General Trading Chat

and one more .......
https://www.siasat.com/sebi-diktats...ts-brokers-petition-finance-ministry-1935973/

SEBI diktats cause unease in markets, brokers petition Finance Ministry
Posted By IANS DeskLast Updated: 2nd August 2020 9:03 am IST

New Delhi, Aug 2 : The Finance Ministry may soon have a decision to make, whether to encourage retail investors participation in the stock market through direct trading or to discourage them as seems to be the case with recent diktats on margins and intra day trading by the regulator, Securities and Exchange Board of India (SEBI) which have introduced a sense of unease among the broking community and retail investors.

Stock brokers have petitioned the Finance Ministry and SEBI on circulars which if implemented is feared that it will have the effect of reducing trading volumes drastically and wipe out number of brokers.

The SEBI circulars coincide with an important new trend in the form of an unplanned and sudden entry of millions of new retail investors in the stock markets during the lockdown and Covid 19 phase. Many of them have either become unemployed or have reduced income and have started home while they were sitting at home during the lockdown and normal
economic activity was curtailed.

The circulars come at the fag end of the extension given to SEBI Chairman Ajay Tyagi. He got a six month extension in his tenure which was to end on March 1. It is not known whether he will get a further extension after August. The Indian Administrative Service (IAS) officer of Himachal Pradesh cadre has served a three-year tenure following which another six months extension was given by the government.

There are growing concerns among broking and retail trading community over the SEBI circular to ban intraday leverage.

The revised guidelines will severely limit intraday trading which contributes almost 90 percent of the volume in exchange and has existed in India for decades. The move will diminish the liquidity, volumes and financial opportunities to thousands of people to a great extent, brokers said.

Financial market is the only sector that has been able to function since the lockdown began in India and provided numerous opportunities to regular people facing job losses survive in these difficult times,” said Sahil Balani, Head- Research & Derivatives, Triventure Advisory Pvt Ltd.

It is also estimated that the new circular will have a great impact on the derivatives markets as it will suck out the liquidity from the system, volumes will dry up to a great extent and will impact the livelihood of many retail traders.

“Instead of enforcing a ban on intraday leverage, it should be left to the brokers discretion with minimum controls at place. Penalty cannot be the way of doing business in a country like India where there is so less participation in capital markets,” said Balani.

The Securities and Exchange Board of India (SEBI) released its latest circular on July 20, 2020, aimed at banning the intraday leverage in a phased manner by December 1, 2020. According to the circular, traders and investors will now have to maintain upfront margin in their account to receive leverage from brokers.

Brokers say that with the country suffering from pandemic and the fate of making a livelihood is at stake, many people have recently gathered hope from intraday trading and implementation of this circular will make it difficult for the whole trading community to explore any such opportunity. During this pandemic, many individuals including housewives are turning towards intraday trading for their livelihoods.

The other contentious circular pertains to the pledge/re-pledge process where SEBI has put in strict controls after the Karvy scam, where it was found that clients’ shares were transferred by the broker to its account without the knowledge of the client.

To prevent this misuse, SEBI had banned the title transfer collateral system and proposed to replace it with a pledge/re-pledge process which would be transparent so that an investor knows the exact status of his shares. This new mechanism of pledge/re-pledge was to come into effect from August 1.

In addition, the stock exchanges following SEBI directions have mandated that the proceeds of the sale of shares cannot be used to purchase stocks till the money is credited in the client’s account.

All of these are having the effect of drying up liquidity for retail investors and making it difficult for brokers to sustain.

The Association of National Exchanges Members of India (ANMI) has written to Finance Ministry and SEBI on the issue of pledge of shares.

ANMI has received numerous concerns from members with respect to pledge mechanism for funded stocks. “In view of the concerns of the broking industry and software vendors, ANMI submits to your good offices to consider granting extension of implementation of SEBI Circular for next two months and allow the existing system of crediting the funded stock to earmarked funded stock DP account,” ANMI said.

ANMI has also warned against a breakdown leading to chaos. “The transition from the old regime to the proposed pledge repledge process in such a hurried manner is fraught with great risks and will completely break down the day to day processes and operations of all market participants leading to unmanageable chaos and total breakdown. How can all the stakeholders in the entire eco system manage to transition to the new processes in such a hurried manner,” ANMI said.

“Moreover, our earlier submissions on the glitches in the methodology of penalising clients for cash margin with respect to sale of shares, BTST trades, the early pay in timelines, etc; are still open and not yet addressed. We once again reiterate our earlier plea for the simultaneous running of the old and new proposed processes for the next two months to ensure smooth transition which will be to the benefit of all,” ANMI said.
 
Looks like pharma still has steam to go on for 1-2 years.

