The markets continued their bull runs with another closing high. The sensex ended above the 65,000-mark for the first time backed by a rally in global equities and persistent foreign fund inflows. The market saw hectic buying in index majors Reliance Industries, ITC and HDFC twins. Rallying for the fourth straight session, the 30-share BSE Sensex jumped 486.49 points to settle at its all-time closing high of 65,205.05. During the day, it rallied 581.79 points or 0.89 per cent to its lifetime intra-day high of 65,300.35. The NSE Nifty climbed 133.50 points or 0.70 per cent to end at a record high of 19,322.55.
FIIs buying at 10-month high levels in June’23
FPIs inflow reached 10 month high of more than 47,000 crore rupees in June, 2023. According to experts, FIIs have continued to be net buyers of domestic equities over the last four months due to country’s steadily improving macroeconomic fundamentals. According to experts, FPIs were have been buyers of capital goods stocks, financials and construction-related stocks. However, experts have warned FIIs inflow could turn negative in July due to rich valuations. Brokerage house Geojit Financial Services said valuations have become rich from short term perspective. Continued FPIs buying have led to benchmark indiex Sensex surging to all time high levels. Sensex has given returns of more than 3% in the last one month.
BSE announces July 6 meet to mull buyback
Leading stock exchange BSE announced a meeting on July 6 to consider share buyback proposal. This triggered sharp rally in the scrip. The counter surged 9% to close at 668 rupees per share. Share buyback reduces number of outstanding shares of the company. It also increases earning per share of the firm.
Tomato prices touch Rs 140/kg
Retail tomato prices have surged up to Rs 140 per kg in the Delhi-NCR region due to the supply disruption from the producing centres due to rains. The Wholesale prices of tomato were ruling in the range of Rs 60-120 per kg, depending on the quality. Mother Dairy’s Safal was selling tomato at Rs 99 per kg on Sunday. Online retailer Otipy was quoting tomato hybrid at Rs 140 per kg and BigBasket Rs 105-110 per kg on Monday.
Tata Motors to raise prices
Tata Motors is hiking the prices of its vehicles from July 17. The price increase would be by an average of 0.6% across models. The price increase is to offset the residual impact of past input costs, it added. But if you have booked the vehicles before July 16 and deliveries up to July 31.
Honda begins bookings for Elevate
Honda Cars has commenced pre-launch bookings for its upcoming new mid-size SUV Elevate which will be on sale from September. Customers can book the model across all its authorised dealerships as well as online. India will be the first market to launch the Elevate. The SUV will be powered by 1.5 litre-petrol engine mated with both manual and automatic transmissions.
Prabhudas Lilladher sees 35% upside on Federal Bank
Brokerage firm Prabhudas Lilladher said it has a buy rating on Federal Bank. At current market price of 126 rupees, the brokerage has set a target price of 170 rupees on the counter. This translates to 35% upside from current levels. On Monday, the private sector bank reported provisional results for quarter ending June 30, 2023. On the provisional first quarter results of Federal Bank, Prabhudas Liladher gave its verdict of strong business growth in the said quarter for Federal Bank. On Monday, the counter closed 1% higher at 127 rupees per share.
IIFL Securities bullish on these two Tata group stocks
IIFL Securities, Vice President, Anuj Gupta, has given buy call on three stocks. His first recommendation is ONGC. Anuj says that he can see good buying the stock. He has given a target price of 175 rupees at 148 rupees stop loss. On Monday, ONGC closed at 161 rupees per share. His second recommendation is Tata Steel. He has given it target price of 199 rupees keeping 109 rupees stop loss. On Monday, the scrip closed at 113 rupees apiece. His third pick is Tata Motors on which he has given 640 rupees target price.
Banking sector seeing uptick in key metrics
According to a report by Care Ratings, banking sector of the country reported year-on-year growth in some of the key profitability metrics. Both public and private sector banks reported growth in metrics such as net interest margin, net interest income and advances. Continuous improvement in health of banking industry will attract FPIs inflow. Consequently, banking stocks and sector indices will give handsome returns to shareholders. Nifty Bank gave 33% return in last one year.
Retail Investors stay away from PKH Ventures Ltd IPO
The IPO of PKH Ventures Limited got muted response on second day on the D-Street. The IPO quota was subscribed only 30% by 4 pm on the second day. Retail investors too have stayed away from the share sale offering. Even, QIB and Non Institutional Investors’s quotas were undersubscribed. The Mumbai based construction and development company is expected to earn few notches more than 379 crore rupees. Its stcok was trading at GMP of 10 to 12 rupees on Monday.
White-collar hiring drops 2%
White-collar hiring in India saw 3% decline in June as sectors such as IT, Retail, BPO, Education, FMCG and Insurance remained cautious. According to the Naukri JobSpeak Index, on a year-on-year basis, June witnessed a 3 per cent decline with 2,795 job postings compared to 2,878 in June 2022. On a month-on-month basis, the job postings fell by 2 per cent.
