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  • IRCTC share price climbs above ?4,000. Experts give 'buy on dips' tag
    2021-09-20, By: System Administrator

    Indian Railway Catering and Tourism Corporation or IRCTC share price today made a new lifetime high of ?4,013 apiece. The Indian Railways' PSU stock opened with an upside gap of ?50.30 per equity share and went on to climb new high — logging over 5.50 per cent intraday gain in early morning trade session. According to stock market experts, this sharp rise in IRCTC share price can be attributed to recent railways' asset monetization plan where market is assessing big gains for the IRCTC through more New Delhi railway station like lounges and private trains. They said that IRCTC stocks are in overbought condition and may witness sharp correction after profit-booking trigger. However, they also expected sharp bounce back in the counter as overall sentiment for IRCTC shares are highly bullish.

    Highlighting the reason for rise in IRCTC share price; Rahul Sharma, Co-Founder at Equity99 said, "IRCTC shares have been rallying continuously from ?2500 levels over aggressive plans of expansion and asset monetization. The rally was triggered after the company announcing a building world-class lounge at Delhi railway station. The company has also tied up with aviation companies and is no more an e-ticketing company. We are still bullish on this counter for the long term but in short term, we expect some correction as it has made a huge rally."Indian Railway Catering and Tourism Corporation or IRCTC share price today made a new lifetime high of ?4,013 apiece. The Indian Railways' PSU stock opened with an upside gap of ?50.30 per equity share and went on to climb new high — logging over 5.50 per cent intraday gain in early morning trade session. According to stock market experts, this sharp rise in IRCTC share price can be attributed to recent railways' asset monetization plan where market is assessing big gains for the IRCTC through more New Delhi railway station like lounges and private trains. They said that IRCTC stocks are in overbought condition and may witness sharp correction after profit-booking trigger. However, they also expected sharp bounce back in the counter as overall sentiment for IRCTC shares are highly bullish.

    Highlighting the reason for rise in IRCTC share price; Rahul Sharma, Co-Founder at Equity99 said, "IRCTC shares have been rallying continuously from ?2500 levels over aggressive plans of expansion and asset monetization. The rally was triggered after the company announcing a building world-class lounge at Delhi railway station. The company has also tied up with aviation companies and is no more an e-ticketing company. We are still bullish on this counter for the long term but in short term, we expect some correction as it has made a huge rally."

    Advising investors to avoid fresh position in the counter; Santosh Meena, Head of Research, Swastika Investmart Ltd said, "IRCTC stocks have given a vehicle move in the last few days where all momentum indicators are suggesting an overbought territory that may lead to some correction or consolidation in the coming days where ?4000 is a psychological hurdle. On the downside, ?3400 to ?3200 will be an immediate demand zone at any correction and any correction in this counter will be a buying opportunity for long-term investors."

    Advising IRCTC shareholders to hold the counter further; Ravi Singhal, Vice Chairman at GCL Securities said, "IRCTC shares are expected to remain bullish throughout this month. But, fresh buying can' be advised without sharp correction. Those who hold IRCTC shares are advised to further hold the counter for immediate target of ?4270 and ?4420 apiece.'

    Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.

  • Vijay Kedia portfolio chemical stock falls 6% in one week. Should you buy now?
    2021-09-20, By: System Administrator

    Vijay Kedia portfolio: In last one week, this chemical share came down from ?689.65 per stock levels to ?649.15 apiece — shedding around 6 per cent in this period.

    Vijay Kedia portfolio stock Sudarshan Chemical Industries has fallen around 6 per cent this week. Sudarshan Chemical shares came down from ?689.65 per stock levels to ?649.15 today (at 1:07 PM on NSE) in last 5 trade sessions — shedding around 6 per cent in this period. The chemical company has informed Indian exchanges that one of its marquee investors — Anuj Narayandas Rathi — is booking profit and experts see this as major reason for slide in Sudarshan Chemical share price.

    According to stock market experts, company's financial and business outlook is quite strong and market is expecting strong Q2 FY2021-22 numbers in comparison to Q1 FY2021-22 numbers of the company. They went on to add that current profit-booking should be seen as 'buying opportunity' by retail investors as the stock may bounce back after this profit-booking.

    Speaking on the reason for dip in this Vijay Kedia portfolio stock; Avinash Gorakshkar, Head of Research at Profitmart securities said, "Pune-based Rathi family has huge investments in this company. The company has recently informed Indian exchanges that one of the Rathi family members, who have investments in this company, is booking profit. So, this profit-booking could be the reason for dip in Sudarshan Chemical share price. However, this dip won't last long as the stock is giving big opportunity to retail investors to take advantage of this dip and buy the counter at discounted price."

    Highlighting the business outlook of the company, Avinash Gorakshkar of Profitmart Securities said, "Company is mainly in agro chemical, pigment and dyes business. After curbs on Chinese imports, it is expected to get benefit in its pigment dyes business. Apart from this, its agro chemical business is expected to get better moolah after the normal monsoon forecast by the IMD (India Meteorological Department). So, Sudarshan Chemical business outlook for pigment, dyes and agro chemical segment looks promising. One can expect strong quarterly numbers from the company in upcoming result season."

    Advising investors to buy Sudarshan Chemical stocks; Ravi Singhal, Vice Chairman at GCL Securities said, "This Vijay Kedia portfolio share may further go down up to ?625 apiece. So, my advice is to buy this counter at around ?625 levels for 3 to 6 months target of ?725 to ?775 per equity share levels. However, one must maintain stop loss at ?588 apiece while taking this position in the chemical counter."

    Sudarshan Chemical management recently informed Indian exchanges about the profit booking by Rathi family member citing, "This is to inform that the Company has received a disclosure in ‘Form C’ under Regulation 7(2) of the SEBI (Prohibition of Insider Trading) Regulations, 2015, as amended from time to time, dated 16th September, 2021, with respect to the sale of Equity Shares by Anuj Narayandas Rathi HUF, a member of the Promoter Group of the Company."

    Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.

  • IRCTC share price climbs new peak. What is driving the rally?
    2021-09-15, By: System Administrator

    IRCTC share price rally is expected to continue as market has gone highly bullish over the aggressive expansion of IRCTC in hospitality sector and Indian Railways' asset monetisation, experts believe

    Indian Railway Catering and Tourism Corporation or IRCTC share price today climbed new peak of ?3,587 per equity share. The Indian Railways' PSU stock opened today with an upside gap of ?51.25 and went on to hit new lifetime high — logging around 4.5 per cent rise in the early morning deals. According to experts, this IRCTC stock price rally is expected to continue as market has gone highly bullish over the aggressive expansion of IRCTC in hospitality sector and Indian Railways' asset monetisation move. They said that IRCTC is tried and tested player in running private trains and now after the news of world class lounge at New Delhi railway stations, street observers have come to know that IRCTC will be a beneficiary in platform monetisation as well.

    Speaking on the reasons that are driving IRCTC share price; Ravi Singhal, Vice Chairman at GCL Securities said, "IRCTC is aggressively focusing on its hospitality business by tying up with hotels, tour and travel service providers and local food suppliers. It is also giving special focus to its food chain business in running trains. Apart from this, IRCTC has made tie-ups with aviation companies as well. So, market has reaslised that in coming times, it is no more going to remain an Indian Railways' e-ticket booking platform. It will emerge as A-Z hospitality service provider."

    Echoing with Ravi Singhal; Santosh Meena, Head of Research at Swastika Investmart Ltd said, "IRCTC is in strong bullish momentum where it has gained more than 100 per cent in 2021 and crossed the psychological level of ?3000. The correction due to Covid-19 was a great opportunity for portfolio investors to latch onto it as everyone wanted to buy it before Covid-19 at any price because of its monopoly and future growth outlook. The reopening theme is getting momentum whereas it has a tailwind of stock split news. Railways' asset monetization plan is another trigger for its re-rating."

