News Bulletin and Market Update: 11/10/2021

News Bulletin

▫️ Andhra Pradesh, Delhi and Rajasthan seeks centre support for power crisis.

▫️Centre clears the fear over coal crisis and said there is enough coal with Coal India Limited and power companies to provide power to the country.

▫️Reliance Industries bought foreign solar panel equipment manufacturer REC Solar Company for ₹5,800 crores.

▫️ Reliance Industries acquired 40% stake in Sterling and Wilson solar for ₹3,630 crores.

▫️Auto retailers to face losses this festive season due to chip shortage, which is hurting vehicle dispatches.

▫️ Govt. to revamp telecom licensing process.

▫️India’s active covid case load reached lowest in 208 days.

▫️ Govt. allowed newly set up petrol pumps to set up EV charging stations and CNG outlet even before starting sale of petrol and diesel.

▫️Pradeep Phosphates to expand its manufacturing capacity.

▫️RBI’s decision to take control over defaulted SREI, will prevent domino effect.

▫️Government to initiate disinvestment of IDBI Bank by December.

▫️ Centre imposed stock limits on edible oils and oil seeds to tackle rising prices.

▫️ Metropolitan Exchange of India may not get its licensed renewed after it failed to raise sufficient funds.

▫️FPIs pulled out ₹20,000 crores from banking sector between Apr-Sep and invested in consumer goods, IT, pharma and telecom.

▫️ Disinvestment of BPCL and Shipping Corporation to be completed by FY22.

▫️ E-commerce companies sold goods worth $2.7bn in first 4 days of festive season sale.

Market Update

▫️ Indian markets soared to record high on Friday, after RBI kept key rates and accommodative stance unchanged to support economic recovery.

▫️Sensex climbed 0.64% to 60,059.06, while Nifty jumped 0.59% to 17,895.

▫️Market breadth was mixed with advance decline ratio of 974:853.

▫️Interest rate sensitive sectors like banking and real estate ended in red, whereas IT,auto, oil and gas extended gains.

▫️The Ruppee closed 19 paise weaker at 74.98 against US dollar due to concerns over rising crude prices.

▫️Gold prices jumped and closed above ₹47k, after RBI’s policy decision.

▫️Oil prices is trading at record high with WTI Crude breaching $80 mark, as fuel demand rose.

▫️US Job data came weak, as a result the US stock markets closed slightly in red on Friday.

▫️Today morning US futures are trading marginally in red, while Asia is positive. SGX Nifty is indicating positive start for the Indian markets.


Market Update & News Bulletin: 04/10/2021

Market Update

▫️Markets slipped on Friday, following inflation concerns, rising petrol and diesel prices and weak global sentiments.

▫️Sensex and Nifty closed at 58,766 (-0.61%) and 17,532 (-0.49%).

▫️Market Breadth was marginally positive with advance decline ratio of 946:854. Midcap and Smallcap indices continued to outperform the benchmark and ended the day in green.

▫️ Volatility eased down on Friday, as VIX fell by 6.5%.

▫️ Sectorwise, pharma, energy, psu banks and media supported the market, while financial services, IT and real estate dragged down the indices.

▫️Ruppee finally ended its losing streak and gained 11 paise against dollar to close at 74.12, due to overall strength in major currencies against dollar.

▫️ Gold prices grew slightly over inflation concerns, and closed at ₹46,434 (Spot).

▫️Oil prices ended the day in positive as, the market is not expecting a big rise in oil production from OPEC+ countries. Further, higher natural gas prices is forcing energy power producers to move away from gas towards crude.

▫️The postive outcome from Merck’s covid antiviral pill introduced a fresh ray of hope against the end to pandemic, on Friday.

▫️Hence, US markets ended the day in positive territory with Dow Jones closing the day with a gain of 1.4%.

▫️Today morning US futures are trading at slightly lower, and Asia has opened mix. Negative SGX Nifty is reflecting muted start for the India markets.

News Update

▫️ Petrol and Diesel prices soared to life time highs, after latest round of hikes on Sunday.

▫️FPIs were net buyers in September, with net investment of ₹26,517 crores .

