Category: 上海后花园论坛

India second-best performing major market this year

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Indian equities have continued to extend their lead over most other major markets and are now the second-best performing market this year after Brazil.

India has returned -10% in dollar terms year-to-date (YTD), far behind Brazil, which has gained 8%. But it’s way ahead of most other major markets like US, Japan, China, Taiwan, France, Germany and South Korea, which have returned -25% or lower.

Nifty 12-month forward P/E, at 18.8x, is at a 2% premium to its long period average of 18.5x. At 2.9x, the 12-month forward P/B stood at a premium of 11% to the Nifty’s historical average of 2.7x.

“India’s valuation premium to its Asian peers remain near all-time high. Amid slowing global demand, lofty market valuations, a slowdown in retail flows and lack of positive catalyst for our earnings estimates, we remain cautious on the overall market returns in the near term,” said Kunal Vora, head of India equity research at BNP Paribas in a recent note.

FPIs withdrew $1.6 billion in September after clocking the highest inflows since December 2020 in the previous month. Outflows stood at $22.6 billion YTD. Domestic institutional investors have turned net buyers at $1.7 billion in September after recording outflows in August. Inflows stood at $28.9 billion YTD.

Also Read: Global bond funds see biggest outflows in two decades

A high current account deficit along with potential FPI outflows, are likely to keep the depreciating bias on the rupee and strain India’s forex reserves. On the positive side, India’s inflation is lower than in developed economies due to the composition of the CPI index. Raw material costs have cooled, which should ease the trade deficit, and another normal monsoon should keep food inflation in check, with GST collections remaining robust at a three-year CAGR of 13%, BNP Paribas said.

“Recessionary fears present a weaker backdrop for global risk assets, and the global outlook remains abnormally uncertain,” added Vora.

US equities, however, surged on Monday and Tuesday on hopes that weakening US manufacturing and jobs data would lead to a change in global central bank policy. Britain’s decision to let go of its controversial plan to cut taxes for the highest earners just 10 days after announcing it has also boosted investor confidence.

Sean Darby, chief global equity strategist at Jefferies, believes that Asian and EM market equities have done well in the backdrop of the Fed tightening, surge in dollar index as well as the ongoing geopolitical tensions between Russia and Ukraine. India’s probably going to do very, very well in the next 12-18 months given that it has managed inflation well and it is not as heavily influenced by the US policy and by China’s growth, he said.

Local or domestic-oriented themes are likely to perform better in the near term, said experts. Banks, automobiles, hospitals, discretionary consumption and domestic industrial themes look attractive in the near term over export and commodity sector themes.

Nifty Bank has outperformed Nifty IT by 40% YTD and substantially bridged the gap of last three years, according to brokerage Motilal Oswal. The weightage of the technology sector fell 530 basis points YTD to 13.8%, while weightage of the consumer sector rose 180 bps to 11.2%. The weightage of private banks grew 140 bps YTD to 23.3%.

“India equities so far have remained insulated from the higher inflation and slower growth worries, and have materially outperformed global peers. However, with interest rates rising globally and the global growth environment incrementally becoming more challenging, equity valuations could come under pressure,” said Jitendra Gohil, head of India equity research, Credit Suisse Wealth Management, India, in a recent note.

“While we continue to believe India remains in a sweet spot and could likely continue to command a valuation premium versus peers due to superior fundamentals, some caution and risk management are warranted,” added Gohil.

Creativity at a crossroads

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A week ago, multinational advertising and communications network WPP made the stunning announcement that it would merge Wunderman Thompson and VMLY&R to create a new agency, VML. The move is expected to make the newly formed VML the largest creative agency in the world with an estimated 30,000 employees across 64 markets. Both agencies interestingly were also the outcome of WPP mergers in 2018 – J. Walter Thompson and Wunderman were merged to form Wunderman Thompson, while VML and Y&R merged to become VMLY&R.

Industry veterans reacted with shock at WPP’s decision to terminate the legacy Wunderman Thompson brand that has played an influential role in shaping the industry’s growth since it entered the Indian market 94 years ago under the name Hindustan Thompson Associates.

Sandeep Goyal, CMD at Rediffusion, points out that WPP’s latest move reflects certain clear realities about the industry: “Creative agencies at current remuneration levels are unsustainable. So either clients have to pay more to receive quality services or global agencies will die. Local agencies may be better equipped with lesser hierarchy and overheads for the future. But the global agency is dying.”

Declining value of creativity

While many have fond memories of the agency, observers also claim that Wunderman Thompson’s retirement is also one of the first big signs of the demise of traditional creativity. It all started during the 1990s, when advertising agencies began what is often referred to as ‘unbundling’. While the erstwhile agency format offered brands services like media buying, creative execution, strategy and research all under one roof, the industry gradually started to see each of these functions turn into strategic business units and ultimately independent agencies. That’s when the triumvirate of media, creative and research agencies emerged.

Erstwhile JWT hand Dias says that post the unbundling, creative agencies have never been able to price their offerings independently and that was when the advertising networks started to view them as “cost centres”. It was only a matter of time before the consolidation process began. Over the last decade or so, he adds that the value of reaching people through the right media has become more important than getting the creative right. He notes, “That is why you hear people talk about the poor quality of ads today. Poor-quality ads that reach more people are preferred by brands over good-quality ads that reach fewer people. The next generation of creative talent will be people who know how to reach more people with average creative work, quickly.”

It’s not just WPP. Just about a week ago, Omnicom announced the formation of Omnicom Advertising Services in India, bringing three creative agencies together – DDB, BBDO and TBWA. Omnicom’s strategy is perhaps better than WPP’s move, say some experts, since it eliminates the challenges that come with mergers and allows individual agencies to retain their unique identity while also permitting greater collaboration across functions.

Some others have gone down the same road. Just over a year ago, Dentsu International merged its agencies such as DentsuMB, 360i and Isobar to launch a new global creative network, Dentsu Creative. Publicis too brought most of its agencies under one roof.