    On IRCTC getting benefit of Indian Railways' asset monetisation move, Ravi Singhal of GCL Securities said, "There are more private trains expected to run on the railway tracks. Since, IRCTC is a tried and tested player in this business; it is expected to get major benefit of this. Apart from this, the Indian Railways is going to monetize its platforms as well. After the news of IRCTC's world class lounge at New Delhi railway station, Dalal Street has realised that there is business opportunity for IRCTC in Indian Railways' platform monetisation too."

    Asked about the outlook for IRCTC share price; both experts said that IRCTC shares are positive and it may go up to ?4000 in mid-term while in the long-term, it may go up to ?5000 to ?5100 per equity share levels.

  • Nifty 50 at 17,500 level! What’s next? The road ahead for you as a stock market investor
    2021-09-13, By: System Administrator

    The key benchmark Indian stock market index, Nifty 50 is swinging at an unprecedented 17,500 levels (approx.) and the free-float market-weighted stock market index, Sensex breached elusive 55,000 mark recently. The Indian stock markets witnessed the Bull Run and massive rally for the first time ever, and it may make record of new levels every day. Keeping all this in mind, it becomes extremely important for you as an investor to do a fundamental check about whether all these unprecedented runs are being supported by basic data or not, and how much strength do these levels possess? 

    Ravi Singhal, Vice Chairman of GCL Securities Private Limited, suggests that there is no need to worry about a higher level of these stock market indices because the price of any stock or index is always a reflection of its earning base. All of us are well aware of the fact that the pandemic has hit the earnings of businesses very badly. Hence, now when businesses are bouncing back into financial action, the earnings of almost every company is improving in their quarterly results. 

    If we take a look at the consolidated earnings of Nifty 50 companies, it was at almost Rs 358 per share, average in August 2020, and has been continuously improving since then. The same figure was at an average of Rs 446 in April 2021 and Rs 607 in Aug 2021. Therefore, if we look at the PE data of this year, it is continuously on a decline, even though the key indices are touching new levels.

    Let’s take a look at the data to check what all it reveals: –

     

    Date

    Nifty Closing

    Consolidated
    Earning

    P/E

    1 Apr, 2021

    14,867

    442

    33.60

    3 May, 2021

    14,634

    464

    31.54

    1 Jun, 2021

    15,575

    539

    28.87

    1 Jul, 2021

    15,680

    555

    28.26

    2 Aug, 2021

    15,885

    584

    27.21

    12 Aug, 2021

    16,364

    623

    26.25

     Keeping in mind the above-cited data, now, a big question emerges here – Is it worth buying in Nifty 50 at 26.25 P/E? To answer this, we have to look into some of the key facts here:- 

    1)-Historical P/E: FY 2020-21 was an exception, therefore we cannot take the data of this year into consideration while calculating the average. However, if we look at historical data of the past 5 years before FY’21, the Nifty 50 P/E average was 24.78 from the beginning of FY 2015-16 till the end of FY 2019-20.

     

    Year

    Nifty 50 Average PE

    FY 2015-16

    21.78

    FY 2016-17

    22.69

    FY 2017-18

    25.46

    FY 2018-19

    26.60

    FY 2019-20

    27.38

     Therefore, at 26.25 level it is almost 6% higher than last 5 years average. 

    2)-Nifty 50 P/E calculation: As we know, NSE has changed the calculation method for Nifty 50 P/E. Now it is calculated on the basis of consolidated earnings of all the companies instead of standalone P/E. This calculation has changed P/E data significantly. It is important to note here that after that this calculation change came into effect, Nifty 50 P/E immediately came at 33.2 on 31st March 2021 from 40.43. 

    3)- Future growth: If we evaluate the P/E of any company or any of the indices, we must look at the future earnings expectations as well. Current higher P/E may be a result of market expectations of higher earnings in the future.

     

    Conclusion: P/E is the most important factor for market strength analysis and it is running higher than its 5 years average. It may be the result of the market expectation of higher earnings growth of Nifty 50 companies but at the same time, we also expect that earnings will improve further as the festive season will perform well and the monsoon is going good all over India. Finally, long-term investors who have 3-5 years of investment horizon should not fear at all from the levels of 16,500 and 55,000 of Nifty 50 and Sensex respectively.

     

  • Money matters : Being the sher of the share bazaar
    2021-09-13, By: System Administrator

    Investors who deal with the stock market are  well aware of the fact that the share bazaar keeps witnessing highs and lows. In order to make good returns from the stock markets, a general thumb rule followed by seasoned investors is to invest when the market is facing lows and sell when the market is at a particular high.

    During the spread of the Coronavirus pandemic, the stock market and benchmark indices witnessed some of the unprecedented lows of the past few years. However, the grand success in manufacturing the Coronavirus vaccine gave a booster shot to the confidence of investors, and the market bounced back to near-normalcy.

     

    In fact, there have been instances of the stock market showing many best-ever and never-before highs. And, with these in the equity market also sparked a state of  dilemma among investors about what should be the ideal course of action to be followed when the stock market is rallying at the top and Bull Run is being witnessed.

    To help investors choose the right path amid the market showing a positive sign and continuously hovering at the top, here are a few options that an investor might consider in order to reap good returns from the share bazaar:

    Infosys

    Infosys is a technology giant, and the current Coronavirus pandemic has not impacted the IT sector much. It is due to the system-based nature of their work and the least disruptions in the incoming work from the overseas markets. Due to strong fundamentals, Infosys is a suggested.

    BUY and HOLD:

    The range of Infosys Buy is from Rs 1440 to 1470. The stop loss threshold for Infosys is 1414. The target price for this particular share is in the range of Rs 1560, Rs 1640 and Rs 1700.

    Hero Motocorp

    The automobile did not lose its shine despite its separation from the Honda a while ago. Owing to a solid cash flow and robust rural demand, the two-wheeler maker is a certain Buy from the experts.

    BUY range, Stop-Loss and Target Price:

    The purchase of this equity share can be made in the range of Rs 2,870 to Rs 2,910. The stop-loss limit for Hero is Rs 2,744. The target price for this stock can be taken at in the range of Rs 3,100, 3,300 and 3,500.

    Delta Corp

    The diversified group has been a promising stock bet in recent years and has been suggested by many market analysts and experts. During the pandemic times, Delta Corpactively invested in online gaming and hopes to scale the business even further. With the mass vaccination drive gaining momentum every day, Delta Corp is a suggested BUY.

    BUY range, Stop-Loss and Target Price:

    It is a Buy in the range of Rs 167 to Rs 177 with a stop loss at Rs 142. The target price for this stock can be in the range of Rs 195, 201 and 233. Despite the pandemic, the Indian stock market has displayed significant resilience.

    It has gained momentum from February 2021. Moreover, defeating all the challenges posed by the second wave of coronavirus and related obstacles, the Indian stock market has not flattened mercilessly and has shown ultimate recovery in recent months.

     

    The lows also provided the investors with an opportunity to invest in otherwise unaffordable stocks, benefits of which may be reaped in the years to come. However, for the stock market investors who have missed the bus, there are still a lot of excellent options to be explored for investment despite the market rallying at an unprecedented high.

    (The author Ravi Singhal, is the Vice Chairman of GCL Securities Limited.)

  • Reliance Industries shares extend rally after a breakout. Experts see more gain
    2021-09-06, By: System Administrator

    Reliance Industries share price rally may further continue as the large-cap stock has given fresh breakout after one year of consolidation, say experts

    Reliance Industries shares continued to rally for the second straight session on Monday with the index major hitting a new lifetime high of ?2,477.4 per share in early deals. Reliance Industries share price today surged more than 3% hitting a new high, after the oil-to-telecoms conglomerate stock closed at record high level on Friday. 