▫️NTPC to list 3 of its subsidiaries and exit a Joint Venture with SAIL, by FY24. This will fetch ₹15,000 crore to the Company.

▫️OPEC+ will meet today, to decide the quantum of increase in oil production, to ease the prices.

▫️ India’s major ports saw volume growth of 5% in August.

▫️ Hospitality sector is experiencing robust demand and there has been 20-30% rise in occupancy levels, compared to last year.

▫️Concur cuts rates for Nepal bound import boxes by 30% (it can impact the company’s net profit by ₹120 crores a year).

▫️ Tata Sons acquisition of Air India, will give serious competition to IndiGo’s domination in the country.

▫️Jet Fuel price was raised by 9% in September.

News Bulletin and Market Update: 01/10/2021

Market Update

▫️Indian markets continued to fall for 3rd straight day, as weak overseas sentiment weighed on the domestic markets.

▫️Sensex and Nifty plunged to 59,126 (-0.48%) and 17,618 (-0.43%).

▫️ Market Breadth was almost flat with advance decline of 906:901. However, midcap and small cap indices outperformed the benchmark and closed positive.

▫️ Volatility eased down yesterday, with VIX falling more than 2%.

▫️ Sectorwise PSU Bank, Pharma and Realty supported the markets, while IT, Auto, Metal and Media dragged the bourses.

▫️Ruppee fell by 9 paise to close at 5 week low of 74.23, due to risk averse sentiments and foreign fund outflows. The ruppee has fell by 59 paise in last 5 sessions.

▫️ Gold prices remained below 46,000 mark, due ro subdued global cues.

▫️Crude oil prices fell slightly after OPEC nations mulled to expand output to counter the increasing oil demand.

▫️US approved the bill to extend debt limit, easing concerns from US Govt shutdown. However, there was 3rd weekly rise in jobless claims that infused fears of slowing economic recovery.

▫️As a result, US indices ended negative with a fall of more than 1%. Overall US markets ended the September quarter with a fall of 4.3%, highest since March’20.

▫️US Futures are trading negative this morning, complimented by very weak opening of Asian markets. SGX Nifty is down by 176 points (or by 1.0%), reflecting tough Friday for the Indian markets.

News Bulletin

▫️ Govt. has raised domestic gas price by 62% to $2.9/mmBtu. Negative for power, tile and fertilizers. City gas prices may rise. (ONGC & RIL will gain)

▫️ India’s core industry growth touched 11.6% in August.

▫️Rise in crude oil and coal prices to hurt the manufacturers input costs.

▫️NCLT orders ZEE to hold a Board Meeting for conducting EGM as per request of its shareholders (Invesco).

▫️Fiscal Deficit touched only 31% of the FY22 target by August, reflecting increasing in government revenue.

▫️ Govt. has kept interest rates on PPF and NSC unchanged.

▫️ Home registrations in Mumbai jumped by 35%, in September (best in 10 years).

▫️ India’s current account balance recorded a surplus of $6.5 billion in June quarter.

▫️ Govt. tied up Microsoft to launch digital skills program, for development of youth.

▫️Amid rising crude oil prices, domestic petrol and diesel prices have reached all time high.

▫️India Australia to sign Free Trade Agreement by 2022 end.

▫️Airtel to invest ₹5,000 crore in data centre expansion, to boost its other sources of revenue.

▫️Maruti expects to cut production by 40% at 2 of its plant due to semiconductor shortage.

▫️ Sterling and Wilson Solar have repaid loans worth ₹740 crores ahead of the deadline.

▫️Adani Energy has procured 40MW solar power project.

▫️Tata Steel has divested its 100% stake in Singapore based NatSteel holdings for $172 million.

▫️RBI’s new auto debit rules kick in from today (recurring transactions would require customer approval).

▫️Non Food, bank credit grew 6.7% in August.

▫️Bank of India raised ₹1,800 crores.

▫️ Aditya Birla AMC IPO fully subscribed on Day 2.

▫️ India’s hotel industry is on swift recovery path, and will clock 50% of the pre pandemic revenue in FY22.

▫️MCX partnered with TCS for transformation of its trading platform.

This is for educational purposes only.

