Index trend and stocks in action October 07, 2016

Indian benchmark indices started the session on an optimistic note as investors were largely influenced by upbeat global cues. Thereafter, the benchmark indices continued to move in positive territory in the morning trade. However, weak start of European markets put in concern among investors, which led the indices to the lowest point of the day. In the end market closed in negative but above 8700 mark. Nifty did manage to bounce back from its crucial support level of 8680. Now going forward a decisive breach of this zone of 8675-8680 will open up for correction up to levels of 8640-8610. On the upside, the zone of 8780-8800 will act as a stiff resistance for Nifty.

Bajaj Finance: Bajaj Finance's long term bank loan, NCD, subordinate debt and lower tier-II bonds were upgraded by CRISIL from CRISIL AA+/Positive to CRISIL AAA/Stable.

ABG Shipyard: ABG Shipyard has decided to divest its subsidiary, Western India Shipyard, and will invite bids from prospective investors. The decision was taken in the meeting of board of directors of the company held on October 6, 2016.

Fiem Industries: Auto component maker, Fiem Industries has signed technology license and assistance agreement with Asian Industry and Toyota Tsusho, Japan for manufacturing of Canister.

UPL: UPL Corp, the wholly owned subsidiary of UPL Ltd., formerly known as United Phosphorous Limited, has raised $500 million by selling dollar-denominated bonds to overseas investors.

Bharti & Idea: The spectrum auction ended on a tepid note with bids worth Rs.65,789 crore received. Nearly 60% of the airwaves remained unsold. The government was expecting nearly Rs.560,000 crore through these bids. Most of the premium airwaves including the 4G spectrum remained largely unsold. Vodafone was the most aggressive bidder with bids worth Rs.20,000 crore followed by Bharti at Rs.14,244 crore and Idea at Rs.12,978 crore. New comer Reliance Jio put in bids worth Rs.13,672 crore. The government is expected to garner revenues to the tune of Rs.32,000 crore from this sale.

Kotak Mahindra Bank: The private sector bank, Kotak Mahindra Bank has cut base rate by 10 basis points to 9.4 per cent per annum, following the 0.25 per cent repo rate cut by the RBI.