Tag: share market

Shares of PB Fintech likely to see limited upside in near term, says JM Financial, BFSI News, ET BFSI

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PB Fintech, the parent company of PolicyBazaar, made a positive stock market debut with a 17.35% gain on Monday. The listing pop came as a positive surprise to many experts and analysts, however, JM Financial Services expects limited scope for further gains in the stock.

The brokerage has set a price target of Rs 1,270, which implies a near 5 per cent downside from the current market price. “We initiate coverage with a ‘hold’ rating, solely due to premium valuations with significant upside risks in our ‘bull’ scenario that can drive share price to over Rs 2,200 by December 2024,” it said.

Though the brokerage firm sees limited near-term upside against CMP post the strong listing, they reckon there is a likely path for PB Fintech to grow to a valuation of $13.5 billion over the next couple of years against $7.3 billion currently. This is only if few incremental levers fall into place, which are unlikely in the very near-term, the brokerage said.

These levers consist of digital penetration reaching 5.5 per cent against 4.5 per cent.

Shares of PB Fintech likely to see limited upside in near term, says JM Financial

“Policybazaar is the dominant market leader in a large and growing industry with strong tailwinds such as increasing digital penetration, rising disposable income and insurance awareness. We do believe Policybazaar will be in the driving seat in enhancing insurance penetration in India,” JM Financial said

The brokerage firm is of the strong opinion that the company should continue deepening scale moats in light of new-found competition emerging from insurers’ direct channels and cross-sell by fin-tech players like PhonePe and Paytm.

JM Financial expects PB Fintech, PolicyBazaar’s parent, to grow revenues by 31 per cent annually over the next 10 years.

“While we expect slight market share loss in online distribution due to insurers’ investment in direct channel and newer competition, this loss will be aptly compensated by the company’s growth in physical distribution” it added.



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New Delhi, Nov 7 (PTI) Global trends, the last batch of Q2 earnings and domestic macroeconomic data will dictate terms in the equity market, which had an extended weekend last week, analysts said. “FIIs’ behaviour along with inflation numbers from US and China will remain key factors for this week. After an extended weekend, Indian markets are likely to start a fresh week with a positive note on the global backdrop.

“However, there is a risk of selling pressure at higher levels as we are underperforming the global peers where the near-term texture has changed to ‘sell on rise’ from ‘buy on dip’,” Santosh Meena, head (research) at Swastika Investmart Ltd, said.

He added that markets will remain busy dealing with global macro numbers where US inflation numbers that are scheduled on November 10 will be the most critical one, whereas China will also announce its inflation numbers on the same day.

On the domestic front, IIP data will be released on November 12.

Stock-specific movement will be seen as the market is heading for the last batch of Q2 earnings where Muthoot Finance, Britannia and M&M are among the key numbers, he added.

“This week, participants will be closely eyeing macroeconomic data i.e. IIP and CPI inflation on November 12. Indications are in favour of further consolidation but the range could be broader this week,” Ajit Mishra, vice-president (research) of Religare Broking, said.

On the earnings front, some of the prominent companies like BHEL, IGL, M&M, ONGC and Tata Steel will announce their results along with several others, Mishra added.

Last week, the BSE benchmark gained 760.69 points or 1.28 per cent.

A special one-hour Muhurat trading session was held on Diwali (November 4) to mark the beginning of the traditional Hindu calendar year, called ‘Vikram Samvat’.

Markets were closed on Friday on the occasion of ‘Diwali Balipratipada’.

“The United States and China’s inflation figures will influence global markets. As long as inflation remains a concern, even D-Street investors will closely monitor domestic inflation rate,” said Yesha Shah, head (equity research) at Samco Securities.

A slew of significant economic data releases and the ongoing earnings season, the volatility experienced last week is expected to persist this week also, Shah added.



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M-cap of eight of top-10 most-valued companies jumps over Rs 1.18 lakh cr, BFSI News, ET BFSI

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New Delhi, Nov 7 (PTI) Eight of the top-10 most valued companies together added Rs 1,18,930.01 crore in market valuation last week, with Tata Consultancy Services and State Bank of India (SBI) emerging as the lead gainers. Last week, the BSE benchmark gained 760.69 points or 1.28 per cent.

A special one-hour Muhurat trading session was held on Diwali (November 4) to mark the beginning of the traditional Hindu calendar year, called ‘Vikram Samvat’.

Markets were closed on Friday on the occasion of ‘Diwali Balipratipada’.

