The Federal Reserve raised its benchmark rate by a quarter of a point as expected, but investors jumped on what they saw as slightly more dovish language from Chairman Jerome Powell. Recent readings have indicated that inflation is easing, with the Fed also looking at data that will determine the resilience of the labor market and the pace of wage growth. But data showed U.S. job openings unexpectedly rose in December ahead of the Labor Department's comprehensive report on nonfarm payrolls for January due. Separate economic data showed U.S. manufacturing contracted further in January as higher rates stifled demand for goods. China’s service sector showed a rebound in the first month of 2023, according to the Caixin/S&P Global services purchasing managers’ index (PMI). The reading rose to 52.9 in January, above the 50-mark that separates growth from contraction — from the business activity index of 48 seen in December. China is set to make market-oriented changes to the way initial public offerings are approved, as it tries to reset the economy and rebuild investor confidence after a chaotic exit from zero-Covid.
Back at home, domestic markets witnessed a volatile trade despite a growth-oriented budget announced by Finance minister. Actually, the ‘Adani stocks crisis’ has contributed to the negative sentiments. In the recent Budget, Finance minister adopted the seven priorities such as Inclusive Development, Reaching the Last Mile, Infrastructure and Investment, Unleashing the Potential, Green Growth, Youth Power and Financial Sector. It lowered the disinvestment target to INR 51,000 crore in FY2024 and revised disinvestment estimate to INR 50,000 crore from budgeted target of INR 65,000 crore in FY2023. The government has been constantly pushing infrastructure creation and also incentivizing states to step up capex. The government increased the Capital Investment Outlay to Rs.10 Lakh crores, constituting 3.3% of GDP and this will spur the private capex. Robust growth in India's services industry eased last month after touching a six-month high in December, with softening orders spurring caution in companies' business outlooks for the year, a private business survey showed. Going forward, market is likely to track both domestic as well as the international factors.
On the commodity market front, CRB closed in red for second consecutive week due to nervousness prevailed ahead of Fed meeting as it was the main event risk in the week gone by; apart from BoE and ECB meet. Fall in dollar index spurt buying in bullion and MCX gold made new all-time high. In COMEX, gold saw a rally of seven week on fall in dollar index. Gas futures have lost over 20% week-to-date, extending to more than 60% their plunge over the past two months. It can see reversal and can trade in a range of 200-240 levels. OPEC+ agreed to cut its production target by 2 million barrels per day (bpd), about 2% of world demand, from November last year until the end of 2023 to support the market. Market got positive news that Cotton futures will be available for trade 13th Feb onwards with required changes. April, June and August contracts will be available for trading.
SMC Global Securities Ltd. (hereinafter referred to as “SMC”) is a registered Member of National Stock Exchange of India Limited, Bombay Stock Exchange Limited and its associate is member of MCX stock Exchange Limited. It is also registered as a Depository Participant with CDSL and NSDL. Its associates merchant banker and Portfolio Manager are registered with SEBI and NBFC registered with RBI. It also has registration with AMFI as a Mutual Fund Distributor.
SMC is a SEBIregistered Research Analyst having registration number INH100001849. SMC or its associates has not been debarred/ suspended by SEBI or any other regulatory authority for accessing /dealing in securities market.
SMC or its associates including its relatives/analyst do not hold any financial interest/beneficial ownership of more than 1% in the company covered by Analyst. SMC or its associates and relatives does not have any material conflict of interest. SMC or its associates/analyst has not received any compensation from the company covered by Analyst during the past twelve months. The subject company has not been a client of SMC during the past twelve months. SMC or its associates has not received any compensation or other benefits from the company covered by analyst or third party in connection with the research report. The Analyst has not served as an officer, director or employee of company covered by Analyst and SMC has not been engaged in market making activity of the company covered by Analyst.
The views expressed are based solely on information available publicly available/internal data/ other reliable sources believed to be true.
SMC does not represent/ provide any warranty express or implied to the accuracy, contents or views expressed herein and investors are advised to independently evaluate the market conditions/risks involved before making any investment decision.
