PremiumThe trading activity in the domestic equity markets remained volatile but investors cheered the information that First Citizens is willing to buy the collapsed Silicon Valley Bank and as authorities globally took steps to contain the banking turmoil, helping dispel some of the contagion fears.
Indian shares rose on Monday but cut most of the gains in the final hour to end with minor gains of around 0.2%. Investors cheered as authorities globally took steps to contain the banking turmoil, helping dispel some of the contagion fears.
First Citizens BancShares is to buy the collapsed Silicon Valley Bank, while the U.S. Federal Reserve and the European Central Bank said they are keeping a close watch on the impact of banking stress.
The Nifty 50 index was up 40 points to close at 16,985. The S&P BSE Sensex rose 125 points to finish the day at 57,653. The S&P BSE index had crossed the 58,000 mark and Nifty 50 had gained almost 150 pts intraday.
Grasim jumped 1.8% and was at the top of the Nifty 50 stock charts followed by Reliance which jumped more than 1.6% and Cipla which gained around 1.4%. Adani Ports, SBI Life, Power Grid, Adani Enterprises and M&M lagged the most and shed more than a per cent each.
Among sectoral indices, Pharma/healthcare sector gained more than a per cent. FMCG and PSU Bank gained 0.2% each. Realty and Media indices shed more than a per cent each.
Asian shares were mixed on Monday after stocks on Wall Street shook off a weak start to end higher on Wall Street last week despite persisting worries over banks on both sides of the Atlantic.
Japan's Nikkei index rose for the first time in three days with a weaker yen boosting sentiment in the exporter-heavy market. The Nikkei ended the day 0.33% higher.
China and Hong Kong stocks fell led by Chinese state-owned enterprises and tech shares, as China's industrial profit slump and geopolitical tensions dented sentiment.
China's blue-chip CSI300 Index and the Shanghai Composite Index both closed down 0.4%. Hong Kong's benchmark Hang Seng Index was down 1.8%, and the China Enterprises Index lost 2.2%.
Profits at industrial firms in China declined 22.9% in the first two months of 2023 from the year before, as the factory sector struggles to claw its way out of the slump caused by COVID-related disruptions.
European stocks rallied in early deals as calm descended on markets following a turbulent week for banking shares that was fuelled by worries about stability in the sector after the collapse of Credit Suisse and Silicon Valley Bank.
UK equities surged helped by a gain in bank stocks on renewed hopes that the turmoil in the sector will be contained following the buyout of Silicon Valley Bank, while Standard Chartered jumped after agreeing to sell its Jordanian business.
Oyo Hotels is reducing the shares it aims to sell via a stock-market debut by about two-thirds, an effort by its founder to get the sale done even after tech valuations plunged.
The once-high-flying company is preparing to file a fresh initial public offering document as soon as this week, said two people familiar with the matter, who asked not to be named discussing internal matters. In the filing, Oyo will outline plans to sell just a third of the new shares it originally planned, eroding the amount of fresh capital it is expected to receive, one of the people said.
The plan shows how founder Ritesh Agarwal, 29, is trying to push through an IPO even at weaker terms to alleviate the financial pressures on the hotel and lodging booking company and himself. While the travel market has improved from the pandemic-era trough, Oyo — once valued around $10 billion as India’s Airbnb-equivalent — is still reporting mounting losses. Agarwal, meanwhile, took on billions of dollars of debt to boost his holding in the firm. (Bloomberg)
Manoj Purohit, Partner & Leader FS Tax, Tax & Regulatory Services: "The tax proposal on certain distributions by REITs/INVITs and their mandatory characterisation as ‘Income from Other Sources' proposed in the Finance Bill 2023 has been one of the key tax proposals which has led to intended consequences such as denial of tax treaty benefits on capital gains in the case of certain non-resident investors. The amendment proposed to the Finance Bill has now diluted the impact by introducing a formula for calculation for such income to be distributed. By virtue of this, the potential tax exposure is mitigated on the amortisation of SPV debt if the total amount distributed does not exceed the issue price. The investor will have to pay tax on the difference between the sale consideration and the adjusted cost of the units as per the prescribed formula. The amount In excess of the original issue price of the units will be taxed as income from other sources at the maximum marginal rate. This is certainly a welcome proposal, allowing investors to breathe a sigh of relief as they would now be able to partly get out of the tax burden, especially to the extent of principal investment which has no income element".