    Now, market experts see this rally in Reliance Industries shares to further continue as the large-cap stock has given fresh breakout after one year of consolidation and expect it to go up to ?3,000 levels in the next 9-12 months.

    Speaking on the fresh rally in Reliance Industries share price; Santosh Meena, Head of Research at Swastika Investmart Ltd said, "Reliance industries took leadership to take Nifty towards 17,500 levels where it has witnessed a breakout after one year of consolidation that may lead to a fresh leg of the bull run in this counter after a period of underperformance where ?2500 is an immediate psychological hurdle."

    On what next for the shareholders, Mudit Goel, Senior Research Analyst at SMC Global Securities advised that one should continue to hold the stock for next immediate short-term target of ?2600.

    On reasons for rise in the heavyweight, Ravi Singhal, Vice Chairman at GCL Securities said, "Reliance Industries Chairman Mukesh Ambani has recently announced to double the production of cheaper green hydrogen — announcing an aggressive foray into the green energy sector. Apart from this, after the Bharti Airtel's ?200 ARPU (Average Revenue Per User) announcement, market is making an assessment about the Reliance Jio ARPU at around ?160 to ?170 — leading to rise in valuations of Reliance Jio. Apart from this, progress in Reliance Saudi Aramco deal (said to be worth around $25 billion) was already there. So, all these fundamentals have together worked in favour of Reliance Industries share price rally and this may continue for next 9 to 12 months."

    Aasked about the next levels that one can see in Reliance Industries shares; Santosh Meena of Swastika Investmart Ltd said, "As I said, ?2500 is an immediate psychological hurdle but ?2850 is an imminent target. On the downside, ?2375 to ?2275 has become a strong demand zone."

    Ravi Singhal of GCL Securities has recommended that one can buy the RIL stock around ?2300 to ?2400 per stock levels for 9-12 months target of ?3000.

    Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.

  • Gold Price Today Sees Huge Drop; Rs 8,800 Down from All-time High. Right time to Buy?
    2021-09-06, By: System Administrator

    Gold price in India witnessed a huge drop on Monday. The yellow metal opened in red on September 6. On the Multi-Commodity Exchange (MCX), October gold contracts tanked 0.16 per cent to Rs 47,449 for 10 grams at 0910 hours. However, silver remained flat on Monday. The precious metal future was trading at Rs 65,241, 0.05 per cent up on September 6.

    In the international market, gold price on Monday hovered around a two-and-half-month peak. Spot gold was steady at $1,826.65 per ounce, as of 0048 GMT. US gold futures GCv1 eased 0.3 per cent to $1,828.60, Reuters reported. US nonfarm payrolls increased by 235,000 jobs last month, according to the date published by the US Labour Department. US dollar index was at its lowest level since August 4. Gold is considered a hedge against inflation and currency debasement, caused by massive amounts of stimulus measures.

    “International gold prices have started flat this Monday morning in Asian trade, but disappointing US jobs data signaled that the Federal Reserve could push back the timeline for tapering stimulus measures and kept downside capped in bullion. Technically, LBMA Gold breakout above $1823 level could see upside movement up to $1835-$1858 levels. However below $1817 could see a downside pressure up to $1810-$1800 levels. LBMA Silver above $24.00 level could see $25.10-$25.44 levels. Support is at $23.20-$22.70 levels,” said Sriram Iyer, senior research analyst at Reliance Securities.

    “Domestic gold prices could start flat this Monday morning, tracking overseas prices. MCX Gold October hold a strong support near Rs 47,350-47,200 levels. Resistance is at Rs 47,550-47,700 levels. MCX Silver December above Rs 65,000 level could see Rs 65,600-66,100 levels. Support is at Rs 64,500-63,700 levels. MCXBULLDEX September could trade on Bullish note within the range of Rs 14,200-14,450 levels,” Iyer added.

    “Gold prices surged significantly higher on significantly low job data and on the verge of breaking out the key resistance range of $1835-$1845/oz. The tepid job data count clearly indicates that the economic growth on consumer demand has taken few steps backward and impact of delta variant on global economies,” said Sandeep Matta, founder, TRADEIT Investment Advisor

    “Gold on MCX has also closed positive while closing above 47500 is encouraging. Bulls have technical medium-term advantage over bears on account of subdued economic growth, currency weakening, and dovish fed commentary. The overall outlook and setup are positive for today and market participants are advised to follow below key pivotal levels. Key level for gold August contract – Rs 47,386 Buy zone above – Rs 47,375 for the target of Rs 47,737-47,950. Sell Zone Below – Rs 47,375 for the target of Rs 47,200-47,040,” said Matta.

  • IRCTC shares give breakout above ?3000. Should you buy at current levels?
    2021-09-06, By: System Administrator

    IRCTC shares may continue to climb new highs as it has given fresh breakout above ?3000 today, say market analysts.

    IRCTC shares continued to rally for the second straight session on Monday with the Indian Railways' PSU hitting a new lifetime high of ?3,040 per share in early morning deals. The Indian Railway Catering and Tourism Corporation (IRCTC) shares today surged more than 5.5 per cent hitting new lifetime high. As per the market experts, IRCTC shares may continue to climb new highs as it has given fresh breakout above ?3000 today. They said that it may go up to ?5,000 per stock levels in next 18 to 24 months.

    Speaking on the immediate IRCTC share price target; Sumeet Bagadia, Executive Director at Choice Broking said, "The stock has given fresh breakout today at ?3,000 levels. One can buy this Indian Railways' PSU counter for immediate to short-term target of ?3200 to ?3400. However, one must maintain stop loss at ?2800 while taking this position in IRCTC shares."

    Speaking on the reason for such rise in IRCTC shares; Ravi Singhal, Vice Chairman at GCL Securities said, "IRCTC share price rally is mainly because of the company's aggressive focus on its hospitality business. Market has a sense that IRCTC is trying to emerge as A to Z solution provider in hospitality business as it has been joining hands with aviation and surface transport service providers and at the same time it is tying up with hotels. It is also aggressively focusing on its food-supply business by inking deals with local food-chain players. So, IRCTC is no more going to remain just an e-ticket platform."

     

    Santosh Meena, Head of Research at Swastika Investmart Ltd said, "IRCTC share price is in strong bullish momentum where it has gained more than 100 per cent in 2021 and crossed the psychological level of ?3000. The correction due to Covid-19 was a great opportunity for portfolio investors to latch onto it as everyone wanted to buy it before Covid-19 at any price because of its monopoly and future growth outlook. The reopening theme is getting momentum whereas it has a tailwind of stock split news. Railways' asset monetization plan is another trigger for its re-rating. The bullish momentum may continue while ?3070 to ?3100 is an immediate resistance zone; above this, it is likely to head towards the ?3300 level. If it witnesses any profit booking from the ?3070 ?3100 resistance zone then ?2775 to ?2700 will be a good buying zone."

    On his view on IRCTC share price target, Ravi Singhal of GCL Securities said, "IRCTC is a portfolio stock and one should buy this counter for next 18-24 months target of ?5,000 per equity levels."

  • Why analyst expects IRCTC shares to double in 2 years
    2021-09-02, By: System Administrator

    IRCTC share price may double in next two years as street is highly bullish on IRCTC's strong focus on hospitality and private train business, say stock market experts.

    IRCTC share price today climbed new lifetime peak of ?2,765.40 per equity share. IRCTC shares today opened with an upside gap of ?3 at ?2,755 and hit an intraday high of ?2,765.40 — its new lifetime high. However, profit-booking triggered and the stock came down at ?2,723 (at 11:13 AM at NSE) — logging around 1 per cent loss from its Tuesday close price of ?2752. According to stock market experts, IRCTC share price may double in next two years as street is highly bullish on IRCTC's strong focus on hospitality and private train business.