Reliance Industries Ltd and ICICI Bank were the only laggards from the top-10 list.

The market valuation of Tata Consultancy Services zoomed Rs 40,782.04 crore to reach Rs 12,98,015.62 crore.

SBI added Rs 25,033.54 crore taking its valuation to Rs 4,73,406.02 crore.

The valuation of Infosys jumped Rs 17,158.49 crore to Rs 7,18,890.08 crore and that of HDFC gained Rs 10,153.08 crore to Rs 5,24,370.77 crore.

Bajaj Finance added Rs 7,502.68 crore taking its valuation to Rs 4,54,304.34 crore.

The market capitalisation (m-cap) of Hindustan Unilever Ltd jumped Rs 6,978.29 crore to Rs 5,69,458.69 crore and that of HDFC Bank rallied Rs 6,453.41 crore to Rs 8,82,981.83 crore.

Kotak Mahindra Bank‘s valuation went higher by Rs 4,868.48 crore to Rs 4,07,881.48 crore.

In contrast, the market capitalisation of Reliance Industries Ltd (RIL) declined Rs 24,612.17 crore to Rs 15,85,074.58 crore.

ICICI Bank’s valuation dipped Rs 13,680.32 crore to Rs 5,42,827.39 crore.

In the ranking of top-10 firms, RIL remained the most-valued company, followed by Tata Consultancy Services, HDFC Bank, Infosys, Hindustan Unilever Limited, ICICI Bank, HDFC, State Bank of India, Bajaj Finance and Kotak Mahindra Bank.



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World shares dip as China growth disappoints, oil extends rally, BFSI News, ET BFSI

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World shares dipped on Monday after data showed slower-than-expected growth in China’s economy last quarter and surging oil prices fed inflation concerns.

Calls by China’s President Xi Jinping on Friday to make progress on a long-awaited property tax to help reduce wealth gaps also soured the mood.

An MSCI gauge of global stocks eased 0.2% by 1207 GMT as losses in Asia and Europe erased part of the gains seen last week on a strong start to the earnings season.

U.S. stock futures were also lower with S&P 500 and Nasdaq e-minis both down 0.3%.

China’s gross domestic product grew 4.9% in the July-September quarter from a year earlier, its weakest pace since the third quarter of 2020.

The world’s second-largest economy is grappling with power shortages, supply bottlenecks, sporadic COVID-19 outbreaks and debt problems in its property sector.

Oil prices extended a recent rally amid a global energy shortage with U.S. crude touching a seven-year high and Brent a three-year peak.

Europe’s STOXX 600 equity benchmark index fell 0.7%, dragged by luxury stocks, which are heavily exposed to China, and some poor earning updates. [.EU]

Chinese blue chips fell 1.2% and the Shanghai Composite Index lost 0.1%.

“The Chinese economy grew slower in the third quarter, mainly because of policy challenges and high base effects from last year,” said Iris Pang, economist at Dutch bank ING.

“We expect these two factors will continue to be in play for the fourth quarter, which means the slow growth of the Chinese economy will continue,” she added.

Investors also continued to worry about global inflation, which was being driven by the reopening of many economies after COVID-19 restrictions and supply chain issues, and prospects central banks will tighten policy sooner rather than later.

Kevin Boscher, CIO of Ravenscroft, said given the current climate they held more cash than usual in their portfolios.

“We remain optimistic on the longer-term outlook, but expect this volatility and uncertainty to persist for the next few weeks as we await more clarity on the outlook for global growth, inflation, China, U.S. policy and the Fed,” he said.

“For now, it makes sense to stay reasonably defensively positioned but I expect markets to eventually ‘climb the wall of worry’,” he added.

On Monday, data showed New Zealand’s consumer price index rose 2.2% in the third quarter, its biggest rise in over a decade, causing the local dollar to jump as much as 0.5% before changing course.

Some other currencies are also responding to rising inflation expectations, as investors increasingly bet central banks will have to raise rates.

The dollar rose 0.1% against a basket of peers to 94.04, in sight of a one-year high hit last Monday, as traders position themselves for a looming tapering of the Federal Reserve’s massive bond buying programme.

Sterling fell 0.1% against a stronger dollar but touched a 20-month high versus the euro after Bank of England Governor Andrew Bailey sent a fresh signal over the weekend that the central bank is gearing up to raise interest rates as inflation risks mount.

The yen meanwhile traded near its lowest in nearly three years against the dollar, as the Japanese central bank looked increasingly likely to trail behind other monetary authorities in terms of rate hikes.