The Reserve Bank of India (RBI) is expected to pause their interest rate hike and the current 6.5 per cent repo rate could be the terminal rate for now, said SBI Research in its latest Ecowrap report.
The repo rate is the interest rate at which the RBI lends money to all commercial banks.
The next monetary policy meeting is scheduled for the first week of April 2023.
At the latest Monetary Policy Committee (MPC) of the RBI in early February, it decided to raise the repo rate by 25 basis points to 6.5 per cent to keep inflation expectations anchored, break the persistence of core inflation, and strengthen the medium-term growth prospects.
Raising interest rates is a monetary policy instrument that typically helps suppress demand in the economy, thereby helping the inflation rate decline.
In early 2020 when Covid hit the world, the repo rate was 4 per cent. (ANI)
Quant Mutual Fund (Quant MF), which had launched a fund in the dynamic asset allocation/balanced advantage category last week, has tweaked its product as debt MFs are set to lose taxation benefits from 1 April.
Earlier, Quant Dynamic Asset Allocation Fund could dynamically move between debt and equity from 0-100%. So, the fund could even go upto 100% in debt if the situation warranted, which was not possible for other balanced advantage funds in the category. (Read More)
Kotak Mahindra Bank CEO and managing director Uday Kotak said it's time for a relook at India's financial sector resolution process. The veteran banker's tweet was in response to the Reliance Capital resolution plan hitting a roadblock.
“NBFC resolution. RCap, Srei experience signal poor recovery below liquidation value for creditors. NCLT process is also tardy whether IBC or otherwise. In IL&FS too while recovery ratio is better, legal process takes long. Time for policy relook at financial sector resolution," Kotak wrote in Twitter. (Read More)
Alibaba founder Jack Ma has returned to China, ending a more than year-long stay overseas that was viewed by industry as reflecting the sober mood of China's private businesses and troubled policymakers trying to spur the economy.
The return of China's best-known entrepreneur may help to quell the concerns of the country’s private-sector businesses after a bruising two-year regulatory crackdown. His public reemergence provides support for the government's softening tone toward the private sector as leaders try to shore up an economy battered by three years of COVID curbs.
Online discussion saying that Ma was in China began emerging on Chinese social media early on Monday and his return was confirmed by a school he had visited and the Alibaba-owned South China Morning Post newspaper.
Ma, a former English teacher, discussed topics such as artificial intelligence-powered chatbot ChatGPT and also said he hoped to return to teaching one day during his visit, the Yungu School said on its official WeChat account. The school was founded by Ma and other Alibaba founders in the e-commerce giant's home city of Hangzhou in 2017. (Reuters)
Hospitality and travel-tech firm OYO estimates its revenue in FY23 to be more than ₹5,700 crore, up 19 per cent from ₹4,780 crore it had recorded in FY22, according to its Founder & Group CEO Ritesh Agarwal.
At a town hall on Monday, Agarwal told employees of the firm that OYO is aspiring to reach adjusted EBITDA of nearly ₹800 crore in the next financial year.
Sustained growth in India, Indonesia, the US and the UK and relevant optimisation as well as synergies in its European vacation homes business have led to better financials of the company, he said in a presentation at the gathering with employees.
In the presentation, Agarwal said OYO's revenue for FY2023 is expected to be over ₹5,700 crore, up around 19 per cent from the ₹4,780 crore achieved in FY2022.
