Share markets slid and bonds rallied in Asia on Monday as fears the United States could be heading for recession triggered mass risk aversion and wagers interest rates will have to fall sharply, and quickly, to support growth.

MSCI's broadest index of Asia-Pacific shares outside Japan lost 0.7%, while Japan's Nikkei shed another 5.5% to hit seven-month lows.

Wall Street losses deepened on Friday, 2 August, with a sharp drop in US equities and US Treasury yields at multi-month lows.

Here's a table showing how US stocks performed on Friday:

Source: Equitymaster

At present, the BSE Sensex is trading 1,535 points lower and NSE Nifty is trading 475 points lower.

HUL and Sun Pharma are among the top gainers today.

Tata Steel, Tata Motors, and ONGC the other hand are among the top losers today.

Broader markets are trading on a negative note. The BSE Midcap index is trading 2.3% lower and the BSE Smallcap index is trading 2.7% lower.

Sectoral indices are trading negative today, with stocks in metal sector, realty sector and energy sector witnessing selling pressure.

The rupee is trading at Rs 83.79 against the US dollar.

In commodity markets, gold prices are trading 0.9% higher at Rs 70,395 per 10 grams today.
 

DGGI Withdraws Tax Demand

Infosys Ltd. said that the Directorate General of GST Intelligence (DGGI) has withdrawn the tax demand of Rs 38.9 bn for the financial year ended March 2018, in a partial relief for India's second-largest software company.

This decision comes after a government official told that the Centre was looking at an early resolution of the ongoing tax battle, which started after Karnataka GST officials raised a Rs 324 bn notice for unpaid taxes for services availed by the company from its overseas branches for five years between July 2017 and March 2022.

Infosys added that it has responded to the pre-show cause notice issued by the DGGI for July 2017 to March 2022.

DGGI's decision to withdraw the tax demand for the first of the five years still leaves the dispute over the remainder of Rs 285.1 bn unresolved. It is unclear whether DGGI, the GST investigative arm, has issued a notice or intimation to Infosys about the remaining amount it alleged the latter has evaded.

The controversy stems from the Karnataka state GST authorities, which is a reference to the zonal body of the DGGI, sending a pre-show cause notice to Infosys on Tuesday, 30 July, for alleged evasion of Rs 324 bn in integrated GST (IGST) for supply of services by its foreign branches from July 2017 to March 2022.

JK Tyre Q1 Results

JK Tyre & Industries on Saturday reported a 37% year-on-year increase in consolidated net profit at Rs 2.1 bn in the first quarter ended 30 June 2024. The tyre maker reported a net profit of Rs 1.5 bn for the April-June quarter of last fiscal year.

Total income declined to Rs 36.6 bn for the period under review from Rs 37.3 bn in the June quarter of FY24.

The company's strategic thrust on premiumisation and pricing has helped it manage the raw material cost pressures.

Although overall revenues were marginally lower due to a decline in the OEM segment, this was largely offset by increased exports.

During the quarter, exports recorded healthy double-digit growth, despite geo-political disruptions and rising ocean freight.

JK Tyre's subsidiaries, Cavendish Industries and JK Tornel, Mexico, continued to make significant contributions to the overall revenues and profitability of the company.
 

Ambuja Cement to Invest in Bihar

Gautam Adani-owned Adani Cement has announced an investment of Rs 16 bn to establish a new cement grinding unit in Warisaliganj, Bihar.

This development marks a significant milestone in the company's expansion efforts, aiming to boost the local economy and create numerous job opportunities.

The 6 million tonnes per annum (MTPA) facility will enhance the production capacity of Adani Cement, reinforcing its commitment to sustainable infrastructure development in Bihar and across India.

The project will be implemented in three phases with the first phase of 2.4 MTPA at an investment of Rs 11 bn is targeted to be commissioned by December 2025.

Located in the Mosama village, Tehsil Warisaliganj, District Nawada, Bihar, the site is well-connected by road and rail, with Warisaliganj railway station 1 km away and SH-83 just 500 meters from the site.

The upcoming cement grinding unit is expected to have a transformative impact on the region, providing direct and indirect employment opportunities and supporting the state's growing infrastructure needs. Adani Cement's investment aligns with its vision of contributing to India's economic growth while ensuring environmental sustainability.

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