The new real estate laws introduced by the government requires real estate developers to use at least 70% of sale proceeds to complete residential projects, rather than funnel money to other jobs. Developers will also not be permitted to start pre-selling apartments before building approvals are obtained. Non-compliance will mean up to three years in jail. 

To crack down on the use of cheap materials in construction, the law also states that developers will have to fix any defects found within five years of completion, free of charge. Analysts expect this to push smaller developers out of the market, who lack the financial werewithal to comply with the new laws. Overall this is expected to reduce the delays in project completion substantially. Only recently, Unitech owners were arrested on corruption and charges of delaying completion of their projects. 

State banks, already reeling under losses due to higher bad loan provisions, have started wage negotiations with unions with a hardening stance, and the discussions, insiders say are set to be contentious. The wage unions have submitted their wage demands to the banks, and the Indian Banks Association representing bank managements is likely to make its offer in a weaak to ten days. While public sector banks including SBI have given approval for the talks to go ahead, hikes are not expected to be significant. 

Stock in spotlight: Natco Pharma, which trendlyne had identified at the beginning of the year as expected to deliver strong results, given that  the company launched the first generic equivalent of Tamiflue capsules in the US on December 12, 2016, and was granted an exclusivity period on drug sales till February. December-March is peak flu season. Natco's share price is currently above all SMAs.

Photo of the day: The Mount Sinaburg volcano spews thick volcanic ash in Sumatra. Tibta Pangin/AFP/Getty