    Expecting further rise in IRCTC share price; Ravi Singhal, Vice Chairman at GCL securities said, "Major reason for IRCTC share price hitting lifetime high on a regular basis is its aggressive focus on the hospitality business. On one hand it is tying up with hotels, aviation and surface transport service providers while on the other hand it is strengthening its food supply business through tie-ups with local supplier. Market is sniffing its aim to provide A-Z solution in near future while offering tour and travel packages. Other reason for markets being bullish on IRCTC share price is government's focus on running private trains. Since, IRCTC is a tried and tested player in running a private train; it is going to emerge major beneficiary of this government planning."

    Ravi Singhal of GCL Securities went on to add that in coming times, IRCTC will not just be an e-ticket platform. It will be in running trains, providing A-Z hospitality solution creating new and strong avenue for revenue in tour and travel business. It is also having a strong focus on the food supply business in a running train by replicating the business model of Zomato, Swiggy, etc.

    Advising investors to buy IRCTC shares; Sumeet Bagadia, Executive Director at Choice Broking said, "One can buy and hold the counter for short-term target of ?3000 maintaining stop loss below ?2500. One should keep on accumulating this stock till it is above ?2600."

    On medium to long-term IRCTC share price target; Ravi Singhal of GCL Securities said, "IRCTC share price may go up to ?3200 per equity share levels in 6 to 9 months while in next 18 to 24 months, I am expecting IRCTC stock to hit ?5000 per stock levels."

  • Gold Price Today: Yellow metal to remain rangebound ahead of US non-farm payrolls data
    2021-09-02, By: System Administrator

    The outlook for the gold is expected to be rangebound during the day and will offer opportunities for the traders both sides, said Sandeep Matta, Founder at TRADEIT Investment Advisor.

    Gold prices held steady on September 2 ahead of the US non-farm payrolls data that is crucial to the Federal Reserve's tapering plan, even as a private payrolls report missed expectations.

    On the Multi-Commodity Exchange (MCX), October gold contracts were trading marginally in the green, up 0.03 percent at Rs 47,080 for 10 grams at 0924 hours. September silver futures was up 0.09 percent at Rs 63,633 a kilogram.

    Gold prices rose by Rs 40 to Rs 47,279 per 10 gram on rupee depreciation and lacklustre global cues. The yellow metal traded in a narrow band as market players await August US non-farm payroll data later this week.

    Gold and silver showed mixed trend in the international markets after lower than expected US ADP non-farm employment data. Gold prices are holding important support levels of $1800 per troy ounce ahead of the US job reports and expected to test $1844 levels again, said Manoj Kumar Jain, Director, Head-Commodity & Currency Research, Prithvifinmart Commodity Research.

    Silver prices are supported by supply concerns and revival in manufacturing activities. We expect both the precious metals to remain volatile in today’s session. Gold is having support at $1804-1792 per troy ounce and resistance at $1830-1844 per troy ounce; silver is having support at $24.00-23.70 per troy ounce and resistance at $24.55-24.80 per troy ounce, he said.

    "At MCX, gold has support at 46920-46770 and resistance at 47250-47480; silver has support at 63500-63100 and resistance at 64100-64600 levels. We suggest buying gold around 47000 with a stop loss of 46770 for the target of 47440.

    Track Live Gold prices here

    Technical indicators

    Sriram Iyer, Senior Research Analyst at Reliance Securities

    International gold spot and futures traded in a narrow band on Wednesday. International spot and futures silver prices ended with gains on Wednesday. International gold prices have started flat this Thursday morning in Asian trade ahead of the nonfarm payroll number on Friday.

    Technically, COMEX December Gold supports are at 1810.17 and 1804.33. Resistances are at 1822.27 and 1828.53. MCX Gold October supports
    are at 46812 and 46940.Resistances are at 47236 and 47404.

    Technically, COMEX December Silver resistances are $24.660 and $24.990. Supports are at $24.110 and $23.890. MCX Silver September supports are
    at 62945 and 62315. Resistances are at 63990 and 64405.

    Amit Khare, AVP- Research Commodities, Ganganagar Commodities

    Gold prices are slightly lower and silver solidly higher in midday US trading Wednesday. Metals traders are seeking the next significant fundamental input, which will likely be Friday morning's US jobs report. October gold futures were last down $1.40 at $1,814.40. December Comex silver was last up $0.249 at $24.255 an ounce.

    Yesterday October Gold made a high of 47276 then made a low of 46980, and silver made a low of 62828 then made a high of 64111. Gold and silver are showing strength in daily chart and Momentum indicator RSI also giving positive signal, Silver is showing more strength comparison to gold, so traders are advised to create fresh buy positions in gold and silver near given support levels, traders should also focus important technical levels.

    October Gold closing price 47068, Support 1 - 46900, Support 2 - 46700, Resistance 1 - 47250, Resistance 2 - 47460.

    December Silver closing price 63840, Support 1 - 63100, Support 2 - 62400, Resistance 1 - 64550, Resistance 2 - 65600.

    Sandeep Matta, Founder, TRADEIT Investment Advisor

    The lackluster movement in gold continue and is somehow manage to trade above the key momentum indicators. The market participants are eyeing on employment data to be released on Friday which is expected to come lower than expected. Lower employment data could have bullish undertone for gold and bearish for dollar and precious metal may find a new catalyst to break its key resistance zone of $1835-$1845/oz.

    Gold on MCX also traded in the tight range both the side and closed mostly unchanged. Equity markets are making new highs on daily basis and getting more traction than the safe heaven. The outlook for the gold is expected to be rangebound during the day and will offer opportunities for the traders both sides.

    Key level for Gold August Contract – 47108Buy zone above – 47115 for the target of 47236-47404

    Sell zone below – 47090 for the target of 46960-46812

  • Gold Price Today Rises After a Steep Fall in Previous Session; What Investors Should Do
    2021-08-31, By: System Administrator

    Gold price in India recovered on Tuesday after a significant drop in the previous session. On the Multi-Commodity Exchange (MCX), October gold contracts jumped 0.27 per cent to Rs 47,292 for 10 grams at 0930 hours on August 31. Silver price also gained on Tuesday. The precious metal price climbed 0.41 per cent to Rs 63,848 on August 31.

    “Global stock markets were mostly firmer overnight. The US stock indexes are higher at midday. US trader and investor attention to start the trading week was on Hurricane Ida that pounded the Louisiana and Mississippi coasts Sunday and overnight. The final days of the US evacuations in Kabul, Afghanistan occur early this week, after last week’s terror attack that killed scores. Later this week comes the all-important US jobs report on Friday morning. The key outside markets today see the US dollar index slightly higher and still trending higher. Nymex crude oil futures prices are firmer and trading around $69.00 a barrel. Meantime, the yield on the benchmark US 10-year Treasury note is presently fetching 1.28 per cent," said Amit Khare, AVP- Research Commodities, Ganganagar Commodities Limited.

  • Gold Price Today Sees Huge Drop; Rs 8,800 Down from All-time High. Buy or Sell?
    2021-08-31, By: System Administrator

    Gold price in India saw a huge drop on Monday on the back of low US dollar index. The yellow metal remained under pressure since last week. The price fall on Monday after US Federal Reserve Chairman Jerome Powell indicated that the US central bank plans to cut its asset purchases later this year. On the Multi-Commodity Exchange (MCX), October gold contracts slumped 0.20 per cent to Rs 47,441 for 10 grams at 0930 hours on August 30. Silver price remained flat on Monday. The precious metal price rose 0.02 per cent to Rs 64,050 on August 30.

    In the international market, gold prices rose to a near four-week high on Monday after US Federal Reserve. Spot gold was steady at $1,814.86 per ounce, as of 0312 GMT, after hitting its highest since Aug. 4 at $1,820.50 earlier in the session. US gold futures GCv1 edged 0.1 per cent lower to $1,817, according to Reuters. Lower US interest rates put pressure on the dollar and bond yields. After US Fed Chief’s comment at the Jackson Hole, dollar index dropped to a two-week low against its rivals. It made safe-have asset less expensive for holders of other currencies.