DISCLAIMER: This report is for informational purpose only and contains information, opinion, material obtained from reliable sources and every effort has been made to avoid errors and omissions and is not to be construed as an advice or an offer to act on views expressed therein or an offer to buy and/or sell any securities or related financial instruments, SMC, its employees and its group companies shall not be responsible and/or liable to anyone for any direct or consequential use of the contents thereof. Reproduction of the contents of this report in any form or by any means without prior written permission of the SMC is prohibited. Please note that we and our affiliates, officers, directors and employees, including person involved in the preparation or issuance of this material may; (a) from time to time, have long or short positions in, and buy or sell the securities thereof, of company (ies) mentioned herein or (b) may trade in this securities in ways different from those discussed in this report or (c) be engaged in any other transaction involving such securities and earn brokerage or other compensation or act as a market maker in the financial instrument of the company (ies) discussed herein or may perform or seek to perform investment banking services for such Company (ies) or act as advisor or lender / borrower to such company (ies) or have other potential conflict of interest with respect of any recommendation and related information and opinions, All disputes shall be subject to the exclusive jurisdiction or Delhi High Court.
SAFE HARBOR STATEMENT: Some forward statements on projections, estimates, expectations, outlook etc are included in this update to help investors / analysts get a better comprehension of the Company's prospects and make informed investment decisions. Actual results may, however, differ materially form those stated on account of factors such as changes in government regulations, tax regimes, economic developments within India and the countries within which the Company conducts its business, exchange rate and interest rate movements, Impact of competing products and their pricing, product demand and supply constraints. Investors are advised to consult their certified financial advisors before making any investments to meet their financial goals.
The company has strong balance sheet, ready to fuel next phase of organic growth. Increasing customer preference for sustainable packaging options are driving higher demand for aluminium beverage packaging worldwide. Automotive long-term demand continues to grow driven by the benefits that result from using lightweight aluminium in vehicle structures and components for fuel efficiency and Electric Vehicle (EV) range. Therefore, the capacity addition by the company indicates future growth visibility. Thus, it is expected that the stock will see a price target of Rs. 546 in 8 to 10 months’ time frame on one year average P/BVx of 1.3x and FY24 BVPS of Rs.420.06.
According to the management of the company, the demand signals are positive across all product segments and it will continue to focus on cost optimization and work towards improving the operating margins. The company is working on its new energy strategy to participate in the emerging opportunities in the new chemistries and has started its Lithium battery pack supplies for three wheeler application. Thus, it is expected that the stock will see a price target of Rs.752 in 8 to 10 months’ time frame on current P/E of 15.80x and FY24 EPS of Rs.47.58.
The stock closed at Rs 116.25 on 03rd February, 2023. It made a 52-week low at Rs 93 on 20th June, 2023 and a 52- week high of Rs.168.70 on 02nd Feb, 2022. The 200 days Exponential Moving Average (DEMA) of the stock on the daily chart is currently at Rs 112.50
After forming a Double bottom pattern around 95 levels in recent past, stock made a strong comeback and shown a smart recovery from lower levels. Stock has been holding well above its 200 DEMA on weekly charts and recently once again managed to surpass above its 200 days exponential moving average on daily charts as well and can be seen trading in a rising channel with formation of higher low pattern.
Last week stock has given break above its falling trend line of downward sloping channel along with positive divergences on secondary oscillators, which points towards net upswing into prices moving forward. Therefore, one can buy stock in the range of 114-115 levels for the upside target of 134-136 levels with SL below 103 levels
The stock closed at Rs 1599.40 on 03rd February, 2023. It made a 52-week low at Rs 1355 on 26th Sep, 2022 and a 52- week high of Rs.1923.30 on 17th March, 2022. The 200 days Exponential Moving Average (DEMA) of the stock on the daily chart is currently at Rs 1543.74
After testing 1450 levels on downside stock made a smart recovery and once again manage to catch momentum above its 200 days exponential moving average on daily charts. Last week stock has given a fresh breakout above its key resistance of 1570 levels after consolidating in a defined range for few days. Broadly stock has given a fresh breakout above the neckline of the Inverted Head and Shoulder pattern visible on daily charts. Therefore, one can buy the stock in the range of 1590-1595 levels for the upside target of 1725-1735 levels with SL below 1500 levels.
Disclaimer : The analyst and its affiliates companies make no representation or warranty in relation to the accuracy, completeness or reliability of the information contained in its research. The analysis contained in the analyst research is based on numerous assumptions. Different assumptions could result in materially different results.
The analyst not any of its affiliated companies not any of their, members, directors, employees or agents accepts any liability for any loss or damage arising out of the use of all or any part of the analysis research.