On debt markets, global repricing of interest rate expectations pushed euro zone bond yields back towards recent multi-month highs. Germany’s 10-year Bund yields, the benchmark for the region, was up 3 basis points at -0.139%.

High energy costs are driving some of the inflation fears and Brent crude was last up 1% at $85.7 per barrel and U.S. crude up 1.3% to $83.6.

Gold fell 0.3% at $1,761 an ounce, after falling 1.5% on Friday as upbeat retail sales drove U.S. bond yields higher.

Bitcoin fell 1.3% to $60,747. It gained last week on hopes that U.S. regulators would allow a cryptocurrency exchange-traded fund to trade.

(Reporting by Danilo Masoni and Alun John; editing by Jason Neely, William Maclean)



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Know how banks, financials performed this week, BFSI News, ET BFSI

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The Nifty50 index crossing the psychological mark of 18,000 on Monday and Sensex surpassing 61,000 for the first time ever on Thursday marks the most weekly gains since the week ended September 3, and continuation of the bull phase.

The rally is special as it was achieved despite a truncated week, tepid global clues, global energy crisis, inflation threats and muted FII participation.

The Nifty 50 Index closed the week at 18,339, with gains of 2.5% and formed a bullish candle on the weekly chart for the second consecutive week. According to experts, this positive momentum is likely to continue till 18,500 levels in coming sessions. Immediate support for Nifty 50 is seen at 18,200.

Festival demand outlook, Q2 earnings data backed by recovery in economic activity, healthy FPIs and exports data, weak jobs report from the US, inflation fears, global energy crisis, developments around Asian markets, strong vaccination numbers were key driving factors this week.

Monday Closing bell: Benchmark indices close at record highs, led by bank stocks

The Indian benchmark indices erased intraday gains after hitting fresh lifetime highs following weakness in global peers, but managed to close at fresh record levels on Monday, supported by banking and auto stocks.

Nifty50 and BSE Sensex had hit fresh record highs of 18,042 and 60,476, respectively. At close, the BSE Sensex was up 0.13% at 60,136, and the Nifty gained 0.28% to close at 17,946.

The Nifty Bank index hit a new lifetime high of 38,495 in intraday trade before closing 1.4% higher at 38,294 levels. Nifty Financial Services gained 1.39% to close at a fresh high of 18,527, and the Nifty PSU Bank index also gained 0.78%. State Bank of India, Kotak Bank, HDFC Bank, ICICI Bank, were among top index gainers.

Tuesday Closing bell: Another day of fresh record highs, PSU Bank index gains over 3%

Post a volatile session, BSE Sensex and Nifty 50 recorded closing highs on Tuesday. The 30-stock index Sensex gained 0.25% to end at 60,284, while the NSE Nifty 50 index settled just shy of 18,000, at 17,992.

In the broader market, the BSE Midcap index rose 0.54% to 26,700, while the BSE Smallcap index gained 0.46% to finish at 29,893.

Nifty PSU Bank was the top gainer, rising over 3%. The Nifty Bank Index gained 0.59% to close at 38,521, while the Nifty Financial Services index ended 0.33% higher at 18,589. SBI, Bajaj Finserv and Axis bank were among top Sensex gainers, while HDFC Life and ICICI Bank were top laggards.

Wednesday Closing bell : Benchmark indices up for third straight day, end at record highs

The domestic equity market sustained its upbeat mood, supported by a positive global market, and witnessed record breaking moves by the BSE Sensex and Nifty 50 for the fifth consecutive session on Wednesday. At close, the BSE Sensex jumped 0.75% to end at 60,737, and NSE Nifty 50 index settled at 18,161, up 0.94%.

Nifty PSU Bank continued its winning streak to close 0.80% higher at 2,670. The Nifty Bank index gained 0.30% to close at 38,635, while Nifty Financial Services ended the day at 18,652 up by 0.34%. HDFC Bank emerged as one of the top Sensex gainers while SBI Life, Axis Bank and SBI were among the losers.

Weekly Market wrap up: Know how banks, financials performed this week

Thursday Closing bell: Sensex surpasses 61,000 for the first time, Nifty closes above 18,300; banks, financials outperform

Benchmark indices extended the record rally in the sixth consecutive session, with Sensex and Nifty ending at fresh record closing high. At close, the Sensex surpassed the psychological level of 61,000 for the first time ever to close 0.94% higher at 61,305, and the Nifty surpassed 18,300 to close higher at 18,338 gaining 0.97%. BSE Midcap and Smallcap added 0.5% each.