Market Update and News Roundup: 29/09/2021

Market Update

▫️Indian markets witnessed heavy sell-off on Tuesday, following weal global cues due to rise in bond yields and crude oil prices. Further, slowdown in China’s economy also turned foreign investors cautious.

▫️Sell off was also seen in bonds, as Indian government bond yield rose 9 bps in the past 3 days, tracking the rise in US treasury yields.

▫️Sensex and Nifty closed at 59,667 (-0.68%) and 10,748 (-0.60%).

▫️Power Sector, Energy, Steel, PSU Bank tried to support the markets but were outpaced by sell off in Realty, IT, Media and FMCG.

▫️Market Breadth was largely negative with advance decline ratio of 685:1135. Midcap and Small indices also fell in line with the benchmark.

▫️ Volatility index climbed by 2.66% to 18.53.

▫️Ruppee continued its free fall and closed 20 paise weak, at 74.04, tracking sell of in asian currencies and fall in domestic equities.

▫️The oil price rising streak finally ended on Tuesday, with the Brent Crude price falling before $78 mark, as investors looked for profit booking.

▫️Gold prices continued to fall, and ended below the 46k mark due to higher bond yields.

▫️US treasuries rose to 1.5%, first time since June, on expectations of sooner then expected rate hikes. Further, US Consumer Confidence index came lower at 109.3 than expectation of 115.

▫️As a result, US markets experienced large sell of with Dow and S&P500 falling 1.6% and 2.0%.

▫️Today morning US futures are trading positive. Whereas Asian markets have opened in deep red territory. Lower SGX Nifty is also indicating a lackluster start for the Indian Markets.

▫️Stocks in F&O ban: SUNTV, SAIL, IDEA and ZEEL.

News Roundup

▫️ Govt. is actively looking to privatise non-strategic PSUs (focus on SAIL, NBCC, Madras Fertilizer and National Fertilizer).

▫️ State Govt’s indebtedness to remain high, with debt to GDP ratio estimate of 33% in FY22.

▫️ Business Redemption index moved to record high of 105.0 during September, thanks to surge in mobility in Hyderabad and Pune.

▫️Future Group may hold shareholder meet, to seek approval for sale of assets to RIL.

▫️India has one of the highest fintech adoption rate globally with score of 87%, compared to global average of 64%.

▫️India has scrapped of 22,000 compliances, decriminalised 103 corporate offences and removed 327 redundant provision, to promote ease of doing business.

▫️ Govt. has notified that only Indian registered companies can opt for the ₹10k crores textile PLI scheme.

▫️ American airlines and Indigo signed a one way codeshare contract under which the foreign operator can sell seats on the Indian carrier.

▫️ Godrej Industries raised ₹750 crores via bonds.

▫️Eveready Industries is looking to expand, and add products under the Eveready brand.

▫️UP Govt. to promote wine production and will aid in setting up dozen of wine production units.

▫️In a blow to Adani Gas, Supreme Court rejected Adani’s plea to distribute gas in districts of Gujarat.

▫️US trade deficit increased by 0.9%, while its consumer confidence hit 7 month low.

▫️US Treasury Secretary Janet Yellen, has warned the US govt. that her department will run out of cash by Oct 18, and they will be unable to honor US govt. obligations. This led to sharpe rise in US yields to 1.5%.

▫️Japan lifted Covid-19 emergency, and is now looking to boost the economy.

▫️Muthoot Finance joined hands with a tech company to launch AI assistant.

▫️Indian Bank partnered with TN govt. for performing the state’s treasury activities.

▫️MSCI Index can go for composition change which can attract $ 1 billion in Indian markets, potential stocks that can be included are: Zomato, Mphasis, Mindtree, IRCTC, SRF and Godrej Properties.

▫️ Whirlpool India to buy additional stake in Elica PB India for $57 million.

This post is for educational purposes only.

Market Update and News Bulletin: 28/09/2021

Market Update

▫️India bourses continued their bull run and closed marginally up at record high, backed by strong buying in RIL and auto sector, counterbalanced by profit booking in IT sector.

▫️Sensex and Nifty ended the day at 60,078 (+0.05%) and 17,855 (+0.01%).

