The recent demonstrations in China are the greatest show of public dissent against the ruling Communist Party in decades. Xi’s response could have a tremendous effect on the Chinese economy, which would hurt oil prices and global economic growth.
After paying interim dividend of 200% for FY23, this IT stock is seen to cross ₹1,000-mark
IT-enabled services provider, Cyient is currently a little over ₹800 mark on stock exchanges. The company holds a good track record of paying dividends to its shareholders, and the latest one would be a 200% interim dividend for FY23. In Q2FY23, Cyient gained traction in the services business, while its margins picked up across different businesses. Going forward, Cyient is expected to cross the ₹1,000 mark as Anand Rathi expects the company’s wider services and sales investments to improve the next fiscal year FY24 growth. The stock brokerage has given a buy recommendation on Cyient. (Read More)
Britannia shines in early trading, jumps 2%
Yes Bank buys 9.9% stake in JC Flowers ARC, to acquire additional stake
Yes Bank has initially acquired 9.9% shareholding in JC Flowers ARC. The lender said that it plans to acquire a further 10% shareholding in the asset reconstruction company, subject to requisite regulator approvals. Yes Bank and JC Flowers ARC are each in the process of applying for the requisite approvals from RBI. (Read More)
Indices make marginal gains at open with Sensex and Nifty adding 100 and 30 points, respectively
Small-ticket-sized loans grow rapidly in post-Covid. What to expect ahead?
While the Coronavirus pandemic did put the world at a standstill for a periodic time in 2020, however, it only led to impressive growth in small ticket-sized loans, personal loans, and consumer durables loans. Between FY19 to FY22, these unsecured retail loans have grown rapidly at around 25%, as per the data. The growth in these unsecured retail loans is likely to continue to pick up momentum going forward.
According to data from Bain & Company, credit cards showed resilience with a 19% CAGR between FY19 to FY20, while personal loans recorded a CAGR of 29%, and consumer durable loans recovered to pre-pandemic levels and grew at 13% CAGR. (Read More)
Sensex sheds at the preopen session; NDTV, L&T, TCS, Lupin stocks are in focus
Geojit Financial Services views on today’s market: The high valuation in India is becoming a matter of concern
Dr V K Vijayakumar, chief investment strategist at Geojit Financial Services: Nifty rising to a new record of 18,614 is indicative of the underlying bullishness in the market. But the global market construct is not very favourable for the rally to continue unabated. Also, the high valuation in India is becoming a matter of concern. The troubles in China are a matter of concern but it is too early to judge its impact on the global economy. This is an issue that has to be watched closely. Meanwhile, domestic economic cues continue to be positive. The September quarter credit growth has risen to an impressive 17.2 % and the employment by listed companies has crossed the 10m mark in 2021-22. Banking stocks can remain resilient in spite of record levels. Comments and indications on the trajectory of US interest rates are more likely to impact global equity markets more than anything else.
Hong Kong stocks jump more than 3% in morning
Hong Kong stocks rallied more than three per cent in the morning session Tuesday, led by a surge in property and tech firms, while traders were also relieved that China avoided a repeat of the protests that erupted across the country at the weekend.
The Hang Seng Index jumped 3.66%, or 633.41 points, to 17,931.35.
The Shanghai Composite Index added 1.72%, or 52.98 points, to 3,131.53, while the Shenzhen Composite Index on China’s second exchange put on 1.50$% or 29.55 points, to 2,003.62.
Property firms were among the best performers after China said it would end a ban on firms raising cash by selling stocks, marking the latest measure to ease pressure on the sector, which has seen several companies collapse and threatens the wider economy. (AFP)
India panel to favour linking local gas prices to Indian crude basket – sources
India’s natural gas price review panel is set to favour linking the price of most local output to an Indian crude basket with a cap of $6.50 per million British thermal units (mmBtu) to shield consumers from the volatility in global markets, sources said.
In September India set up a panel headed by energy expert Kirit Parikh to review India’s gas pricing formula to ensure fair prices to consumers after state-set prices of gas from old fields and a ceiling price for output from difficult blocks rose to a record high. (Reuters)
Stocks to Watch: L&T, NDTV, TCS, HCL Tech, M&M, Kotak Bank, NBCC India, Lupin, Dhanlaxmi Bank, JK Cement
NSE has put Bhel, Delta Corp, and Indiabulls Housing Finance stocks on the list of banned securities under the F&O segment for Tuesday trading as they have crossed 95% of the market-wide position limit. (Read More)
Dharmaj Crop Guard IPO: GMP, subscription status on day 2 of the issue
The Initial Public Offer (IPO) of Dharmaj Crop Guard was fully subscribed on the first day of offer that opened on Monday, November 28, 2022. The three-day issue will conclude on Wednesday, November 30. The public issue received 1.79 times subscription on Monday. The ₹251-crore IPO received bids for 1,43,79,060 shares against 80,12,990 shares on offer, according to NSE data.
