19 JULY 2019 STATE OBSERVER NEWS JAMMU
Markets ended deep in the red on Friday amid weak domestic cues and heavy foreign fund outflow as investors were spooked by the news on Foreign Portfolio Investments (FPIs).The BSE Sensex tanked 560.45 points or 1.44 percent to 38,337.01 while the NSE Nifty closed 177.65 points or 1.53 percent to 11,419.25 .The Lok Sabha on Thursday passed the Finance Bill, 2019. Ruling out tweaking the FPI surcharge, Finance Minister Nirmala Sitharaman had on Thursday said trusts should register as companies to be out of the ambit of the surcharge. The Budget had proposed levy of an additional surcharge on individuals and trusts earning more than Rs 2 crore and Rs 5 crore, respectively.This has led to panic in the markets that once implemented, this move may adversely impact FPIs which are set up as non-corporate vehicles. Markets have borne the brunt of this tax as FPIs are on a selling spree.Investors are also cautious ahead of the announcement of first quarter earnings by Reliance Industries and InterGlobe Aviation, later in the day.Top M&M, Bajaj Finance, Tata Motors, Heromoto Corp, IndusInd Bank, Yes Bank, Bajaj Auto, Kotak Bank, SBI, ICICI Bank, Maruti and Tech Mahindra, falling upto 4.36 percent. Meanwhile, bucking the trend, shares of NTPC, Powergrid, TCS and ONGC ended in green, rising upto 2.32 percent.On a net basis, foreign institutional investors sold equities worth Rs 1,404.86 crore, while domestic institutional investors purchased shares to the tune of Rs 329.05 crore, provisional data showed.In the previous session, the 30-share gauge closed at 38,897.46, down by 318.18 points or 0.81 per cent, and the Nifty cracked below the 11,600 mark, ending 90.60 points or 0.78 per cent lower at 11,596.90.