▫️ Sectorwise, auto, realty, banking, oil and gas outperformed, while IT, healthcare and FMCG underperformed.

▫️Market breadth was bearish with advance decline ratio of 790:1028. Smallcap and Midcap indices ended mostly flat.

▫️ Volatility index jumped by 6.7% to 18.05, reflecting cautious mood of Investors.

▫️Ruppee lost 15 paise and closed at 73.83 against dollar, due to rising crude oil prices and stronger dollar.

▫️Oil prices inched up for 5th straight session and neared $80/barrel, due to supply side constraints caused by maintenance delays and under investment, complimented by strong demand rebound.

▫️ Gold prices fell slightly and hovered around 46k mark. Soft global cues and rising yields are bringing gold prices down, while Chinese buying (due to fall of Evergrande) is supporting the yellow metal.

▫️US markets closed mixed yesterday, as Dow ended the day in green, while S&P and Nasdaq closed in red, as rising treasury yields weighed on IT stocks.

▫️Today morning US futures are trading negative, accompanied by weak Asian markets. SGX nifty is also down, indicating soft opening for Indian markets.

▫️Stocks in F&O ban: SUNTV, SAIL, CANBK, ZEEL, IDEA and ESCORTS.

News Bulletin

▫️Promoters of Voda Idea have assured government that they would infuse ₹10,000 crore equity in to the company.

▫️Job growth over the past 8 years in India, was only 3.3% (lot of potential left).

▫️ Goodman Sachs has raised the Brent Crude oil price to $90/barrel, by the year end (-ve for India Inc.).

▫️ Govt. to borrow ₹5.02 lakh crore in second half of FY22.

▫️ RBI bank imposed ₹2 crore fine on RBL Bank due to regulatory deficiencies.

▫️BPCL plans investment of ₹1 lakh crores over the next 5 years.

▫️2nd Quarter advance tax collection rose by 52%, thanks to steel, manufacturing and mining companies’ record profits.

▫️ICRA raised India’s FY22 GDP growth forecast to 9.0% from 8.5%.

▫️Daily GST e-way bill for week ended on 26 Sep was up by 4%, sequentially (Festive Demand Pick Up).

▫️ Financial losses of power distribution companies were down by 38% in FY20.

▫️Tata Steel became the first steel company to join Sea Cargo Charter as part if its efforts to reduce carbon emissions.

▫️Adani Wilmar has opened 12 stores in 6 states under the brand name of ‘Fortune Mart’.

▫️Royal Enfield partnered with TCX to launch protective riding accessories and lifestyle shoes.

▫️Shyam Metalics enters into aluminium business.

▫️ China’s Central Bank promised to protect consumer interests from the fall of Evergrande.

▫️Power shortage in China has led to nationwide shutdown of factories, impacting growth and global supply chain.

▫️SEBI confirms ban on 5 people in ZEE, for insider trading.

▫️IL&FS offered NPAs worth ₹4,297 crores on sale.

▫️Banks have offered bad loans over ₹10,000 crores for sale to asset reconstruction companies in Q2’22. (IDBI, BoB, SBI, Union Bank and IOB were the top sellers)

▫️ Federal Bank launched contactless credit card.

▫️HDFC Bank raised ₹5k crores via bonds.

▫️HDFC Ltd to raise ₹6k crores debt.

▫️ Reliance to invest in Google backed mobile content provider Glance InMobi PTE.

▫️Power Grid to raise ₹6,000 crores via bonds.

▫️Chip shortage to affect expansion plans for Paint Industry (especially new entrants like Grasim)

▫️Air Traffic decline marginally during Sep 19-25 week.

This post is for educational purposes only.

News Roundup and Market Update 27/09/2021

Market Update

▫️ Indian markets continued to climb, riding on the back of sharp economic recovery. Investors continued to show interest in India markets, even though it is now very expensive.

▫️Sensex and Nifty ended at 60,048 (+0.27%) and 17,853 (0.17%).

▫️ Sectorwise, real estate outperformed the market while metal, psu bank and commodities underperformed.

▫️ Market breadth was unfavorable with advance decline ratio of 633:1186.

