[ad_1]
Central bankers around the world have been hinting at aggressive rate hikes which are pushing the market into negative territory. Moreover, there is unease over recession fears in China underwhelming the market further.
India’s Brahmaputra Infrastructure soars 11% after $22.2 million order win
Shares of Indian construction and engineering company Brahmaputra Infrastructure Ltd, jumped 11.31% on Monday after the company said it received an order worth 1.77 billion rupees($22.16 million).
The company said it had won an order for upgradation of a railway station in the northern state of Rajasthan.
By 0706 GMT, shares of Brahmaputra Infrastructure, which builds roads, bridges, tunnels, shopping malls and other real estates across the country, were up 5.03% at 29.25 rupees. (Reuters)
ITC share price climbs to new 52-week high. What’s driving this FMCG stock?
On account of lowering commodity prices and better-than-expected numbers in hospitality and cigarettes’ business in the wake of unlock theme, uptrend in ITC share price continues. The FMCG stock has hit new 52-week high today in early morning deals while hitting an intraday high of ₹317 per share. ITC share price today opened upside and went on to climb to its new 52-week high, logging near 1.60 per cent intraday gain in morning session on Monday. (Full Report)
Dreamfolks IPO price band fixed. GMP, subscription opening date, other details
Subscription for Dreamfolks Services Limited IPO (initial public offering) is going to open on 24th August 2022 and it will remain open for bidding till 26th August 2022. Meanwhile, Dreamfolks Services Limited has fixed the IPO price band. As per the information available on the BSE website, Dreamfolks IPO price band has been fixed at ₹308 to ₹326 per equity share. Meanwhile, shares of Dreamfolks Services Ltd are available at a premium of ₹70 in grey market today. (Full Report)
Japanese shares fall as tech heavyweights track Wall Street losses
Japanese shares closed lower on Monday, with tech heavyweights leading the decline after Wall Street fell at the end of last week on higher bond yields.
The Nikkei share average fell 0.47% to 28,794.50, recovering some ground lost in early trade as China cut its benchmark lending rates.
The broader Topix inched 0.1% lower to 1,992.59. (Reuters)
Prabhudas Lilladher views on Nifty: Look beyond near-term volatility
Amnish Aggarwal – head of research, Prabhudas Lilladher Pvt Ltd: “FII flows turned positive with strong rebound in markets in past few weeks. NIFTY moved up by ~12% to 17957 post our anti consensus 19066 NIFTY target call on 13th July. Global markets recovered as commodities cooled off on fears of recession impacting demand in US and Europe, but markets seem to be factoring in a mild recession and not a deep and prolonged contraction in demand. Cost pressures seem to be abating as most Agri commodities ( led by Palmoil), crude, Metals (25-50%) etc. have seen meaningful correction from the peak. Dry Baltic freight index has corrected from 3370 in June 22 1320 currently which will further reduce inflationary pressures. High-frequency indicators like GST collection, peak power demand, recovery in Air Travel, Sales of Apparel, QSR, PV, Housing, Capital Goods and improving capacity utilisation are positive. Rural demand has failed to pick up so far despite strong prices as higher costs for Inputs, deficient rains in large states and volatile environment is impacting the sentiments. Decline in acerage in key crops like paddy and Oilseeds can impact food inflation in coming quarters. Festival demand from urban middle class is expected to remain strong, which will enable good 2Q and 3Q will show benefits of correction in commodities. We suggest accumulating fundamentally strong companies with business moats in uncertain times.”
Europe gas jumps as supply fears return with planned pipe works
Natural gas prices in Europe extended gains as fears returned about a prolonged halt in supplies through a major pipeline, jeopardizing an already struggling economy.
Benchmark futures rose as much as 13%, after closing at a record high on Friday. The key Nord Stream pipeline will stop for three days of maintenance on Aug. 31, again raising concerns that the link won’t return to service as planned after the works. Europe has been on the edge about shipments through the link for weeks, with supplies resuming only at very low levels the last time it was shut for works. (Bloomberg)
Opinion: IRCTC should stick to data monetisation—but listen to critics
The Indian Railways Catering and Tourism Corporation (IRCTC) appears to have developed second thoughts about its plan to monetise the treasure trove of user data that it possesses as the monopoly provider of online ticketing services to the Indian Railways, the world’s fourth largest national railway system by size, which carries more than 8 billion passengers a year.