    HOME » NEWS » BUSINESS » GOLD PRICE TODAY SEES HUGE DROP; RS 8,800 DOWN FROM ALL-TIME HIGH. BUY OR SELL?
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    Gold Price Today Sees Huge Drop; Rs 8,800 Down from All-time High. Buy or Sell?

    In the international market, gold prices rose to a near four-week high on Monday after US Federal ReserveIn the international market, gold prices rose to a near four-week high on Monday after US Federal Reserve
    Gold Price Today, August 30: On MCX, October gold contracts slumped 0.20 per cent to Rs 47,441 for 10 grams at 0930 hours on August 30
    LAST UPDATED:
    AUGUST 30, 2021, 13:05 IST
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    ANULEKHA RAY
    Gold price in India saw a huge drop on Monday on the back of low US dollar index. The yellow metal remained under pressure since last week. The price fall on Monday after US Federal Reserve Chairman Jerome Powell indicated that the US central bank plans to cut its asset purchases later this year. On the Multi-Commodity Exchange (MCX), October gold contracts slumped 0.20 per cent to Rs 47,441 for 10 grams at 0930 hours on August 30. Silver price remained flat on Monday. The precious metal price rose 0.02 per cent to Rs 64,050 on August 30.

    In the international market, gold prices rose to a near four-week high on Monday after US Federal Reserve. Spot gold was steady at $1,814.86 per ounce, as of 0312 GMT, after hitting its highest since Aug. 4 at $1,820.50 earlier in the session. US gold futures GCv1 edged 0.1 per cent lower to $1,817, according to Reuters. Lower US interest rates put pressure on the dollar and bond yields. After US Fed Chief’s comment at the Jackson Hole, dollar index dropped to a two-week low against its rivals. It made safe-have asset less expensive for holders of other currencies.


    “Federal Reserve Chair Jerome Powell also indicated that he still regards a spike in inflation as temporary and offered no signal on when the central bank plans to cut its asset purchases beyond saying it could be this year. Moreover, rising coronavirus cases could drive expectations that the US Federal Reserve might delay tapering of economic support and lent support to gold. Slightly weak US business activity in August also lent support to bullion. The dovish speech by the Fed Chair Jerome Powell could continue to push prices higher next week," said Sriram Iyer, senior research analyst at Reliance Securities for your reference.

    “On the domestic front, MCX October has settled above a pivotal level at Rs 47,500 which could push prices towards the resistance at Rs. 47800 and Rs 48,000 and a break above both resistances will push prices to Rs 48,300 levels. On the other hand, a break below Rs 47,500 prices could move back to the supports at Rs 47,250, Rs 47,000 and Rs 46,750," Iyer said.

     

    “Gold and silver are showing strength in daily chart and Momentum indicator RSI creating a strong positive divergence in Silver in daily as well as four hourly chart, any dips is a opportunity to create fresh long positions in bullions, fundamentals also in support of bullions. So traders are advised to create fresh buy positions in gold and silver near given support levels, traders should also focus important technical levels given below for the day: August Gold closing price Rs 47,538, Support 1 - Rs 47,100, Support 2 - Rs 46,700,  Resistance 1 - Rs 47,750, Resistance 2 - Rs 48,000. September silver closing price Rs 64,063, Support 1 - Rs 63,100, Support 2 - Rs 62,500, Resistance 1 - Rs 65,000, Resistance 2 - Rs 66,000," said Amit Khare, AVP- research commodities, Ganganagar Commodities Limited.

    “The precious metal registered immediate gain and breakout above $1800/oz after fed chairman sounded more cautious than other Fed officials on tapering, mentioning that the central bank could start reducing its $120 billion in monthly bond purchases this year. Powell’s comments created some selling in US dollar which has been positive for the gold. Bullish sentiments in gold have picked up in Indian markets also where safe have has given closing above Rs 47,500. The near-term outlook is expected to remain positive as Powell’s comments have breathed new life in the precious metal market. Key level for gold August Contract – Rs 47,313. Buy Zone Above – Rs 47,320 for the target of Rs 47,807-48,000. Sell Zone Below – Rs 47,300 for the target of Rs 47,050-46,800," said Sandeep Matta, founder, TRADEIT Investment Advisor.

  • Infosys, Wipro to TCS — why these IT stocks are at record high?
    2021-08-31, By: System Administrator

    Beginning of 5G advances in India in 2022 is going to play a major role in the upcoming business of IT companies that are in the telecom hardware and software business.

    Stock market today: On account of IT company's corporate clients investing heavily in cloud and digital space, stock market has gone highly bullish on the IT stocks. To meet this demand, IT companies will have to invest heavily and hence large-cap IT companies are expected to emerge primary beneficiaries. According to experts, beginning of 5G advances in India in 2022 is also going to play a major role in the upcoming business of IT companies that are in the telecom hardware and software business. They said that these are the major triggers that have fueled IT companies like Infosys, TCS, Wipro, Tech Mahindra and HCL Tech shares. In fact, these large-cap IT stocks have either hit new life-time high or at their life-time high.

    Speaking on the reason for IT stocks scaling at record high; Avinash Gorakshkar, Head of Research at Profitmart Securities said, "In the post-Covid scenario, corporates are going to invest heavily in cloud and digital space. They will invest in these IT segments even when there will no work from home going on. So, IT companies are going to get benefit of this leading to their strong quarterly numbers. However, to get benefit of this opportunity, there will be heavy investment required from the IT companies and hence large-cap IT companies like Infosys, Wipro, TCS, Tech Mahindra, HCL Tech would be the primary beneficiaries of this new business opportunities emerging in the IT space."

    Standing in sync with Avinash Gorakshkar's views; Ravi Singhal, Vice Chairman at GCL Securities said, "5G advances are going to begin in India in 2022. In that case, tech enabled telecom IT companies like Tech Mahindra and Wipro will emerge major beneficiaries of this development. Market is keeping all these future developments in mind and hence IT stocks are scaling new highs in this bullish market sentiment."

    Asked about the IT stocks that he would recommend, Avinash Gorakshkar and Ravi Singhal said that Infosys and TCS would give sharp upside movement while Wipro and Tech Mahindra stocks are expected to follow the It peers. But, both experts advised investors to avoid fresh position as most of the IT stocks are trading at record high. They advised 'buy on dips' strategy in IT sector and if possible investment in SIP mode in IT stocks will be much better.

  • Aptus shares may list in negative territory, say experts
    2021-08-24, By: System Administrator

    Aptus Value Housing Finance IPO listing date: Aptus Value Housing Finance shares may list at around ?377 — ?24 up from its price band of ?346 to ?353, say some experts. Photo: Courtesy Aptus Value Housing Finance website.

    Aptus Value Housing Finance IPO listing date: According to experts, aggressive pricing of the public issue has left nothing for investors in short term.

    Aptus Value Housing Finance IPO listing date: On account of recent turmoil in primary markets and aggressive pricing of the public issue, Aptus share price may have a weak debut today at the Indian bourses. According to experts, aggressive pricing of the public issue has left nothing for investors in short term and hence shares of the retail-focused housing finance company may list at a discounted price.

    Speaking on the Aptus Value Housing Finance share price debut; Abhay Doshi, Founder at UnlistedArena.com said, "The recent turmoil in primary markets on account of back-to-back weak listings have dampened the listing gain prospects for Aptus. Aptus Value Housing Finance has commendable financial ratios amongst the peers. However, the aggressive pricing of IPO has left nothing for investors in short term/listing gains. I expect the shares to list in negative territory, which may be ?10 to ?20 below the issue price."