Like Dias, Nisha Sampath, managing partner, Bright Angles, laments the lack of value attached to creativity today. “Unfortunately, global networks are driven by profitability and not so much by creativity. The grim reality is that the people who are joining the business today are less passionate about creativity than those over a decade ago. Ogilvy and DDB Mudra are some of the agencies that still demonstrate that passion. Wunderman Thompson was the other,” remarks Sampath.

The fact that advertising revenues this year have fallen across the US, UK and Europe has also put global networks under pressure. However, while mergers look great on paper and promise better cost efficiencies, they are not easy to execute. One of the biggest challenges is culture. That apart, such drastic steps can make people insecure and inevitably, top-tier talent will be the first to exit, impacting morale. Considering this is the second merger for Wunderman Thompson and VMLY&R since 2018, it’s natural for employees to be worried.

Some are plain emotional. Tarun Rai, former group CEO, South Asia at JWT, says, “I have seen quite a few avatars of Thompson. It’s sad to hear that the brand won’t complete its century in India.”

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Rupee likely to remain steady amid strong dollar, risk aversion in markets; USDINR pair to trade sideways

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The Indian rupee is expected to remain sideways on Friday amid falling crude prices, risk aversion in global equity markets and strong dollar. The USDINR pairpair is having resistance at 79.90 and 80.15, while the support has been shifted to 79.40 from 79.05, according to analysts. In the previous session, rupee declined due to strong demand for the U.S. dollar from oil companies, while markets braced for a big rate hike from the U.S. Federal Reserve next week. Firm American currency and a negative trend in domestic equities wieghed on the currency. At the interbank foreign exchange market, the local unit opened at 79.53 per dollar, and settled at 79.73, down 21 paise over its previous close.

Also Read: Petrol, Diesel Price Today, 16 Sep 2022: Fuel cost static; check rates in Delhi, Noida, Mumbai, other cities

“Rupee on Thursday consolidated in a narrow a range and volatility remained low even after inflation number from the US and the UK came above estimates. The dollar was slightly higher following data showing U.S. retail sales unexpectedly rebounded in August. But gains for the dollar was restricted as data for July was revised downward to show retail sales declining instead of flat as previously reported. The greenback has been supported by the view that the Fed will keep tightening policy aggressively.”

“Yen was under pressure after a record Japanese trade deficit for August. The yen’s fall by nearly 20% over the past six months added to higher import costs, aggravating already high costs of energy and raw materials. The market remains choppy knowing that there’s a Fed meeting next week. Even though market participants agree that there could be a 75 basis points rate hike, it’s what the statement adds to previous commentary and what Chairman Powell says in his press conference. We expect the USDINR(Spot) to trade sideways and quote in the range of 79.40 and 80.05.”

Dilip Parmar, Research Analyst, HDFC Securities

“The Indian Rupee could fall lower following a weak handover from overseas. Overnight, we have seen risk-averse moods after mix bag of US economic data that backed the view of hawkish monetary policy. US Swaps traders are currently pricing in a 75 basis-point hike when the Fed meets next week. The weakness in the Chinese yuan which crosses the 7 could also weigh on other regional currencies.”

“Asian stocks headed for the fifth week of declines following more weakness in US equities and a surge in short-end Treasury yields that reflects expectations for outsized Federal Reserve interest rate hikes. On Thursday, spot USDINR gained 26 paise to 0.33% to 79.79 and heads for the first weekly gain after two weeks of fall. The technical set-up turned bullish after the past two days of price action. The pair is having resistance at 79.90 and 80.15 while the support has been shifted to 79.40 from 79.05.”

Also Read: Share Market LIVE: Nifty, Sensex likely to open in red amid weak global cues; last day of Harsha Engineers IPO

Amit Pabari, MD, CR Forex Advisors

“Inflation in US and its strong consumer and labor markets are backing the Fed’s aggressive rate hike decision in the upcoming policy meet on 21st September. Markets have priced in fully the chance of an increase of 0.75 bps while the 30% see an increase of 1 full percentage rate hike as of today, all of which is supporting the strength in US dollar and shot US 10Y yields to a 52-week high yesterday. Here, the recent sharp appreciation in rupee near 79.00 levels has been quickly washed off for it to trade again back to near 79.80 levels.”

“It could be the influence of the strong dollar, weaker sentiments or weakening of the Chinese Yuan past 7.00 all negative factors weighing on rupee. The next move towards 79.95 and 80.10 is basically the RBI’s play as one needs to be cautious from the central bank intervention from the past two times. For now, the level of 80.10 remains a strong resistance for the USDINR pair, which haven’t been able to breach multiple times in the past though however posed the rest of the currencies are. Breaking of 80.10 could invite another upside move of 50 paisa to 1 rupee. On the flip side, 79.00 remains a strong support for the pair.”

(The recommendations in this story are by the respective research analysts and brokerage firms. FinancialExpress.com does not bear any responsibility for their investment advice. Capital markets investments are subject to rules and regulations. Please consult your investment advisor before investing.)

Gadarwara Madhya Pradesh Assembly Constituency Election 2023: Date of Result, Voting, Counting; Candidates

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Gadarwara MP Assembly Election 2023 Details: The election for Gadarwara Assembly Constituency in Madhya Pradesh will be held on November 17 this year. The final date of voting and result were known after the formal announcement by the Election Commission of India. Here are the important details of the Gadarwara Constituency Assembly Election 2023 that you should know.

Gadarwara Constituency Madhya Pradesh Assembly Election 2023: Voting Date

November 17 is the date of voting for the Gadarwara Assembly Constituency Election 2023 as announced by the Election Commission of India.

Gadarwara Constituency Madhya Pradesh Election 2023: Candidates List

Bharatiya Janta Party (BJP), Congress and other political parties in the state will announce their candidates for the Gadarwara Assembly Constituency Election 2023 after the announcement of voting dates by the Election Commission of India.

Why Gadarwara Constituency Assembly Election 2023 is Important

Gadarwara is a state Assembly/Vidhan Sabha constituency in the state of Madhya Pradesh and is part of the Gadarwara Lok Sabha/Parliamentary constituency. Gadarwara falls in the Gadarwara district of Madhya Pradesh and is categorised as an urban seat.

