Live Markets Commentary
Sify Editors @ 4:10 PM
Sensex ends 605 points down after tanking nearly 1100 points on Brexit worries
The RBI governor Raghuram Rajan said that India's strong fundamentals would help it to remain largely immune from Brexit shock. And it looks this statement helped pull the market from dismal lows on Friday and enabled key indices Sensex and the Nifty50 to regain a substantial portion of lost ground.
Still, the slide was so steep early on in the session that the Sensex still ended the day with a sharp loss of 604.51 points or 2.24% at 26,397.71. It had plunged nearly 1100 points to 25,911.33 early on. The Nifty50, which had tanked to 7927.05, closed at 8076.55, recording a loss of 193.90 points or 2.34%.
The RBI governor said that the central bank would provide liquidity to allow orderly adjustment in the forex market following U.K.'s exit from European Union. Positive statement from finance minister Arun Jaitley too did its bit to lift sentiment a bit in the Indian market.
Most of the market in the Asia-Pacific region closed sharply lower, with Japan leading the decline following its currency yen's advance against the U.S. dollar. European markets opened with big negative gap and were mostly trading sharply lower when trading ended in the Indian market.
The rupee weakened to 68.22 against the U.S. dollar early on in the session, but recovered well subsequently. Around late afternoon, the currency was trading at 67.95 a dollar, still down notably from its previous close of 67.25 a dollar.
Sify Editors @ 3:45 PM
The Indian stock market ended sharply lower, mirroring global trend, after Britain voted to exit the European Union.
Falling commodity prices and weaker rupee rendered the mood bearish right through the session.
Stocks found support at lower levels as RBI governor and the finance minister came out with positive remarks about the Indian economy.
The Sensex, which was down nearly 1100 points at one stage, ended down 604.51 points or 2.24% at 26,397.71.
The Nifty50 closed at 193.90 points or 2.34% at 8076.55, well off the day's low of 7927.05.
Metal, bank, capital goods and realty stocks were among the major losers.
IT and FMCG stocks too closed weak.
Select pharma stocks closed with strong gains.
The market breadth was very weak.
Sify Editors @ 3:15 PM
Sensex, Nifty set to end sharply lower
Key Indian stock indices look set to end sharply lower despite having regained almost half of what they had lost intraday following a free fall in stock prices.
With a few front line counters attracting buyers, the market is now a long way off the day's lows. European markets continue to trade sharply lower. Asian markets mostly ended with sharp losses.
The sell-off in global stock, commodity and currency markets was triggered by Britons decision to exit the European Union.
At 26,396.28, nearly 500 points off the day's low of 25,911.33, the Sensex is now down 605.94 points or 2.2%. The Nifty50, which tanked to 7927.05, is down 187.80 points or 2.27% at 8082.65.
Sify Editors @ 2:25 PM
Sensex still down 2.4%
Asian markets ended sharply lower and European markets have plunged following Britain leaving the European Union, even as the Indian stock market is in the recovery mode now, with the key indices Sensex and the Nifty50 regaining a good portion of lost ground.
As Britons voted to leave the European Union, the U.K. Prime Minister David Cameron resigned, respecting the will of the people. Falling commodity prices and the British Pound's plunge to a more than 30-year low, took a toll of the European markets today. There is a scamper of sorts for safe haven investments like the Yen and Gold.
The U.K.'s FTSE index is down 4.2%, despite recovering some lost ground. The German DAX index and the French CAC 40 index are down 6.1% and 7.5%, respectively.
Back home, the BSE benchmark Sensex, which had tanked nearly 1100 points to 25,911.33, has recovered to 26,358.40, trimming its loss to 643.82 points or 2.4%. The Nifty50 is down 207 points or 2.5% at 8063.45, coming off the day's low of 7927.05.
Sify Editors @ 1:55 PM
Sensex 300 points off day's low
After Asian markets, it is now the turn of markets in Europe to go downhill. With Britons voting to the European Union, global financial markets are in jitters today amid uncertainty about the political scenario in U.K.
Most of the major currencies are down sharply against the U.S. dollar, even as the Japanese Yen, considered a safe haven, rebounds to trade in positive zone after weakening to around 106.60 a dollar.
Major European markets are plunging sharply. The U.K.'s FTSE 100 is down by about 6.75% and the German DAX is declining 8%, while the French CAC 40 is down 9.6%. The EuroNext 100 is down more than 8.5%.
Sify Editors @ 1:15 PM
Stocks, currencies tumble on Brexit
The Indian rupee, which weakened to a near four-month low of 68.22 against the U.S. dollar this morning, after Britain decided to leave the European Union s in its historic referendum, recovered some lost ground subsequently.
The rupee is currently trading at 67.97 a dollar, still a long way down from its previous close of 67.25 a dollar.