    Expecting lukewarm listing of Aptus Value Housing Finance shares; Arijit Malakar, Head of Research at Ashika Stock Broking said, "Aptus Value Housing witnessed robust over subscription of 17.2 times because of better fundamentals and strong traction in sector housing finance sector. However, the grey market premium witnessed not encouraging debut of Aptus Value Housing in the bourses because of volatility in the broader market. Aptus Value Housing is commanding a premium of ?13 to ?15 on its issue price of ?346 to ?353, which is lukewarm in comparison to other recent IPOs, which made stellar listing on the debut."

    However, there are some experts who still believe that Aptus IPO listing may give around 5-6 per cent listing gain to the lucky bidders.

    Ravi Singhal, Vice Chairman at GCL Securities said, "Aptus Value Housing Finance shares may list at around ?377 — ?24 up from its price band of ?346 to ?353. So, one can expect 5 per cent to 6 per cent listing gain from this public issue."

  • Gold Price Today Nears Rs 47,300-Mark; 'Traders Must Create Fresh long Positions'
    2021-08-23, By: System Administrator

    Gold price in India edged higher on Monday. On the Multi-Commodity Exchange (MCX), October gold contracts rose to Rs 47,239 for 10 grams at 0945 hours on August 23. Silver also witnessed a huge jump on Monday. The precious metal future jumped 0.34 per cent to Rs 61,928 on August 23. In the international market, gold price inched lower on Monday. Spot gold fell 0.1% to $1,779.12 per ounce by 0057 GMT. US gold futures were down 0.2% to $1,780.40. The dollar traded near the 9 month high hit last week.

    The Federal Reserve Bank of Kansas City said its annual economic symposium in Jackson Hole, Wyoming, will take place on August 27 virtually. The decision came amid surging number of Covid-19 Delta variant cases. Chair Jerome Powell will give a speech at the event on the economic outlook.

    “International gold and silver prices were flat this Monday morning in Asian trade. The dollar held near recent highs and could keep upside limited, although growing concerns over the economic fallout from the spread of the Delta coronavirus variant could losses in check. Against the backdrop of recent tapering hints from the US central bank, the spotlight shifts to the Fed’s annual get-together this week in Jackson Hole, Wyoming, which could shed further light on monetary strategy and timeline. Technically, LBMA Gold is trading below 21-Daily Moving Average which is placed at $1785 levels below which could see downside momentum $1775-$1768 levels. Resistance is at $1787-$$1795 levels. LBMA Silver above $23.00 level could see $24.10-$25.22 levels. Support is at $23.40-$22.65 levels," said Sriram Iyer, senior research analyst at Reliance Securities.

    “Gold and silver are making bottom, Momentum indicator RSI creating a positive divergence in silver in four hourly chart. So traders are advised to create fresh longs positions in gold and silver. Traders should also focus important technical levels given below for the day: August gold closing price Rs 47,158, Support 1 - Rs 46,950, Support 2 - Rs 46,800, Resistance 1 - Rs 47,350, Resistance 2 - Rs 47,500. September Silver closing price Rs 61,721, Support 1 - Rs 61,100, Support 2 - Rs 60,500, Resistance 1 - Rs 62,350, Resistance 2 - Rs 63,000," said Amit khare, AVP- research commodities, Ganganagar Commodities Limited.

  • Vishwaraj Sugar Industries announces ?1:5 share split. Should you buy
    2021-08-23, By: System Administrator

    After the share split, Vishwaraj Sugar share price would come down at around ?30 to ?32 from its current ?154 per stock mark.

    The sugar manufacturing company informed BSE that its board has approved split of its shares from existing face value of ?10 into ?2

    Vishwaraj Sugar stock split: Vishwaraj Sugar Industries today informed Indian exchanges that its board has approved sub-division of the company shares. The BSE informed about the sugar manufacturing company's decision and said that company's board has approved split of its shares from existing face value of ?10 into ?2. Board's decision will become effective after the approval of the members of general meeting. 

    Hailing the decision of the company stock experts said that the company board's decision will enable more stock investors to invest in Vishwaraj Sugar shares as it would come down at around ?30 to ?32 levels from its current price of near ?154 per stock mark.


    The BSE exchange informed about the Vishwaraj Sugar Industries share split citing, "Vishwaraj Sugar Industries Ltd has informed BSE that the Board of Directors of the Company at its meeting held on August 18, 2021, inter alia, has approved, subject to the approval of the members of general meeting, sub-division of equity shares of the face value of ?10/- each in the capital of the Company into face value of ?2/- each."


    Speaking on the Vishwaraj Sugar Industries share split decision; Avinash Gorakshkar, Head of Research at Profitmart Securities said, "The decision won't have much impact on teh current share holders of the company. But, after the sub-division of shares into 1:5, Vishwaraj Sugar share price would come down from current ?154 per share levels to around ?30 to ?32 mark — making it possible for more small investors to invest in the stock. So, the decision is expected to increase trade volume of the sugar stock post-share split." However, he said that after share split, company's fundamentals will remain same and stock movement will depend on the company's performance ahead.

    Advising small investors to buy stock only after there is rise in volume of its trade; Ravi Singhal, vice Chairman at GCL Securities said, "There won't be any impact on the current fundamentals of the company after the sub-division of company shares. However, if we look at the current average trade volume of the stock, it is around 2 lakh. So, after the share split, fresh new buyers should buy the stock only when there is rise in trade volume of the stock from current average levels."

  • Devyani International shares may give more than 50% listing gain, say experts
    2021-08-16, By: System Administrator

    Devyani International IPO listing: The QSR chain operator company has good parentage, growth story and unlock theme that played an important role in its robust subscription of 116.70 times.

    Devyani International share price listing may take place at around ?145 to ?155 — delivering more than 50 per cent listing premium to the successful bidders, say stock market experts

    Devyani International IPO listing: Devyani International shares are going to list at the Indian bourses today. As per the market experts, the company has good parentage, growth story and unlock theme that played an important role in its robust subscription of 116.70 times. They said that Devyani International share price listing may take place at around ?145 to ?155 — delivering more than 50 per cent listing premium to the successful bidders of the public issue. However, they said that the stock is expected to go further up and those who get the shares during allotment should hold the counter for long-term as it would turn out a good portfolio stock in long-term.

    Speaking on the expected Devyani International IPO listing; Ravi Singhal, Vice Chairman at GCL Securities said, "Devyani International as a company has good parentage, growth story and unlock them that attracted bidders to a larger extent leading to robust subscription of the public issue. I am expecting Devyani International share listing at around ?135 to ?155 levels." Sinhal went on to add that the stock would be a good portfolio stock for long-term investors and advised such investors to hold the stock even after it manages bumper listing at NSE and BSE.

    Speaking on Devyani International IPO listing price prediction; Ashok Holani, Director at Holani Consultants Private Limited said, "Devyani International has strong financials that played a major role during its subscription. Now, that strong financials are going to play in its listing too. I am expecting Devyani IPO to list around ?140 to ?145." He said that there can be 5 per cent upside or downside deviation as no one can say the exact listing price.

    Devyani International IPO GMP

    The grey market premium is also signaling strong listing of Devyani International shares. According to market observers, Devyani International IPO GMP today is ?54 that means grey market is expecting listing of Devyani International shares at around ?144 ( ?90 + ?54) — around 60 per cent higher from its issue price of ?86 to ?90.

  • Krsnaa Diagnostics share: Should you buy, sell or hold?
    2021-08-16, By: System Administrator

    Krsnaa Diagnostics share: Those who have Krsnaa Diagnostics share in their Demat Account are advised to hold the counter for next 6 months, say experts.

    Krsnaa Diagnostics share price had a tepid debut at Dalal Street as the leading B2B (business to business) diagnostics company stock got listed at near 5.4 per cent premium. However, the public issue managed to list in three figures. Stock market experts are of the opinion that company has robust business model and those who have this stock in their portfolio should hold the counter while those who want to buy the stock from open market should buy the stock below ?900.