The Nifty Bank index outperformed and closed 1.83% higher at 39,340, while Nifty Financial Services closed at 18,949 up by 1.58%. PSU Bank also finished higher at 2,716 gaining 1.74%.

Index heavyweights such as HDFC Bank rose the highest, up 2.9%, followed by ICICI Bank, HDFC, and State Bank of India, among others, contributed the most to the indices’ gain.

Key Takeaways

India may log close to double-digit growth this year, says FM Nirmala Sitharaman

Weekly Market wrap up: Know how banks, financials performed this week

India is looking at close to near double-digit growth this year and the country will be one of the fastest-growing economies, Finance Minister Nirmala Sitharaman has said.

The minister also emphasised that she expects the economic growth next year to be in the range of 7.5-8.5 per cent, which will be sustained for the next decade.

“As regards the growth of India, we are looking at near to double-digit growth this year and this would be the highest in the world. And for the next year, on the basis of this year, (the) growth would definitely be somewhere in the range of eight (per cent),” Sitharaman said here on Tuesday during a conversation at Harvard Kennedy School.

Four Indian banks rise in Asian rankings on stock market boom

Four Indian banks have featured among the 20 largest banks in the Asia-Pacific region in terms of market capitalisation in the third quarter of 2021, according to S&P Global Market Intelligence.

HDFC Bank was ranked seventh with a market cap of $119 billion, a quarter on quarter increase of 6.7% while the next was ICICI Bank at 12th spot, with its market cap rising 11.2% quarter on quarter to $65.5 billion.

The State Bank of India rose two spots to 17th on the list as its market cap rose 8.1% to $54.5 billion. Kotak Mahindra Bank’s market capitalisation rose 17.5%, the highest on the list.

UCO Bank’s Atul Kumar Goel elected as IBA chairman: Sources

Atul Kumar Goel has been elected as the chairman for Indian Banks’ Association for 2021-22, sources said. Goel will be succeeding Rajkiran Rai G, who is also the managing director and chief executive officer of Union Bank of India.

Goel is currently heading UCO Bank as its MD & CEO. The government had extended his tenure for two years till November 1, 2023. His term was originally scheduled to end on November 1, 2021.

Last month, Banks Board Bureau recommended Goel for the managing director and chief executive officer position of Punjab National Bank, after interviewing 11 candidates.

Life insurance industry at risk of sharply rising rates: IMF

Weekly Market wrap up: Know how banks, financials performed this week
The life insurance industry is at risk if there is a sharp rise in bond yields, with an extreme situation potentially causing insurers to liquidate investments reaching $1 trillion in the United States and Europe, the International Monetary Fund warned on Tuesday.

Vulnerabilities have increased for life insurers, the IMF said in its Global Financial Stability Report, noting the industry is at the “center of fixed income markets” owning about 20% of global bonds and 30% of credit investments. Life insurers have long-dated liabilities and are a critical source of demand for bonds with long maturities, wrote the IMF’s Fabio Cortes and Deepali Gautam in the report.

NBFCs set to recover from Covid blues in Q2, post rise in loan demand, collections
Non-bank lenders and housing finance companies, which suffered during the first quarter of this fiscal, are likely to report a steady recovery in asset quality and demand for fresh loans along with improved payment collections in the September quarter.

“The first quarter of fiscal 2022 was impacted by the second Covid wave. Relative to 1QFY22, we expect disbursement volumes of 170-230% for most Affordable Housing/Vehicle Financiers. Impact on AUM growth is likely to be higher for short duration products like Vehicle loans as collections held up well in 2QFY22, Motilal Oswal Securities said in a note.

Banks set for a sharp earnings rise in Q2, may face asset quality jitters

Weekly Market wrap up: Know how banks, financials performed this week

Indian banks’ earnings are likely to pick up in the September quarter, led by a recovery in business growth, fee income and a gradual reduction in credit costs. ICICI Bank could deliver 16.6% year-on-year loan growth, while Axis Bank and Kotak Mahindra Bank could grow over 9% each. SBI may post decline in bad loans.

However, they may be tempered by higher provisioning in the retail and small and medium enterprises (SME) loan segments that have seen higher delinquencies.



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Know how banks, financials performed this week, BFSI News, ET BFSI

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Domestic benchmark indices Sensex and the Nifty snapped their 3-day winning run yesterday, of which state-owned banks were among the major losers. The market has been showing signs of correction, with investors resorting to profit booking after a stellar record-setting spree.

