The Economic Survey found that the Rebates on State Levies Scheme (ROSL) had a positive impact on apparel exports compared to other goods which did not receive the benefits of the scheme. Further, it increased the exports of man-made fibre apparels more than that of natural fibre apparels.
Companies and Markets
Companies & Markets
Stocks in sectors like technology, metals and banking have largely driven the massive rally in the Indian market in New Year. These sectoral indices have hit their 52-week highs over the past few weeks and have outperformed benchmark indices like Sensex and Nifty by a large margin.
BSE IT index clocked the highest during the month as it surged 13 per cent from the beginning of the month, followed by the BSE Banking index with 8 per cent rise, while BSE Metal index rose 5 per cent.
Sensex and Nifty, while ruling at new all-time highs, have gained 6.5 per cent during 2018.
The Economic Survey 2017-18 put a reality check on many government dreams — controlling fiscal deficit, investment revival, doubling farm income by 2022, to name a few — with strong challenges coming from rising crude prices, high asset valuations in the stock market and possible derailment or delay in stressed asset resolution and bank recapitalisation programme.
In a bid to give tough competition to others, JSW Steel is expected to double its bid value for debt-laden Bhushan Steel, a source privy to the development said.
The market continued the rally this week. Indices galloped on the first two days and the expiry day ended on a negative note. Though bulls had an upper hand in the series, they were unable to push things on the expiry day. The BSE Sensex gained 538.86 points, or 1.49 per cent, to close at 36,050.44 points. The Nifty gained 174.95 points, or 1.58 per cent, to close at 11.069.65 points. The rally has become so strong in recent days that it took a mere four trading sessions for the Sensex to rise from 35K to 36K. These should be cautionary signals.
Companies hoping for relief from dividend distribution tax (DDT) may be in for a disappointment on February 1 when finance minister Arun Jaitley presents his government’s last full budget before polls in 2019.
The finance ministry is said to have decided against scrapping DDT in budget 2018-19 as such a step would dry up a stable and firm source of revenue at a time when GST collection is yet to stabilise and non-tax revenue scenarios are not exactly bright. Abolishing DDT will
BharatNet, the Modi government’s flagship digital connectivity programme, may receive 100 per cent hike in budget allocation. This likely increase is seen as a government move to raise infrastructure spending and make BharatNet a part of infrastructure, said sources. BharatNet aims to provide high speed broadband in 1.5 lakh gram panchayats by the end of the next fiscal. Of the 2.5 lakh gram panchyats in the country, 1 lakh have already been connected with broadband under phase I, which ended on December 31, 2017.
Third quarter corporate earnings declared so far are proving to be a market mover. The combined profit after tax for 346 BSE companies have increased 22.27 per cent compared to the same for October-December period of the previous year.
Data provided by Capitaline for 346 BSE companies showed that their combined profit after tax soared to Rs 60,845.12 crore against Rs 49,761.51 crore in the same period in the previous year.
The combined third quarter revenue rose by 12.98 per cent to Rs 5,08,385.54 crore from Rs 4,49,941.37 crore.
Country’s largest state-owned oil and gas explorer ONGC is likely to continue its buying-spree post acquisition of government’s entire 51.11 per cent stake in HPCL. The upstream major has now indicated its interest in buying out pipeline business of gas transportation utility GAIL.
LeapFrog Investments, a private investment firm that invests in high growth financial services and healthcare companies in emerging markets, along with existing investors has raised Rs 300 crore for investment in Mumbai-based digital lending firm NeoGrowth Credit, a digital financial lender to small and medium businesses.
“LeapFrog Investments has led a $47 million investment round in NeoGrowth, with existing investors Aspada Investment Company and Quona Capital also participating,” it said.