Agarwal outlined that the key focus areas of OYO in the calendar year 2023 will be on Profit After Tax (PAT) along with consistent momentum in EBITDA; achieve cash flow positive in FY24; cost efficiency and improving contribution margins and making storefront additions, among others. (PTI)
India has asked state-run lenders to adopt stricter monitoring of top corporate loan accounts and submit a plan to deal with business risks in key areas within two weeks, three banking sources said on Monday.
Indian banks, in the past, have had to take deep haircuts on their exposure to debt-laden companies admitted under bankruptcy legislation.
"Bankers were told that it would be prudent to increase stress-testing of large corporate loan accounts," a banker at a state-run bank said. (Read More)
The Supreme Court has dismissed an appeal filed by the Enforcement Directorate against the Bombay High Court's decision to grant bail to Kapil Wadhawan and Dheeraj Wadhawan, former DHFL promoters, in a Yes Bank money laundering case.
The apex court ruled on Monday that the 60/90-day period for granting default bail in a criminal case would include the time spent in remand. Justices KM Joseph, Hrishikesh Roy, and BV Nagarathna were part of the bench that made the decision. (Read More)
The global credit rating agency S&P Global Ratings on 27 March has kept India's economic growth forecast unchanged at 6 percent in the fiscal year starting 1 April, before rising to 6.9 per cent in the following year.
In the quarterly economic update for Asia-Pacific, S&P saw inflation rate easing to 5 percent in 2023-24 fiscal, from 6.8 per cent in the current financial year, news agency PTI has reported. (Read More)
TVS Motor Company today unveiled seven new products in Ghana, Africa. The company has launched TVS Neo NX, three variants of TVS HLX Series – HLX 125, HLX 150 & HLX 150X, TVS Apache 180 and the three-wheeler TVS King series.
In a press note, the automaker said that all new models will be available at all showrooms. “Further delivering on its commitment to provide best-in-class mobility solutions to its customers through a strong focus on innovation and technology, TVS Motor Company aims to expand its reach and explore new opportunities and avenues for growth in the region," the company further stated. (Read More)
Shares of Artemis Electricals and Projects Limited are one of the multibagger stocks that the Indian stock market has produced in recent years. The board of directors of the small-cap company has a fixed record date for the stock split on 31st March 2023. The small-cap company board has already declared stock subdivision in 1:10 ratio means one stock of the company will be divided in 10 fresh paid-up capitals of the BSE-listed company. To make this company announcements official, the BSE has issued a notification in this regard confirming company's stock subdivision in 1:10 ratio.
Issuing notification in regard to stock split record date, BSE notice said, "Trading Members of the Exchange are hereby informed that Artemis Electricals and Projects Limited., has fixed Record Date for the purpose of Sub-Division of the Equity Shares of the company." The BSE notice went on to add that stock subdivision of the existing equity shares will be done from one equity share of ₹10/- each into ten equity shares of Re. 1/- each." The notice went on to add that record date for stock subdivision has been fixed on 31st March 2023. (Read More)
Indian skincare firm Mamaearth has delayed its initial public offering (IPO) due to unfavourable market conditions, according to two insiders.
This comes a month after two other Indian companies also cancelled their share sales.
Mamaearth's parent company, Honasa Consumer Ltd, had filed IPO documents in December 2022 with plans to raise between $200 million to $300 million through the issuance of new equity and an offer for the sale of some existing shares. (Read More)
The Indian e-grocery market is set to witness an expansion in tier 2 cities and beyond regions, a report by Redseer has stated.
The expansion of e-grocery is expected to continue in Tier 2+ markets, driven by dominant players, the report said.
Further adding, it said that in CY2023, the market is expected to witness growth in Tier 2 regions, with horizontal players leading the way, while the adoption of quick commerce is expected to remain steady. (Read More)
India is considering building a strategic reserve of liquefied natural gas to guard against future price spikes or supply shortages after last year’s energy crisis, according to a senior executive at the nation’s top importer.
The government has “proposed we should have more storage space for LNG so that when prices are lower we should store, and supply when there is crisis," Vinod Kumar Mishra, finance director at Petronet LNG Ltd., said in an interview. “We have seen the crisis and it was difficult for the government also to ensure supply."