Gadarwara Constituency MP Election Result: What happened in 2018

Suneeta Patel of the Indian National Congress was the winning candidate from the Gadarwara constituency in the MP Assembly elections 2018, securing 79342 votes while 63979 votes were polled in favour of Gautam Singh Patel of the Bharatiya Janata Party. The margin of victory was 15363 votes.

2018 Gadarwara Assembly Constituency Election Result

Winning Candidate NameParty NameTotal VotesSuneeta PatelIndian National Congress79342

Candidate List Party Name Votes Gained (Vote %) Suneeta Patel Indian National Congress 79342 (50.75%) Gautam Singh Patel Bharatiya Janata Party 63979 (40.93%) None Of The Above None Of The Above 3759 (2.4%) Arya Ravi Parihar Independent 2224 (1.42%) Omshankar Singh Rajput Bhartiya Shakti Chetna Party 1708 (1.09%) Rewaram Paranchey Gondvana Gantantra Party 1634 (1.05%) Rajaram Baghel Bahujan Samaj Party 1141 (0.73%) Rakesh Chouksey Independent 813 (0.52%) Chhela Babu (tejram) Nirbal Indian Shoshit Hamara Aam Dal 523 (0.33%) Reena Lamaniya Aam Aadmi Party 493 (0.32%) Kapil Dubey Bablu Maharaj Shiv Sena 404 (0.26%) Rajesh Ahirwar Bahujan Sangharshh Dal 312 (0.2%)

Gadarwara Constituency MP Election Result: What happened in 2013

Govind Singh Patel of the Bharatiya Janata Party was the winning candidate from the Gadarwara constituency in the MP Assembly elections 2013, securing 61202 votes while 35889 votes were polled in favour of Suneeta Patel of the Independent. The margin of victory was 25313 votes.

2013 Gadarwara Assembly Constituency Election Result

Winning Candidate NameParty NameTotal VotesGovind Singh PatelBharatiya Janata Party61202

Candidate List Party Name Votes Gained (Vote %) Govind Singh Patel Bharatiya Janata Party 61202 (43.88%) Suneeta Patel Independent 35889 (25.73%) Sadhana Sthapak Indian National Congress 27789 (19.92%) None Of The Above None Of The Above 5460 (3.91%) Poonam Singh Bharve Gondvana Gantantra Party 4029 (2.89%) B S Parihar Bahujan Samaj Party 2108 (1.51%) Aary Ravi Parihar Independent 1620 (1.16%) Om Shanker Singh Rajput Urf Kattar Bhaiya Bhartiya Shakti Chetna Party 1382 (0.99%)

Gadarwara Constituency MP Election Result: What happened in 2008

Smt Sadhana Sthapak of the INC was the winning candidate from the Gadarwara constituency in the MP Assembly elections 2008, securing 35895 votes while 29792 votes were polled in favour of Govind Singh Patel of the BJP. The margin of victory was 6103 votes.

2008 Gadarwara Assembly Constituency Election Result

Winning Candidate NameParty NameTotal VotesSmt Sadhana SthapakINC35895

Candidate List Party Name Votes Gained (Vote %) Smt Sadhana Sthapak INC 35895 (32.71%) Govind Singh Patel BJP 29792 (27.15%) Sunita Patel IND 26756 (24.38%) Pandit Deen Dayal Dhimole BSP 6416 (5.85%) Poonam Singh Bharwe GGP 3326 (3.03%) Jagmohan Singh Mariya BJSH 1659 (1.51%) Thakur Gangaram Marshkole GMS 1203 (1.1%) Aram Bai Kourav Urf Kakki IND 1180 (1.08%) Pandit Vishwa Bhushan PRBP 1157 (1.05%) Mukesh Mehra SHS 709 (0.65%) Sudama Prasad Kourav RSMD 609 (0.55%) Nagin Kochar JD(U) 595 (0.54%) Mahendra Raikwar SP 447 (0.41%)

Wall Street tests June lows on recession worries

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Wall Street‘s main indexes fell on Friday as investors fretted over the prospect of an economic downturn and a hit to corporate earnings from the U.S. Federal Reserve’s aggressive policy tightening moves to quell inflation.

The Dow breached its mid-June lows on an intraday basis to touch 29,643.93 points and hit a near-two year low.

Both the S&P 500 and the Nasdaq are already in bear market and down more than 22% and 30%, respectively, so far this year, amid worries about a host of issues including the Ukraine conflict and tightening financial conditions across the globe.

The U.S. central bank raised rates by a widely expected 75 basis points on Wednesday and signaled a longer trajectory for policy rates, dashing hopes that the Fed expects to get inflation under control in the near term.

Also read: Sensex, Nifty erase all yearly gains; Nifty support at 17166, investors poorer by Rs 5 lakh crore

“The most recent Fed actions leave us with the feeling that the end of the rate rises is not near,” said Rick Meckler, a partner at Cherry Lane Investments in New Vernon, New Jersey.

“There is very little positive news right now and it could lead to a sort of a final selloff … it’s certainly possible that we could be approaching the near-term lows.”

Dire outlooks from a handful of companies – most recently FedEx Corp and Ford Motor Co – have also added to woes in a seasonally weak period for markets.

Goldman Sachs cut its year-end 2022 target for the benchmark S&P 500 index by about 16% to 3,600 points, a 2.5% decline from current levels.

At 10:08 a.m. ET, the Dow Jones Industrial Average was down 408.50 points, or 1.36%, at 29,668.18, the S&P 500 was down 65.07 points, or 1.73%, at 3,692.92, and the Nasdaq Composite was down 220.27 points, or 1.99%, at 10,846.54.

All the three indexes were set for sharp weekly losses.

Also read: Nifty turns negative for 2022, Sensex falls 1.5%, Bank Nifty tumbles 3%; what is dragging markets today?

Technology and growth stocks slid with megacap names including Alphabet Inc, Apple Inc, Amazon.com , Microsoft Corp and Tesla Inc all down more than 1%.

All the 11 major S&P sectors declined in early trading, led by a 5.6% drop in energy shares. Banks fell 1.6%.

