Stocks of Reliance Industries, Wipro, Tata Motors, Maruti Suzuki will be in focus today

By: | Published: August 31, 2017 9:15 AM

Indian stock markets are likely to open higher tracking the positive closing of US markets after stronger-than-expected US economic growth outweighed the geopolitical concerns.

The early indicator of NSE Nifty 50, SGX Nifty Futures was trading little changed, down 0.2% at 9,861.5. (Image: BSE)

Indian stock markets are likely to open higher tracking the positive closing of US markets after stronger-than-expected US economic growth outweighed the geopolitical concerns. The early indicator of NSE Nifty 50, SGX Nifty Futures was trading little changed, down 0.2% at 9,861.5.

These stocks will be in focus today after major announcements:

Reliance Industries Ltd yesterday said it will make an offer for issuing non-convertible debentures (NCDs) worth Rs 2,500 crore next week. At the Annual General Meeting held on July 21, 2017 it is proposed to make an offer for issuance of non-convertible debentures…on a private placement basis on Monday 4 September 2017 aggregating Rs 2,500 crore to be listed on the stock exchanges,” the company said in a filing to BSE.

The government has received bids for 7 per cent stake in India’s largest power producer NTPC, which will fetch about Rs 9,100 crore to the exchequer. At the end of the two-day offer for sale (OFS), the government retained over-subscription it had received from institutional investors after retail investors bid for only 73 per cent of the quota allocated for them.
The government had planned to sell over 41.22 crore shares, or 5 per cent holding, through the two-day OFS, with an option to retain a similar portion in case of over-subscription. On the opening day yesterday, institutional investors bid for 46.35 crore shares against 32.98 crore shares offered to them, according to stock exchange data. Today, retail investors bid for 8.45 crore shares against 11.58 crore shares on offer. NTPC yesterday said it has signed a term loan agreement for Rs 3,000 crore with ICICI Bank for partially funding its capital expenditure. “A term loan agreement for Rs 3,000 crore was signed with ICICI Bank Ltd on August 29,” NTPC said in a statement.

India’s third-largest software services firm Wipro yesterday said its shareholders have approved the company’s Rs 11,000-crore buyback proposal. The Bengaluru-based company has fixed 15 September as the record date for the buyback offer. It had said last month that it will purchase up to 343.75 million shares at Rs 320 (USD 4.95) per scrip. The total size of the offer will be up to Rs 11,000 crore (USD 1.7 billion). The voting, which ended on August 28, saw 99.68 per cent of the votes being cast in the favour of the buyback offer.

Mid and large sized cars, luxury vehicles, hybrids as well as SUVs are likely to cost more as the Cabinet yesterday cleared the issuing of Ordinance to raise the GST cess on them to a maximum of 25 per cent, from 15 per cent at present. Car prices had dropped by up to Rs 3 lakh following the implementation of the Goods and Services Tax (GST) from July 1 and the ordinance is being seen as an attempt to rectify the anomaly where rates of certain common use items had gone up but luxury cars were costing less under the new regime. The shares of carmakers will be in focus today such as Tata Motors, Maruti Suzuki, Mahindra & Mahindra.

The UK government’s development finance institution CDC Group Plc yesterday offloaded nearly 5 per ent stake in Ujjivan Financial Services for more than Rs 212 crore, through an open market transaction. According to the bulk deal data available with NSE, CDC Group sold 59 lakh shares, amounting to 4.93 per cent stake, of Ujjivan Financial Services.

Australia yesterday said Adani Group’s USD 16.5-billion Carmichael coal project is moving ahead albeit slower than what it would have liked. Australia’s Trade, Tourism and Investment Minister Steven Ciobo said the Adani Group has completed the process and the project would be beneficial for all the stakeholders. On account of this statement, Adani Group shares will be in watch today.

State-owned NTPC yesterday said it has signed a term loan agreement for Rs 3,000 crore with ICICI Bank for partially funding its capital expenditure. “A term loan agreement for Rs 3,000 crore was signed with ICICI Bank Ltd on August 29,” NTPC said in a statement.

Indian markets on Tuesday:

Indian stock markets closed higher on Wednesday after surging in the mid-morning trade as the geopolitical tensions over North Korea missile launch seemed to ease. The buying in the shares of blue-chip companies Reliance IndustriesHDFC, and HDFC Bankhelped the benchmark indices to recover much of yesterday’s slump. BSE Sensexadvanced 258 points to close at 31,646.46 points while NSE Nifty again settled below 9,900-mark, however, it ended up 88 points at 9,884.4 points. Out of 51 scrips on the broader Nifty, 38 settled higher, 11 ended in red while 2 were unchanged at the close.

Indian Rupee on Tuesday:

The rupee surrendered its early gains to end the session on a flat note at 64.01 against the US dollar today amid the American currency gaining some lost ground against its major rivals overseas. The domestic currency closed with a marginal 1 paisa gain, helped by a mild dollar selling by exporters and banks. The rupee also got support from a rebound in domestic
equities that witnessed a sustained buying by domestic institutional investors, a forex dealer said. The trigger point behind early session rise in the rupee was a bumper start for the GST regime which saw tax collections worth Rs 92,283 crore for July from just 64.42 per cent of the total taxpayer base.

US markets on Tuesday:

U.S. stocks rose on Wednesday after stronger-than-expected U.S. economic growth outweighed concerns about escalating tensions between the United States and North Korea and uncertainty in the aftermath of Hurricane Harvey. The Dow Jones Industrial Average rose 27.06 points, or 0.12 percent, to end at 21,892.43, the S&P 500 gained 11.29 points, or 0.46 percent, to 2,457.59 and the Nasdaq Composite added 66.42 points, or 1.05 percent, to 6,368.31.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Switch to Hindi Edition