India curbed LNG imports last year after Russia’s invasion of Ukraine upended the market and sent prices surging. While Prime Minister Narendra Modi’s administration aims to more than double the share of gas in the country’s energy mix, high prices have proved a deterrent for some industries.
More governments are looking to set up emergency stockpiles of LNG, similar to the oil industry’s strategic reserves, as the super-chilled fuel becomes a more important element of the global energy mix. Japan — one of the world’s top buyers — said last year that it is considering a similar plan. (Bloomberg)
Economists are lowering their forecasts for India’s current-account shortfall, thanks to favorable trade trends that are proving to be a blessing for the rupee — among the worst performers in emerging Asia this month.
Barclays Plc expects the gap in current account — the broadest measure of trade in goods and services — to be 1.8% of gross domestic product in the year starting April 1, after previously cutting it to 1.9% from 2.3% deficit it had estimated in mid-February. Citigroup Inc. slashed its forecast even further to 1.4% of GDP from 2.2%, reflecting a steady drop in goods imports and strength in services exports.
The lower prints will provide a tailwind to the rupee, which is vulnerable to a selloff, given the twin deficits in the nation’s budget and current account make it more reliant on foreign inflows. A narrowing shortfall will also take the pressure off the central bank to sell foreign exchange from its reserves to stabilize the currency and check imported inflation. (Bloomberg)
Gold rate today witnessed profit booking as physical market is trying to adjust gold prices with the recent rise in future market. Gold future contract for April 2023 on Multi Commodity Exchange (MCX) opened higher at ₹59,300 per 10 gm levels but witnessed profit booking within few minutes of opening bell. In international spot market, gold prices opened higher but soon came under the profit-booking stress and hit intraday low of $$1,969.54 per ounce levels.
According to commodity market experts, gold prices are going through profit-booking after sharp rise in the yellow metal. They said that the dip is because of the physical market adjustment with the recent rise in future markets. Once the gap is bridged, we can expect fresh round of rally in the precious bullion metaal and overall outlook fro gold is still bullish. They said that gold price is expected to remain range-bound till Akshay Tritiya falling on next month. Experts said that gold price would remain in $1,920 to $2,010 range in international market whereas it is expected to remain in ₹57,500 to ₹60,500 per 10 gm range till next trigger or ahead of Akshay Tritiya. (Read More)
The initial public offering (IPO) of electronic manufacturing services firm Avalon Technologies will open for public subscription next week on Monday, April 3, 2023. The three-day public issue will close on Thursday, April 6, 2023 and the bidding for anchor investors will open on March 31, 2023.
Avalon Technologies IPO comprises of ₹320 crore from the fresh issuance of equity shares and ₹545 crore through an Offer For Sale (OFS) of shares by promoters and existing shareholders. The company aims to raise ₹865 crore as compared to ₹1,025 crore it planned to raise through the initial share sale. Proceeds from the fresh issue would be used towards debt payment, funding working capital requirements and general corporate purposes. (Read More)
Chinese search engine giant Baidu has cancelled a planned livestreamed product launch related to its ChatGPT-rival. According to a report by Reuters, the company has advertised its AI chatbot - Ernie bot as being open to media and the public.
The webcast was scheduled for Monday afternoon. But as per the report, it was switched to a closed-door meeting with the first batch of companies that are testing the product.
The company cited change in format in order to satisfy the "strong demand" from 120,000 companies that had applied to test Ernie bot as the reason behind it. It further added that this would be the first of many closed-door meetings. (Read More)
China and Hong Kong stocks fell on Monday, led by Chinese state-owned enterprises and tech shares, as China's industrial profit slump and geopolitical tensions dented sentiment.
** China's blue-chip CSI300 Index and the Shanghai Composite Index both dropped 1.0% by the lunch break.
** Hong Kong's benchmark Hang Seng Index was down 0.5%, and the China Enterprises Index lost 1.0%.
** Profits at industrial firms in China declined 22.9% in the first two months of 2023 from the year before, as the factory sector struggles to claw its way out of the slump caused by COVID-related disruptions.