The British Pound is trading 1.366 a dollar, down more than 8% from its previous close. The Euro is down nearly 3% against the U.S. dollar and the Aussie is down by about 3.2%. Meanwhile, the Yen, at 97.00 a dollar, is up more than 3% from its previous close, after having weakened to 106.64 earlier.
Sify Editors @ 12:55 PM
Gold takes off
Safe-haven gold rallied the most since the 2008 global financial crisis and oil and copper tumbled on Friday, as Britain's vote to leave the European Union rattled commodities markets, forcing a selloff in risky assets and a rush to safe havens. In India, gold rates shot up by 6% to the highest in nearly three years.
Sify Editors @ 12:20 PM
"As of now don't see significant amount (of capital) flowing out (of India following Britain's decision to leave the EU)," RBI governor Raghuram Rajan says. Finance Minister Jaitley also says that India is well prepared to deal with the implications of Brexit.
Sify Editors @ 11:20 AM
Tata Motors on the wrong lane amid Brexit worries
Shares of Tata Motors Limited have taken a long trip down south today, with reports that Jaguar Land Rover is recalling more than 11,000 vehicles in China due to faulty crankshaft sensors adding to concerns about a likely hit the company is set to take in the event of the British referendum on whether to stay with the European Union or leave it resulting in a victory for the 'leave' campaign.
Tata Motors had bounced back strongly to close higher on Thursday, hitting a 52-week high in the process, after having suffered a setback early on in the session.
Jaguar Land Rover has reportedly predicted an estimated 1 billion pounds loss by 2020 in the event of Britain's exit from the European Union. The luxury car firm has made a splendid turnaround its fortunes in recent years, under the Tata Group's charge.
Europe accounts for 24% of the total sales of 521,571 of Jaguar Land Rover, making it the single biggest market for the company, ahead of U.K.s 20%.
Sify Editors @ 11:00 AM
The Sensex has plunged more than 1000 points this morning since news of Brexit became official.
It was its worst setback in absolute terms, since it plummeted around 1625 points on August 24, 2015.
Earlier, on January 21, 2008, the benchmark index had crashed 1408.35 points and followed it with another 1000 plus points loss (1070.63) on 24 October 2008.
If the current mood is any indication, then it is quite probable that the index might see a fall of more than 300 points from current levels before the session ends today.
At 26,041.87, nearly 100 points off the day's low of 25,944.53, the Sensex is now down 960.35 points or 3.56%. Meanwhile, the National Stock Exchange's Nifty50 is down 307.30 points or 3.7% at 7963.15, around 25 points off the day's low of 7938.60.
In the forex market, the rupee is trading at 68.07 against the U.S. dollar, down 82 paise from its previous close of 67.25 a dollar.
Sify Editors @ 10:40 AM
What happens now that Britain has voted for Brexit: Economist explains
Here is the esteemed Economist explaining the implications of the Brexit vote:
BRITAIN has voted for Brexit. What happens now? Nothing immediate, is the answer for EU nationals living in Britain and Britons living elsewhere in the EU, as well as for businesses on both sides of the Channel. It will all depend on negotiations that could take years - and no one is sure quite how many years, because the only precedent is Greenland, with a population today of around 50000, which voted to leave in 1982.
Sensex down 966 points on all-round selling
The Indian stock market is deep in the red this morning, mirroring the trend across the Asia-Pacific region, after Brexit (Britain's exit from EU) became official.
The bearishness in Dalal Street is so widespread that not even a single stock from the Sensex or the Nifty50 is up in positive territory at present.
The Sensex is now down by about 966 points or 3.57% at 26,036.26, after plunging to a low of 25,989.41. The Nifty50 of the National Stock Exchange is down 307 points or 3.7% at 7963.45, slightly off the day's low of 7952.20.
Tata Motors, which is likely to see a notable drop in revenue in the event of Britain leaving the European Union, is down 12%. Tata Motor DVR is lower by about 10.6%.
Sify Editors @ 10:10 AM
Rupee is trading below 68 against the dollar since it opened. Get live quotes here.
Sify Editors @ 10:00 AM
Brexit: Asian markets tank
It is not just India, most of the markets across the Asia-Pacific region have taken a hit on a day when results of Britain's European Union referendum indicated that Britain has voted to 'Leave' the EU in what the BBC termed a historic divorce.
The Japanese market is down sharply with its benchmark Nikkei225 index plummeting more than 7%. Hong Kong's Hang Seng index is down 4.7%, South Korea's Kospi is down 4.1% and the Australian benchmark S&P/ASX 200 is down 3.4%.
Key indices of Taiwan, New Zealand, Malaysia, Indonesia and Singapore are down 2% - 3%, while Shanghai's SSE Composite Index is down by about 1.2%.
Sify Editors @ 9:50 AM
Sify Editors @ 9:39 AM
Britain has voted to leave EU in historic divorce, forecasts the BBC. Sensex is down 738.73 points (2.74%); NSE greets the news 233.35 points in the red.
