The Indian market surged sharply in today’s trading session, propelled by favorable global and domestic indicators. These include the drop in the inflation rate in the United States to 3.2% in October, down from 3.7% in September. This has raised optimism that the US Federal Reserve might adopt a more measured approach to the rate hike.

Shares of Persistent Systems recorded a new all-time high of ₹6,396 apiece in today’s trade. This year, the stock achieved multiple milestones, including crossing the ₹5,000 mark in February and, in the subsequent seven months, surpassing the ₹6,000 mark. (Read More)

Software icon N R Narayana Murthy on Wednesday called for spending USD one billion a year to train school teachers by 10,000 retired highly accomplished teachers from the developed world and from India in STEM areas (Science, Technology, Engineering and Mathematics) This course alone is not sufficient, Murthy said. “We must show much respect and pay better salaries to our teachers and researchers. We must also provide better facilities to our researchers. We must honour them. They are role models for our youngsters. That is why we instituted the Infosys Prize in 2009. It is our small contribution to further the cause of research in India”. he added. (PTI)

Mobility solutions provider Jupiter Wagons Ltd plans to invest around ₹1,000 crore over the next 18 months to boost wagon manufacturing, operationalise recently acquired Stone India, and foray into commercial EVs making, managing director Vivek Lohia said.

In an interview with Mint, Lohia said that investment is also proposed for the company’s push on backward integration of its wagon business, where Jupiter will start making railway wheel sets apart from braking system and foundry operations that it has recently started. (Read More)

Domestic brokerage Nuvama Institutional Equities spoke with a few dealers and carried out channel checks with respect to the Paints & Adhesives sector. Following the interaction the brokerage anticipates strong double-digit volume growth in Q3, driven by the upcoming wedding season, a soft base, and favourable demand.

Due to a variable monsoon and a sluggish rural recovery, Q2FY24 was a little soft, said the brokerage in its report. (Read More)

Shut out of London following the invasion of Ukraine, Russian gold trading switched to Dubai. Now it’s shifting again, to the bullion hub of Hong Kong.

The city has long been a key conduit for bullion entering the Chinese mainland — the world’s biggest consumer market — but since April, Russian shipments surged. Hong Kong imported 68 tons of Russian gold this year, four times as much as the whole of 2022.

The shift to Hong Kong was driven by US sanctions on Russia’s top gold miners, as well as a crackdown by the United Arab Emirates on illicit activities in its bullion market, according to people familiar with the matter. The move east underlines the challenge faced by the West in curbing resource flows that fund the Kremlin’s war machine. (Bloomberg)

Avdhut Bagkar, Derivatives & Technical Analyst, StoxBox: FINIFTY is witnessing bullish bias despite Bank Nifty struggling to hold the slide witnessed post the opening bell. If Finnifty succeeds to hold momentum for 10 minutes over spot 19755, risky players may opt to go long in 19,700 CE keeping 110 as a stop loss, target 210 – 235 as target.

19700 PE and 19800 PE are exhibiting extreme writing, standing highest among the OI activity. Thus, if FINNIFTY thrives over 19755, this writing will further see acceleration. Especially, in 19800 PE which stands out-of-money.

Finance Minister Nirmala Sitharaman on Wednesday said India is expected to overtake Japan and Germany to emerge as the third largest economy in the world by 2027.

Addressing the Indo-Pacific Regional Dialogue here, Sitharaman said India’s economic growth is estimated to be just under 7 per cent during the year, the highest among major economies, despite global headwinds.

The Indian economy is therefore on the right track and is heading towards a bright future, she said.

Amidst supply-chain disruptions and economic turbulence due to contemporary conflicts that impact the Indo-Pacific, irrespective of whether they are occurring in relatively distant Ukraine or in relatively-proximate Israel or Yemen, and despite the palpable tensions prevalent in the South- and East China Sea, the Indian economy stands out as a bright spot, she said. (PTI)

European stocks rose on Wednesday as investors cheered slowing inflation across major economies, bolstering bets of an end to central bank policy tightening.

Just a day after a benign U.S. inflation report supported views that the Federal Reserve may be done raising rates, fresh data showed British inflation also cooled by more than expected in October.