    Highlighting the strong fundamentals of Krsnaa Diagnostics shares; Sneha Poddar, Research Analyst — Broking & Distribution at Motilal Oswal Financial Services said, "Krsnaa Diagnostics is one of the leading B2B diagnostic player, providing services to public and private hospitals, medical colleges and community health centres Pan-India. It has a differentiated business model with leadership in PPP diagnostic space. Given its strong brand equity and pan-India presence, the company has the ability to turn around its financials and become profitable over long term once operating leverage kicks in with the further scaling of business. Thus it’s a long term play in comparison to other listed players in the market which are into B2C space with much strong financials."

    Krsnaa Diagnostics share price target

     

    Advising Krsnaa Diagnostics share holders to hold the counter; Ravi Singhal, Vice Chairman at GCL Securities said, "Those who have Krsnaa Diagnostics share in their Demat Account are advised to hold the counter for next 6 months. It may go up to ?1370 levels."

    On his advice to those investors who missed to get Krsnaa Diagnostics shares during share allotment; Ravi Singhal of GCL Securities said, "One should buy this counter below ?900 for 6-month target of ?1370. However, one must maintain strict stop loss at ?800 while taking this position."

     

  • Gold prices likely to rebound this week, say experts
    2021-08-16, By: System Administrator

    Due to very low domestic demand and selloff in international markets, prices of gold dipped by almost Rs 1,000/10 gm in the last week in Indian markets. Experts feel in the coming week Indian bullion market would hold a steady level for both gold and silver. On the other hand, silver was down by record Rs 4,500/kg since August 9, 2021. The white metal suffered its worst slump since August 2020.

    Recovery in gold
    On August 9 in Indian market 24 carat gold opened at Rs 47,730/10 gm. After a rough week for multiple reasons gold closed at Rs 46,700/10 gm on Friday, August 13. On Monday, August 9, gold price was down by almost Rs 1100/10 gm than last Friday, August 6.

    Last week, the price of 24 carat gold went up on a single occasion on Thursday, August 12. That day gold price went up by Rs 350/10 gm.

    “Gold prices were trading near record low level in midday in US dealings. Importantly, gold bulls have stabilised the market following recent selling pressure that drove prices to a more-than-four-month low on last Monday (August 9). But I hope in the next week the price will hold steady,” said Amit Khare, AVP, research commodities, Ganganagar Commodities Ltd.

    “Gold prices tumbled in the first half of last week after stronger than expected employment data in the US, while US gold futures are trading with highly negative sentiments. However, it recovered to some extent in the later half. The outlook is bearish for safe heaven as it faces strong fundamental headwinds including rising dollar and bond yield,” said Sandeep Matta, founder, TRADEIT Investment Advisor.

    “Gold prices were sharply higher at the later half, supported by some bargain buying in the cash market and short covering in the futures market. Silver prices were just slightly up. The precious metals bulls have stabilised their markets at mid-week, following recent selling pressure,” added Amit Khare.

    Silver at record low
    Due to US job data, silver almost crashed by Rs 3,200/kg on Monday and opened at Rs 64,000/kg. But since August 9 silver price regularly dipped and closed at Rs 62,600/kg level, down by Rs 1,400/kg.

    “Since last week silver slumped as much as 10% over the last 10 days, this is the one of their biggest losses since markets were first roiled by the Covid-19 pandemic in early 2020. Better-than-expected US employment data sparked the latest selloff in gold and silver both. In the last trade a huge sell off was seen in bullion due to US monthly payroll data,” Khare added.

    Traders confirmed that this is the highest ever drop in spot silver price almost in the past 11 months.

    “Technically, bullion market is stabilising after prices slumped to a four-month low on August 9. Silver movement is still under pressure. Silver price last witnessed a hike on August 4, since then the price was dropped by almost Rs 5,000. Hope after the Independence Day the silver market would turn around,” hoped Bablu Dey from Swarnosilpo Bachao Samiti (Save Goldsmiths Forum).

    Gold retailers confirmed that this drop in price might lure more customers to buy gold and silver before Ganesh Chaturthi and the festive season. Footfall in the retail shops for the last two-three days have gone up by 7-8%, confirmed multiple shop owners from Kolkata.

  • Gold price today 12 August 2021: Yellow metal rises; check rates
    2021-08-12, By: System Administrator

    Gold price today: Bullion market is stabilising after prices slumped to a four-month low on August 9, said Amit Khare of Ganganagar Commodities.

    fter almost a week and a half, gold and silver spot prices rose slightly up after a long gap on August 12 with the yellow metal at Rs 46,597/10 gm, up by Rs 378 from yesterday’s closing, according to the rate provided by the Indian Bullion and Jewellers Association (IBJA). On August 11, it traded at Rs 46,219/10 gm. The price of 22 carat gold also held up by Rs 346 at Rs 42,683/10 gm from previous close of Rs 42,337/10 gm. On the other hand, silver was trading flat rather today, down by Rs 70/kg amid sluggish demand across the trading community in early trade.

    “The gold bulls are stabilising prices after four months low. However, bears have some near-term technical advantage as global equity markets and crypto currency are becoming showstopper for gold to become a preferred asset class. “Gold and silver on MCX also recovered and sustained over 46,000 and 63,000 levels with positive price volume action and we anticipate recovery in precious metals. We advise long term investors to start buying in gold in staggering manner while short term traders should follow key pivotal levels with positive biases,” said Sandeep Matta, founder, TRADEIT Investment Advisor.

    “Gold prices were sharply higher in midday US trading on Wednesday, supported by some bargain buying in the cash market and short covering in the futures market. Silver prices are just slightly up. The precious metals bulls have stabilised their markets at mid-week, following recent selling pressure,” said Amit Khare, AVP research commodities, Ganganagar Commodities Ltd.

    Silver comparatively flat
    After hitting a low of Rs 62,773/kg, silver further declined on August 12 by almost Rs 70. In early trade silver was trading at Rs 62,703/kg on Thursday. Experts feel silver price might dip to as low as Rs 60,000/kg level soon. After almost a year the price of silver again came down to Rs 62,000/kg level on Wednesday.

    “Technically, bullion market is stabilising after prices slumped to a four-month low on August 9. Gold and silver showed mixed movement on Thursday in early trade. Momentum indicator RSI also giving positive divergence in four-hourly as well as hourly chart, so traders are advised to create buy positions in gold and silver near given support levels,” added Khare.

  • DECODED: How inflation impacts the stock market? What investors should know - EXPLAINED
    2021-08-11, By: System Administrator

    When the inflation rate increases, the cost of living increases too, which in turn eventually results in lowering your purchasing power.

    Many times people remain confused and curious over inflation as a business term. They wonder what it is, its causes, what happens when it increases and what impact its leaves on your pocket. Inflation is not a devil as it is generally assumed. In fact, a controlled rise in inflation rates is a sign of a growing economy. Ravi Singhal, Vice Chairman, GCL Securities, shares his knowledge on inflation from various aspects and its impact on stock market in coming months:-

    "Inflation is basically a gradual rise in the prices of goods and services. When the inflation rate increases, the cost of living increases too, which in turn eventually results in lowering your purchasing power.

    What are the key causes of inflation?

    1- Demand-Supply

    2- Increase in the cost of production

    How does rising inflation impact you?

    - Rising inflation decreases the purchasing power of investors

    How does rising inflation impact the Stock Markets?

    1- For dividend-paying stocks: An increase in the rate of inflation can cause a drop in their market price. This is because, with rising inflation rates, dividends can fail to beat inflation making such stock less attractive to investors.

    2- For metal stocks: As inflation rises, the price of raw materials also go up and this helps scrips in increasing profit, while metal users as components, their profits decrease.

