News Shots

  • The Government bans 59 Chinese apps including TikTok. The move is aimed at “safeguarding” the interests of crores of Indian mobile and internet users. This decision is a targeted move to ensure the safety and sovereignty of Indian cyberspace, the Ministry of Information Technology said in a notification. (We’ll have to wait and watch how China will retaliate in order to understand the long term implication)
  • Kishore Biyani, is all set to exit Future Retail through a stake sale to Mukesh Ambani’s Reliance Retail. According to the deal, all businesses under the Future Retail basket, including Big Bazaar, FBB, Food Hall and Central, Future Supply Chain Solutions and Future Lifestyle Fashion Ltd will also be sold to Reliance Industries. (This is HUGE!!)
  • Prime Minister Narendra Modi will be addressing the nation today at 4 pm! It’s unclear what the PM will be talking about but his address comes on the day when Unlock 1 will be ending and Unlock 2 begins 1 July.
  • 4 gunmen attacked the Pakistan Stock Exchange building and opened indiscriminate firing on everyone. Reports said two of the four terrorists have been killed.
  • HDFC Bank is planning to raise Rs. 10,000 – 13,000 crore via share sales in India (QIP) and issuance of American Depository Receipts (ADRs) in the third quarter of 2020-21 (Please Google and learn what ADR is)
  • Cipla Limited and Boehringer Ingelheim India Pvt. Ltd. (BI) today announced their partnership in India to co-market three new oral anti-diabetics drugs. It is approved for glucose-control in patients with type-2 diabetes; it is also approved for reducing the risk of cardiovascular death, in patients with type-2 diabetes and established cardiovascular disease.
  • Andhra Paper share price added more than 17 percent intraday yesterday after Radhakishan Damani-owned Bright Star Investments acquired stake in the company.
  • Aditya Birla Fashion and Retail has decided to open its Rs 995 crores rights issue for subscription next week. The record date for the rights issue has been fixed as July 1. The issue will open for subscription on July 8 and will close on July 22. The rights issue price has been set at Rs 110 for one fully-paid share of face value Rs 10—14 per cent discount to its last closing price of Rs 128.
  • Indian Bank plans to raise about Rs 5,000 crore through bonds to fund its business growth.
  • Tata Steel posted a consolidated net loss of Rs 1,095.68 crore for the quarter ended March 31, compared with a net profit of Rs 2,430.92 crore in the corresponding quarter last year.
  • MRF posted over two-fold surge in consolidated net profit to Rs 679.02 crore for the fourth quarter ended March 31.

What to expect today?

  • Yet again, we saw higher consolidation and lesser volatility in the market yesterday which is good. There wasn’t a general trend in the market. Few banking and auto stocks fell heavily.
  • The US market has been positive after good housing sales data. Asian markets are also up. SGX NIFTY is currently trading at 10,321, indicating a gap up opening in the Indian Market. 
  • After multiple days of consolidation, NIFTY might give good movement today. Under normal circumstances, NIFTY is likely to trade between 10,200 and 10,400 today. Watch out for those levels for a breakout or breakdown. There is support at 10,240 and 10,200, and resistance at 10,360 and 10,400. Also, volatility can be expected later in the day because of the PM speech.
  • Highest Call Open Interest at 10,500, followed by 10,000. Highest Put Open Interest at 10,000, followed by 9,800.  
  • FIIs ended as net sellers, selling nearly Rs 2000 crores. DIIs bought strongly for nearly Rs 1000 crores.