The pan-European STOXX 600 gained 0.5% by 0810 GMT, while UK’s FTSE 100 rose 1%. Both the indexes hit their highest in around a month.

Miners led sectoral gains, with a 1% advance, tracking higher metal prices. (Reuters)

India’s exports rose by 6.21 per cent to USD 33.57 billion in October this year, as against USD 31.6 billion a year-ago, government data showed on Wednesday.

Imports also increased to USD 65.03 billion in the month under consideration, as against USD 57.91 billion recorded in October 2022.

The country’s trade deficit in October stood at USD 31.46 billion.

During the April-October period of this fiscal year, exports contracted by 7 per cent to USD 244.89 billion. (PTI)

Union Finance Minister Nirmala Sitharaman announced “promising prospects” of the India-Middle East-Europe Connectivity Corridor (IMEC), while addressing the Indo-Pacific Regional Dialogue 2023 on November 15 in New Delhi, ANI reported.

The IMEC initiative aims to revolutionise transportation efficiency, slash logistic expenses, bolster economic cohesion, drive job creation, and mitigate greenhouse gas emissions for all involved stakeholders. (Read More)

Four firms — Fedbank Financial Services, Indian Renewable Energy Development Agency, EPACK Durable and Suraj Estate Developers — have received capital markets regulator Sebi’s approval to raise funds through initial public offerings (IPO).

These companies, which filed preliminary IPO papers with Sebi between July and September, obtained the watchdog’s observation letters between October 30 and November 10, an update with the regulator showed on Monday.

In Sebi’s parlance, its observations mean its nod to float the IPO.

Going by the draft papers, the IPO of Fedbank Financial Services Ltd (Fedfina) consists of a fresh issue of equity shares aggregating up to ₹750 crore and an offer for sale (OFS) of 7.03 crore equity shares by promoter Federal Bank and existing shareholder True North Fund VI LLP.

Under the OFS, Federal Bank will offload 1.65 crore shares, and True North Fund VI LLP will divest 5.38 crore shares. (PTI)

Tata Technologies, which provides engineering and product development digital services, has said its initial public offering (IPO) will open for public subscription on November 22.

The company, a unit of Tata Motors, filed the RHP (red herring prospectus) on November 13, 2023 with the Registrar of Companies, Maharashtra, Tata Motors said in a regulatory filing on Monday.

The IPO would comprise up to 60,850,278 shares for cash entailing 15 per cent of paid-up equity share capital of Tata Technologies, it added. (PTI)

The proposed India-Middle East-Europe Connectivity Corridor (IMEC) will be a win-win situation for all stakeholders in bringing efficiency in transportation, reducing logistic costs, increasing economic unity, generating employment, and lowering Greenhouse Gas emissions, Union Finance Minister Nirmala Sitharaman said on Wednesday.

The proposed IMEC project was signed at the 18th G20 Summit held in New Delhi on September 9-10 this, marking the culmination of India’s G20 Presidency.

“It is a multimodal economic corridor that incorporates multiple networks of shipping, railways, and roadways and will also include electricity cables, high-speed data cables, and a hydrogen pipeline,” Sitharaman said, addressing the Indo-Pacific Regional Dialogue 2023 here in the national capital. (ANI)

Siemens AG on November 15 said it is planning to purchase an 18 percent stake in the Indian joint venture, Siemens Limited, from Siemens Energy, Reuters reported.

The proposed acquisition is valued at 2.1 billion euros ($2.28 billion) and represents a discount of 15 percent based on the average price, it added. (Read More)

Shrey Jain, Founder and CEO SAS Online – India’s Deep Discount Broker: The Indian stock market witnesses a substantial gap-up opening, with a one percent surge on Wednesday fueled by positive global news. Virtually all sectors maintain positive momentum, with IT and Banking leading the way. The upswing in IT stocks is attributed to the recent easing of inflation concerns in the United States.

In the derivative market, the Nifty exhibits noteworthy Open Interest (OI) of approximately 1 crore shares at the 19500 Call strike, while the 19400 put strike holds substantial OI of approximately 78 lakhs shares.