Less than 24 hours after news broke that the Railway PSU, which is also one of India’s largest e-commerce websites with more than 540 million users per month, and among the 100 most valuable companies listed on Indian stock exchanges, had floated a tender to appoint a consultant for its digital monetisation plan, media reports cited Railway officials as saying that the proposal would be “reviewed” after critics raised data privacy concerns. According to sources quoted by the news agency PTI, IRCTC “does not sell its data and neither has any intention to do so”. (Read More)
Noon update: Indices sinks on Monday by 1% with Bank, Auto, and IT leading the downward trend. Sensex is around 59k and Nifty 17,570 points
FMCG and Media are the only indices in green at noon on Monday.
View Full Image
Auto Index down 1.5%. All stocks in red
View Full Image
Adani group multibagger share up 300% this year. What is driving the surge?
Irrespective of the market mood, Adani group stocks have given stellar return to its shareholders in year-to-date (YTD) time. In this period, key benchmark indices have given zero return to its investors. In YTD time, NSE Nifty has shed near 0.45 per cent whereas BSE Sensex has dipped around 0.38 per cent but Adani Power share price has surged from around ₹101 to ₹425 apiece levels, delivering more than 300 per cent return to its positional investors. (Full Report)
India on Monday logged 9,531 fresh coronavirus infections
India on Monday logged 9,531 fresh coronavirus infections that pushed its tally to 4,43,48,960, while the number of active cases came down to 97648, according to Union Health ministry data.
The toll due to COVID-19 climbed to 5,27,368 with 26 more fatalities, including 10 deaths reconciled by Kerala, the data updated at 8 am stated.
The active cases comprise 0.22 per cent of the total infections, while the national COVID-19 recovery rate stands at 98.59 per cent, the ministry said.
The daily positivity rate was recorded at 4.15 per cent and the weekly positivity rate at 3.59 per cent, the ministry said. (PTI)
L&T bags contract worth ₹2,500-5,000 crore from Indian Oil Corp
Engineering and construction major L&T on Monday said it has secured a large contract from Indian Oil Corporation (IOCL).
Any contract falling in the range of ₹2,500-5,000 crore in value is considered to be large.
IOCL is implementing the Panipat Refinery expansion (P-25) project to enhance refining capacity from 15 MMTPA to 25 MMTPA to meet the growth in demand for petroleum products and to increase their profitability and competitiveness in the long run.
The contract awarded through international competitive bidding is for setting up a Residue Hydrocracker Unit (RHCU) for this Panipat project, the engineering company said in a statement. (ANI)
All sectoral indices except FMCG in red; Bank, Financial Sector, Realty and IT among worst performers
View Full Image
Axis Securities – Weekly Technical Picks
· Nifty started the week on a flat note and observed profit booking in the initial half however buying support at lower levels pulled index higher to close on a strong note. Nifty closed at 17158 with a gain of 439 points on a weekly basis
· Bank Bank Nifty started the week on a flat note and observed profit booking in the initial half however buying support at lower levels pulled the index higher to close on a strong note . Bank Nifty closed at 37491 with a gain of 752 points on a weekly basis.
· Container Corporation of India Limited has a buy at range 705 – 690. Holding period is 3 to 4 weeks.
· Gujarat Narmada Valley Fertilizers and Chemicals Limited has a buy at range 710 – 695. Holding period is 3 to 4 weeks.
· Bata India Limited has a buy at range 1945 – 1905. Holding period is 3 to 4 weeks.
· Coal India Limited has a buy at range 210-205. Holding period is 3 to 4 weeks.
Divi’s Laboratories drops 3% in early trade on Monday
View Full Image
Gold prices today fall for 5th day in a row, near lowest of this month
Gold prices remained weak today as firm US dollar and higher US bond yields dampened the safe haven appeal of gold. On MCX, gold futures were down for the fifth straight day to near the lowest of this month. They were down 0.25% to ₹51,350 per 10 gram. Silver futures fell 0.6% to ₹55,144 per kg. In global markets, spot gold was down 0.1% at $1,746.06 per ounce, after falling nearly 3% last week. Among other precious metals, spot silver gained 0.2% to $19.06. (Full report)
Warehousing rents in Mumbai, Bengaluru, Delhi-NCR up 7.2% in FY’22: Report
Warehousing rents in Mumbai, Bengaluru and Delhi-NCR rose by an average 7.2% during the last fiscal on higher demand from third-party logistics, e-commerce and manufacturing sectors, as per a report.