▫️Ruppee closed weak by 4 paise at 73.68, as almost all asian currencies lagged against the dollar.

▫️Oil prices continue their rally and is trading at 3 year high above $78, due to sharp decline in US inventories, sustained economic recovery and very slow pace of rise in oil production by OPEC+. (-ve for India Inc)

▫️Gold prices fell below the 46,000 mark citing fears of rise in interest rates, after the Fed’s meeting.

▫️US markets ended flat on Friday with a positive bias, as market dumped the contagion effect of Evergrande fall.

▫️This morning US futures are trading very strong, accompanied by positive opening for the Asian markets. SGX Nifty is also trading higher, reflecting good start for the Indian bourses.


News Round Up

▫️Tata & Airbus have finalised ₹20,000 crore deal for 56 military aircraft.

▫️ Competition Commission of India have fined ₹873 crores on UBL and other alcohol producers for creating a cartel.

▫️ONGC has put 2nd well in KG Block on production.

▫️RBI has allowed banks to sell their fraud loan exposures to asset reconstruction companies (+ve for Banks).

▫️Auto PLI scheme to benefit large companies the most (Maruti & Tata Motors in focus).

▫️ Govt.’s net direct tax collection have increased by 74% in FY22 till now (+ve economic development).

▫️ESIC scheme added highest number of members in July (reflecting increased hiring activity, Naukri in focus)

▫️Cadila Healthcare entered into an agreement with Shilpa Medicare for production of its Covid-19 vaccine.

▫️ August recorded highest advertisement volumes since 2nd lockdown (+ve Media companies).

▫️NBCC bagged ₹968 crore overseas project to build 2,000 homes in Maldives.

▫️ Nucleus Software announced ₹159 crores buyback at ₹700 per share.

▫️ Daikin world’s largest air conditioner producer to set up its 3rd manufacturing plant in India in Andhra Pradesh (+ve effect of PLI scheme).

▫️India Bulls Housing Finance sold portion of its stake in Oak North for ₹251 crores.

▫️Tata Motors have touched the milestone of selling 10,000 EVs.

▫️China banned all crypto currency transactions in the country, leading to sharp fall in crypto currency prices

▫️UBS sold shares of Axis Bank worth ₹255 crores.

▫️India’s forex reserve decline by $1.47 bn to $639.6BN mainly to exchange rate changes.

▫️Hero Moto to set up 10,000 EV charging stations across the country in next 1 year (Ola effect).

▫️Shyam Steel to expand its presence in Southern, Western and Central India.

▫️Diesel prices were hiked by 20 paise, while Petrol prices unchanged.

▫️From July 1,2022, smart watches, smart cameras, tracking devices, etc. can only be sold, used or imported after accreditation.

▫️Cinema Halls to open in Maharashtra from Oct 22.

▫️Air Traffic grew by 35% in August, sequentially positive for Airlines).

▫️ Global IT giant Accenture reported strong quarter 4 results, Indian IT firms will remain in focus today.

▫️30 IPOs may hit the Indian market in Oct-Nov, seeking a total of ₹40,000 – ₹45,000 crores.

▫️HDFC plans to reach rural India, and hire 2,500 employees in next 24 months.

▫️Jio and Airtel have most numbers of active subscribers, while VIL lags way behind.

▫️NTPC wins 1.9GW solar power project.

▫️India’s top 10 listed 10 real estate companies have reduced their debt by 37% post pandemic.

▫️ Tupperware to set up 1,000 retail stores in India.

This is for educational purposes only.

Market Update and News Bulletin: 24/09/21

Market Update

▫️Indian markets witnessed a record high session yesterday, on back of global markets support and smart local economic recovery.

▫️Sensex and Nifty jumped to 59,885 (+1.63%) and 17,823 (1.57%).

▫️All sector indices were positive yesterday, with real estate outperforming the benchmark, supported by Banks and financial services.

▫️ Market Breadth was positive with Midcap and Smallcap indices extending gains. Advance:Decline ratio was healthy at 1123:680.

▫️Ruppee recovered the previous session lost ground and gained 23 paise to close at 73.64, on account of strong trend in domestic equity market and sell of in US Dollar overseas.