Today, Nifty opens above its Call base at 19500 levels. From a technical standpoint, the 19700 level remains a significant resistance for Nifty, while support is observed in the range of 19450-19400. For Bank Nifty, the overall trend is likely to stay positive, with a substantial resistance zone identified at 44300-44500 and support at 43500 on the downside.

Brokerage house Morgan Stanley has said that it expects heightened volatility in India’s stock market after poll results are declared in December for five states, “especially if the BJP loses a majority of those states”. Volatility, the report suggests, could shoot up again after that if “in the 2024 general elections the opposition alliance, called I.N.D.I.A., succeeds in polarizing voters, thus reducing the predictability of the outcome in May next year”.

Yet, the first term of the UPA government saw unprecedented GDP growth of more than 9% year after year, with stock market returns recovering smartly, proving the initial fears of investors to be a momentary overreaction. (Read More)

The undistributed funds totaling over ₹25,000 crore lying with the capital markets regulator Sebi’s account have come back into focus after the demise of Sahara Group’s chief Subrata Roy.

Roy passed away in Mumbai on Tuesday night at the age of 75 after battling a prolonged illness.

He faced multiple regulatory and legal battles in connection with his group firms that were accused of circumventing regulations with Ponzi schemes, allegations his group always denied. (Read More)

Patel Integrated Logistics Limited, a logistics service providers in India, announced its unaudited financial results for the quarter and half-year ended 30th September 2023.

Key Financial Highlights:

 Q2FY24 Income from Operations witnessed a 9.9 % QoQ (Q1FY24) growth to Rs. 78.90 Cr

 Q2FY24 Net Profit stood at Rs. 1.34 Cr as compared to Rs. 1.03 Cr in Q1FY24, a rise of 30% QoQ

Key Operational Highlights:

 Total Volume increased by 7.01% QoQ to 13874 tones

 Launch of FreightPILL Mobile App- an Enterprise Information System Software that enables users to capture operational information in various practical circumstances

Indian government bond yields declined in the early session on Wednesday, with the benchmark bond yield falling to nearly a six-week low, tracking a plunge in U.S. peers, amid rising bets the Federal Reserve may not hike rates further.

The 10-year benchmark bond yield was at 7.2313% as of 10:00 a.m. after ending the previous session at 7.2828%. Earlier in the day, the yield fell to 7.2262%, the lowest since Oct. 6. Indian markets were shut on Tuesday.

“Bond yields have adjusted to the fall in U.S. yields and the benchmark may now trade in a narrow range for the day, with further directional move in treasuries becoming the key trigger,” a trader with a state-run bank said. (Reuters)

DS Luxury, a subsidiary of DS Group, plans to invest up to ₹200 crore in the coming years to introduce more luxury brands to the Indian market.

Currently, the company runs menswear brands such as Berluti, Tom Ford, Brioni and Brunello Cucinelli in luxury malls across the capital.

Ritesh Kumar, the company’s promoter, in an interview, told Mint that India’s luxury market is entering a crucial phase and is expected to witness rapid growth in the next decade. (Read More)

SRF and Aarti Industries have experienced a notable 11-18% increase in their share prices since reaching their lows in October. The outlook for these specialty chemical manufacturers is improving, and there is an expectation that their earnings may have bottomed out.

The first half of FY24 saw concerns for specialty chemical manufacturers due to weak demand from developed markets. Additionally, the global destocking cycle in chemicals further impacted the earnings of these companies. (Read More)

Manappuram Finance, a non-banking financial company (NBFC), witnessed a sharp rally in its shares during Wednesday’s trading session, driven by positive investor sentiment following the company’s Q2FY24 performance announcement. The company reported a substantial 37% year-on-year (YoY) increase in its consolidated net profit, reaching ₹560.65 crore. In the same quarter of the previous year, the net profit stood at ₹409.5 crore.

On a sequential basis, the net profit demonstrated a 12.6% increase compared to ₹498.02 crore reported in the quarter ending June 2023. Additionally, the company reported a 25% improvement in net interest income, totaling ₹1,468 crore, compared to ₹1,168 crore reported in Q2 FY23. (Read More)

India is contemplating a significant hike in the threshold for arrests and criminal prosecutions in cases of Goods and Services Tax (GST) evasion, as per a report by The Economic Times. The proposal aims to elevate the threshold to ₹3 crore from the existing ₹2 crore, as part of an initiative to decriminalise certain aspects of tax evasion, reducing undue pressure on businesses and fostering a more favourable environment for conducting operations, it added.

