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View on market: Volatility Prevails, Market is searching for better value
US stock traders, buoyed by the anticipated Federal Reserve rate cuts, pushed down tech megacaps just days before Nvidia Corp.’s earnings report. Most S&P 500 shares saw gains as Wall Street continued its trend of shifting funds away from big tech stocks. On Monday, the S&P 500 hovered near 5,600 and fell 0.19% and the Nasdaq 100 dropped 0.82%.The NSE Nifty 50 logged its longest stretch of gaining streak in more than a year to end above the psychologically crucial 25,000 mark on Monday after 16 sessions and the S&P BSE Sensex extended its gains for the fifth consecutive session. The rally came after dovish commentary by US Fed Chair Jerome Powell at the Jackson Hole symposium, which confirmed a September rate cut in the US.
Economic Calendar:
- USD: CB Consumer Confidence 27 August
- IND: GDP Quarterly (YoY) Session on 30th August.
IPO Watch:
Company | Open | Close | Price | View |
Premier Energies | 27 Aug | 29 Aug | 427-450 | Apply |
Baazar Style Retail | 30 Aug | 3 Sep | – | Under review |
Brokerage Radar:
BofA on Indus Towers:
Maintain Buy with target price of Rs 490.Room for multiple re-rating & potential dividend. Business fundamentals strong. Key events to- new contract by VIL, past dues recovery and market share in new businesses.
JPMorgan on ONGC:
Maintain Neutral; Hike target price to Rs 306 from Rs 280.Stock upside is more specific (pricing) than structural (volumes).FCF based valuations could still have upside if these came through. Virtually no development pipeline beyond KG 98/2 to support production medium term. Even the near term volume guidance appears at risk.
JPMORGAN ON IRON ORE:
NMDC remains least preferred stock. Believe FY24 total exports at 48MT could be a peak and exports as % of production could start declining over the coming years. Believe this should happen due to softness in iron ore prices and strong Indian steel consumption and potential implementation of iron ore beneficiation policy by the govt. Potential supply demand mismatch may further tighten the seaborne market.
International Markets:
U.S & Europe:
Particulars | 26thAugust | Chg. | Chg.(%) |
Nasdaq | 17,725.76 | -152.03 | -0.85 |
Dow | 41240.52 | 65.44 | 0.16 |
FTSE | 8,327.78 | 0.00 | 0.00 |
CAC | 7,590.37 | 13.33 | 0.18 |
DAX | 18,617.02 | -16.08 | -0.09 |
Dow Fut.* | 41308 | -27 | -0.07 |
*As per 27th August.
Asian markets:
Particulars | 27thAugust | Chg. | Chg.(%) |
GIFT Nifty | 25021 | -24 | -0.10 |
Nikkei | 38,016.93 | -93.29 | -0.24 |
Straits Times | 3,390.86 | -5.17 | -0.15 |
Hang Seng | 17,708.89 | -85.39 | -0.48 |
Shanghai | 2,848.76 | -6.76 | -0.23 |
Stocks strong on Chart:
Index | F&O | Cash |
SUN PHARMA | SAMVARDHAN | SOLAR IND |
RELIANCE | NALCO | TATA TECH |
LUPIN | BOSCH | RK FORGE |
ICICI BANK | INDIAN HOT | ION EXCH |
L&T | HAL | SONA COM |
BAJAJ AUTO | INDIGO | GNA AXLES |
Commodities & Currency:
Particulars | Current Price | Chg.(%) |
USD/INR | 83.88 | 0.04 |
Brent | 80.02 | -0.21 |
Gold | 72,067.00 | 0.04 |
Silver | 85,584.00 | -0.10 |
FIIs & DIIs:
Particulars | 26th August | 23th August |
FIIs | 483.36 | 1,944.48 |
DIIs | 1870.22 | 2,896.02 |
News Update:
Company
UltraTech Cement: | The company raised $500 million through a sustainability-linked loan with participation from six banks. |
Piramal Enterprises: | The company unit Piramal Capital & Housing Finance was held liable for a Rs 466 crore penalty on a voluntarily withdrawn claim of Rs 3,698 crore from the Dewan Housing Finance merger. |
HCL Technologies: | The company extended the agreement with Xerox for AI-based innovation and digital engineering solutions. |
PI Industries: | The company appointed Sanjay Agarwal as Group CFO effective Aug. 26, after Manikantan Viswanathan attained the age of superannuation. |
Zydus Lifesciences : | The company clarified that today’s stock movement is not related to its recent acquisition of a 50% stake in Sterling Biotech. |
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