Among sectors, public sector banks lost the most, while private banks gained the most today.

On Friday, banking and financial services stocks were in focus after Finance Minister Nirmala Sitharaman announced the much-awaited bad bank.The Nifty Bank scaled the crucial 38,000-level mark for the first time ever, and a fresh lifetime high of 38,112.75.

The BSE Sensex has gained around 9% over the last month. Stock-specific moves, weak cues from Asian markets, inflation data, revival of economic activity in Europe, improving economic data and healthy pick up in India’s daily inoculations were considered key driving factors this week.

Monday Closing bell: Indices end flat on negative bias, Nifty Bank falls

Domestic equity indices ended in the red on Monday, with BSE Sensex down 0.2% at 58,177 points and Nifty 50 down 0.08% at 17,355. However, mid and smallcap stocks outperformed other sectors, with BSE Midcap index closing 0.32% higher and the smallcap index ending with a gain of 0.80%.

Nifty Bank and Nifty Financial Services closed 0.58% and 0.19% lower, respectively. ICICI Bank, HDFC Bank and SBI Life Insurance were top laggards among Sensex stocks, while Kotak Mahindra Bank, Bajaj Finserv, Chola Invest and Power Finance were top gainers.

Tuesday Closing bell: Indices end with mild gains, broader markets outperform

The BSE Sensex closed at a high of 58,247 points, up 69 points, and the Nifty 50 rose 25 points to end at 17,380, a record closing high for the benchmark. Broader markets outperformed the benchmarks as both mid and small-caps were up 1% each.

Bank Nifty opened higher and made an intraday high of 36840 but failed to sustain higher levels. It closed with a gain of 0.38%, and Nifty Financial Services closed at 18,103, down 0.13%.

Weekly Market Wrap Up: Know how banks, financials performed this week

Wednesday Closing bell : Sensex, Nifty end at record closing highs

Headline indices Sensex and Nifty 50 ended at record closing highs, with both indices up nearly 1% each. The Sensex closed at 58,723 points, up 0.82%, while Nifty closed the day at 17,519, up 0.80%. BSE Midcap and Smallcap indices closed 0.65% and 0.86% higher, respectively.

Nifty Bank closed 0.65% higher at 36,852, while Nifty Financial Services ended at 18,158, up 0.30%. SBI, IndusInd Bank and HDFC were among the top gainers, while Axis Bank and HDFC Bank were among the top laggards.

PSU bank index jumped 2.83% with J&K Bank, Bank of Baroda, IOB, Indian Bank gaining 2.7% each.

Thursday Closing bell: Market closes at record highs again; banks, financials outperform ahead of FM announcement

Domestic benchmark indices ended at record closing highs on Thursday. Banks and financials outperformed all the sectors, ahead of Financial Minister Nirmala Sitharaman’s bad bank announcement.

BSE Sensex jumped 418 points to end above 59,100 mark for the first time at 59,141, while the Nifty 50 index ended at 17,629.50, rising 0.63%. BSE Midcap and Smallcap indices also hit their fresh record highs intraday, and closed 0.48% and 0.08% higher, respectively.

Among sectors, the Nifty PSU Bank index jumped 5.43%, while the Nifty Private Bank index clocked a gain of 2.67% . The Nifty Bank index rose 2.22%, while Nifty Financial Services gained 1.09%. Induslnd Bank emerged as the top gainer jumping 7% followed by SBI, Kotak Mahindra Bank, ICICI Bank, Axis Bank and HDFC Bank.

Friday Closing Bell: Sensex and the Nifty snapped 3-day winning streak, PSU banks gain

Having scaled fresh highs in early deals, benchmark indices lost steam as investors were seen booking profits after the three-day winning streak. Losses were led by PSU banks, auto, pharma stocks. BSE Sensex ended 0.21% lower at 59,016, while the Nifty 50 index fell 0.25% to settle at 17,585. BSE Midcap index fell 1.14% and the BSE Smallcap index closed 1.06% lower.

Bank Nifty ended at 37,811, up 0.38%, while Nifty Financial Services rose 0.65% ending at 18,476. Nifty PSU Bank index fell more than 3%, with Bank of Baroda losing 4.37%, by IOB, UCO Bank and Bank of India.