The Central Board of Indirect Taxes and Customs (CBIC), the apex body governing indirect taxes under the central government, is actively considering amendments to streamline the process of issuing summonses, as per the report. Sources told the paper the contemplation revolves around making summons more restrictive and permitting their issuance only under specific conditions. (Read More)

Sumit Kumar of JM Financial views on Lemon Tree Hotels | In-line performance; growth story intact

BUY INR 125 

Lemon Tree Hotels (LTH) reported a slight miss on margins (down 80bps YoY; adjusted for renovation expenses, and pre-operative expenses for Aurika MIAL) in 2QFY24. Occupancies recorded a strong uptick (+542bps YoY) and portfolio ARR grew 7% YoY, resulting in a robust RevPAR growth of 16%. On 5th Oct’23, LTH commissioned operations at its flagship Aurika, MIAL hotel (669 keys). LTH remains well poised to deliver superior earnings growth led by Aurika (MIAL), rapid scale up of the O&M (fee) business and ARR growth on the back of continued strength in hotel room demand. We expect LTH to deliver a Revenue/EBITDA/PAT CAGR of 20%/20%/33% over FY23A-26E and ROE to improve from 14% in FY23 to 20% by FY26E. We maintain our estimates for FY24E/FY25E, and roll forward to a Mar’25 TP of INR 125.

ASK Automotive’s IPO listing demonstrated a positive start, with the share price opening at a premium on both the NSE and BSE. On the NSE, the share price was listed at ₹303.30 per share, reflecting a 7.55% increase from the issue price of ₹282. On the BSE, ASK Automotive shares were listed at ₹304.90.

The IPO price band was set between ₹268 to ₹282 per equity share with a face value of ₹2. The lot size for ASK Automotive IPO was 53 equity shares, and investors could subscribe in multiples of 53 equity shares. The subscription period for the ASK IPO began on November 7 and concluded on November 9. The positive listing at a premium suggests favorable market reception and investor confidence in ASK Automotive. (Read More)

Yes Bank’s share price continued its positive momentum for the second consecutive day. Today, it opened with an upside gap at ₹19.65 per share on the NSE. Within a few minutes of the opening bell, the shares reached an intraday high of ₹20.60 per share, marking a remarkable rise of over 12% in just two days.

On the previous trading day (Friday), Yes Bank’s share price closed at ₹18.30 apiece on the NSE. However, on Monday, the stock opened flat but experienced a significant upward movement in the second half of the trading session, ultimately closing nearly 6% higher than its previous closing price of ₹18.30 per share. This sustained positive movement suggests increased investor confidence and interest in Yes Bank shares. (Read More)

The Indian rupee opened 27 paise higher against the US dollar on Wednesday amid sharp drop in American currency and Treasury yields. The local unit opened at 83.06 a dollar as compared to its previous close of 83.33.

The dollar index, a measure of the US currency against six peers, rose 0.02% to 104.08, after dropping below 104 level in the previous session. The 10-year US benchmark yield was little changed at 4.45% on Wednesday after falling to a low of 4.41%. (Read More)

Dr V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services: The October US inflation data is a game changer for the stock market. The 3.2% October inflation print is lower than expected. More importantly, the mere 0.2% MoM increase in core inflation is hugely positive. The takeaway from these numbers is that the Fed is done with rate hikes and the timeline for rate cuts in 2024 is likely to be advanced. The sharp recovery in US markets will be reflected in India, too. Short covering can add to the rally. FIIs are likely to turn buyers, lest they miss out on the rally in the best performing large economy in the world. Leading financials which were weighed down by FII selling will bounce back.

Decline in CPI inflation in India is also a favourable factor. Across sectors, a rally is likely. Financials, automobiles, real estate ,cement and platform digital companies will attract investment from DIIs, HNIs and retail investors. The tug of war between FIIs and DIIs is clearly in favour of DIIs.”