▫️Oil prices touched 2 month high (Brent Crude above $77), due to supply side woes, low inventory and rising oil demand.

▫️Gold prices fell sharply after Fed’s decision to ease bond purchase program and hike rates sooner than expected.

▫️US Markets surged yesterday, as there were no surprises by Fed’s policy outcome, suggesting swift economic recovery.

▫️This morning US futures are trading marginally positive after a stellar closing on Thursday. Asia is trading fairly positive, while SGX Nifty is flat.


News Bulletin

▫️ Indian crude oil refiners processed 10 month low output in August, due to maintenance work at several plants. (-ve for oil refining co.s)

▫️Vedanta to delist its ADR from New York Stock Exchange.

▫️All states have agreed for ₹ 3 lakh crore revival of power distribution companies (+ve for power sector). PFC and REC to lend ₹85k crores to power distribution companies.

▫️Infy reported the IT website is still facing some glitches.

▫️PM meet leading American CEOs to spur investment in India.

▫️Govt to meet Moody’s on 28Sep, and seek improvement in India’s sovereign rating.

▫️Jindal Steel and Power wins the bid for Odisha’s Kasia Iron Ore Mine.

▫️2/3 of India’s eligible population has been vaccinated with atleast 1 dose.

▫️Ola to expand EV to more scooters, bike and cars in coming quarters (industry disruption, this can be Jio moment for the automobile industry)

▫️Jio added 6.51 million subscribers, Airtel added 1.94 million subscribers while Voda Idea lost 1.43 million subscribers in July.

▫️Tejas Network got optical network expansion order of Airtel.

▫️US Business activity grows at slowest pace in September in 12 months.

▫️BPCL-SBI card launched co branded contactless rupay credit card.

▫️RBI in a continued attempt to pump out excess liquidity will buy ₹15,000 crores govt bond from open market on Sep 30.

▫️IIFL fiance to raise ₹1,000 crores via bonds.

▫️ Bookings up in Indian hotel industry, occupancy rate above 70%.

This post is for educational purposes only.

Market Analysis and News Update: 23/09/2021

Market Update

▫️Indian markets traded in a narrow range yesterday, ahead of US Fed Policy Outcome.

▫️Sensex and Nifty ended flat at 58,927 (-0.13%) and 17,546.55 (-0.09%).

▫️ Sectorwise, Media and Realty outperformed, while financial services and private banks suffered.

▫️Overall, market breadth was positive with Midcap and Smallcap indices climbing 1.7% and 1.4%. Advance: Decline ratio of 1244:571, reflected bullish sentiments.

▫️ Ruppee fell 26 paise to close at 73.87, due to stronger dollar overseas.

▫️Oil prices rallied, as US oil inventories fell to their lowest level in 3 years.

▫️Gold prices remained in narrow range amid bond tapering program speculations.

▫️US Markets closed positive (+ve), after Fed policy outcome statement to reduce its monthly bond purchase program soon, and easing market tensions regarding Evergrande fall.

▫️This morning US futures are trading with a positive bias. Asia is trading mixed, with SGX Nifty is indicating positively flat opening for the Indian markets.

News Bulletin

▫️US Fed Meet ended yesterday. Fed announced it would reduce its monthly bond purchases as soon as November and interest rates could be raised more quickly (not this year atleast). However, Fed assured that their Accommodative stance would continue to support the market. (Overall, no surprises, US Markets reacted positively to the statement)

▫️In yesterday’s early hourse, Zee Entertainment announced its merger plan with Sony network, to create largest entertainment network in India. (Industry will consolidate more as OTT platforms gain market share)

▫️Voda Idea CEO and MD announced that the company will survive and will raise funds soon.

▫️ Children above the age 12 yeara may start receiving the jabs from next month.

▫️India’s crude oil production fell 2.3% in Aug, while Gas production rose more than 20%, because of RIL boosted gas production capacity.

▫️ Govt to raise fertilizer subsidy by another 25,000 crores (UPL in focus).

▫️Hero can end petrol 2 wheeler sales by 2027, and is increasing EV capacity at its manufacturing plant.

▫️FDI equity inflows rose 112% in Apr-July.