SOURCE: RELIABLE SOFTWARE
Charts by Reliable software
In the week gone, by nifty slipped sharply lower on opening note but somehow managed to recover most of its losses during later part of the week and closed in green zone after sharp short covering seen in Adani group. On weekly basis, sectors like auto and FMCG took a lead while oil & gas along with Metal counter remained laggard. From the derivative front, NIFTY’s highest call open interest concentration is seen at 18000 strike whereas on put side, the highest concentration is at 17600 strike along with marginal OI addition seen in 17700 and 17500 strikes as well. Implied volatility (IV) of calls closed at 14.91% while that for put options closed at 15.62%. The Nifty VIX for the week closed at 15.73%. PCR OI for the week closed at 1.10 lower from the previous week. Technically, Nifty has managed to take support at its 200 days exponential moving average on daily charts and made a strong comeback in later part of the week. For the upcoming sessions, we expect that markets are likely to remain on volatile path with 18000-18100 zone as a strong resistance zone for index.
|
|
|
|
|
**The highest call open interest acts as resistance and highest put open interest acts as support.
# Price rise with rise in open interest suggests long buildup | Price fall with rise in open interest suggests short buildup
# Price fall with fall in open interest suggests long unwinding | Price rise with fall in open interest suggests short covering
Turmeric NCDEX Apr futures may witness some short term upside recovery due to weaker production outlook in Marathawada and Telangana. Heavy rainfall during starting months of sowing has affected the overall yield adversely in Maharashtra wherein area under turmeric has also been down in year 2023 that will keep overall production down. Arrivals of new crop have already started in Nizamabad as about 2500-3000 bags are coming on daily basis in Nizamabad. Demand has been subdued as quality of new crop is not up to the mark wherein stockists are busy in releasing their old stocks. About 11.9 thousand tonnes of turmeric arrived at major APMC market across India in Jan’23 compared to 13.1 thousand tonnes of previous year for corresponding period. Robust export demand will also support firmness in prices. Turmeric Apr contract is likely to trade in range of 7100-7700 levels.
Jeera NCDEX Mar futures are likely to trade mixed to higher due to limited supply. Stockists are reluctant to release at lower level due to bleak production outlook ahead. In the wake of lower area and yield losses in Gujarat, overall production of jeera may drop 5-10% in upcoming season. Total Jeera production may vary in between 6-7 lakh tonnes as per industry estimates against the 7.25 lakh tonnes of previous year. However, yield and quality has improved in Gujarat and Rajasthan due to sharp fall in temperature in Jan’23 that will result in upward revision in production estimates of Jeera. Jeera prices are likely to trade in range of 29000-34000.
Dhaniya NCDEX Apr prices are likely to trade sideways to down due to higher production outlook for upcoming season. Demand has been subdued as major buyers and spices millers are avoiding bulk buying in wake of commencement of new crop in major mandies. However, reports of crop losses due to excessive cold in Rajasthan is likely to affect the overall production adversely that will cap the excessive losses in prices. Dhaniya NCDEX Apr Prices are likely to trade in range of 7200-8400.
Gold prices posted positive gains and jumped to nine month high, amid subdued dollar, as investor held onto the view that the U.S. Federal Reserve would soon end its rate hiking cycle after it announced an expected 25-basis point increase. In the last trading session of week prices give up some gains as traders digested rate-hike remarks from global central banks. Gold prices delivering a stellar performance of more than 20% over the past three months, some positioning for softer rate-hike bets could already have been at play and having found the much-needed validation from the recent FOMC meeting. Gold tends to appreciate on expectations of lower interest rates, which reduce the opportunity cost of holding non-yielding bullion. If there are more signs of a slowdown in the U.S. economy and the Fed continues to lower rates, then investor demand for gold & silver will rise. ECB raises key rate by half a percentage point to 2.5%. Bank of England increases rate by half a percentage point to 4% and signals end to automatic rate rises. Central banks added a whopping 1,136 tonnes of gold worth some $70 billion to their stockpiles in 2022, by far the most of any year since 1967. On COMEX Gold price is facing resistance near $1960, buying continue only if prices break above the levels otherwise will see some negative move in the counter till $1860. Silver may also trade in the range of $22.000-24.660. Ahead in the week prices may continue to trade with positive bias but profit booking from higher levels is expected and the possible trading range would be 55500-59800. Silver may trade in the range of 67000-73000.