Key Industry takeaways

Retail inflation softens to 4-month low in August at 5.3%

Weekly Market Wrap Up: Know how banks, financials performed this week
Retail inflation based on Consumer Price Index (Combined) eased to a four-month low of 5.3% in August due to moderation in food prices along with a high base effect, data released by the National Statistical Office (NSO) on 13 September showed.

The August inflation print is within the targeted range of 2±4 per cent of the Reserve Bank of India (RBI) though this is the seventh consecutive month of an inflation print higher than 5 per cent and 23rd consecutive month of it being above the RBI’s target of 4%.

SREI’s Rs 35,000-crore loan may be classified as NPA

Banks may classify Rs 35,000 crore loan given to SREI group as Non Performing Asset (NPA) by the end of this quarter after the National Company Law Tribunal (NCLT) set aside the previous order restraining banks from such classification.

According to analysts’ estimates, Indian Bank and Canara Bank have exposures of Rs 2,000 crore and Rs 1,200 crore, respectively, to Srei group, while ICICI Bank and Axis Bank have Rs 800 crore each.

Sebi proposes to tighten timeline for filing settlement applications

The Securities and Exchange Board of India on Tuesday proposed to tighten the timeline of settlement mechanism, whereby it suggested fixing the total timeframe for filing the application at 60 days after receipt of the notice to show cause.

The total timeframe for filing the application for settlement may be fixed at 60 days of the date of receipt of the show-cause notice or the supplementary notice, whichever is later, Sebi said in a consultation paper.

Finance Minister Sitharaman announces bad bank

Weekly Market Wrap Up: Know how banks, financials performed this week
Finance Minister Nirmala Sitharaman announced the much-awaited bad bank on Thursday, and said that the Union Cabinet approved on Wednesday the sovereign backing of up to Rs 30,600 crore for the securities receipts.

The planned National Asset Reconstruction Company Ltd (NARCL) will issue securities receipts to banks as it takes on non-performing assets from their books. These securities receipts will be valid for five years.

Mahindra Finance enters vehicle leasing and subscription business

Mahindra & Mahindra Financial Services Ltd announced on Thursday, its entry into vehicle leasing and subscription business, under the brand name ‘Quiklyz’.

Under this model, consumers can pay a monthly fee to access a vehicle of their choice across all car brands, at a lower price as against regular ownership.

IDFC Board approves initiating steps to divest mutual fund business:

Weekly Market Wrap Up: Know how banks, financials performed this week
The board of directors of IDFC Ltd and IDFC Financial Holding Co Ltd at their meetings held on Friday have considered and approved to initiate steps to divest its mutual fund business subject to requisite regulatory approvals, as applicable.

The boards have authorised respective strategy and investment committees to take necessary steps, including appointment of investment banker, for the same.



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Benchmark indices rebound after 2 days of consecutive losses; Financials outperform, BFSI News, ET BFSI

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The market opened on a positive note following the positive global markets on Friday. US GDP data and a decline in the unemployment claims boosted market sentiments. After falling for two consecutive days, Sensex and Nifty moved higher on Friday with Sensex ending above 49,000 while Nifty 50 zoomed to cross 14,500 today.

The Nifty Bank Index ended higher at 33,318 adding 0.94%. Amongst the top gainers were- HDFC Bank at Rs 1491 adding 1.91% followed by PNB at Rs 36 (1.41%), ICICI Bank at Rs 578 (1.22%), IDFC First Bank at Rs 57 (0.87%), SBI at Rs 357 (0.56%). Axis Bank at Rs 698 (0.52%). while all major indices ended on a positive note, Induslnd Bank and Bandhan bank ended red.

Nifty Financial Services ended higher at 15,717 adding over 1.57%. Amongst the biggest gainers were Bajaj Finserv at Rs 9,467 adding over 4.53% followed by Chola Invest. at Rs 554 (3.19%) HDFC at Rs 2,532 (2.51%), Bajaj Finance at Rs 5,183 (1.19%), Indiabulls Hsg at Rs 197 (1.20%).

Other key takeaways

SEBI’s new rules on startups, delisting, ESG and more
The SEBI has approved a raft of measures including more transparent and efficient delisting of shares, reporting of sustainability issues by companies and provisions to make it easier for startups to go public.

In its board meeting on March 25, the market regulator also mandated public disclosure of analyst calls, quick reporting of earnings, and expanded the requirement of setting up a Risk Management Committee to the top 1,000 listed companies by market capitalisation from the existing to 500 listed entities

Suryoday Small Finance Bank debuts at 4% discount to issue price
Suryoday Small Finance Bank share price started off the first day of trading at a 4.2 percent discount at Rs 292 on March 26 on the National Stock Exchange, amid weak market conditions and muted subscription to IPO.