Costco Wholesale Corp shed 2.4% after the big-box retailer reported a fall in its fourth-quarter profit margins.

The CBOE volatility index, also known as Wall Street’s fear gauge, rose to 28.72 points.

Meanwhile, Fed Chair Jerome Powell is set to give opening remarks on the transition to a post-pandemic economy at an event at 2 p.m. ET.

Declining issues outnumbered advancers for a 11.33-to-1 ratio on the NYSE and a 6.67-to-1 ratio on the Nasdaq.

The S&P index recorded no new 52-week high and 125 new lows, while the Nasdaq recorded seven new highs and 558 new lows.

Markets to take cues from macro data, global trends: Analysts

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Trading in the domestic equity market this week will be largely driven by a host of macroeconomic data announcements and global trends, analysts said.

Industrial production data for July and inflation rate for August are scheduled to be announced on Monday. Besides, wholesale price index (WPI) inflation data will be released on Wednesday.

Also Read| MCX Crude oil September futures: Go long for expected target of Rs 7000/bbl; MCX prices may see correction

Other major factors that would influence trading are foreign fund movement and trend in the rupee against the US dollar.

“Global markets will keenly await the inflation numbers of the US. This data will be closely watched by international markets since it will affect how the Fed will proceed with future rate hikes,” said Apurva Sheth, Head of Market Perspectives, Samco Securities.

The volatility in oil prices and USD-INR trend will be important factors that may affect the market, said Shrikant Chouhan, Head of Equity Research (Retail) at Kotak Securities.

Last week, the Sensex advanced 989.81 points or 1.68 per cent, while the Nifty gained 293.90 points or 1.67 per cent.

“We maintain our bullish view on markets,” said Ajit Mishra, VP – Research, Religare Broking Ltd.

Also Read| Petrol and Diesel Price Today, 10 Sep 2022: Fuel prices unchanged; Check rates in Delhi, Mumbai, other cities

“As we’re seeing buying interest across the board, the focus should be more on the best-performing sectors viz banking, financials, auto and FMCG, and remain selective in the others,” Mishra added.

Share Market HIGHLIGHTS: Sensex ends 509 pts down, Nifty at 16858 ahead of monthly F&O expiry; Reliance drags

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Share Market News Today | Sensex, Nifty, Share Prices HIGHLIGHTS: Domestic equity market benchmarks BSE Sensex and NSE Nifty 50 ended one per cent lower on Wednesday, one day ahead of weekly and monthly F&O expiry. BSE Sensex plunged 509 points or nearly 1 per cent to 56,598, while NSE Nifty 50 crashed 0.9 per cent or 149 points to settle at 16589. Stocks of Asian Paints, Sun Pharma, Dr Reddy’s, Power Grid Corporation of India, Nestle India, Hindustan Unilever Ltd (HUL), M&M, and HCL Tech among others capped the losses in the index. On the flip side, ITC, Axis Bank, Reliance Industries Ltd (RIL), Tata Steel, IndusInd Bank, HDFC Bank and others were top index drags. Bank Nifty index fell 1.6 per cent to end at 37760.

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Share Market Today | Sensex, Nifty, BSE, NSE, Share Prices, Stock Market News Updates

15:38 (IST) 28 Sep 2022 BSE Sensex, NSE Nifty 50 plunge 1% ahead of monthly F&O expiry

BSE Sensex plunged 509 points or nearly 1 per cent to 56,598, while NSE Nifty 50 crashed 0.9 per cent or 149 points to settle at 16,589

15:05 (IST) 28 Sep 2022 Major headwinds for Indian economy; RBI intervention to curb rupee fall, slowing exports may derail recovery

The global growth slowdown may weigh on the Indian economy going forward, through not just exports, but prices and liquidity as well. This would weigh on domestic credit and capex recovery, and the impact could be more on organised businesses and nominal variables such as taxes, earnings as they are more vulnerable to global slowdown, Edelweiss said in a research note. Globally, food prices remain elevated owing to drought-like conditions. Read full story

14:32 (IST) 28 Sep 2022 Limited intervention by RBI leading to selling spree in Rupee

Most of the Asian currencies, including the local unit, are reeling under pressure amid the monetary tightening campaign in the West and concerns about a global economic slowdown. Limited intervention by the RBI amid declining forex reserves is also leading to the current bout of selling spree witnessed in the Indian rupee. However, softening crude prices and strong underlying fundamentals of the domestic economy shall underpin the rupee-dollar exchange rate around the 82 to the dollar mark. All eyes are now on the RBI monetary policy outcome for further cues. Sugandha Sachdeva, Vice President – Commodity and Currency Research, Religare Broking

14:24 (IST) 28 Sep 2022 Aggressive rate hikes could prove counterproductive in the short run: Emkay Wealth

Emkay Wealth Management held a media webinar ‘Mediascape Q2’ today – a discussion on the importance of asset allocation, rising opportunities in Fixed Income and Debt Funds in a rising interest rate scenario. Emkay Wealth Management is currently offering bespoke services to over 1,600 families to date. The unit posted revenue of Rs 14.78 crore in FY22.

13:33 (IST) 28 Sep 2022 Realty stocks rise

BSE Realty index rose 0.5 percent led by Indiabulls Real Estate, Godrej Properties, Brigade Enterprises

13:31 (IST) 28 Sep 2022 BHEL receives order, stock rises 2%

Bharat Heavy Electrical has received order for setting up the 2×660 MW Talcher thermal power project Stage-III on EPC (engineering, procurement & construction) basis from NTPC.