Crude Oil prices started the Feb month on bearish tone but after the US Federal Reserve rose interest rate by 25 basis points prices jumped but the gains didn’t last long. The Federal Reserve raised its target interest rate by a quarter of a percentage point, yet continued to promise "ongoing increases" in borrowing costs as part of its on-going battle against inflation. Inflation has eased somewhat but remains elevated," the US central bank said in a statement that marked an explicit acknowledgment of the progress made in lowering the pace of price increases from the 40-year highs hit last year. The main reason behind the fall was U.S. government data which showed big builds in crude oil, gasoline and distillate inventories and OPEC and its allies stuck to their output policy. U.S. crude oil and fuel inventories rose last week to their highest levels since June 2021, the Energy Information Administration said, as demand remained weak. Looking ahead in week, Crude oil prices may trade within the range of 5800- 6800 where sell near resistance and buying near support would be strategy. Natural-gas prices have plunged nearly 33% in the first month of year 2023 amid warmer weather reduces demand for the heating fuel, and storage levels remain high. The longer-range weather models started to show signs that cold may finally return in early February. However, that did little to stop the bleeding in the gas market. Natural gas continues to trade with higher volatility where resistance is seen near 280 and support is seen near 180. If 180 is broken with higher volumes then price will find support near 140/100 levels. Sell on rise would be strategy.
Base metals may trade with bearish bias and soft global demand may weigh on sentiment despite the latest supply disruptions. Citi Research economists believe a softer-than-anticipated China recovery and sustained manufacturing sector weakness outside of China will keep metals demand under pressure. U.S. manufacturing contracted further in January as higher interest rates stifled demand for goods, but factories did not appear to be laying off workers in large numbers. Physical demand in China was quiet as producers held sufficient stocks that they built up before the holidays, and as consumption from end users remained weak amid lowered orders from both domestic and overseas market. Copper may trade in the range of 760-800 levels. Demand shows little sign of improving with Chinese import premiums falling and Shanghai exchange inventories increasing rapidly. However, global supply disruption at many copper mine may support the prices. But the world’s biggest metals consumer still faces problems reinvigorating a moribund property sector and the impact on exports of slower growth in the rest of the world. Zinc can trade in the range of 280-310 levels. China imported 7,900 mt of refined zinc in December 2022, down 31.79% on the month and 23.24% on the year. Lead can move in the range of 180-191 levels. Aluminum may trade in the range of 215-235 levels. The premiums for aluminium shipments to Japanese buyers for January to March were set at $85-$86 a tonne, down 13%- 14% from the previous quarter, reflecting slack demand and high stocks. Steel long (Feb) is likely to trade in the range of 47500-49300 levels on NCDEX. China’s imports and exports are facing an “extremely severe” environment due to rising risks of a global recession and slowing external demand.
Kapas NCDEX Apr prices are expected to trade mixed to higher due to improved demand. Most of the ginners are ruling with tighter inventory due to below normal arrivals of cotton at major trading centers. With no change in the 10% basic customs duty (BCD) on cotton import, cotton prices are likely to be higher in local market that will keep market sentiments up for kapas as well. Reports of delay in harvesting of cotton due to recent rainfall in southern zone are also supporting firmness in prices. In wake of supply tightness in physical market, Indian government has allowed duty-free import of 3 lakh bales of cotton from Australia. Kapas Apr NCDEX prices are likely to trade in range of 1570-1700.
Cotton seed oil cake NCDEX Mar futures are likely to trade mixed to down due to muted demand at physical market. Demand in cattle feed industry has been down wherein most of stockists are going for the hand to mouth buying in wake of increased supplies of mustard. Mustard seed oil cake is used as substitute of cotton seed oil cake in northern part of India. Supplies of cotton seed oil cake is likely to higher as farmers are holding heavy stocks of cotton in anticipation of better price outlook. Prices are likely to trade in range of 2600-2850.
Guar seed Mar futures are expected to keep its gains intact due to emerging milling demand. Millers are active in buying in wake of robust export demand of gum. Arrivals have also dropped at major trading centers that will keep guar seed and gum prices elevated in near term. The demand for guar meal has also improved that will support the firmness in prices in near term. Technically, Guar seed prices will honor the support of 5700 and expected to move up to 6400 in near term. Similarly, Guar gum prices are likely to trade in range of 11500-14000 levels.
Mentha oil Feb contract is likely to trade sideways to higher on improved demand outlook. Export demand of menthol has improved that is likely to support the firmness in prices. Major focus will be on upcoming sowing numbers as sowing is likely to commence in western UP after the harvest of rabi crop. Supplies have been tighter due to offseason period of arrivals. Prices are likely to trade in range of 985-1040.
Castor seed Mar prices are likely to trade down due to improve supplies with advancement of harvesting activities. Sluggish export demand is still a major concern for castor oil traders as domestic stocks are surging up with fall in export. Castor oil export has slumped 16% Y-o-Y to 543.4 thousand tonnes during Jan-Nov’22 due to slowdown in economic activities in China. Going forward, castor seed prices are likely to trade in range of 6700-7300 levels.