The Rs 582.34 crore public issue was subscribed 2.37 times during March 17-19, the lowest subscription amongst IPOs closed in 2021. The stock opened at Rs 293 on the BSE, down by 3.93 percent compared to issue price of Rs 305.

Market on Thursday
It was the second successive day of losses for the Indian market on March 25 amid unsupportive global cues and selling across sectors on the F&O expiry day. At close, the Sensex was down 1.51%, at 48,440.12 and the Nifty was down 1.54%, at 14,324.90. Nifty PSU Bank, FMCG, auto, infra, IT and energy indices declined 2-3 percent. Broader markets mirrored the benchmarks, as BSE midcap and smallcap indices fell 1.8-2.2%.

Stocks rebound in late-day rally on Wall Street
US stocks rose in a late-day rally on Thursday as investors bought stocks likely to do well in the recovery and picked up beaten-down Apple and Tesla shares in anticipation that the US economy grows at its fastest pace in decades this year.

The Dow Jones Industrial Average rose 199.42 points, or 0.62%, to 32,619.48. The S&P 500 gained 20.38 points, or 0.52%, to 3,909.52 and the Nasdaq Composite added 15.79 points, or 0.12%, to 12,977.68.



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Benchmark indices end flat with Nifty and Sensex in red, financials underperformed, BFSI News, ET BFSI

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Benchmark indices ended flat with negative bias on March 22 after last hour buying erased all the intraday losses. At close, the Sensex was down 0.17% at 49,771.29, and the Nifty was down 0.05% at 14, 736.40.

IndusInd Bank, ICICI Bank and HDFC Bank were among major losers on the Nifty. Among sectors, Nifty IT, Metal, pharma and FMCG indices added 1% each, while Nifty Bank and PSU Bank index shed a % each. BSE Midcap and Smallcap indices rose 0.7-1%.

The Nifty Bank Index ended negative at 33,605 down by -1.63%. Amongst the top losers were- Induslnd Bank at Rs 968 down by -4.32% followed by ICICI Bank at Rs 573 ending below -2.25%, HDFC Bank at Rs 1,469 (-1.89%), Axis Bank at Rs 716 (-1.38%), SBI at Rs 367 (-1.12%), Kotak Mahindra Bank at Rs 1,882 (-0.63%).

Nifty Financial Services ended below 15,802 down by -1.15%. Amongst the biggest losers were Power Finance at Rs 121 down by -1.66% followed by Bajaj Finance at Rs 5,389(-1.12%), Indiabulls Hsg at Rs 213 (-0.93%), Bajaj Finserv at Rs 9,405 (-0.37%). While all the major indices traded in the red, Chola invest. and HDFC managed to end things on a positive note.

Other key takeaways

FPI inflows into equities at record high since FY13: RBI report
Foreign portfolio investors have pumped in a record USD 36 billion into equities so far this fiscal up to March 10, which is the highest since FY13, shows the latest data from the Reserve Bank. On the other hand, net foreign direct investment inflows jumped to USD 44 billion, till end January, up from USD 36.3 billion a year ago, driven by the massive inflows in November and December, with the last month of the year getting a record USD 6.3 billion.

Utkarsh SFB concludes private placement of Rs 240.47 crore
Utkarsh Small Finance Bank Ltd. has concluded private placement of Rs 240.47 crore to 6 Investors. Bank may undertake a pre-IPO placement of up to Rs 250 crores in consultation with the lead managers to the offer. Kotak Mahindra Capital Company Ltd. acted as financial advisor to the Bank for the concluded private placement round.

The lender’s initial offer comprises a fresh issue of up to ₹750 crore and an offer for sale by Utkarsh Coreinvest Ltd, aggregating up to ₹600 crore. ICICI Securities, IIFL Securities and Kotak Investment Banking will manage the share sale.

Global fund managers warn of stock market correction if yields surge to 2%
Bond yields have been inching higher in the last few weeks, rebounding strongly from 0.5% in the middle of last year. If yields continue to push higher and breach the 2% barrier, a 10% stock market correction could be in the offing, according to a survey of global fund managers conducted by Bank of America. Adding to this, the survey highlighted that fund managers believe that if yields touch 2.5%, bonds are likely to become more attractive than stocks.