12:50 (IST) 28 Sep 2022 Govt further extends deadline for broken rice export in-transit before ban

The central government, on Tuesday, further extended the deadline to October 15 for the in-transit stock of broken rice. The Centre had imposed a ban on the export of broken rice, effective from September 9. The notification regarding the ban was issued on September 8, which mentioned that certain broken rice shipments will be immune to the ban during the period September 9 to September 15. The deadline for the same was recently extended to September 30. Now in a notification issued by the Directorate General of Foreign Trade, the deadline has seen an extension of 15 days. The notification comes into force with immediate effect. Read full story

12:45 (IST) 28 Sep 2022 Nifty, Sensex trade flat

Domestic equity markets trimmed early losses and were fluctuating between green and red in noon deals. Declining risk appetite, lower crude prices, and fresh bets in index heavyweights like Dr Reddy’s, Hindustan Unilever, Asian Paints helped erase losses. NSE Nifty 50 traded flat above 17,000 levels, whereas the S&P BSE Sensex gained over 50 points to trade at reclaim 57000. Sectorally, Nifty Auto and Nifty Realty indices gained over 1 per cent Nifty Energy and Nifty Bank indices, however, remained bogged down.

12:43 (IST) 28 Sep 2022 Buy Reliance Industries stock: RIL share may soar above Rs 2600; charts signal technical pullback in near-term

Reliance Industries share price is likely to gain 9 per cent to Rs 2,615 apiece in near-term, as the stock has been witnessing buying demand from the key support area of Rs 2300-2370 for the third time since May 2022, analysts at ICICI direct Research said. It expects the RIL stock to witness a gradual pullback from the current oversold territory, thus offering a fresh entry opportunity with a favourable risk-reward set up. On Wednesday, RIL shares were trading 1.7 per cent down at Rs 2,354.05 apiece on BSE. The stock is down nearly 18 per cent from the all-time highs, hit in April this year. Read full story

11:56 (IST) 28 Sep 2022 Gold Price Today, 28 Sep 2022: Gold, silver rates fall on strong US Dollar, weak cues; MCX support at Rs 48500

Gold Price Today, Gold Price Outlook, Gold Price Forecast: Gold rate and silver rate were trading weak on Wednesday, on the back of strong US Dollar. On Multi Commodity Exchange, gold October futures were trading Rs 99 or 0.2 per cent down at Rs 49,220 per 10 gram. Silver December futures were ruling Rs 581 or 1.05 per cent down at Rs 54,798 per kg. Globally, yellow metal prices slipped as the dollar resumed climbing after Federal Reserve officials reiterated the US central bank’s resolution to maintain an aggressive policy stance to tackle soaring inflation. Read full story

11:36 (IST) 28 Sep 2022 Delhi HC grants statutory bail to former NSE CEO Chitra Ramkrishna

Delhi High Court grants statutory bail to former NSE CEO Chitra Ramkrishna and former NSE Operating Officer Anand Subramanian in co-location case.

11:18 (IST) 28 Sep 2022 Sell-off continues; Nifty, Sensex in red

The Sensex is down 137.92 points or 0.24 percent at 56,969.60. Nifty is down 45.70 points or 0.27 percent at 16961.70.

11:18 (IST) 28 Sep 2022 Shriram Transport Finance Corporation to consider fundraising on October 31

Shriram Transport Finance Corporation will consider raising of funds by way of issue of redeemable non-convertible debt securities including bonds in onshore, offshore market on private placement basis, subject to market conditions and in this regard, the meeting(s) of the concerned committees viz. the Banking and Finance Committee, Debt Issuance Committee and Allotment Committee- NCDs will be held to consider and approve the issue and allotment of redeemable non-convertible debt securities/bonds during the month ending October 31, 2022 as per their respective terms of reference, subject to such terms and conditions including the issue price of debt securities/ bonds, as the said committees may deem fit.

11:11 (IST) 28 Sep 2022 Consolidation in Rupee to benefit importers if it tests 80 levels over short-term

“Rupee technically has depreciated 3.80% from 79 levels which was recently tested. I think Rupee will take support of 82 and remain in the range of 82-80 levels. This consolidation will benefit the importers if it tests 80 levels over short term.”

~Megh Mody – Commodities and Currencies Research Analyst, Prabhudas Lilladher Pvt Ltd

10:47 (IST) 28 Sep 2022 RBI MPC likely to hike repo rate by 50 bps again; commentary on liquidity, rupee depreciation keenly eyed

The RBI is expected to deliver a 50 bps rate hike in its September Monetary Policy Committee (MPC) meeting. The half a percentage point hike is expected as the Reserve Bank of India catches up with global central banks in not just fighting inflation, but also to stem rupee depreciation. RBI has already used up $100 billion in reserves to stabilise the local currency. “While this hike may help in allaying macrostability concerns, it would negatively affect the business cycle as nascent economic recovery may not be able to absorb such tightening of financial conditions,” said Edelweiss Securities in its report.

Read full story

10:45 (IST) 28 Sep 2022 Nifty 50 rejig: Adani Enterprises replaces Shree Cement; IRCTC, Adani Total Gas, HAL enter Nifty Next 50

Gautam Adani-led Adani Enterprises will become part of Nifty 50 from Friday, 30 September, in NSE’s upcoming semi-annual index rejig. Adani Enterprises will replace Shree Cement from the 50-stock index. This is the second Adani stock to be included in the Nifty 50 index after Adani Ports and Special Economic Zone. Apart from Nifty 50, changes have been announced in Nifty Next 50, and Nifty IT. Adani group has seven established listed entities, including Adani Green Energy, Adani Power, Adani Total Gas, Adani Transmission, Adani Ports and Special Economic Zone, Adani Wilmar, and Adani Enterprises. Read full story

10:15 (IST) 28 Sep 2022 Rupee fall to new low

Rupee hits fresh record low of 81.93 to a dollar amid slump in global markets. “Rupee has been holding remarkably well with RBI intervention supporting the market. We believe that it might be better for the RBI to allow the rupee to depreciate a bit, finding its natural balance,” said SBI Ecowrap in a note.

10:11 (IST) 28 Sep 2022 Metals stocks drag

Nifty metal index shed 0.5 per cent, dragged by the SAIL India, Vedanta, Jindal Stainless

10:08 (IST) 28 Sep 2022 Suzlon Energy rights issue to open on October 11; share price falls 2%

Suzlon Energy rights issue to open on October 11, 2022 and will close on October 20, 2022. The Record date is 4 October for the purpose of determining the equity shareholders entitled to receive the rights entitlement in the rights issue.