Covid vaccines: Rich countries lock up supplies of over 100 crore doses
4 min read . Updated: 02 Aug 2020, 12:59 PM ISTBloomberg
  • The European Union has also been aggressive in obtaining shots, well before anyone knows whether they will work
  • Sanofi and Glaxo intend to provide a significant portion of worldwide capacity in 2021 and 2022
https://www.livemint.com/science/he...s-of-over-100-crore-doses-11596351823599.html
 

AJK

Well-Known Member
Looks like pharma still has steam to go on for 1-2 years.

Covid vaccines: Rich countries lock up supplies of over 100 crore doses
4 min read . Updated: 02 Aug 2020, 12:59 PM ISTBloomberg
  • The European Union has also been aggressive in obtaining shots, well before anyone knows whether they will work
  • Sanofi and Glaxo intend to provide a significant portion of worldwide capacity in 2021 and 2022
https://www.livemint.com/science/he...s-of-over-100-crore-doses-11596351823599.html
i think it's a challenging situation... anyone left infected can cause another wave. particularly africa and middle east who are yet to even find one i think..
 

Infooo

Active Member
and one more .......
https://www.siasat.com/sebi-diktats...ts-brokers-petition-finance-ministry-1935973/

SEBI diktats cause unease in markets, brokers petition Finance Ministry
Posted By IANS DeskLast Updated: 2nd August 2020 9:03 am IST

New Delhi, Aug 2 : The Finance Ministry may soon have a decision to make, whether to encourage retail investors participation in the stock market through direct trading or to discourage them as seems to be the case with recent diktats on margins and intra day trading by the regulator, Securities and Exchange Board of India (SEBI) which have introduced a sense of unease among the broking community and retail investors.

Stock brokers have petitioned the Finance Ministry and SEBI on circulars which if implemented is feared that it will have the effect of reducing trading volumes drastically and wipe out number of brokers.

The SEBI circulars coincide with an important new trend in the form of an unplanned and sudden entry of millions of new retail investors in the stock markets during the lockdown and Covid 19 phase. Many of them have either become unemployed or have reduced income and have started home while they were sitting at home during the lockdown and normal
economic activity was curtailed.

The circulars come at the fag end of the extension given to SEBI Chairman Ajay Tyagi. He got a six month extension in his tenure which was to end on March 1. It is not known whether he will get a further extension after August. The Indian Administrative Service (IAS) officer of Himachal Pradesh cadre has served a three-year tenure following which another six months extension was given by the government.

There are growing concerns among broking and retail trading community over the SEBI circular to ban intraday leverage.

The revised guidelines will severely limit intraday trading which contributes almost 90 percent of the volume in exchange and has existed in India for decades. The move will diminish the liquidity, volumes and financial opportunities to thousands of people to a great extent, brokers said.

Financial market is the only sector that has been able to function since the lockdown began in India and provided numerous opportunities to regular people facing job losses survive in these difficult times,” said Sahil Balani, Head- Research & Derivatives, Triventure Advisory Pvt Ltd.

It is also estimated that the new circular will have a great impact on the derivatives markets as it will suck out the liquidity from the system, volumes will dry up to a great extent and will impact the livelihood of many retail traders.

“Instead of enforcing a ban on intraday leverage, it should be left to the brokers discretion with minimum controls at place. Penalty cannot be the way of doing business in a country like India where there is so less participation in capital markets,” said Balani.

The Securities and Exchange Board of India (SEBI) released its latest circular on July 20, 2020, aimed at banning the intraday leverage in a phased manner by December 1, 2020. According to the circular, traders and investors will now have to maintain upfront margin in their account to receive leverage from brokers.

Brokers say that with the country suffering from pandemic and the fate of making a livelihood is at stake, many people have recently gathered hope from intraday trading and implementation of this circular will make it difficult for the whole trading community to explore any such opportunity. During this pandemic, many individuals including housewives are turning towards intraday trading for their livelihoods.

The other contentious circular pertains to the pledge/re-pledge process where SEBI has put in strict controls after the Karvy scam, where it was found that clients’ shares were transferred by the broker to its account without the knowledge of the client.

To prevent this misuse, SEBI had banned the title transfer collateral system and proposed to replace it with a pledge/re-pledge process which would be transparent so that an investor knows the exact status of his shares. This new mechanism of pledge/re-pledge was to come into effect from August 1.

In addition, the stock exchanges following SEBI directions have mandated that the proceeds of the sale of shares cannot be used to purchase stocks till the money is credited in the client’s account.

All of these are having the effect of drying up liquidity for retail investors and making it difficult for brokers to sustain.

The Association of National Exchanges Members of India (ANMI) has written to Finance Ministry and SEBI on the issue of pledge of shares.