Gold Updates
Gold prices traded steady with COMEX spot gold prices were trading near $1731 per ounce on Monday. Gold April future contract at MCX were trading over half a percent down at Rs. 44730 per 10 grams by noon.

Gold prices are expected to trade sideways to down for the day with COMEX spot gold support lying at $1710 and resistance at $1740. MCX Gold April support lies at Rs. 44500 and resistance lies at Rs. 44900.

Rupee Updates
Indian rupee ended higher by 14 paise at 72.37 per dollar, amid selling saw in the domestic equity market. It opened marginally higher at 72.48 per dollar against Friday’s close of 72.51 and traded in the range of 72.33-72.51.

The range between 72.30-72.70 is expected to continue, as the markets broadly are in a weak direction for the USDINR pair. In any scenario of serious lockdown there might be chances of USDINR appreciation but till then it’s an advantage bulls for rupee.



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Nifty and Sensex end flat amidst volatile trade; financials outperform, BFSI News, ET BFSI

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At close, the Sensex was up 12.78 points or 0.02% at 51,544.30, and the Nifty was down 10 points or 0.07% at 15,163.30. Nifty Bank index added 1% ending at 36,108 while BSE Bankex closed at 40,835 adding 0.99%.

Amongst the top Gainers were- ICICI Bank at Rs 647 adding 2.69 % followed by Bank of Baroda at Rs 78 (1.49%), Bandhan Bank at Rs 337 (1.46%), Axis Bank at Rs 750 (1.39%), SBI at Rs 393 (0.77%), HDFC Bank at Rs 1,581 (0.61%). Major Indices that traded in the red were RBL Bank at Rs 241 (-0.96%), IDFC First Bank at Rs 52 (-0.86%), Kotak Mahindra at Rs 1,951 (-0.51%).

Nifty Financial Services ended at 17,061 adding 0.92%. Amongst the biggest gainers were Indiabulls Hsg at Rs 236 (1.98%) followed by HDFC at Rs 2,791 (1.12%), Bajaj Finserv at Rs 10,278 (0.61%), Bajaj Finance at Rs 5,577 (0.19%). Other major indices that traded in Red were Power Finance at Rs 126 (-0.82%) and Cholamandalam at Rs 468 (-0.65%).

Other key takeaways

India Ratings on GDP growth:
India Ratings and Research estimates the gross domestic product (GDP) growth will bounce back to 10.4% YoY in FY22, primarily driven by the base effect. The estimate also shows that after recording negative growth during 9MFY21, GDP growth will finally turn positive at 0.3% YoY in Q4 FY21.

Although the recovery in FY22 on a YoY basis is expected to be V-shaped, the size of the GDP will barely surpass the level attained in FY20 and will be 10.6% lower than the trend value. The impact of COVID-19 pandemic and lockdown on the economy, although subsiding, will continue to delay the normalisation of economic activities

Gold Updates
International gold and silver prices ended lower on February 11 as the dollar halted its slide. Domestic gold and silver prices ended in the red, tracking weak overseas prices. Gold’s inability to trade back over $1,850, and for silver, the level is $28 has triggered profit-taking in both metals.

Technically, MCX April gold was unable to cross 48,000 and now has reached a support zone near 47,500. Below the level, a downside pressure can be seen up to 47,200-47,000. Resistance is at 47,700-47,950 levels.

MCX March silver holds resistance at 69,000, indicating a sideways to marginal downside momentum up to 68,050-66,200 levels. Resistance is at 69,000-70,500 levels.

Rupee Updates
Indian rupee ended 11 paise higher at 72.75 per dollar, amid volatile trade witnessed in the domestic equity market. It opened higher at 72.81 per dollar against previous close of 72.86 and traded in the range of 72.73-72.83.

S&P 500, Nasdaq Close at Records
The S&P 500 shook off earlier declines to narrowly eke out a record closing high. The Dow ended a tick below its recent record closing level. The Nasdaq advanced to a record high of its own as tech shares outperformed, gaining 0.4% by market close.

Major stock indexes opened modestly higher but gave up those gains by midday and traded lower for most of the afternoon. A flurry of buying activity helped the S&P 500 and Nasdaq bounce back from their lows in the final minutes of trading.

London stocks falls
London’s main stock indexes fell on Friday, as data showed the UK economy shrank by a record 9.9% last year due to nationwide shutdowns that were imposed to curb the spread of COVID-19.

Official figures released on Friday, showed gross domestic product (GDP) grew 1.0% between October and December, at the top end of the range of forecasts by economists in a Reuters poll.



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