09:54 (IST) 28 Sep 2022 LIC picks additional 2.01% stake in BPCL

Life Insurance Corporation of India has acquired an additional 2.01% stake in Bharat Petroleum Corporation Ltd via open market transactions. With this, its shareholding in the company increased to 9.04%, up from 7.03% earlier.

09:38 (IST) 28 Sep 2022 Brace for more corrections

“IT is likely to remain resilient supported by currency tailwinds. Autos and capital goods can be slowly accumulated on declines. Since valuations in India continue to be high relative to peers, investors may brace for more corrections in this bearish scenario. A sharp turnaround in global market sentiments will happen only when data indicate a decline in US inflation.”

~VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services

09:36 (IST) 28 Sep 2022 Market texture changes to ‘Sell on rally’

“Globally equity markets are in bear territory. India is a distinct outlier with only 8.5% decline from the peak in Nifty. India can remain an outperformer supported by its strong fundamentals but India cannot remain immune to major global trends. The texture of the market has changed from ‘buy on dips’ to ‘sell on rally’ and therefore, investors have to be cautious in the market now. The Bank Nifty has sharply corrected by 8% from its recent record high and is weak now.”

~VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services

09:32 (IST) 28 Sep 2022 Torrent Pharma shares fall 3%, company to acquire Curatio Healthcare

Torrent Pharmaceuticals has acquired Curatio Healthcare, which has a strong presence in the cosmetic dermatology segment with a portfolio of over 50 brands, for Rs 2,000 crore. It has entered into definitive agreements to acquire 100% in Curatio which reported revenue for FY21-22 at Rs 224 crore.

09:20 (IST) 28 Sep 2022 Nifty above 16940 may hit 17200, momentum indicators signal possibility of pullback rally; Buy Cipla, LTI

We are of the view that, the bearish sentiment in the market is still intact and a fresh pullback rally is possible, if Nifty 50 and BSE Sensex succeed to trade above the 200 day SMA (Simple Moving average) or 16940/56950. Above which, indices could retest the level of 17150-17200/57500-57700. On the flip side, below 16940/56950, these could slip till 16850-16800/56600-56500. The intraday texture of the market is non-directional, hence level based trading would be the ideal strategy for the day traders. Read full story

09:19 (IST) 28 Sep 2022 Rupee hits new lifetime low, nears 82 mark on strong dollar, weak markets; USDINR support at 81

The Indian Rupee fell to a fresh lifetime low of 81.90 in opening trade on Wednesday amid strong dollar, FII outflows, and risk-off sentiments in equity markets. The delay in Indian bond inclusion in the JP Morgan bond index also likely weighed on the local unit. In the previous session, rupee weakened past the 81.60 mark. On the flow side, there has been notable outflow since Fed’s hike day. Read full story

09:08 (IST) 28 Sep 2022 Sensex, Nifty fall 1% in pre-open on Wednesday

BSE Sensex tanks 480 points or 0.8 per cent to trade at 56,628, while NSE Nifty 50 plunged 157 points or 0.9 per cent to 16,850

08:58 (IST) 28 Sep 2022 Petrol, Diesel Price Today, 28 Sep 2022: Fuel cost static; check rates in Delhi, Mumbai, Noida, other cities

Petrol and Diesel Rate Today in Delhi, Bangalore, Chennai, Mumbai, Lucknow: The price of petrol and diesel has been kept steady on 28 September 2022 (Wednesday), keeping costs steady for more than three months now. The petrol rate and diesel rates in Delhi are at Rs 96.72 and Rs 89.62 a litre, respectively. In Mumbai, petrol is retailing at Rs 106.31 per litre and diesel at Rs 94.27 per litre. The last country-wide change in price came on 21 May 2022, when Finance Minister Nirmala Sitharaman announced a cut in excise duty on petrol by Rs 8 per litre and Rs 6 per litre on diesel. Read full story

08:58 (IST) 28 Sep 2022 Bank Nifty support at 37800, resistance at 38750

“Benchmark Indices are expected to open on a negative note today as suggested by trends on SGX Nifty. Some stock-specific actions can be witnessed in stocks such as Torrent Pharma, KPI Green Energy, and Motherson Sumi Wiring. On the technical front, Immediate support and resistance in Nifty 50 are 16800 and 17200 respectively. Bank Nifty immediate support and resistance are 37800 and 38750 respectively.”

~Mohit Nigam, Head – PMS, Hem Securities

08:56 (IST) 28 Sep 2022 Markets may witness some consolidation

“Markets may witness some consolidation or pause after the recent decline however mixed trends across sectors would continue to offer trading opportunities across the board. Besides, the beginning of the MPC meet and global cues would keep the volatility high. We feel it’s prudent to continue with the defensive pack for long trades until we see some stability.”

~Ajit Mishra, VP – Research, Religare Broking

08:36 (IST) 28 Sep 2022 Will bears drag Nifty to 16800 amid high volatility, uncertainty? 5 things to know before market opening bell

The sell-off in the domestic share market is likely to continue as SGX Nifty hinted at a gap-down open for NSE Nifty 50 and BSE Sensex with a loss of 101 pts or 0.5%. “We expect market volatility to continue until RBI MPC outcome and monthly derivatives expiry. We expect stock related to domestic consumption to perform well with strong festive season. Also sectors like Paint, FMCG would see momentum on the back of sharp fall in crude oil prices,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services.

Read full story

08:06 (IST) 28 Sep 2022 Stocks in focus today

Reliance: Reliance Retail announced the opening of its fashion & lifestyle departmental store, Reliance Centro.

Adani Group stocks: The Adani Group will invest $100 billion over the next decade in new energy and digital spaces, which includes data centres.

HCL Technologies: HCL Technologies launched its new logo and brand identity.

Torrent Pharma: Torrent Pharmaceuticals on Tuesday said it will wholly acquire Curatio Healthcare for Rs 2,000 crore.