Sterling sank a staggering 9 percent to $1.3550, having carved out a range of $1.3462 to $1.5022. The fall was even larger than during the global financial crisis and the currency was moving two or three cents in the blink of an eye.
"Sterling is getting smackadoodled," said Tim Kelleher, Head of FX Institutional Sales New Zealand for ASB Bank in Auckland. "While we thought it was all going to be "Remain", it's quite clearly not going to be as clear cut as that."
With it appearing that Brexit is certain, Sensex has slumped over 700 points, Nifty is down over 200 points. The rupee has fallen over 1% following the pound's biggest fall in 31 years.
Bankers' early confidence that Britain would remain within the European Union quickly evaporated after vote counts suggested the "leave" camp had the upper hand, sending sterling plummeting and heart-rates racing on trading floors from London to Hong Kong.
Results from Sunderland and Newcastle, two north-eastern cities in England, were interpreted by investors as harbingers of a possible victory for Brexit and they moved swiftly to sell sterling, after earlier pushing it to a 2016 high on hopes that the "remain" side would swoop to victory.
The mood swing was dramatic.
"Newcastle was a squeaky win for Remain but Sunderland was a huge kick in the ribs and the bottom has fallen out of the pound," said Jeremy Cook, chief economist at the international payments company, World First.
"These markets are thin, liquidity is poor and a recovery is obviously possible but those traders who were looking to book a quick profit before a restful night's sleep have had their ideas shattered."
Months of bitter campaigning has left the industry - which earned the nation 190 billion pounds in 2014 - deeply divided, with investment banks and insurers pitted against many fund managers and brokers who wanted a Brexit.
A total of 243 out of 382 counting areas had declared their results by 0304 GMT, with a 51.1 percent majority vote for leave.
The final official result is expected around 0600 GMT.
All the major international and British banks in London, including Citi Deutsche Bank, JPMorgan, Goldman Sachs and Barclays had traders either working through the night or on call.
But bankers in New York were also burning the midnight oil with special numbers laid out for hedge fund clients to call, foreign exchange desks fully staffed and senior management keeping a fretful eye on screens.
On Citi's foreign exchange desk in London, dealers were only accepting voice orders and only desk heads had the authority to approve trades, according to a source at the bank.
"Despite the close nature of the count, markets are on the move. We are clearly seeing a very dramatic flight to safe-havens across markets in Asia," Bill O'Neill, Head of UK Investment Office, UBS Wealth Management, said.
Sterling fell to $1.3459 versus the Dollar at 0306 GMT, the lowest level seen since September 1985.
"Clearly markets will turn their focus to the immediate reaction of G7 central banks in calming what is likely to be volatile opening across Europe," O'Neill added.
For investment bankers, a Brexit vote is more than just about volatile prices on a screen but also about where they may end up working and living.
London is Europe's financial hub and international banks have their European headquarters based there, using Britain membership of the EU to sell their services freely across the bloc.
European government officials have warned that British-based firms could lose their 'passports' if the country opts to leave, a move that would force them to shift some operations to the likes of Frankfurt, Paris or Dublin if they wanted to continue serving EU clients.
"This is the biggest vote in my lifetime. Black Wednesday and the impact of Lehman Brothers collapsing - these other big events don't even compare in magnitude to this," said Mark Boleat, Chairman of the City of London's Policy and Resources Committee.
"We are just beginning to think through what will have to happen legally and it is massive, absolutely massive," he told Reuters.
While Brexiteers insist Britain's financial industry -- the biggest in Europe -- should thrive once the EU shackles are shed, some of its biggest employers including JPMorgan, Citi and HSBC have warned London jobs will be lost if they have to move some operations to the continent.
Reflecting the uncertainty that will hit the financial services sector, Hong Kong-listed shares of HSBC and Standard Chartered fell more than 8 percent, while UK-listed banks are expected to post sharp declines when they start trading in London.
The Bank of England is on high alert to provide emergency support should financial markets buckle when the result emerges.
Sify Editors @ 3:45 PM, June 23
After opening on a cautious note and moving in and out of positive territory till a little past noon, the Indian stock market edged up a bit and then gained in strength as the day progressed to eventually close on a bright note today.
While a mixed trend in Asian markets with investors looking ahead to the British referendum on whether to stay with the European Union rendered price movements quite choppy early on, a firm start in European markets even as Britons started voting on the referendum lift sentiment.
The BSE benchmark Sensex ended up 236.57 points or 0.88% at 27,002.22, while the Nifty50 of the National Stock Exchange closed up 66.75 points or 0.81% at 8270.45.
|Cities||Gold (10g)||Silver (1Kg)|
|Chennai||Rs. 31326.20||Rs. 43465.00|
|Mumbai||Rs. 31796.79||Rs. 43465.00|
|Delhi||Rs. 32245.99||Rs. 43465.00|
|Kolkata||Rs. 32545.45||Rs. 43465.00|
|Kerala||Rs. 30267.38||Rs. 43465.00|