It closed at Rs. 1025.80 on 02nd Feb 2023. The 18-day Exponential Moving Average of the commodity is currently at Rs 1007.42. On the daily chart, the commodity has Relative Strength Index (14-day) value of 50.769. Based on both indicators, it is giving a sell signal.
One can sell Mentha Oil near Rs.1020 for a target of Rs. 980 with the stop loss of Rs. 1034.
It closed at Rs. 185.75 on 02nd Feb 2023. The 18-day Exponential Moving Average of the commodity is currently at Rs 186.42. On the daily chart, the commodity has Relative Strength Index (14-day) value of 40.761. Based on both indicators, it is giving a sell signal.
One can sell near Rs. 187 for a target of Rs. 178 with the stop loss of Rs. 190.
It closed at Rs. 7320.00 on 02nd Feb 2022. The 18-day Exponential Moving Average of the commodity is currently at Rs 7882.74. On the daily chart, the commodity has Relative Strength Index (14-day) value of 37.015. Based on both indicators, it is giving a buy signal.
One can buy near Rs. 7350 for a target of Rs. 7800 with the stop loss of Rs. 7150.
NOTE: *M.High / M.Low stands for Monthly High / Monthly Low
CRB closed in red for second consecutive week due to nervousness prevailed ahead of Fed meeting as it was the main event risk in the week gone by apart from BoE and ECB meet. Fall in dollar index spurt buying in bullion and MCX gold made new all-time high. In COMEX, gold saw a rally of seven week on fall in dollar index. Fed increased the interest rate by 25basis points but Fed Chair Jerome Powell also said that inflation still remained elevated in the country, and that he was unsure over how much further the bank would need to hike rates in order to cool price pressures. Central bank also expressed uncertainty over where interest rates will peak. This drove up expectations for a pause in the Fed’s interest rate hikes by mid-2023 and a potential reduction in interest rates by the end of the year as U.S. economic growth cools. Such a scenario is likely to be positive for gold. Back at home, gold and silver import became costlier in India. India raised total taxes on silver imports 15% and on silver dore to 14.35, in an effort to align the duty structure of the metal with gold. The import duty on articles made of precious metals was increased to 25% from 22%. Silver crossed 71500 in reaction and whereas gold made a new high of 58826. In energy counter, both crude oil and natural gas futures traded weak; but the fall was intense in natural gas, which was trading near 200 levels. Oil prices rebounded from the low on Thursday after tumbling in the previous session as a weaker dollar brought back some appetite for risk assets and the OPEC+ decision to roll over an output cut helped ease oversupply concerns. OPEC+ agreed to cut its production target by 2 million barrels per day (bpd), about 2% of world demand, from November last year until the end of 2023 to support the market. Overall it closed in red on weekly basis as the market looked for more signs of a strong recovery in fuel demand in China to offset looming slumps in other major economies. In base metals, copper and aluminum were in range with marginal upside bias whereas lead and zinc prices traded under pressure. Mix economic data amid fall in dollar index created ambiguity in this counter. Steel prices witnessed sharp fall.
On agri front, market got positive news that Cotton futures will be available for trade 13th Feb onwards with required changes. April, June and August contracts will be available for trading. Cotton Oil seed cake futures saw further fall. Mentha recovered from the low. Castor seed was in a range. Guar saw lower level buying after two week fall. Gain came as speculators increased their holdings amid a firm spot demand. In spices, dhaniya and turmeric witnessed fall whereas jeera recovered. The rise in prices came amid apprehensions of low production in the wake of a drop in the sowing area and low production due to adverse weather. On the other hand, the previous season’s carry-forward stock is not that big.
Gold has been an essential component in the financial reserves of nations for centuries, and its demand is showing a paradigm shift in attitudes to gold since the 1990s and 2000s, when central banks, particularly those in Western Europe that own a lot of bullion, sold hundreds of tonnes a year. Since the financial crisis of 2008-09, European banks stopped selling and a growing number of emerging economies such as Russia, Turkey and India are buying the gold. Central bank purchases are highlighting the fact that gold remains a very important asset in the monetary system.
Love affair of global central banks with gold is amazing
Gold demand soared to an 11-year high in 2022 on the back of “colossal central bank purchases, aided by vigorous retail investor buying,” according to the World Gold Council. The central bank purchases took total gold global gold demand last year to 4,741 tonnes, up 18% from 2021.
Central banks added a whopping 1,136 tonnes of gold worth some $70 billion to their stockpiles in 2022, by far the most of any year since 1967. 2022 was not only the thirteenth consecutive year of net purchases by central banks, but also the second highest level of annual demand on record back to 1950, boosted by 400t ton demand in both Q3 and Q4,” the WGC said.
