Good Morning Everyone, Hope all of you are ready with the strategy we discussed on our weekend meet on Saturday.
US markets have recovered a large extend from the fall as the Dow Jones Industrial Average rose 222.15 points, or 0.64%, to 35,116.27, the S&P 500 gained 35.79 points, or 0.81%, to 4,441.59 and the Nasdaq Composite added 169.95 points, or 1.17%, to 14,711.73.
Asian markets, though not very strong, are looking like it is recovering from the last week lows. But the Indian market is stronger than Asian markets today as FIIs are looking at investing more into our economy as they feel that we have more steam to go higher by this year-end as the Indian economy opens up.
Globally the next major event Jackson Hole Economic Symposium is scheduled to be held for two days - August 26-28, wherein the key thing to watch out for would be Federal Reserve Chair Jerome Powell's speech with respect to tapering if any, as the concerns over tapering intensified especially after the recent Federal Open Market Committee minutes.
Fed officials indicated the beginning of the tapering process sooner than later, but the central bank seems to be not in favor of policy tightening due to consistent virus risk to the US and the global economy.
Trends on SGX Nifty indicate a huge gap-up today and will open around 16580 levels and could see a marginal rise from where it closed on Friday with stronger global cues. But this week being the monthly expiry on Thursday, we can expect huge volatility in the market in the coming days, be prepared.
Adding more fire to the already-frenzied IPO market, three insurance sector companies are entering the primary market with initial public offerings in the coming months to mop up over Rs 10,000 crore.
These companies are — PB Fintech, which runs the insurance brokerage Policybazaar; standalone health insurer Star Health & Allied Insurance Company; and third-party administrator Medi Assist Healthcare Service. They have already filed their draft prospectus with markets regulator Sebi.
The country's fifth-largest cement maker Nuvoco Vistas Corporation will list its equity shares on August 23, while retail-focussed housing finance company Aptus Value Housing Finance, and specialty chemical company Chemplast Sanmar will debut on August 24.
India remains in a better position in terms of a number of COVID-19 cases and recovery but globally several countries including United States, United Kingdom, Germany, Mexico, Ukraine, Malaysia, Canada, Japan, Belgium, Sweden, Romania, and Israel continued to see an increase in COVID-19 cases which resulted into a nervousness & correction in equity markets globally. Hence this would be a key thing to watch out for in the coming weeks.
In addition, the Drug Controller General of India has given an Emergency Use Authorisation for Cadila's ZyCoV-D, the world's first and India's indigenously developed DNA-based vaccine for COVID-19 to be administered in humans including children above 12 years of age and adults.
FII and DII data
Foreign institutional investors (FIIs) net sold shares worth Rs 2,287.03 crore, while domestic institutional investors (DIIs) net bought shares worth Rs 119.30 crore in the Indian equity market on August 20
Stock Specific News:
Infosys | Finance Minister Nirmala Sitharaman has summoned Infosys MD & CEO Salil Parekh to explain tech glitches in the new income tax e-filing portal developed by the company.
Adani Enterprises | Sebi held the initial public offering (IPO) of Adani Wilmar due to an investigation against Adani Enterprises.
HDFC Bank | The bank has executed agreements to acquire 5.2 percent in fintech start-up Mintoak Innovations for Rs 10.27 crore.
Cadila Healthcare | Zydus Cadila has received the Emergency Use Authorization (EUA) from the Drug Controller General of India (DCGI) for ZyCoV-D, the world’s first Plasmid DNA vaccine for Covid-19.
Aurobindo Pharma | The company said its Rs 450-crore deal to acquire a 51 percent stake in Cronus Pharma Specialities India Pvt Ltd has been canceled.
GAIL India | The company will foray into ethanol and hydrogen production and is also looking to expand its presence in the petrochemicals segment.
Adani Total Gas | The company has acquired a 50 percent stake in Smartmeters Technologies, a manufacturer of gas meters, for Rs 1 crore.
Ujjivan Financial Services | The company’s Independent Director Rajesh Jogi has resigned from the board effective August 22.
SpiceJet | The airline has launched 14 new flights including 12 non-stop flights.
Arvind Fashions | The company raised Rs 439 crore from marquee investors including promoters at a price of Rs 218.50 per equity share.
TTK Prestige | The company said it has reached a long-term settlement with the permanent workmen at the manufacturing unit at Khardi, Maharashtra.
SRF | The company’s board will meet on August 31 to consider the issue of bonus shares.
Bank of Maharashtra | Lalit Kumar Chandel has been appointed Government Nominee Director of the bank.
Aurobindo Pharma | The company approved the termination of a binding agreement with Cronus Pharma Specialities India for the acquisition of 51% ownership in Cronus Pharma for Rs 420 crore.
Karda Constructions | Elara India Opportunities Fund further increased stake in the company, buying additional 28 lakh equity shares at Rs 22.45 per share
Exxaro Tiles | Nexpact acquired 2,39,349 equity shares in the company at Rs 121 per share, whereas Societe Generale sold 2.5 lakh equity shares in the company at Rs 121.76 per share
KCP Sugar & Industries Corporation | CARE downgraded the rating on long-term bank facilities to A- from A and outlook to Negative from Stable.
GE Power India | ICRA reaffirmed the long-term rating for the line of credit as A+ and revised the outlook to Negative from Stable, and the short-term rating for Line of Credit is reaffirmed as A1.
KPI Global Infrastructure | The company has successfully commissioned a new capacity of 2.05 MW (DC) into the existing solar power plant under IPP Category to the industrial customer against their Power Purchase Agreement (PPA).