▫️ Property registrations in Mumbai are highly positive, and can break the 10 year record. (Real estate companies in focus)

▫️ Evergrande has negotiated the interest payment due today. (Confusing statement but atleast it seems the default risk is now off the table).

▫️ Govt. may block Chinese investment in LIC IPO.

▫️ Aluminum industry is facing coal shortage crisis, will lead to higher input costs.

▫️Mphasis to acquire US Based Blink for ₹694.3 crores.

▫️Infy announced collaboration with Amazon Web Services for cloud technology (recently TCS announced cloud partnership with Google)

▫️Mindtree plans expansion in Europe and APAC regions.

▫️ Chinese city with a 10 million population went into lockdown after covid case detection.

▫️BOI to raise ₹1,800 crores via bonds.

▫️Ashok Leyland partnered with Federal Bank for vehicle financing.

▫️Parad Defence IPO subscribed by 40 times on Day 2.

▫️ India’s active covid cases lowest since Mar 2020.

▫️Indian oil to establish refinery cum petrochemical unit in Tamil Nadu worth ₹31,580 crores.

▫️Natural Rubber prices slipped 5-10% last month (+ve for tyre companies)

This is for educational purposes only.

Daily Dose of Market and News: 17/09/21

Market Update

▫️ Indian markets extended the rally, on account of support measures announced by the government for various sectors.

▫️Sensex and Nifty closed at 59,141 (+0.71%) and 17,629 (0.69%).

▫️Banking Sector was show stealer which jumped on expectations of Finance Minister’s announcement of government funded Bad Bank. Nifty Bank and Nifty PSU Bank surged 2.22% and 5.43%. Whereas, IT and Media stocks under performed.

▫️Broader Markets lagged the benchmarks as Midcap and Smallcap indices rose only marginally, and Advance Decline ratio was in favour of bears (841:969).

▫️Rupee ended the day slightly weak by 2 paise and closed at ₹73.52 against dollar, amid strength in dollar against global currencies.

▫️Oil prices fell on Thursday finally ending its positive streak, as US production gradually returns back to normal and strong dollar.

▫️Gold prices fell significantly (-1.72%) below 47k mark, due to rally in US Bond yields and stellar performance of domestic equities.

▫️All eyes are on US Fed meeting next week and US market is linking all economic data to the likelihood of bond tapering program.

▫️ Yesterday US posted better than expected retail sales data, which according to investors was negative for the market as it may force Fed to begin tapering program sooner. Hence, US markets closed negative yesterday.

▫️This morning US indices continue to trade in red. Asia is also trading negative, in anticipation of Fed policy outcome and weak Chinese economy. Hong Kong’s index is trading at year’s lowest level. SGX Nifty is also suggesting a quiet start for Indian markets.

News Bulletin

▫️ Finance Minister yesterday announced the specifics of Bad Bank, which will resolve NPAs of about ₹2 lakh crore. To provide sovereign backing to the entity, govt. will guarantee ₹31,000 crore worth of securities issued by the bad bank for fund raising.

▫️ Govt has invoked 3 way pact to recover long standing dues from state run power companies. RBI deducted ₹5,100 crores from accounts of 3 states for their power dues. (Very tough stance by govt. to benefit Coal India and NTPC)

▫️Bharti Airtel Chairman Mittal spoke to Vodafone Inc’s CEO Nick Read, and urged him to reinvest in Vodafone India and recover lost ground, as the government has provided the required support.

▫️ Airtel will use the moratorium and invest the money saved in 5G.

▫️Telecom Dispute Appellate stayed the order on Telcom Department’s demand for ₹1,376 from Airtel over unpaid dues.

▫️ZEE Entertainment BOD to back its two directors against whom shareholders have displayed outburst.

▫️₹6k crores investment have already been pledged by 52 companies under PLI scheme for white goods.

▫️Ola sold ₹600 crores e-scooter on Day 1. (Big Industry Disruption)

▫️India’s GDP to grow by 7.2% in 2021, despite the horrific 2nd wave.

▫️Anti Dumping duties of certain steel products may be extended to help the domestic steel manufacturers.

▫️India became second largest tech hub for Amazon globally after home country US.