Natco Pharma’s share price surged over 9% following robust financial results and a dividend announcement. The shares opened at ₹869.95 apiece on the BSE, marking a 9.59% increase. In the second quarter of FY24, the company reported a significant jump in net profit, reaching ₹369 crore, reflecting a remarkable growth of 550% compared to ₹56.8 crore in the same quarter last year. This performance likely contributed to the positive market response and the increase in share value. (Read More)

Deven Mehata, Research Analyst, Choice Broking: With the Easing Inflation in US as well as in INDIA, the benchmark Sensex and Nifty indices are likely to open higher on November 15 as trends in the GIFT Nifty indicate a positive start for the broader index with a gain of 250 points.

After a gap up opening, according to the charts Nifty may be taking support at 19500, followed by 19,450 and 19,420. On the higher side, 19,600 can be an immediate resistance, followed by 19,650 and 19,700.

On the weekly expiry, the charts of Bank Nifty indicate that it may get support at 44,000, followed by 43,950 and 43,900. If the index advances, 44,250 would be the initial key resistance level to watch out for, followed by 44,400 and 44,500.

Foreign institutional investors sold shares worth ₹1,244.44 crore, while domestic institutional investors bought ₹830.40 crore worth of stocks on November 13, provisional data from the National Stock Exchange showed.

With the inflation coming down in INDIA as well as in the US, the market is ready for further up-move. Traders and investors should hold their long positions with trailing stop loss and Fresh entry can be made on the long side on dips.

Italy’s Enel Group is looking to sell its entire renewable energy business in India and has hired HSBC for the transaction, two people aware of the development said. The proposed deal may have an equity value of around $300 million, the people said.

The portfolio of Enel Green Power India comprises 760 megawatts (MW) of operational wind and solar power assets and a development pipeline of 2 gigawatts (GW). It also has power purchase agreements totalling 190MW. Of the operational capacity, solar power projects comprise 420MW, with the balance 340MW coming from wind power projects. (Read More)

Japan’s economy shrank 2.1% in July-September from the previous quarter on an annualised basis, government data showed on Wednesday, worse than market estimates and falling for the first time in three quarters.

The gross domestic product (GDP) figure compared with the median forecast for a 0.6% decline and translated into a quarterly fall of 0.5%.

Private consumption, which makes up more than half of the economy, was flat quarter-on-quarter, the data showed. (Reuters)

Chinese equities are set to outperform Indian peers next year as their battered valuations suggest significant upside potential once sentiment turns, according to UBS Group AG.

Stocks in China have currently priced in “lots of negatives,” making them poised for a sharp rebound when catalysts arrive, said Sunil Tirumalai, UBS’ global emerging market strategist. Meanwhile, earnings-based valuations for Indian shares are already at “fairly extreme levels.”

Additional stimulus measures from Beijing and improving geopolitical relations can provide “positive sustained market reaction” for China, he said in an interview last week. “So probabilistically speaking, I think the chances of China outperforming India are high.” (Bloomberg)

• MSCI Inclusions: Watch for potential inclusions like IndusInd Bank, Suzlon Energy, Persistent Systems, and One97 Communications in the MSCI Standard Index.
• ASK Automotive IPO: ASK Automotive to be listed today; expected listing price between ₹300 and ₹310.
• Grasim Industries: Q2 consolidated net profit up 15.31% YoY to ₹1,163.75 crore.
• Adani Ports: Reports highest-ever half-yearly revenue of ₹12,894 crore in Q2.
• HCLTech: Sonia Eland appointed EVP and country manager for Australia and New Zealand.
• Federal Bank: SEBI approval for Fedbank Financial Services to raise funds through IPO.
• Tata Steel: Netherlands unit to cut 800 jobs at IJmuiden plant to improve market conditions.
• Manappuram Finance: Q2 consolidated net profit of ₹560.65 crore, up 37% YoY.
• Kalyan Jewellers: Q2 consolidated PAT grows 27.33% YoY to ₹134.87 crore.
• UPL: Collaborating with Brazil to convert degraded pastures for agricultural use, aiming to enhance food security. (Read More)

Pfizer Inc. is cutting 500 jobs at its Sandwich, Kent site in the UK as part of a cost-cutting effort, a report by Sky News said on Tuesday.