Read full story

08:00 (IST) 28 Sep 2022 Downtrend in Nifty may have halted temporarily

“On Tusday, Nifty took support from the upgap of 16947 and closed flat after making a lower low compared to the previous day. The downtrend in the Nifty may have halted temporarily, though it needs to close above 17196 for confirmation. On falls, 16942 will be watched closely,”

~ Deepak Jasani, Head of Retail Research, HDFC Securities

07:59 (IST) 28 Sep 2022 SGX Nifty hints at a negative start for Indian equities

Trends in SGX Nifty indicated at a gap-down opening for Indian equities. The Nifty futures were trading around 16,937 levels, down around 100 pts or 0.5% on the Singaporean exchange.

07:50 (IST) 28 Sep 2022 Asian markets tepid

Shares in the Asia-Pacific traded mixed at the open on Wednesday after the S&P 500 set a new 2022 low overnight on Wall Street. Japan’s Nikkei 225 fell 0.68 per cent, while the Topix index slipped 0.67 per cent. MSCI’s broadest index of Asia-Pacific shares outside Japan dipped 0.18 per cent. The Kospi in South Korea shed 0.43 per cent.

07:49 (IST) 28 Sep 2022 US stocks tumble

The S&P 500 fell to its lowest level in almost two years on Tuesday on worries about super aggressive Federal Reserve policy tightening, trading under its June trough and leaving investors appraising how much further stocks would have to fall before stabilizing. The S&P 500 touched a session low of 3,623.29, its lowest point on an intraday basis since November 30, 2020. A late rally helped push the index off its worst level of the day, but the index still closed lower for a sixth straight session as it lost 7.75 points, or 0.21%, to 3,647.29 .

Sebi’s new block regime to leave brokers with less cash

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The Securities and Exchange Board of India’s move to introduce ASBA for secondary markets may deplete the cash balances of brokers even further.

Today, clients of non-bank based brokers who want to place trades have to transfer the money to their ledger accounts. Any excess cash that remains after the transaction stays with the broker and has to be returned within 90 or 30 days. For bank-based brokers, the requisite amount is drawn from the customer’s account and blocked. At the end of the day, the unutilised amount gets unblocked.

The new ASBA system aims to ensure that the money earmarked for trades bypasses the broker and goes directly to the clearing corporations.

“A substantial portion of customers’ cash lies with the broker, which can be misused. The broker’s net worth may not even cover one tenth of the cash balances. The regulator has already created several checks and balances to ensure the float is not misused and the ASBA mechanism, if implemented, will create another layer of safety for clients,” said a top broker, on condition of anonymity.

Idle balances lying in a trading account earns interest income for a brokerage firm. In India, due to quarterly settlement rules, brokerage firms are required to send back any unused balance back to the client’s bank account within 90 or 30 days. This also hurts brokerage revenues indirectly. Clients having money in their trading accounts have a much higher chance of trading than when in the bank account.

Madhabi Puri Buch, chairperson, Sebi, last week said the market regulator was engaging with various stakeholders to introduce ASBA for investments in the secondary market.

At present, ASBA, or Applications Supported by Blocked Amount, is used for applying to initial public offerings (IPOs) wherein an applicant’s account doesn’t get debited until shares are allotted to them.

“The regulator is trying to facilitate direct movement of securities and money to the issuer or the exchange. If money is passed through many hands there is a structural vulnerability that arises at different stages. The attempt is to eliminate the process of wrongdoing through technology and process reengineering,” Buch had said at the Global Fintech Fest held at Mumbai.

Also read: Gautam Adani slips to third place in world’s rich list, Mukesh Ambani out of top-10 after Monday’s D-St rout

Roadblocks ahead

Switching to a block system for secondary market trades will be complicated and may take another 8-10 months to implement. The regulator may keep it optional for some time or introduce it in phases.

Concerns remain as to how the new system will be implemented for intraday trades, which constitute 80-90% of all cash transactions.

Brokers will need to verify the account of clients and the amount that has been blocked for trades. However, banks may not permit this under existing regulations. Latency issues could crop up.

In tier 2 and tier 3 cities, several customers still use cheques and do not use the online payment system. There could be issues if there are account freezes by the CBI or Enforcement Directorate.

“The intention is good but the practical aspects need to be looked at,” said Kamlesh Shah, president, Association of National Exchanges Members of India, an industry body.

“How do you block the account if a person is continually trading? How do you differentiate between intraday and delivery-based transactions? F&O could have its own set of complications,” he said.

Shah believes that the regulator may experiment with the new system on the cash market first. He is also unsure if the new mechanism will work on the margin system or on the full payment basis.

“If it’s done on a margin basis then the question is whether the client will be able to pay the balance amount on the pay-in day or not. Who will take responsibility if there’s a mismatch? The new system should ensure that liquidity does not get impacted for the larger trades by institutional players,” said Shah.

Global Markets: Stocks recoup losses after Putin’s nuclear threat; Fed keeps dollar buoyant

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Global equities shook off an early knock to risk appetite and rebounded on Wednesday after Russian President Vladimir Putin accused the West of “nuclear blackmail”, sparking a brief flight to safe-haven assets like gold and bonds.

European stocks pared earlier losses and mostly rose, helping boost U.S. stock futures, as gains in energy and natural resource shares helped lift the broader indices.

Investors were already nervy ahead of a widely anticipated rate rise by the Federal Reserve later in the day, in a week that is jam-packed with major central banks’ decisions on how to respond to red-hot inflation.

The fact that the market has pretty much done a 180 turn shows that ultimately what the Fed does and what other central banks are set to do is more important than Putin’s sabre-rattling.

Also Read: US Stocks: Futures edge higher as investors gird for another big rate hike

“At the moment, the number one enemy is inflation obviously,” CMC chief markets strategist Michael Hewson said.

“You’re going to get ebb and flow in terms of rhetoric ramping up and ramping down, so you’re going to have to deal with the underlying issue and then deal with the rest of it as and when it happens. So the primary goal at the moment for central banks is to try to tame the inflation genie and that really needs to be at the forefront of their focus.”

Putin said he had signed a decree on partial mobilisation beginning on Wednesday – the first since World War Two – saying he was defending Russian territories and that the West wanted to destroy Russia.

“If the territorial integrity of our country is threatened, we will use all available means to protect our people – this is not a bluff,” Putin said in a televised address to the nation, adding Russia had “lots of weapons to reply”.

