Stock market update: Nifty IT index advances 0.84%

NEW DELHI: The Nifty IT index closed on a positive note on Friday.
ADVERTISEMENT Shares of Persistent Systems Ltd.(up 3.53 per cent), Coforge Ltd.(up 2.12 per cent), MphasiS Ltd.(up 1.81 per cent), HCL Technologies Ltd.(up 1.52 per cent) and Oracle Financial Services Software Ltd.(up 0.74 per cent) ended the day as top gainers in the pack.
On the other hand, finished as the top losers of the day.
The Nifty IT index closed 0.84 per cent up at 38991.45. Benchmark NSE Nifty50 index ended up 319.16 points at 25112.4, while the BSE Sensex stood up 1046.3 points at 82408.17. Among the 50 stocks in the Nifty index, 46 ended in the green, while 4 closed in the red.
ADVERTISEMENT
Shares of Vodafone Idea, RattanIndia Power, Vishal Mega Mart, Suzlon Energy and YES Bank were among the most traded shares on the NSE.
Shares of Quality Power Electr, Prostarm Info System, Gallantt Metal, Gillanders Arbuthnot & Co and Indiabulls Enterprises hit their fresh 52-week highs in today's trade, while Navkar Builders, Sadhana Nitro, Lasa Supergenerics, Siemens Energy India and Chembond Chem hit their fresh 52-week lows.
ADVERTISEMENT
(You can now subscribe to our ETMarkets WhatsApp channel)

Try Our AI Features

Explore what Daily8 AI can do for you:

Learn with AIFact CheckingText to SpeechAI Summary

Related Articles

Time of India

2 hours ago

• Time of India

RBI guidelines for project finance, CRE: A smaller provisions hike's no big worry for banks, NBFCs

MUMBAI: Central bank guidelines on provisions for project finance and commercial real estate (CRE) might have only a small and negligible profitability impact on both banks and NBFCs , as the increase in immediate liabilities is less than a percentage point from those existing rules - even in the worst-case scenario. Financial and banking stocks surged on Friday. Bankers and analysts, who had pencilled in up to a 150-basis point impact on return on assets (RoAs) for lenders, now expect no new provisioning requirements as NBFCs are already on the more stringent Ind-AS accounting norms while for banks the impact is small. One basis point is 0.01 percentage point. Karthik Srinivasan , group head, financial sector ratings at ICRA said with no retrospective provisions and peak provisions much below the 5% proposed in the draft guidelines, there will be a minimal impact on lenders. "Although we are yet to create a hypothesis and do a study on the impact, it is nothing like the 150 basis points on RoA basis we had predicted earlier. We do not expect any real impact on banks or NBFCs," Srinivasan said. ICRA had earlier expected the annual impact on RoA at 100-150 bps for lenders, with funding costs going up by 20-40 bps. Both these issues will not arise as in the final guidelines general provisions required for CRE, CRE-RH (CRE-Residential Housing) and other infrastructure projects have been reduced to between 1% and 1.25% in the construction phase from a peak of 5% in the draft guidelines. Live Events Financials Surge The Nifty financial index surged 1.3%, and financial stocks were at the forefront of the stellar Nifty 50 rebound Friday from a sharp sell-off Thursday. HDFC Bank , the biggest lender by market value, climbed 1.44%, while Bajaj Housing Finance too climbed 1.4%. Provisions for projects in the operational phase have also been reduced to between 0.40% and 1%, with operational infrastructure project provisions kept at 0.40%, the same as it is currently. The new guidelines will come into force from October 1. Rajkiran Rai , managing director at infrastructure financier NaBFID, said the final guidelines limit his firm's provision increase to just 5 basis points. "If we were pricing a loan at 8%, now we will price it at 8.05%. This would have increased to 9.50% if the original guidelines had remained, so this is a big relief. The new norms also have clauses saying at least 50% to 75% of the land must be acquired for the loan to be sanctioned. This could delay loan sanctions but it will bring uniformity in application since different projects were so far treated differently on land acquisition," Rai said. For loans on infrastructure projects which have been delayed beyond three years from the date of commencement of commercial operations (DCCO), lenders have to make an additional provision of 0.375% and a 0.5625% provision on non-infrastructure project loans (including CRE and CRE-RH), for each quarter of deferment, over and above the applicable standard asset provision. "Provisioning requirement for projects beyond DCCO up to two years will go up to 4% vis-a-vis original guidelines where provision was only 0.4%," said an analyst. "Now, within DCCO, the first quarter itself will attract higher provision."

Business Standard

3 hours ago

• Business Standard

CAPE fear: History suggests rich valuations precede sharp pullbacks

Valuations at current levels have historically corresponded single-digit returns premium Sachin P Mampatta Mumbai Listen to This Article Notwithstanding indices being lower than the all-time high levels touched nine months ago, the stock market has rarely been as expensive as it is now on one particular metric. The 10-year cyclically adjusted price-to-earnings (CAPE) ratio for the BSE Sensex is at 35.2x, according to data based on a study, Forecast or Fallacy? Shiller's CAPE: Market and Style Factor Forward Returns in Indian Equities, authored originally in July 2024 by Joshy Jacob, professor at the Indian Institute of Management, Ahmedabad, and Rajan Raju, director at Singapore-based family office Invespar. The numbers are updated monthly. The latest valuations for May 2025

Time of India

4 hours ago

• Time of India

Stricter regulations lead to drop in derivatives participation: NSE chief

Ahmedabad: With stricter regulations in place, there has been a significant drop in participation in the derivatives segment, said Ashish Chauhan, MD & CEO of the National Stock Exchange (NSE), on Friday. Chauhan was in the city to launch a book based on his life. He also participated in a discussion on Indian financial markets with international tax expert Mukesh Patel. Speaking to the media, Chauhan said, "SEBI increased lot sizes and margin requirements for trading in derivatives to ensure that small investors do not lose money. In June last year, around 55 lakh investors traded in derivatives at least once. That number has now come down to about 30 lakh." He also stated that NSE International Exchange at GIFT City has signed an agreement with the Cyprus Stock Exchange for dual listing and joint product development.