** A senior Communist Party official said on Saturday that the foundation of China's economic recovery is not solid enough, warning of possible spillover effects from global economic problems. (Reuters)
India recorded 1,805 new Covid cases in the last 24 hours, the data issued by the Union Ministry of Health and Family Welfare has stated on 27 March. This slight fall comes a day after 1,890 cases recorded yesterday. With today's cases, the number of active cases in the country crosses the 10,000 mark.
As per the ministry's data, India's active caseload currently stands at 10,300. The daily positivity rate is 3.19 per cent while the weekly positivity rate is 1.39 per cent. (Read More)
The rupee gained 9 paise to 82.31 against the US dollar in early trade on Monday amid a weak dollar and a positive trend in domestic equities.
At the interbank foreign exchange, the domestic unit opened at 82.36 against the dollar, then climbed to 82.31, registering a rise of 9 paise over its previous close.
On Friday, the rupee closed at 82.40 against the US currency.
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.11 per cent to 103.
Brent crude futures, the global oil benchmark, advanced 0.04 per cent to USD 75.02 per barrel.
In the domestic equity market, the 30-share BSE Sensex advanced 220.99 points or 0.38 per cent to 57,748.09 points. The broader NSE Nifty gained 76.10 points or 0.45 per cent to 17,021.15 points.
Foreign Institutional Investors (FIIs) were net sellers in the capital market on Friday as they offloaded shares worth ₹1,720.44 crore, according to exchange data. (PTI)
Star Health and Allied Insurance (Star Health) is India’s largest standalone health insurer (SAHI) with a market share of 13% as of 9MFY23 (33% in retail health insurance) with built strong virtuous cycle through its market leadership position in agency network, retail health, and by having one of the largest hospitals networks, highlighted PhillipCapital in a note.
“All these factors feed each other, creating very strong entry barriers for incumbents and new players, based on which we expect Star Health to remain a dominant player in the retail health space. As its loss ratio normalises to pre-covid levels, its combined ratio will improve, driving underwriting performance and profitability. We expect Star Health to deliver a revenue CAGR of 18% over FY22-25 and RoE of 14% in FY25," the note stated while initiating coverage on the stock with a BUY rating and target price of ₹675 per share.
After the closure of bidding for the initial public offering (IPO) of Udayshivakmar Infra Ltd, market observers and bidders are eagerly waiting for the Udayshivakmar Infra IPO allotment date, which is most likely on 28th March 2023. Those who have applied for the public issue are advised to check Udayshivakmar Infra IPO allotment status online either on the BSE website or at the official registrar's website. The official registrar of the IPO is MAS Services Limited and its official website is masserv.com. According to market observers, shares of Udayshivakmar Infra Ltd are available at a premium of ₹10 per equity share, which means Udayshivakmar Infra IPO GMP (grey market premium) has remained steady at ₹10 per share in the grey market today. (Read More)
Dr V K Vijayakumar, chief investment strategist at Geojit Financial Services: The element of uncertainty in global markets continues. The sharp cut of 4.6% in the European bank index last Friday, despite the assertion by authorities that the European banking system is resilient, is a reflection of the fear in the market. Actions by US authorities have brought near-term stability in the US banking system; but we don’t know what lies ahead. Investors should remain cautious till stability returns. The changes proposed in the taxation of debt funds will make them less attractive for investments made after 1st April 2023. So, the next few days before April 1st will give opportunities for investors to invest in these funds, including international funds, for the long-term. Interest rates in India are likely to decline towards the end 2023 after, perhaps, one more 25 bp rate hike in the next MPC meet. Declining interest rate scenario is favourable for debt funds.
First Citizens BancShares Inc. is in advanced talks to acquire Silicon Valley Bank after its collapse earlier this month, according to people familiar with the matter.