The Central Bank of Turkey bought the most gold out of all central banks in 2022 as it searched for protection against unchecked inflation. Turkey's official gold reserves rose by 148 tonnes to 542 tonnes, marking the highest level on record. The People's Bank of China (PBoC) resumed gold buying for the first time since 2019 by adding 62 tonnes in November and December and lifting its total gold reserves to over 2,000 tonnes for the first time. Countries in the Middle East also stepped up buying, with Egypt purchasing 47 tonnes, Qatar 35 tonnes, Iraq 34 tonnes, United Arab Emirates 25 tonnes, and Oman two tonnes. In Central Asia, Uzbekistan added 34 tonnes to its gold reserves in 2022, followed by the Kyrgyz Republic with six tonnes and Tajikistan with four tonnes. India bought 33 tonnes in 2022, which was 57% lower than the previous year.
Despite the strong interest in gold, there was some selling. Kazakhstan was the largest seller, reducing its gold holdings by 51 tonnes. Germany sold four tonnes because of its ongoing coin-minting programme. Sri Lanka reduced its holdings by three tonnes, followed by Poland, the Philippines, and Mongolia, each selling two tonnes. Other sellers of at least one tonne were Bosnia and Herzegovina, Cambodia, and Bhutan. Russia announced that would resume its gold purchases from domestic producers last year. But there was no update provided since the central bank sold three tonnes of gold in January of 2022.
Why Central-Bank Gold Buying Picked Up
The Indian rupee hit three week low at 82.25 per US Dollar. Adani saga is the key driver for the rupee to push below 82.00/$. FIIs continued to remain on the sell side after January recorded nearly $3.5 billion in capital outflows from Indian markets. At the same, Dollar is regaining its strength after ECB & BoE didn't deliver a hawkish monetary policy. Both the euro & pound are on the back foot against the dollar. As the rout in the Adani group may continue and gradually the rupee market will turn focus on next week's RBI policy outcome where MPC is set to deliver a quarter basis-points hike. Investors welcomed fiscal responsibility presented in the Union Budget for the 2023-24 financial years. The government pursues to borrow INR 15.43 trillion in the period through the sale of bonds, below broad estimates of INR 16 trillion. The plans outlined in the document aim for a fiscal deficit of 5.9% of GDP, narrowing from the target of 6.4% this year. Still, the officials expect public capital expenditure to rise 33% to INR 10 trillion, limiting the decline in bond yields. On the monetary policy front, easing inflation ramped up hopes that the RBI is close to pausing its tightening cycle after a 25bps increase in February, which would add to 250bps of rate hikes since May 2022.
USDINR (FEB)is trading above its major Exponential Moving Average indicating upwards trends for short term view. The Pair has major support placed around 81.48 levels while on higher side resistance is seen around 83.00 levels. The 21-day Exponential Moving Average of the USD/INR is currently around 81.96 Levels. On the daily chart, the USD/INR has Relative Strength Index (14-day) value of 57.15.
One can buy on dip near 82.00 for the target of 83.00 with the stop loss of 81.50.
GBPINR (FEB)) is trading between its major Exponential Moving Average indicating sideways trends for short term view. The pair has major support placed around 99.15 levels while on higher side resistance is seen around 101.75 levels. The 21-day Exponential Moving Average of the GBP/INR is currently around 99.62. On the daily chart, the GBP/INR has Relative Strength Index (14-day) value of 55.10.
One can sell on rise near 100.75 for the target of 99.75 with the stop loss of 101.25.
EURINR (FEB) is trading above its major Exponential Moving Average indicating upwards trends for short term view. The pair has major support placed around 88.72 levels while on higher side resistance is seen around 90.60 levels. The 21-day Exponential Moving Average of the EUR/INR is currently around 88.72. On the daily chart, the EUR/INR has Relative Strength Index (14-day) value of 63.58.
One can buy on dip near 89.50 for the target of 90.50 with the stop loss of 89.00.
JPYINR (FEB) ) is trading above its major Exponential Moving Average indicating upwards trends for short term view. The pair has major support placed around 62.60 levels while on higher side resistance is seen around 65.00 levels. The 21-day Exponential Moving Average of the JPY/INR is currently around 62.62. On the daily chart, the JPY/INR has Relative Strength Index (14-day) value of 55.10.
One can buy on dip near 64.00 for the target of 65.00 with the stop loss of 63.50.