In its Asia-Pacific Logistics Highlights H1 2022 report, Knight Frank said Mumbai saw annual growth of 9.3% in prime warehousing rents to ₹265 per square feet per year in the last fiscal, from ₹243 per square feet in the previous year.
Warehousing rent in Bengaluru rose 6.4 per cent to ₹240 per sq ft per year, while that in Delhi-NCR increased by 5.9% to ₹227.40. (PTI)
Adani to launch open offer for ACC and Ambuja Cements on August 26
The Adani Group is likely to launch next week an open offer worth ₹31,000 crore to acquire 26 per cent stake each in Swiss firm Holcim’s two Indian listed entities Ambuja Cements and ACC, from public shareholders.
In May this year, the Adani Group announced that it has clinched a deal to acquire a controlling stake in Holcim Ltd’s businesses in India for USD 10.5 billion.
Markets regulator Sebi granted approval for the open offer this week. The open offer is estimated at over ₹31,000 crore if fully subscribed.
In two separate regulatory filings, Ambuja Cements and ACC have submitted their letter of offers for the open offer launched by the Adani family group’s Mauritius-based firm Endeavour Trade and Investment. (PTI)
Rakesh Jhunjhunwala’s ‘most valuable’ advice is from his ‘worst’ investment. What he had said
Ace stock market investor Rakesh Jhunjhunwala who was referred as India’s Warren Buffett, died on 14 August. A self-made trader, investor and businessman, he was also known as ‘Big Bull’ of Dalal Street.
Rakesh Jhunjhunwala frequently spoke about generating wealth and investment and many wished to learn more from Big Bull regarding stock market investment. But his one worst advice has gone viral on social media which Jhunjhunwala had encouraged everybody to invest the most. (Full Story)
Angel One daily commodity outlook – Gold, Crude, and Metal
Saish Sandeep Sawant Dessai, research associate- base metals, Angel One Ltd:
Gold: We expect gold to trade lower towards 51040 levels, which could prompt the price to move more down to 50620 levels.
Crude: We expect crude to trade lower towards 7120 levels, which could prompt the price to move more down to 6980 levels.
Base Metals: While the production of metals remains uncertain given the high energy costs, the downside remains capped after China slashed its interest rates in order to promote demand and growth.
Ashika Stock Broking on Nifty: Medium to long term outlook continues to remain positive
Tirthankar Das, technical & derivative analyst, retail, Ashika Stock Broking Ltd: On the technical front, Nifty formed a Long bearish candle resembling closer to a Bearish Engulfing candle as it engulfed the previous three candles, hence there are indications that Nifty might be on the verge of reversing. Though the trendline adjoining the highs of Oct’21, Jan’22 and Apr’22 has been breached and is trading comfortably above it. Against such backdrop one can expect that the present rally to extend further towards 18100-18150 levels. Likewise support base has now shifted higher to 17,500 to 17,550 range (gap support). Momentum oscillator though are trading in overbought price conditions. Going ahead, Nifty is likely to witness consolidation amidst the range of 17550-18100 band. Medium to long-term outlook continues to remain positive and is likely to head towards CY22 high of 18350 but presently temporary breather can be expected which need to be capitalised on as incremental buying opportunity. Thus, during the day Nifty is likely to open on a flat to negative note tracking weak global cues and intraday support zone of 17600-17650 might halt the slide.
Sebi mulls more disclosure norms for QIP funds
Markets regulator Securities and Exchange Board of India (Sebi) is considering more exhaustive disclosure requirements for companies raising funds via the qualified institutional placement (QIP) route, three people aware of the development said. (Full Report)
Syrma SGS Technologies IPO: Latest GMP, how to check allotment status
After closure of subscription, all eyes are now set on Syrma SGS Technologies IPO allotment date, which is most likely on 23rd August 2022. Those who have applied for the public issue worth ₹840 crore need not to move from pillar to post after the announcement of share allotment as one can check Syrma SGS Technologies IPO allotment status online by logging in at the BSE website or at the website of its official registrar. The official registrar of the IPO is Link Intime India Private Ltd. Meanwhile, share of Syrma SGS Technologies have been on a rise in the grey market since its subscription got opened on 12th August 2022. According to market observers, shares of Syrma SGS Technologies is currently available at a premium of ₹58 in grey market. (Full Report)
Indian rupee opens lower on hawkish Fed outlook
The Indian rupee opened lower against the U.S. currency on Monday, as decline in Asian equities and bets that the Federal Reserve will continue to raise policy rates, boosted the dollar.