First Citizens could reach a deal as soon as Sunday to acquire Silicon Valley Bank from the Federal Deposit Insurance Corp., said the people, who asked to not be identified because the matter isn’t public. No final decision has been made and talks could fall through, the people added.
A representative for the FDIC declined to comment. First Citizens didn’t immediately respond to requests for comment. (Read More)
Spooked by the impact of the banking crises in the West, Indian investors flocked to sovereign gold bonds (SGBs) issued by the Reserve Bank of India (RBI) in its last tranche for FY23, taking the bonds outstanding above the 100 -tonne mark for the first time since the scheme was introduced in November 2015.
Personal finance experts said incremental flows from gold exchange-traded funds (ETFs) to SGBs after tax and indexation benefits were removed from debt funds effective 1 April, would add to the bonds’ allure. (Read More)
STOCK IN FOCUS
Ashok Leyland (CMP 137): In view of the strong products basket, new launches across segments and CV up-cycle over next 1-1.5 years, we recommend BUY rating on ALL with a Target Price of Rs185, valuing the stock at P/E multiple of 17x.
Intraday Picks
DRREDDY (PREVIOUS CLOSE: 4464) BUY
For today’s trade, long position can be initiated in the range of ₹4420-
4448 for the target of Rs.4570 with a strict stop loss of ₹4370.
GRASIM (PREVIOUS CLOSE: 1594) SELL
For today’s trade, short position can be initiated in the range of ₹1610-
1620 for the target of Rs.1570 with a strict stop loss of ₹1635.
KOTAKBANK (PREVIOUS CLOSE: 1692) BUY
For today’s trade, long position can be initiated in the range of ₹1675-
1685 for the target of Rs.1720 with a strict stop loss of ₹1662.
Reliance Industries has named Alok Agarwal, the company's Chief Financial Officer, as Senior Advisor to the Chairman and Managing Director, to be effective from June 1, 2023.
"This is to inform that Shri Alok Agarwal, Chief Financial Officer of the Company will assume a new role as Senior Advisor to the Chairman and Managing Director of the Company assisting him on a wide range of strategic issues with effect from June 1, 2023, after 30 years of distinguished service," it informed exchanges in a regulatory filing.
Alok Agarwal was appointed as the Chief Financial Officer of the Company in 2005.
"The Board appreciated Shri Alok Agarwal for his contribution in the transformative journey of the Company," it said.
Srikanth Venkatachari (Joint Chief Financial Officer of the Company since 2011) will be the Chief Financial Officer of the company with effect from June 1, 2023. (ANI)
Rohan Shah head technical analyst at Stoxbox: The U.S. equities closed in the green on Friday, all the three major indices closed higher, Nasdaq and Dow Jones closed at 0.30% and 0.41% respectively, while S&P500 rallied the most to settle at 0.56% higher. Yields on government continue to trend lower for third consecutive day, the yield on the benchmark 10-year U.S. Treasury note fell to 3.380%, from 3.432%.
Indian equities closed in red on Friday, Nifty fell 132 points or 0.77%. Nifty opened the day on a flat note, the selling pressure intensified as the session progressed to close the session near the days low. Nifty closed in red for third consecutive session in a row. Nifty has confluence of support around 16850-16800 zone, till index manages to protect the said support zone, index is expected to head higher towards 17070 and 17200. Failure to hold mentioned support, index shall attract fresh bearish momentum, dragging index lower till 16680-16550. Nifty Bank closed in red for third straight session at 0.66%, Broader market underperformed the beachmark index, Nifty Mid cap and Nifty Small cap dropped more than a percent and settled lower at 1.17% and 1.67% respectively. All Sectoral indices ended in red. NiftyMedia and NiftyRealty were the major lossers which where down by 2.38% & 2.33% respectively. While, NiftyHealthcare and Niftypharma fell the least at 0.17% and 0.22% respectively.
The markets are likely to see a gap up.opening; SGX Nifty trading higher by 90 points compared to previous closing. Asian Markets are trading mix; Nikkie is trading higher by 0.31% while Hang Seng is down by 1.95%.
