. The movie was accompanied by significantly high volumes. Today’s total volume in Nifty was 87,50,00,000. The overall market breadth was Bullish today. 42 Stocks have advanced today in Nifty and 8 stocks has declined.
All sectors in green: All the sectors gained today. The sectors which gained the most today are CNX METAL(+3.64%), CNX AUTO(+2.98%), CNX MEDIA(+2.8%) and CNX REALTY(+2.72%). Stocks which gained the most today are NMDC(+8.26%), HINDALCO(+7.7%), VEDL(+6.52%), NTPC(+5.81%) and TATASTEEL(+4.44%). The losers today are BOSCHLTD(-0.66%), TECHM(-0.63%), SUNPHARMA(-0.54%) and POWERGRID(-0.48%)
Government gave a nod to spectrum trading norms– The Cabinet today has approved the telecom spectrum trading norms, thus allowing telecom companies to buy or sell airwaves from each other. The telecom companies will now be able to trade unutilised spectrum, in all bands, thereby consolidating the sector. Ravi Shankar Prasad, telecom minister has said that the spectrum owned by the government, can now be traded between companies, provided they comply with all the rules and regulations.He explained, “There will be no need for permission. Companies will only have to intimate the government 45 days in advance,” . The government will also garner additional revenue from the spectrum trading as the buyer of spectrum will have to pay additional 1 percent for the airwave to the government. He further added ,”This is especially helpful for those companies that had bid and won airwaves but couldn’t expand their customer base,”. All the telecom stocks were up in the trade today in a range of 3-15%.
Government approves gold monetisation schemes– The government has given nod to the Gold Monetisation Scheme (GMS) that would allow gold depositors to earn interest on their metal accounts and this scheme was announced by Finance Minister Arun Jaitley in his Budget 2015-16. After the gold is deposited in metal account, it will start earning interest on the same. Jaitley said that the GMS will help put idle gold assets into use by accruing interest on it, thereby ensuring it isn’t a dead investment. He said that the Reserve Bank of India will issue sovereign gold bonds on behalf of the government and the interest rate will be decided keeping in mind the market rates from time-to-time and further added,”Individuals can buy gold bonds of up to 500 gms in a year and interest will be paid on them,”.
Navkar Corporation gets listed at Rs 152, down 2% below its issue price- Navkar Corporation, a logistic firm opened on the National Stock Exchange at Rs 152, down 2% compared to its issue price of Rs 155. However, it immediately recovered in trade and ended with a gain of more than 8%. The Rs 600-crore initial public offering (IPO) of the company, which oversubscribed by 2.75 times, was opened for subscription during August 24-26. The issue proceeds will be used for capacity enhancement of the Somathane container freight station (CFS), development of the non-notified areas of CFSs and establishment of a logistics park at Valsad in Gujarat.