The rupee was trading at 79.81 per U.S. dollar by 0333 GMT, compared with 79.7750 in the previous session.
IT Index tanks at start on Monday, sheds more than 1%. All stocks in red.
View Full Image
Sensex and Nifty are in deep red and have lost around 350 and 110 points, respectively, at open on Monday
View Full Image
India’s headline inflation may ease below 6% by March -analysts
India’s headline retail inflation may ease below 6% by the fourth quarter of this financial year, bringing an end to the current cycle of rate hikes, analysts said over the weekend.
Following the release of minutes from the central bank’s monetary policy committee on Friday, analysts said the Reserve Bank of India (RBI) may hike repo rates by 50-60 basis points by December.
“We expect the RBI to deliver two 25 bps rate hikes at the September and December meetings, taking the repo rate to 5.90%,” Rahul Bajoria, chief India economist at Barclays said. (Reuters)
Sensex is in flat-to-negative territory at preopen on Monday. Global cues hint a rocky start for the indices.
View Full Image
Reliance Securities Stock in Focus: RK Forgings
STOCK IN FOCUS
RK Forgings (CMP Rs.189)
Considering better business traction, healthy automobile demand outlook, new order wins, strong margin territory, CV upcycle and attractive valuation post sharp correction, we reiterate our BUY recommendation on RMKF with a TP of Rs260, valuing the stock at a P/E multiple of 13.5x FY24E earnings.
Intraday Picks
GODREJCP (PREVIOUS CLOSE: 906) BUY
For today’s trade, long position can be initiated in the range of Rs896- 890 for the target of Rs920 with a strict stop loss of Rs872.
HINDALCO (PREVIOUS CLOSE: 427) SELL
For today’s trade, short position can be initiated in the range of Rs429- 432 for the target of Rs414 with a strict stop loss of Rs438.
SBILIFE (PREVIOUS CLOSE: 1,297) SELL
For today’s trade, short position can be initiated in the range of Rs1,311- 1,319 for the target of Rs1,260 with a strict stop loss of Rs1,328.
Stocks to Watch: Paytm, Adani, TCS, SpiceJet, L&T, NHPC
Tata Chemicals once again finds itself on the list of securities under the F&O ban for Monday trading. Besides, Balrampur Chini Mills and Delta Corp still remain in the ban period for the F&O segment as they have crossed 95% of the market-wide position limit. (Full Report)
Indian rupee seen opening lower as U.S. yields, dollar climb; RBI support key
The Indian rupee will likely open lower against the dollar on Monday, as expectations that the Federal Reserve will keep tightening its policy boosted the U.S. currency and Treasury yields.
The rupee is tipped to open at around 79.90 per dollar, compared with 79.7750 on Friday.
The local currency is within striking distance of its record low of 80.0650 hit on July 19. The 80/dollar level is considered psychologically important, and traders say the Reserve Bank of India (RBI) likely intervened aggressively when the rupee had fallen to that level. (Reuters)
China central bank cuts lending rates to boost economy
China’s central bank on Monday cut benchmark loan rates in an attempt to boost an economy battered by the government’s strict zero-Covid policy and a slump in the property market.
The world’s second-biggest economy saw an improvement after some coronavirus restrictions eased in June, but consumer and business sentiment remains weaker than usual.
The one-year Loan Prime Rate, which serves as a benchmark for corporate loans, was reduced from 3.7% to 3.65%, the People’s Bank of China (PBOC) said in a statement.
India bond yields may rise tracking U.S. peers, MPC inflation comments weigh
Indian government bond yields are likely to trend higher in early deals on Monday, tracking similar moves in their U.S. peers, while inflation worries highlighted by the Reserve Bank of India will further dent investor sentiment.
The benchmark 10-year government bond yield is likely to hover in a 7.30-7.36% band, a trader with a private bank said. The yield rose 8 basis points in last two sessions and ended at 7.2639% on Friday.
“While last week had started positively, we are now completely trapped in a bear zone, and there should be a gap down opening in terms of prices, as RBI is still very hawkish,” the trader said. (Reuters)
Bharti Airtel Ltd may not charge a premium for its 5G service
Bharti Airtel Ltd may not charge a premium for its 5G service but may offer it to users of high-priced tariff plans, Akhil Gupta, vice-chairman of parent Bharti Enterprises, said in an interview, adding that this may prompt users to upgrade to the superfast network as data consumption rises. (Full Report)
FPIs pump in ₹44,500 crore into Indian equities in three weeks of Aug
After turning net buyers last month, foreign investors have shown tremendous enthusiasm for Indian equities and have infused close to ₹44,500 crore in August so far amid softening of inflation in US and falling dollar index.