Drug major Sun Pharmaceuticals on 26 March said that the company has taken prompt steps to contain and remediate the impact of the IT security incident, including employing containment and eradication protocols to mitigate the threat. It added that an additional measures to ensure the integrity of its systems infrastructure and data has also been taken.
In a BSE filing, the company also said a ransomware group has claimed responsibility for the incident.
On 2 March, the drug major had reported an "information security incident" at the company and said it is investigating the matter. The Mumbai-based company said the impacted IT assets have been isolated. "This is to inform that an information security incident has occurred at the company and the impacted IT assets have been isolated," the company had informed in a regulatory filing. It had also added that the incident did not impact the company's core systems and operations. (Read More)
Flying in the Indian skies for more than seven months now, Akasa Air wants to be nimble and efficient rather than have a label, which will sometimes pigeonhole the airline into doing and not doing certain things, according to its founder Vinay Dube.
At the same time, he said that people have started using the words like "warm, empathetic and kind" for the onboard experience and those are exactly the kind of words that we would like to be associated with the Akasa experience.
With 19 aircraft in its fleet and operating 110 daily flights, the carrier is in its early stages but does not want to be labelled as a startup or as a budget carrier.
By the end of this year, the airline plans to start international operations and place a "three-digit order" for aircraft.
In an interview with PTI, Dube said the airline is in its early stages, but "if someone has got 19 aircraft, is that a startup or is that not a startup?" (PTI)
Hindustan Aeronautics Ltd and Indiabulls Housing Finance Ltd stocks will continue to be part of the F&O ban list for Monday trading. (Read More)
The US stock edged higher on Friday, amid assurances from authorities about financial stability and growing speculation that policymakers will have to stop raising rates to prevent a recession. However, market is cautious about the developments in Middle East as US air strike on Syria last weekend is expected to dictate global markets, including Dalal Street. In early morning deals on Monday, US dollar rates are sideways as Dollar Index is trading tepid. However, SGX Nifty today has surged over 100 points today as crude oil prices have slipped in early morning session, signaling ease in Middle East tension post-US air strike in Syria.
Here we list out important triggers that may dictate stock market today: (Read More)
Reliance Consumer Products Ltd’s aggressive efforts to expand distribution in a short time, a feat that typically takes years, as it enters the household goods market is expected to trigger a pricing war, according to industry experts.
The unit of Reliance Industries Ltd, which unveiled its packaged consumer products brand, Independence, in December, has also invested in and partnered with companies to gain access to categories such as beverages, biscuits, and chocolates. (Read More)
Elon Musk has put the current value of Twitter at $20 billion, less than half the $44 billion he paid for the social media platform just five months ago, according to an internal email seen by American news media.
The email to employees dealt with a new stock compensation program in the San Francisco-based company and the attribution to employees of stock in X Holdings, Twitter's umbrella company since Musk purchased it in late October.
The compensation plan values the platform at $20 billion, slightly more than that of Snap ($18.2 billion), parent company of Snapchat, or of social network and creative website Pinterest ($18.7 billion), both of which, unlike Twitter, are publicly traded. (Read More)
Vaishali Parekh has recommended three day trading stocks to buy today, here we list out full details in regard to those shares:
1] HAL: Buy at ₹2567, target ₹2655, stop loss ₹2525;
2] GESHIP: Buy at ₹624, target ₹647, stop loss ₹615; and
3] Aurobindo Pharma: Buy at ₹500, target ₹522, stop loss ₹490. (Read More)
Five senior executives of Nykaa, including SuperStore CEO, chief business officer and chief commercial officer, have resigned from the company, according to two people aware of the development.
Those who have resigned include Nykaa SuperStore CEO Vikas Gupta, Nykaa Fashion chief business officer Gopal Asthana, chief commercial operations officer Manoj Gandhi, business head Shuchi Pandya and finance head Lalit Pruthi.