▫️Hero Moto to hike prices for its products from next week as input cost rises.

▫️TVS Motor enters into Europe with acquisition of Swiss e bike maker EGO.

▫️After a slump in Chinese markets, there are no Chinese firms left in the world’s top 10 companies list by Market Cap.

▫️RBI Spokesperson said that the Central Bank will remain in liquidity absorption mode to suck excess liquidity out of the banking system.

▫️Malabar Gold will invest ₹750 crores to set up factories in Telangana.

▫️Kotak Mahindra Bank bought vehicle finance portfolio of Volkswagen’s financing arm.

▫️ NBFC raised heavy funds via commerical papers between Apr-Aug to fund HNI demand for investment in IPOs.

▫️SBI and BOB announced attractive offers for home loan.

▫️Over 20% of Indian adults are fully vaccinated.

▫️ Domestic Air Traffic volume improved significantly as 6.7 million passengers flew in August compared to 5.0 million in July (+ve for airlines).

This is for educational purposes only.

Market Update and News Bulletin: 16/09/2021

Market Update

▫️Indian markets touched all time high yesterday, backed by government announced schemes for auto and telecom sector.

▫️Sensex and Nifty ended the day at 58,723 (+0.82%) and 17,519 (+0.80%).

▫️Nifty Midcap and Smallcap performed in line with the frontline benchmark and ended the day with a gain of 1.02% and 0.65%. While market breadth was strong, with Advance Decline of 1172:646.

▫️All sectors looked strong and participated in the yesterday’s rally, except Media.

▫️Rupee rose during the later half of the day and closed 18 paisa stronger at 73.50, on hopes of foreign investment after the government announced schemes.

▫️Oil prices rose and topped $75/barrel (Brent), as US oil inventories fell more than expected and on rising demand expectations. Oil price rally may still continue until supply side disruption eases.

▫️Gold prices moved up by ₹238 to ₹47,255, due to rising covid cases in China and rising investors interest for safe heaven asset.

▫️US indices closed in positive driven by rally in energy stocks due to higher oil prices and positive developments in the economy.

▫️This morning US futures are trading flat while Asia is trading mixed. SGX Nifty is down by 0.10%, reflecting subdued start for the Indian markets.

News Bulletin

▫️As highlighted yesterday, the Cabinet has now approved ₹26,000 crore PLI scheme for clean tech auto investments.

▫️ Similarly, the relief package for Telecom sector was also approved, which includes deferral of payment schedule, removal of penalty, scrapping of spectrum usage charges, re defination of AGR charges, etc. (This will provide cash relief of ₹88,000 crores to VIL over 4 year provide, however real revival of the Company can only happen if it is able to pump in fresh funds)

▫️India is considering to restart vaccine exports.

▫️Govt is seeking $109 billion valuation for the country’s largest IPO and will sell stake in the range of 5-10%.

▫️JSW energy to invest ₹35,000 crores in renewable energy.

▫️5G spectrum auction likely in Feb’22.

▫️Pepsi opened its largest plant in India yesterday, in Mathura, Uttar Pradesh.

▫️Apple to start selling its new Iphone in India on Sep 24, prices start from ₹69,000. (Reddington India in focus)

▫️Ola is selling 4 electric scooters every second as per the Company founder (Negative development for 2-wheeler companies)

▫️Light Commercial Vehicle market to see double digit growth in FY22 (Tata Motors, Ashok Leyland to benefit)

▫️ Glenmark concluded its study on Covid drug, Favipiravir.

▫️ Coal India’s pending dues fall from ₹22,000 crores to ₹16,840 crores in August.

▫️China’s factory output and sales growth hit lowest in 1 year in August, due to fresh Covid concerns.

▫️RBL restarted credit card issuance with Visa, after Mastercard ban.

▫️ Govt. to sell 10% stake in Hindustan Copper.

▫️Tata Group and Spicejet in race for Air India sale.

▫️Infosys partnered with enterprise application software leader SAP.

▫️ Mutual Fund’s exposure to auto stocks hit 17 month low.

▫️Federal Bank may partner with Fintech companies to grow business.

This is for educational purposes only.