Initially, the dollar rallied, government bond yields dropped sharply while gold and crude oil jumped.

But by the early European afternoon, much of this momentum had faded. The euro was down 0.6% at $0.99090, off an earlier session low of $0.98850, while the pound dipped 0.3% to $1.1342, holding above a new 37-year low of $1.1304.

The dollar index, which measures the performance of the U.S. currency against six major peers, rose 0.6% to 110.76, nearing a new two-decade high of 110.87 struck earlier.

Government bonds unwound most of their previous gains, pushing yields back up towards this week’s multi-year highs that have been driven by the determination of central banks to quell a potentially damaging rise in inflation.

The Fed headlines a week in which more than a dozen central banks announce policy decisions, including the Bank of Japan and Bank of England on Thursday.

German 2-year yields, the most sensitive to rate expectations, jumped 3 basis points to a new 11-year high of 1.752%, off the day’s low of 1.626%.

The 10-year Treasury yield, which touched 3.604% on Tuesday for the first time since April 2011, was last down 4 basis points at 3.534%.

Equities have been under pressure this week over the Fed’s upcoming policy decision at which it is widely expected to lift rates by three quarters of a point.But with fears mounting about the potential for another blow to global energy supply, crude oil and natural gas prices rose, giving a lift to shares of major producers.

Europe’s STOXX 600 index was up 0.4% on the day, led by a 2% gain in the oil and gas subindex, while London’s FTSE 100 rose 0.9%. U.S. stock index futures were up between 0.1 and 0.4%.

The MSCI All-World index of global shares dropped 0.3% to skim two-month lows, while gold, another traditional safe haven, gained 0.5% to trade around $1,667.40 an ounce, set for its largest one-day rally in over a week.

Crude oil jumped by 2% to $92.49 a barrel, while natural gas prices shot higher.

Nifty may trade in 14,400-15,000 range this week, Bank Nifty below 20, 50, 100 day SMAs; Wipro, Cipla in focus

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By Rajesh Palviya

Nifty opened with an upward gap and selling pressure in the first half dragged the index on Friday. However some buying support along at lower levels recovered some of the earlier losses to close on a flat note. The daily price action has formed a bearish candle carrying lower shadow indicating buying support at lower levels. The Nifty closed at 14681 with a loss of 19 points (-0.13%)

The weekly strength indicator RSI is moving downwards and is quoting below its reference line indicating negative bias. However momentum oscillator Stochastic has turned positive from the oversold zone indicating a possible consolidation or a up-move in the near term

Nifty derivative outlook

Nifty in current expiry has seen Short build up with a price cut of -1.46% and OI addition of 21 lac shares increasing from 102.38 Lac share to 123.24 Lac shares . The sentiment indicator PC Ratio is currently trading at 1.11 above the median line but still in a comfortable zone indicating positive bias. In Nifty the high OI on the CALL side in the weekly expiry scheduled 20th May is at 14,900, 15,000 & 15,300 strike, with 14,900 & 15,000 acting as a strong resistance wherein there has been writing of 16.13Lac shares & 16.80 Lac shares respectively. The high OI on the PUT side is at 14,500 -14,600 & 14,700 strike, with 14,600 & 14,400 acting as a strong support as there has been of writing of 12.20Lac shares & 10 Lac shares respectively. The tentative range for the current week is likely to be between 14,400 to 15,000. Fiis compared to last week have reduced their Future Index Long position by 8,545 contracts & have increased their Future Index Short by 15,964 contracts compared to

Bank Nifty outlook

Bank Nifty started the week on a flat note and remained negative throughout the week. Bank Nifty closed at 32170 with a loss of 735 points on a weekly basis.

On the weekly chart index has formed a bearish candle and has remained restricted within previous week’s High-Low range which signals indecision at current levels. Since the past couple of weeks, the index has been consolidating within 34000-31800 levels indicating short term consolidation. Hence any either side breakouts will indicate further direction. The chart pattern suggests that if Bank Nifty crosses and sustains above 33000 level it would witness buying which would lead the index towards 33500-34500 levels. However if the index breaks below 31900 level it would witness selling which would take the index towards 31500-30700. Bank Nifty is trading below 20, 50, and 100 day SMAs which are important short term moving averages, indicating negative bias in the short to medium term. Bank Nifty continues to remain in an uptrend in the medium term, so buying on dips continues to be our preferred strategy. For the week, we expect Bank Nifty to trade in the range of 33500-31500 with mixed bias.

The weekly strength indicator RSI is moving downwards and is quoting below its reference line indicating negative bias. However, momentum oscillator Stochastic has turned positive from the oversold zone indicating a possible consolidation or an up-move in the near term.

Bank Nifty derivative outlook

Banknifty also saw Short build up with price cut of -4.56% & OI addition of 2.36 lac shares increasing from 13.97 Lac to 16.34 Lac shares. In BankNifty the highest OI on the CALL side in the weekly expiry is at 32,500 -33,000 & 34,000 strike, with 33,000 acting as a strong resistance zone wherein there has been writing of 5.13Lac shares, while on the PUT side highest OI is at 31,500 – 31,000 & 30,000 strike, with 32,500 acting as a pivotal level for this weekly expiry as there has been addition of 7.46Lac shares on CALL side & 2.54 Lac addition on PUT side suggesting that any sustain move on either side of this level (32,500) will decide the trend in Banknifty.

Sectors and stocks to watch this week

We expect the IT, Pharma, FMCG, Fertiliser and Consumer durable sector to do well in the near term. One can focus on stocks like Cipla, Lupin, PI Industries, Bata India, Wipro, Asian Paints, Pidilite Industries, Voltas for near term bullish trend. Midcap space also looks attractive and we expect stocks like Great Eastern Shipping Co Ltd, Welspun India, Eris Lifesciences, Gujarat State Fertilizers Chemicals (GSFC) are likely to do well in the near term.

(Rajesh Palviya is Vice President– Research (Head Technical & Derivatives) at Axis Securities Limited. The views expressed are the author’s own. Please consult your financial advisor before investing.)