ANMI has received numerous concerns from members with respect to pledge mechanism for funded stocks. “In view of the concerns of the broking industry and software vendors, ANMI submits to your good offices to consider granting extension of implementation of SEBI Circular for next two months and allow the existing system of crediting the funded stock to earmarked funded stock DP account,” ANMI said.

ANMI has also warned against a breakdown leading to chaos. “The transition from the old regime to the proposed pledge repledge process in such a hurried manner is fraught with great risks and will completely break down the day to day processes and operations of all market participants leading to unmanageable chaos and total breakdown. How can all the stakeholders in the entire eco system manage to transition to the new processes in such a hurried manner,” ANMI said.

“Moreover, our earlier submissions on the glitches in the methodology of penalising clients for cash margin with respect to sale of shares, BTST trades, the early pay in timelines, etc; are still open and not yet addressed. We once again reiterate our earlier plea for the simultaneous running of the old and new proposed processes for the next two months to ensure smooth transition which will be to the benefit of all,” ANMI said.
SEBI... Single handedly destroying the Indian Market.. with all these step there won't be any Juice left in the Market... on name of protecting Retail Investors, they are making trading tough and costly
 

Raj232

Well-Known Member
SEBI... Single handedly destroying the Indian Market.. with all these step there won't be any Juice left in the Market... on name of protecting Retail Investors, they are making trading tough and costly
They need to bring down the market. Unfortunately, the market is near all time highs, and the leverage issue has been postponed again. Sooner or later they will bring it down..
 

Raj232

Well-Known Member
i think it's a challenging situation... anyone left infected can cause another wave. particularly africa and middle east who are yet to even find one i think..
Most of the people are already immunized. Approx 25% in Delhi are seeing antibodies even without the infection. Just about a day back, there was news that COVID-19 just does no infect some people (in fact number of people within the same household of the COVID-19 patient)

These vaccines may not be even required, and maybe found out that this whole exercise was just a waste of time.

Even in India, without any vaccine, the number of cases in all metros are dropping drastically, now it is seen that in Tier 2 cities, the cases are coming down. By 15th August, a definite downtrend will be seen in India for COVID.

.
 

Raj232

Well-Known Member
Looks like pharma still has steam to go on for 1-2 years.

Covid vaccines: Rich countries lock up supplies of over 100 crore doses
On the Pharma front, our Sun Pharma went up 4% on Friday
1596413289405.png


Sun Pharma posts ₹1,656 cr Q1 loss on legal woes in US

  • The loss was caused by a one-time settlement in a price-fixing case involving Taro
  • Taro, a Sun Pharma subsidiary, reported settlements and loss contingencies of $478.9 million
Sun Pharmaceutical Industries Ltd posted a consolidated net loss of ₹1,655.6 crore in the June quarter, primarily dragged by a one-time settlement in a drug price-fixing case in the US by its subsidiary Taro Pharmaceutical Industries Ltd. In the year-ago quarter, India’s largest drugmaker had posted a profit of ₹1,387.5 crore.
“Taro reported settlements and loss contingencies of $478.9 million (about ₹3,178 crore), which reflect the one-time settlement charge of $418.9 million related to the global resolution of the Department of Justice investigations into the US generic pharmaceutical industry," the company said on Friday.


https://www.livemint.com/companies/...-loss-on-legal-woes-in-us-11596214356012.html
 
Last edited:

Raj232

Well-Known Member
Lupin recalls 35,928 bottles of generic antibiotic drug in the US

The lot has been manufactured at Lupin's Mandideep (Madhya Pradesh) manufacturing facility, and then supplied to company's Baltimore-based arm, Lupin Pharmaceuticals, Inc, which has initiated the country wide recall on July 2.

As per the latest Enforcement Report of the US Food and Drug Administration (USFDA), the Mumbai-based company is recalling Cefdinir for oral suspension USP, 250 mg/5mL, packaged in 60 ml bottles.

The lot has been manufactured at Lupin's Mandideep (Madhya Pradesh) manufacturing facility, and then supplied to company's Baltimore-based arm, Lupin Pharmaceuticals, Inc, which has initiated the country wide recall on July 2.

https://health.economictimes.indiat...of-generic-antibiotic-drug-in-the-us/77314249
 
Most of the people are already immunized. Approx 25% in Delhi are seeing antibodies even without the infection. Just about a day back, there was news that COVID-19 just does no infect some people (in fact number of people within the same household of the COVID-19 patient)

These vaccines may not be even required, and maybe found out that this whole exercise was just a waste of time.

Even in India, without any vaccine, the number of cases in all metros are dropping drastically, now it is seen that in Tier 2 cities, the cases are coming down. By 15th August, a definite downtrend will be seen in India for COVID.

.
The sample size of that study was too small.
 

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