IT hardware and mobile accessories firm Balaji Solutions and Enviro Infra Engineers, which provides solutions for waste water treatment, have received capital markets regulator Sebi's go-ahead to raise funds through initial public offerings (IPOs). The two companies, which filed their preliminary IPO papers with Sebi during August and September 2022, obtained the observation letters on January 23, an update with the Securities and Exchange Board of India (Sebi) showed on Tuesday. In Sebi's parlance, receiving an observation letter from the regulator implies it's go-ahead to float the initial share-sale. According to the draft red herring prospectus (DRHP), Balaji Solutions' public issue consists of a fresh issue of equity shares worth up to Rs 120 crore and an offer-for-sale (OFS) of up to 75 lakh equity shares by a promoter and a promoter-group entity. Proceeds from its fresh issuance worth Rs 86.60 crore will be utilized for funding incremental working capital requirements of the company, and general corporate purposes. Balaji Solutions is an IT hardware & peripherals and mobile accessories company engaged in the business of manufacturing and branding of products under its flagship brand "Foxin". The IPO of Enviro Infra Engineers consists of sale of 95 lakh equity shares with no OFS component, the draft papers showed.
Digit Insurance will refile papers for its $440 million initial public offering (IPO) after India's market regulator raised certain compliance issues with employee stock plans in a private letter. It is the second such setback for Digit's listing ambitions. The company, last valued at $3.5 billion by Sequoia Capital, provides general insurance services and is backed by investors such as Canadian billionaire Prem Watsa. In September, the market regulator froze Digit's IPO proposal because of certain compliance issues related to share issuances, but later restarted the review. In a Jan. 30 letter issued by the Securities and Exchange Board of India (SEBI) seen by Reuters, the regulator said it was returning Digit's IPO papers because the company did not comply with regulations by issuing so-called Stock Appreciation Rights to employees. Digit, founded in 2017 and also backed by Indian investment firm TVS Capital Funds among others, is trying to expand in general insurance. Separately, it is moving into the life insurance market with its Go Digit Life venture.
Balaji Solutions said it received market regulator Securities and Exchange Board of India’s (SEBI) approval to raise funds through an initial public offering (IPO). SEBI gave its final observation letter which implies its approval for the IPO. The company had filed preliminary IPO papers with Sebi in August last year. According to the draft red herring prospectus (DRHP), the public issue consists of a fresh issue of equity shares worth up to Rs 120 crore and an offer-for-sale (OFS) of up to 75 lakh equity shares by the promoter and selling shareholders. Under the OFS, Rajendra Seksaria, and Rajendra Seksaria HUF will offload shares. The public offer also includes a reservation for a subscription by eligible employees. The company in consultation with merchant bankers may consider a pre-IPO placement aggregating up to Rs 24 crore. If such placement is completed, the fresh issue size will be reduced. The proceeds from its fresh issuance worth Rs 86 crore will be used for funding incremental working capital requirements of the company, and general corporate purposes. Bajaj Solutions is one of the leading IT hardware and peripherals and mobile accessory company engaged in the business of manufacturing, branding, and distribution of IT hardware products under its flagship brand Foxin. West Bengal, Tamil Nadu, Maharashtra, Karnataka, and Kerala states collectively accounted for about 60% of the company's revenue in FY22. The company's manufacturing facility in Howrah has four production lines, aggregating to a total installed capacity of 2.16 crore units in FY22. Balaji Solutions' revenue from operations stood at Rs 482 crore in FY22, falling marginally due to normalisation post-easing of Covid-19 lockdown restrictions, while profit for the same period came in at Rs 15 crore.
FirstMeridian Business Services files fresh draft papers for IPO; cuts issue size to Rs 740 crore Staffing firm FirstMeridian Business Services Ltd has refiled preliminary papers with capital markets regulator Sebi and reduced its Initial Public Offering (IPO) size to Rs 740 crore from Rs 800 crore planned earlier. The initial share-sale comprises fresh issuance of equity shares worth Rs 50 crore and an Offer For Sale (OFS) of Rs 690 crore, according to the Draft Red Herring Prospectus (DRHP) filed with Sebi. As a part of the OFS, promoter Manpower Solutions Limited will sell shares worth Rs 615 crore while existing shareholders New Lane Trading LLP and Seedthree Trading LLP would sell shares worth Rs 42.5 crore and Rs 32.5 crore, respectively. The company, which counts Adani Ports and Special Economic Zone, Dell International Services India, PhonePe, Usha International , Exide Industries and Eureka Forbes as some of its key clients, has proposed to utilise the net proceeds from the fresh issue towards the payment of debt and general corporate purposes. Incorporated in 2018, FirstMeridian provides a wide range of service offerings, including general staffing and allied services, by offering solutions for contract staffing, workforce automation, trade marketing, and global technology through short and long-term technology contract staffing. In addition, the Bengaluru-based firm provides other HR services like permanent recruitment, recruitment process outsourcing, pharmaceutical and healthcare staffing, facility management and engineering and technical staffing solutions.