While the reason for the resignation of the four executives could not be ascertained, Pruthi has now joined edtech firm UNIVO as chief financial officer.
Pruthi worked with Nykaa for about a year.
When contacted, Nykaa termed it as "voluntary and involuntary exits".
"Voluntary and involuntary exits are expected in a fast-paced, growth-focused, consumer tech organisation with over 3,000 on-roll employees, like Nykaa," the company said in a statement. (PTI)
Digital financial services firm One97 Communications, which operates the Paytm brand, has 15 days more to apply for the online payment aggregator licence for its subsidiary PPSL, a regulatory filing said on Sunday.
The Reserve Bank of India in November rejected its application for a payment aggregator (PA) licence for Paytm Payments Services Limited (PPSL) and asked to resubmit the application for the same within 120 days.
One97 Communications (OCL) in the regulatory filing said that it has received a letter from the RBI, which says PPSL can continue with the Online Payment Aggregation business, while it awaits approval from the central government for past investment from OCL into PPSL as per FDI Guidelines.
"As per RBI's letter, on receipt of approval from GoI, PPSL will have fifteen days to submit the application, seeking authorisation for PPSL to operate as an online PA," the filing said.
Paytm requires a permit to operate its payment gateway business through which it facilitates payments to various merchants. (PTI)
Life Insurance Corp. of India (LIC), the country’s largest investor, plans to invest a record ₹2.4 trillion across markets, including shares of locally traded companies, in the year starting 1 April, according to two people directly familiar with the state-run insurer’s plans.
“Apart from supporting markets, this will not only be the largest ever investment by LIC but also may help it in maximizing returns for policyholders and profits for shareholders but also may work as a vital support system for Indian markets in FY2024," one of the two people said, requesting anonymity.
“Around 35% of the total investment or ₹80,000 crore - ₹85,000 crore could be allocated in shares of listed companies in India in the fiscal year 2024," the person added. (Read More)
The trading activity in the domestic equity markets is expected to remain volatile this week as investors will focus on global cues for further direction, analysts said. F&O expiry, FII activity, and movement in the rupee and crude will also be watched by traders as global trends have been dictating the direction of the local stock markets currently.
Equity benchmark indices Sensex and Nifty buckled under selling pressure in metal, energy and realty stocks for the second straight session to settle nearly 1 per cent lower on Friday.
"Nifty slipped below the crucial level of 16950 as the bears gained control of the market. Furthermore, the Nifty fell after a few days of consolidation, indicating an increase in bearish bets. The momentum indicator RSI is in bearish crossover," said Rupak De, Senior Technical Analyst at LKP Securities. (Read More)
U.S. stocks closed higher on Friday, marking the end of a tumultuous week as Federal Reserve officials calmed investor fears over a potential liquidity crisis in the banking sector.
While all three major U.S. stock indexes started the session sharply lower on the heels of a sell-off among European banks, those losses reversed by closing bell, repeating the intraday roller coaster ride of recent sessions.
At the conclusion of an up-and-down week, marked by a Fed interest rate hike and mounting worries over the health of the banking system, all three indexes notched weekly gains.
"Equity markets drifted higher as concerns lingered about another banking flare up in the U.S. or abroad," said David Carter, managing director at JPMorgan Private Bank in New York. "Wall Street is taking its cues from Washington and other capitals as it relates to interest rates and banking regulations."
In separate appearances, three regional Fed bank presidents said that their confidence that the banking system was not facing a liquidity crisis is what led to the decision to implement a 25 basis point policy rate hike on Wednesday.
But while Fed officials continue to see additional rate hikes as a strong possibility, financial markets are now favouring the likelihood of a no hike at all at the conclusion of its next policy meeting in May.
"The Fed may be jaw-boning a bit as it says more rate increases may be coming this year," JPMorgan's Carter added. "It helps both their inflation goal and suggests confidence in our economic system."
Worries over potential contagion beyond regional banks threatening to spread to their larger peers was sparked by a sell-off of European bank shares. (Reuters)
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