This was way higher than a net investment of nearly ₹5,000 crore by Foreign Portfolio Investors (FPIs) in entire July, data with depositories showed.
FPIs had turned net buyers for the first time in July after nine straight months of massive outflows, which started in October last year. Between October 2021 till June 2022, they sold a massive ₹2.46 lakh crore in the Indian equity markets. (PTI)
The Nifty’s rally has come on significantly lower cash market volumes, casting doubts on its sustainability
The benchmark corrected from a record high of 18,604.45 on 19 October last year through 15,183.4 on 17 June 2022. Between this period, it tested the 18,000 level twice, rising to a high of 18,350.95 on 18 January before tumbling to 15,711.45 on March 7 in the wake of the Ukraine conflict. It rose again to 18,114.65 on 4 April, plumbing through 15,183 on 17 June thereafter.
On both occasions, cash market volumes were substantially lower than that in October. Average daily turnover (ADT)was ₹81,361 crore in October last year, NSE data showed. When the Nifty retested the 18,000-mark in January this year, the ADT for the month was lower at ₹64,178 crore. It was ₹68,013 crore in June. (Full Report)
LIC sees 20% decline in death claims in Q1 FY23 as COVID impact ebbs
Insurance behemoth LIC witnessed a decline of nearly 20% in death claims in the first quarter of this fiscal with the COVID impact seen to be ebbing, though the amount is still higher than pre-2020 levels, officials said.
In the June quarter of the previous fiscal, settlement of death claims was to the tune of ₹7,111 crore, which for Q1 of this year was ₹5,743 crore, LIC Chairman M R Kumar said in a post-earnings call with analysts.
“So there is quite a decrease, and it’s quite obvious that whatever decrease was there based on COVID… going away now, Q1 to Q1 of the previous year,” Kumar said. (PTI)
Central Bank of India likely to exit RBI PCA framework soon
Central Bank of India, the only public sector lender under the RBI’s prompt corrective action (PCA) framework, may see an exit from restrictions soon following an improvement in its financial health. The bank has already made a representation to the Reserve Bank of India (RBI) based on the improvement in financial parameters on a sustained basis for the past five quarters, sources said. (PTI)
No proposal to charge UPI payments, says Finance Ministry
The finance ministry on Sunday said the government is not planning to charge for payments through the unified payments interface (UPI) channel, putting to rest speculation following a recent Reserve Bank of India (RBI) discussion paper on digital payment charges.
It said that the government had provided financial support for the digital payment ecosystem last year and has announced the same this year as well to encourage further adoption of such payments and promotion of economic and user-friendly payment platforms. (Full Report)
Vijay Shekhar Sharma reappointed as MD and CEO of Paytm
Vijay Shekhar Sharma has been reappointed as the Managing Director and Chief Executive Officer of financial services platform Paytm. According to news agency PTI, 99.67% of shareholders voted in favour of him.
“Thank you to our shareholders for a heartening response to our first AGM as a listed company. With overwhelming support, our MD & CEO Vijay Shekhar Sharma will continue to lead and guide us. All resolutions from our 22nd AGM have been duly passed.”, the company posted on Twitter. (Full Report)
No plans to import wheat into India, says government
The government has no plans to import wheat as it has sufficient stocks to meet the country’s requirements, the Department of Food and Public Distribution said on Sunday.
The Food Corporation of India (FCI) has enough stock for public distribution, it said.
“There is no such plan to import wheat into India. Country has sufficient stocks to meet our domestic requirements and @FCI_India has enough stock for public distribution,” the Department of Food and Public Distribution said in a tweet.
Tech stocks lead Wall Street lower on Friday, breaking winning streak
Wall Street capped a choppy week of trading Friday with a broad slide for stocks that left the major indexes in the red for the week.
The S&P 500 closed 1.3% lower, breaking a four-week winning streak. Shares in more than 80% of the companies in the benchmark index fell, with technology stocks driving much of the pullback.
The tech-heavy Nasdaq composite fell 2% and also ended four weeks of gains. The Dow Jones Industrial Average dropped 0.9%, ending slightly in the red for the week. Small company stocks also lost ground, pulling the Russell 2000 index 2.2% lower. (AP)
Download
the App to get 14 days of unlimited access to Mint Premium absolutely free!
[ad_2]
Source link