India witnesses record surge of 19,906 COVID-19 cases, total count crosses 5.28 lakh. The global death toll has crossed 5 lakhs and as we have been seeing in the past, a reality check keeps happening in between, and thus, the global market is down. The lockdown is being strengthened in many places while it is being relaxed elsewhere.
Gaurav Taneja (Flying Beast) controversy: DGCA sends show-cause notice to AirAsia India’s senior executive. This is a demonstration of how a YouTuber or a social media influencer can derail a huge business or even affect a whole industry. For those who do not know about the developments, please watch Flying Beast’s video for more information – https://www.youtube.com/watch?v=zSuDRcu15H0
ITC beat analysts’ estimates and reported a 9 per cent rise in standalone net profit for the quarter ended March, despite a marginal fall in revenue.
Radhakishan Damani’s Bright Star Investments acquired 5,00,000 shares in Andhra Paper at Rs 206.23 per share. (Total investment of Rs 10.3 crores)
Adani Green Energy has got shareholders’ approval for raising up to Rs 2,500 crore in one or more tranches to sustain business growth and finance expansion plans.
S&P Global Ratings has lowered its ratings on Bajaj Finance to junk, reflecting the ratings agency’s view that economic risks have increased for banks and financial institutions operating in India.
IDBI Bank has approved a plan to offload 27 per cent stake in IDBI Federal Life Insurance (IFLI) at a combined value of Rs 595 crore. Interestingly, this has been the trend among many banks for capital raising, that is, to sell their shares in their insurance selling subsidiary.
US Based Carlyle Group will buy 20% stake in Piramal Enterprises’ Piramal Pharma for around 490 million USD (ober 3,700 crores INR)
Prashant Jain, chief investment officer of HDFC Asset Management has sold a third of his stake worth Rs 74.79 crore in the fund house. (This is interesting keeping in mind that UTI AMC has announced their IPO)
Coal India posted a 23 per cent year-on-year fall in consolidated net profit at Rs 4,625.76 crore for the quarter ended March 31. It had posted a net profit of Rs 6,026.47 crore in the corresponding quarter last year.
What to expect today?
US markets closed strongly in the red on Friday, as the Fed capped dividends and banned share buybacks in banking stocks. This led to huge selling pressure in the banking sector. Also, adding to the negative sentiment, the global COVID 19 cases has crossed 1 crore and the death tally has crossed 5 lakhs.
The Global Market has been completely negative. All the Asian markets are down after opening today. SGX NIFTY is currently trading at 10,259, indicating a gap down opening in the Indian Market.
NIFTY is expected to consolidate. In that case, NIFTY is likely to trade between 10,200 and 10,400 today. There is support at 10,260 and resistance at 10,325 and 10,425
Highest Call Open Interest at 10,500, followed by 10,000. Highest Put Open Interest at 10,000, followed by 10,500.
FIIs ended as net sellers again on Friday. DIIs bought strongly for over Rs 1000 crores.
Banking, Automobile and IT sector to be watched today. Reliance and ITC continue to be in regular watch.