As per market observers, Dharmaj Crop Guard shares are available at a premium (GMP) of ₹46 in the grey market today. The shares of the company are expected to list on the stock exchanges BSE and NSE next week on Thursday, December 8, 2022. (Read More)
Govt launches scheme for procurement of 4,500 MW for 5 years under Shakti policy
The ministry of power on Monday kicked off a scheme for procurement of aggregate power of 4500 megawatt (mw) on a competitive basis or five years on finance, own and operate (FOO) basis under Shakti policy.
PFC Consulting, a wholly-owned subsidiary of PFC, has been designated as the nodal agency by the ministry of power. Under the scheme, PFC Consulting has invited bids for the supply of 4,500 MW, according to a statement from the ministry of power. Supply of electricity will commence from April 2023. The ministry of coal has been requested to allocate around 27 MTPA for this.
The utilities that have evinced interest for the scheme are Gujarat Urja Vikas Nigam, Maharashtra State Electricity Distribution Company, Madhya Pradesh Power Management Company, New Delhi Municipal Corporation and Tamil Nadu Generation and Distribution Corporation. According to the statement, the last date for the bid submission is December 21, 2022. (ANI)
Kotak Bank arm to raise up to USD 1 billion for data centre fund
A Kotak Mahindra Bank arm plans to raise up to USD 1 billion to invest in data centre business.
Kotak Alternate Assets, a division of Kotak Investment Advisors (KIAL), on Friday announced the appointment of Subhamkar Das as the chief operating officer for the ‘Kotak Data Centre Funds platform, as per an official statement.
The statement did not mention about the fundraising plans, but market sources said the private sector lender’s arm is planning to raise between USD 500-USD 1 billion for the fund, which will be ploughed into the data centre businesses. (PTI)
Oil prices slide on concerns over China’s demand
Oil prices dropped in early trade on Tuesday, weighed down by concerns about slowing fuel demand in top crude importer China amid strict COVID-19 curbs. Brent crude futures fell 45 cents, or 0.5%, to trade at $82.74 a barrel at 0113 GMT. U.S. West Texas Intermediate (WTI) crude futures dropped 51 cents, or 0.7%, to $76.73 a barrel. (Read More)
‘Does Apple hate free speech?’ Elon Musk accuses Apple of threatening to ban Twitter
In a series of tweets, CEO Elon Musk has claimed that Apple threatened to ban Twitter from its app store without providing any explanation. He also claimed that the iPhone manufacturer had ceased running advertisements on the social networking site. The world’s richest man said Apple was putting pressure on Twitter over requirements for content control.
Apple has not confirmed the action, but the move would not be out of the ordinary – given that it regularly enforces its policies. It earlier deleted applications like Parler and Gab. in 2021, Apple reinstated Parler, a social networking service popular with American conservatives, after the app had changed its content and moderation procedures. (Read More)
Dhanlaxmi Bank to raise ₹200 Cr via Tier 2 bonds
With a market valuation of ₹378.25 Cr, Dhanlaxmi Bank Ltd. is a small-cap company that operates in the financial services industry. Dhanlaxmi Bank Ltd. was founded in Thrissur, Kerala, in 1927, and it currently has 532 touchpoints around India. The company has informed stock exchanges that the Bank’s Board of Directors has fixed Monday, December 5, 2022, as the date on which they will consider or approve the Bank’s application to raise funds through the issuance of Non-Convertible Debentures (NCDs) in the form of Tier 2 Bonds that comply with Basel III and total Rs. 200 crores. (Read More)
TCS starts virtual Quantum Computing lab on Amazon Web Services
Tata Consultancy Services has launched the TCS Quantum Computing Lab on Amazon Web Services to help enterprises explore, develop, and test business solutions and accelerate the adoption of quantum computing, the Indian IT major said on Monday.
While quantum computing is still in its nascent stages, it has the potential to help solve challenges too difficult for classical computers to solve in a timely manner at present, such as enhanced detection of surface anomalies or optimization problems.
The TCS Quantum Computing Lab on AWS enables customers to evaluate with agility, the true potential of what quantum technology can realize for their core business operations, it said.
It provides a collaborative ecosystem to ideate, incubate, and test new ideas on Amazon Braket. (PTI)
China reports 38,645 new COVID cases for Nov 28 vs 40,347 a day earlier
China reported 38,645 new COVID-19 infections for Nov. 28, of which 3,624 were symptomatic and 35,021 were asymptomatic, the National Health Commission said on Tuesday.
That is compared with 40,347 new cases a day earlier – 3,822 symptomatic and 36,525 asymptomatic infections, which China counts separately.
Excluding imported infections, China reported 38,421 new local cases, of which 3,561 were symptomatic and 34,860 were asymptomatic, down from 40,052 a day earlier.
There were no deaths, compared with zero the previous day, keeping fatalities at 5,233. (Reuters)
Rupee rises 3 paise to close at 81.68 against US dollar on lower crude prices
The rupee strengthened by 3 paise to close at 81.68 against the US dollar on Monday as lower crude prices in and a firm trend in domestic equities boosted investor sentiment.
