Investors book profit ahead of US Fed meet outcome; Sensex drops 271 pts

In the broader markets, the BSE MidCap index slipped 0.95 per cent while the BSE SmallCap index dipped 0.68 per cent.

12:28 PM

Gold extends losing streak to fourth day on worries over Fed taper talk

Gold prices fell on Wednesday for a fourth straight session, hurt by a stronger dollar as investors awaited the outcome of the U.S. Federal Reserve's latest meeting for clues on possible tapering of economic support measures. Spot gold was down 0.1 per cent at $1,857.55 per ounce, by 0320 GMT. U.S. gold futures were steady at $1,857.50. READ MORE

12:27 PM

IPO Update :: Sona BLW crosses 50% subscription mark

> The issue closes for subscription today

12:16 PM

CEAT, HUL: These 5 stocks can rally up to 15% on conquering MACD hurdle

Technical indicators can be useful parameters to gauge the short-term price movement in a stock or an index to either make quick profits or trim losses. One of the measures, Moving Average Convergence Divergence (MACD), is used to assess the power of price movement in a market. The indicator is a momentum indicator, derived from moving averages, and is calculated by subtracting 26-days exponential moving average (EMA) from the 12-EMA. READ MORE

12:08 PM

Adani Power, Transmission, Total Gas slip 5% for third straight day

Shares of three Adani Group companies - Adani Power (Rs 127.25), Adani Transmission (Rs 1,369.35) and Adani Total Gas (Rs 1,394) – were locked in lower circuit for the third straight day, down 5 per cent each, on the BSE on Wednesday despite the National Securities Depository Ltd (NSDL) clarifying that the accounts of three foreign funds - holding nearly Rs 43,000 crore worth of Adani group shares - are 'active' and not frozen. READ MORE

11:55 AM

Top-performing Indian funds make winning bets on chemical firms stocks

India’s best-performing stock funds have one thing in common: they’ve bet on companies that make the chemical substances used in items ranging from lip balms to crop-boosting fertilizers. Chemicals producers make up at least 14% of the portfolio for three funds that have delivered the biggest returns this year among those with at least $500 million in total assets, according to Bloomberg-compiled data. Those bets have paid off thanks to rising global appetite for specialty chemicals in industries such as automobiles and cosmetics amid a recovery from the pandemic. READ MORE

11:39 AM

Geojit Financial on KIMS & Dodla Dairy IPOs

Krishna Institute of Medical Sciences (KIMS): At the upper price band of Rs.825, KIMS is available at EV/EBITDA of 18.6x (FY21) which appears fully priced. We expect to see a recovery in patient footfalls and occupancy rates as lockdown restrictions ease. The company’s leadership position in the AP& Telangana along with expansion into new markets and increased bed capacity will be strong levers for future growth. We assign subscribe rating with a long term perspective.

Dodla Dairy (DDL): At the upper price band of Rs.428, DDL is available at P/E of 16.4x (annualized basis on FY21E EPS of Rs.26.1) which appears fully priced. We assign a “Subscribe” rating for the issue on a long-term basis considering the significant market presence, brand visibility, plans to launch new milk products in the near term and lean balance sheet.

11:29 AM

Top losers on BSE at this hour

Company	PRICE(rs)	CHG(%)
Future Consumer	10.35	-8.73
Adani Transmissi	1369.35	-5.00
Adani Total Gas	1394.00	-5.00
Adani Power	127.25	-4.97
Future Retail	69.05	-4.96

11:20 AM

Flexicap schemes find favour among investors amid broad market rally

The newly-created flexicap category is gaining popularity among investors. The data from Association of Mutual Funds in India (Amfi) shows that that equity scheme category has received net inflows of over Rs 2,700 crore in the past three months.

 

Market participants say that investors are using flexicap schemes to spread their bets across the investing universe as the rally has become more broad-based. “Flexi cap is the most attractive category in the equity segment. READ MORE

11:08 AM

LIC Housing Finance dips 4% on profit booking post Q4 results

Shares of LIC Housing Finance slid 4 per cent to Rs 501 on the BSE in intra-day trade on Wednesday as investors booked profit after the company reported a good set of numbers for the March quarter (Q4FY21) on the operating and business growth front. However, a steep rise in provisions dented profitability. The board approved a dividend at 425 per cent i.e. Rs 8.50 per equity share of Rs 2 each for the financial year 2020-2021. READ MORE

10:56 AM

MARKET UPDATE:: Sensex extends fall

10:55 AM

India inflows may get boost with category-I FPI status for Cyprus funds

The Indian government has classified foreign portfolio investors (FPIs) from Cyprus as eligible for taking up Category-I licence — a move that could boost investment from the region into India. Cyprus is the third non-FATF country, after Mauritius and UAE, to be given the exemption --- a move that could prompt more and/or larger funds from the European Union to route their investments through the island nation. READ MORE

10:46 AM

NEWS ALERT :: Alembic Pharma JV receives US FDA's final approval for Testosterone Topical Solution

Alembic Pharmaceuticals Limited (Alembic) today announced that its joint venture Aleor Dermaceuticals Limited (Aleor) has received final approval from the US Food & Drug Administration (USFDA) for its Abbreviated New Drug Application (ANDA) for Testosterone Topical Solution USP, 30 mg per pump actuation.

10:44 AM

Asian central banks build dollar war chests, prep for US Fed policy

Asia’s emerging economies have accumulated their highest level of foreign-exchange reserves since 2014, offering a powerful buffer against market volatility if the U.S. Federal Reserve changes course. Central bank holdings of foreign currencies in the region’s fast-growing emerging economies hit $5.82 trillion as of May, their highest since August 2014. When China’s cash pile is stripped out, emerging Asian central banks’ reserves stood at an all-time high of $2.6 trillion. READ MORE

10:35 AM

MARKET VIEW | V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services

A disturbing trend in the market in recent days is the rise of low-grade stocks- the so-called 'cats & dogs' of the market. Some companies in debt trap and heading for bankruptcy and some already there are being pushed up by the new breed of retail investors. Market history tells us that these 'cats & dogs' will be butchered in a  bear ambush. Since valuations are high a bear ambush may happen anytime. So investors have to be extremely careful while playing the small-cap game. Bluechips will recover from a bear ambush but cats & dogs will be slaughtered.

 

The Fed commentary today will be keenly watched by markets globally. Brent at $74 is negative for Indian macros. But the market is likely to ignore this and focus on the unlock trade.

10:26 AM

KR Choksey recommends 'Subscribe' rating on Dodla Dairy IPO

Dodla Dairy's (DDL) IPO size is Rs 520 Cr, which includes a fresh issue of INR 50 Cr and offer for sale (OFS) of INR 470 Cr. The price band of the issue is INR 421-428. On the upper price band of INR 428 and EPS of INR 14.57 for FY20, the P/E ratio works out to be 47.8x. If we annualise the 9MFY21 EPS, then P/E ratio works out to be 15.4x, which is reasonable. If we compare DDL with its peers like Hatsun Agro and Heritage Foods, then Heritage Foods is available at a P/E of 12.1x, which is lower than DDL. Though, Hatsun Agro is available at a P/E of 79.1x its FY21 earnings, which is significantly higher than DDL. We believe, DDL has a good potential for future and is also available at a reasonable valuation compared to its peers. As a result, we recommend a ‘SUBSCRIBE’ rating for the DDL IPO.