According to the report, the jobs will be cut as Pfizer is discontinuing its pharmaceutical sciences small molecule (PSSM) operations at Sandwich.

“Of the 500 job losses most are scientist roles though administrative roles are also being lost as the PSSM unit makes medicine for clinical trials and helps scale up production of new drugs,” the Sky News report said. (Read More)

Oil steadied after a short-lived relief rally as the market digested differing views on the supply and demand outlooks, while an industry report pointed to an expansion in US stockpiles.

West Texas Intermediate traded near $78 a barrel, while global benchmark Brent was above $82. The International Energy Agency said global oil markets won’t be as tight as expected this quarter, with production growth in the US and Brazil beating forecasts. That came after an assessment from OPEC that highlighted robust growth trends and healthy fundamentals.

Oil fell sharply since mid-October as the Israel-Hamas war risk premium evaporated and doubts set in about the demand outlook, before rising in the three days through Monday. It’s lacked direction since then, with longer-term worries over the health of the global economy balanced by shorter-term indicators that still show the market is in deficit. (Bloomberg)

Vaishali Parekh, Vice President — Technical Research at Prabhudas Lilladher recommends these stocks for day trading:

1] CIE Automotive India: Buy at ₹485.20, target ₹525, stop loss ₹470;

2] HBL Power: Buy at ₹324.85, target ₹350, stop loss ₹315; and

3] BEL: Buy at ₹143.40, target ₹155, stop loss ₹137. (Read More)

Mohit Burman, Member, Burman Family and Chairman, Dabur India, is unfazed by the Religare Enterprises Ltd board’s resistance to his family’s open offer, after initially welcoming it. He says that acquiring Religare will add a crucial piece to the Burman family’s growing bouquet of financial products and that the company needs a promoter to re-enter the lending business.

In a lengthy interview conducted over two days, Burman stopped short of commending Religare chairperson Rashmi Saluja for the company’s recovery while giving “full marks” to the management team for the turnaround. Burman also said his group contributed to the recovery. “Hopefully, all shareholders will support our offer,” Burman said. (Read More)

The initial public offering (IPO) of ASK Automotive Limited is scheduled to be listed today, on November 15, 2023. This information is confirmed by the official website of the Bombay Stock Exchange (BSE). The BSE notice indicates that the listing of ASK Automotive IPO will occur during a special pre-open session within Wednesday’s trading activities.

Speaking on ASK Automotive IPO listing, Avinash Gorakshkar, Head of Research at Profitmart Securities said, “Fundamentals of ASK Automotive Limited is attractive but its valuations are slightly higher. Apart from this, the issue is 100 per cent OFS, which may limit the listing premium for allottees. But, the company is in auto segment and the segment is expected to continue doing well in medium to short term. So, one can expect 8-10 per cent listing gain from the public offer.” (Read More)

IndusInd Bank, One 97 Communications, Tata Motors DVR and Suzlon Energy shares are among nine stocks that have been included in the MSCI Global Standard Index.

As per the latest announcement by the global index provider, the other stocks included in MSCI India Index are APL Apollo Tubes, Macrotech Developers, Persistent Systems, Polycab India and Tata Communications.

Meanwhile, MSCI has not deleted any stocks from the India index. (Read More)

Relief washed over Wall Street Tuesday, and stocks leaped to one of their best days of the year following a surprisingly encouraging report on inflation.

The S&P 500 jumped 1.9% for its best day since April and hit a two-month high. The Dow Jones Industrial Average rallied 489 points, or 1.4%, while the Nasdaq composite charged 2.4% higher.

The highly anticipated report showed not only that overall inflation slowed last month, but so did a key underlying figure that economists see as a better indicator of future trends. The slowdown bolstered bets on Wall Street that inflation is cooling enough for the Federal Reserve to finally be done with its market-crunching hikes to interest rates.

Such hopes lifted all kinds of investments, and more than 90% of the stocks in the S&P 500 climbed in a widespread rally.

Technology and other high-growth stocks tend to get some of the biggest boosts from easier rates, and a 2.3% rise for Amazon and 2.1% lift for Nvidia were two of the strongest forces pushing the S&P 500 upward. (AP)