Besides, a weak American currency and foreign fund inflows also supported the domestic unit, forex traders said.
At the interbank foreign exchange market, the local unit opened weak at 81.81 and touched an intra-day high of 81.61 and a low of 81.83 against the greenback.
The local unit finally settled at 81.68, registering a rise of 3 paise over its previous close of 81.71. (PTI)
Adani closes in on NDTV takeover as founder entity transfers shares
New Delhi Television Ltd (NDTV) said on Monday an entity backed by its founders had issued shares to a unit of Adani Group, taking the billionaire Gautam Adani-led conglomerate a step closer to taking over the media firm.
The transfer of shares will give Adani control over a 29.18% stake in the news group. Adani is also conducting an open offer running between Nov. 22 and Dec. 5 for a 26% stake in NDTV. (Read More)
BharatPe CTO resigns in slew of senior exits
Three senior executives of BharatPe—chief technology officer Vijay Aggarwal; head of PostPe Nehul Malhotra; and chief product officer for lending and consumer products Rajat Jain —have put in their papers, two people aware of the matter said.
Aggarwal joined BharatPe in March 2020 quit to start his own venture, the people cited above said on the condition of anonymity. Former Paytm executives Jain and Malhotra are “also moving out to pursue their own entrepreneurial journey”, the persons added. (Read More)
India’s domestic air passenger traffic crosses 4 lakh-mark for 2 days straight
India’s domestic air traffic has shown recovery in air passenger traffic. The domestic carriers flew more than 4 lakh passengers for two consecutive days. After being severely hit by the Covid-19 pandemic, air traffic is picking up but is yet to reach the pre-COVID level when the daily average passenger number was more than 4 lakh.
Currently, the average passenger number is around 3.70 lakh and the same is expected to rise in the coming months as generally December and January witness higher air traffic, according to a senior civil aviation ministry official. (Read More)
L&T bags ₹1,000-2,500 cr worth orders for its hydrocarbon business
The hydrocarbon business of L&T has secured two offshore orders with an estimated cost in the range of ₹1,000-2,500 crore, it said in a regulatory filing to the stock exchanges on Monday.
It has received India’s first contract for decommissioning of offshore facilities from British Gas Exploration and Production India (BGEPL, part of Shell Plc Group of Companies).
The contract involves engineering, preparation, removal and transportation of five offshore wellhead platforms and associated facilities at the Tapti field, off India’s west coast, which is being operated by the Joint Venture of BGEPL, ONGC, and RIL, the filing said. (ANI)
Crypto lender BlockFi files for bankruptcy, cites FTX exposure
Cryptocurrency lender BlockFi has filed for Chapter 11 bankruptcy protection, it said on Monday, the latest industry casualty after the firm was hurt by exposure to the spectacular collapse of the FTX exchange earlier this month. The filing in a New Jersey court comes as crypto prices have plummeted. The price of bitcoin, the most popular digital currency by far, is down more than 70% from a 2021 peak. (Read More)
Financials, RIL, ITC among top Nifty contributors in 1 year
ICICI Bank, ITC, Reliance Industries, Adani Enterprises, Axis Bank, and State Bank of India (SBI) are the stocks that have fuelled Nifty’s rally to a high, with the banking sector expected to continue its outperformance even as market experts remained divided over the revival of the IT sector amid global headwinds. Earnings growth will determine the market’s course, the experts said.
Of the Nifty’s 1,509 point or 8.84% rally from a year ago, ICICI has topped with a 317-point contribution, followed by ITC (314 points), RIL (281), Adani Enterprises (153), Axis Bank (139.5) and SBI (114 points). Together, the top six companies accounted for 87% of the Nifty rally, according to Capitaline data. (Read More)
US stock indices fall on Monday as lockdown protests spread in China
A broad slide on Wall Street left stocks lower Monday as global financial markets reacted to protests in China calling for President Xi Jinping to step down amid growing anger over severe COVID-19 restrictions.
The S&P 500 fell 1.5%, clawing back all of the benchmark index’s gains from last week. The Dow Jones Industrial Average finished 1.4% lower, while the Nasdaq composite slid 1.6%.
The world’s second-largest economy has been stifled by a “zero COVID” policy which includes lockdowns that continually threaten the global supply chain at a time when recession fears hang over economies worldwide. The recent demonstrations there are the greatest show of public dissent against the ruling Communist Party in decades.
The unrest stoked worries on Wall Street that if Xi cracks down even further on dissidents there or expands the lockdowns, it could slow the Chinese economy, which would hurt oil prices and global economic growth, said Sam Stovall, chief investment strategist at CFRA.
“A lot of people are worried about what the fallout will be, and basically are using that as an excuse to take some recent profits,” he said.
More than 90% of the stocks in the S&P 500 closed in the red, with technology companies the biggest weights on the broader market. Apple, which has seen iPhone production hit hard by lockdowns in China, fell 2.6%. (AP)
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