|
|
PGIM India Mutual Fund announced the launch of PGIM India CRISIL IBX Gilt Index - Apr 2028 Fund, a predominantly G-Sec Index Fund. The PGIM India CRISIL IBX Gilt Index - Apr 2028 Fund is open for subscription and it will close on February 16. The fund will be managed by Puneet Pal, Head – Fixed Income, PGIM India Mutual Fund, and co-managed by Bhupesh Kalyani, Fund Manager, PGIM India Mutual Fund. The investment objective of the scheme is to generate returns that correspond to the total returns of the securities as represented by the CRISIL IBX Gilt Index - April 2028 (before fees and expenses), subject to tracking errors. The weightage of the G-Sec securities and T-bills Securities in this index fund will be 98% and 2%, respectively. The fund will mature on April 05, 2028. All G-Sec securities selected will have a maturity date from September 6, 2027 to April 5, 2028. The index will be reviewed and rebalanced on a 6 monthly basis.
Mirae Asset Mutual Fund has launched Mirae Asset Flexi Cap Fund. The NFO opens for subscription on February 3 and closes on February 17. The fund will be managed by Vrijesh Kasera. The minimum initial investment in the fund will be Rs 5,000 and multiples of Re 1 thereafter. Mirae Asset Flexi Cap Fund will be benchmarked against the NIFTY50 TRI. The flexi cap fund will invest across market capitalisation—large cap, mid cap and small cap, thus offering a large investment horizon to help investors capture the growth curves across sectors. The fund house said that the scheme will invest in a mix of value and growth stocks and diversify across ideas, sectors, caps and risk. According to the press release, Mirae Asset Flexi Cap Fund is ideal for those investors who are looking at remaining invested for a long term - 5 years and above, investors who are in the process of building a core portfolio and new investors who are looking to invest across market cap i.e. Large cap, midcap and small cap stocks using a single fund.
Nippon India Mutual Fund has announced the launch of Nippon India Nifty SDL Plus G-Sec – Jun 2029 Maturity 70:30 Index Fund, an open-ended Target Maturity Index Fund with a relatively high-interest rate risk and relatively low credit risk. The New Fund Offer will open on February 6 and close for subscription on February 14. The scheme will be managed by Vivek Sharma & Siddharth Deb. The new fund will track the Nifty SDL Plus G-Sec Jun 2029 70:30 Index. The minimum investment amount would be Rs 1,000 and in multiples of Re 1 thereafter. The scheme will have two Plans: Regular and Direct. Each Plan offers growth option and income distribution cum capital withdrawal (IDCW) option. Index shall mature on June 29, 2029 and hence has a defined maturity date. According to the press release, the investment objective of the scheme is to provide investment returns corresponding to the total returns of the securities as represented by the Nifty SDL Plus G-Sec Jun 2029 70:30 Index before expenses, subject to tracking errors. The Scheme will predominantly invest into State Development Loans (SDLs) and Government Securities (G-Secs) which have highest safety. The Scheme will invest 95% to 100% in State Development Loans (SDLs) representing the SDL portion of Nifty SDL Plus G-Sec Jun 2029 70:30 Index and Government Securities representing the G-Sec portion of Nifty SDL Plus G-Sec Jun 2029 70:30 Index. The Scheme may also invest in money market instruments. The fund follows a passive strategy of management with endeavor to generate similar returns to its benchmark. The Scheme will follow a Buy and Hold investment strategy in which existing SDLs & G-Secs will be held till maturity unless sold for meeting redemptions requirements.
Leading fund house Axis Mutual Fund is looking to garner Rs 3,000 crore from the new fund offer, Axis business cycles fund, which will open for subscription from February 2. The open-ended equity scheme will follow business cycle-based investing theme, the fund house said. The new fund offer, which will be managed by Ashish Naik, opens on February 2 and closes on 16th. The fund will track the Nifty 500 stocks. According to the fund house, the economy is looking up now and is at the cusp of a new capex cycle. It cited the stronger balance sheets, robust domestic demand and increased focus on production linked incentive (PLI) schemes leading to more capacity addition along with the widespread digitalisation offering as the reason for the optimism. The new fund will have a cycle-driven portfolio, Iyengar said, adding that in expansionary times, it will focus on building a cyclical sector-based portfolio of companies which will benefit from an impending favourable upcycle.
|
|
|
|
|
|
|