    3- Stocks with high debts will be impacted more as RBI increases rates of interest

    Value stocks vs Growth Stocks: Impact of inflation

    In a nutshell, we can say that the market value stocks prices are usually directly proportional to the rate of inflation. Therefore, when the inflation rate rises, value stocks tend to perform better.

    On the other hand, growth stocks have minimal cash flows. Therefore, they have a negative correlation with the rate of inflation. The market price of these stocks drops when the inflation rate rises.

    Long-term investors must consider the fact that the government constantly takes measures to keep inflation in check. Hence, during the times when inflation goes up, investors must not panic so as to avoid emotion-based decisions. Moreover, investors must look for fundamentally strong stocks that can brave any economic storms with ease."

  • Gold Price Today: Yellow metal trades higher; buy for a target of 46,100: Experts
    2021-08-11, By: System Administrator

    At MCX, Gold has support at 45800-45550 and resistance at 46100-46330; silver is having support at 62200-61700 and resistance at 63100-63600 levels.

    India Gold MCX October futures rose on Wednesday following positive trend seen in the international spot prices on worries over a surge in coronavirus’ Delta variant cases.

    Risk sentiment in wider financial markets remained subdued, as coronavirus cases in several Asian countries continued to surge, threatening the economic outlook and driving some investors towards safe-haven assets, said a Reuters report.

    On the Multi-Commodity Exchange (MCX), October gold contracts were trading 0.18 percent higher at Rs 46,045 for 10 grams at 0930 hours. September silver futures were trading 0.12 percent higher at Rs 62,713 a kilogram.

    Track live gold price here

    Gold and silver traded steadily on Tuesday in the international markets. Both precious metals settled on a slightly positive note.

    Gold December futures contract settled at $1731.70 per troy ounce, and silver September futures contract settled at $23.39 per troy ounce. Both the precious metals settled on a mixed note in the domestic markets.

    The dollar index reached four-month highs and crossed 93 marks after the U.S. Senate passed a $1 trillion infrastructure bill on Tuesday.

    “Gold and silver are expected to find some directions after today’s U.S. CPI data. Stronger than expected CPI data could push prices lower and vice versa. We expect gold prices could hold $1700 per troy ounce and silver prices could hold $23 per troy ounce in the international markets,” Manoj Kumar Jain, Director, Head-Commodity & Currency Research, Prithvifinmart Commodity Research, said.

    “At MCX, Gold has support at 45800-45550 and resistance at 46100-46330; silver is having support at 62200-61700 and resistance at 63100-63600 levels. We suggest buying in gold on dips around 45750 with a stop loss of 45550 for the target of 46100,” he said.

    Technical indicators

    Expert: Amit Khare, AVP- Research Commodities, Ganganagar Commodities Limited

    Gold and Silver are both tradings in an oversold zone. Momentum indicator RSI also gave a positive divergence on four hourly as well on an hourly chart.

    One big short-covering move is pending in bullion. Traders are advised to make buy positions in Gold and Silver for a short-term period. They should also focus on important technical levels given below for the day:

    August Gold closing price 45,962: Support 1 - 45700, Support 2 - 45450, Resistance 1 - 46210, Resistance 2 - 46460.

    September Silver closing price 62636: Support 1 - 62000, Support 2 - 61300, Resistance 1 - 63230, Resistance 2 - 63800.

    Expert: Sriram Iyer, Senior Research Analyst at Reliance Securities

    International spot and futures gold prices found support at lower levels on Tuesday on some lingering doubts over the economic impact of the new Delta COVID-19 variant.

    However, a rally in the dollar and bond yields capped further upside.

    International spot and futures silver prices also rebounded from lows of the session and ended marginally higher on Tuesday.

    Technically, MCX Gold October below 46000 will continue its correction up to 45700-45550 levels. Resistance is at 46050-46200 levels.

    MCX Silver September is sustaining below 63000 below which could see 61000-59900 levels. Resistance is at 63300-64000 levels.

    MCXBULLDEX May could trade on Bearish note within the range of 13700-14050 levels.

    Disclaimer: The views and investment tips expressed by experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

  • Gold Price Today Hovers Around Rs 46,000. Lowest in 5 Months. Right Time to Invest?
    2021-08-10, By: System Administrator

    Gold Price Today: On the Multi-Commodity Exchange (MCX), October gold contracts rose 0.39 per cent to Rs 46,065 for 10 grams at 0905 hours on August 10.

    Gold price in India rose on Tuesday after the biggest drop in months in the previous session. On the Multi-Commodity Exchange (MCX), October gold contracts rose 0.39 per cent to Rs 46,065 for 10 grams at 0905 hours on August 10. Silver also rose significantly on Tuesday. The precious metal future jumped 0.75 per cent to Rs 63,109 on August 9.

    In the international market, the yellow metal tumbled to a record low in the last few months after robust US job data. Spot gold fell to $1,730.47 per ounce by 0039 GMT. US gold futures edged 0.4% higher to $1,732.90 per ounce, Reuters reported. US Treasury yields climbed to a more than three week high on the back of record-high job openings in June. The employment by 590,000 to a record high of 10.1 million on the last day of June, according to monthly Job Openings and Labour Turnover Survey published US Labour Department.

    Data Monday showed US job openings jumped to a record high in June and hiring increased. That came on the heels of Friday’s US monthly jobs report that showed US employers hired the most workers in nearly a year in July and continued to raise wages. US benchmark yields also strengthened on Monday and weighed on sentiments. Additionally, Atlanta Federal Reserve Bank President Raphael Bostic said on Monday the US economy is improving faster than expected, with the time when the Fed could start slowing its bond purchases nearing quickly and inflation already at a point that could satisfy one leg of a key test for the beginning of rate hikes. Bostic said he is eyeing the fourth quarter for the start of a bond-purchase taper but is open to an even sooner start if the job market keeps up its recent torrid pace of improvement, explained Sriram Iyer, senior research analyst at Reliance Securities.

    International spot and futures bullion prices have started this Tuesday morning in Asian trade with small gains on bargain hunting. However, upside could be capped as the US Dollar continues to move higher this Tuesday morning in Asian trade. Investors now await further data, including the core consumer price index (CPI), on Wednesday. Technically, LBMA Gold holds a support of 100-Weeks Moving Average at 1737 levels and above which could see some bounced back up to $1754-$1767 levels. Support is at $1725-$1710 levels. LBMA Silver below $24.00 levels will continue its Bearish momentum up to $23.22-$22.70 levels. Resistance is at $23.88-$24.40 levels, Iyer added.

     Hold or Sell?


    “Domestic gold and silver prices and Bullion Index futures will start with a marginally higher this Tuesday morning, tracking overseas prices. On the domestic front, MCX Gold October below Rs 46,300 will continue its correction up to Rs 46,100-45,850 levels. Resistance is at Rs 46,300-46,500 levels. MCX Silver September is sustaining below RS 63,000 below which could see RS 61,000-59,900 levels. Resistance is at Rs 63,300-64,000 levels," he mentioned.


    “The metals are still suffering from the reverberations of last Friday’s surprisingly strong US jobs report that pushed the US stock indexes to or near their record highs, rallied the US dollar index, pushed the US Treasury yields up (prices down)—all bearish elements for the metals. Gold and silver did somewhat recover from their ‘flash crash’ overnight lows. The jobs data Friday immediately set off heightened speculation the Federal Reserve would act sooner to reel in its easy monetary policies. That really spooked the metals markets bulls. Apparently, the metals traders are presently choosing not to focus on the bullish inflationary implications of a rebound in the US economy that is already seeing consumer and producer prices on the rise," said Amit khare, AVP- research commodities, Ganganagar Commodities.

     

     

  • Gold Price Today: Biggest Drop in a Week, Rs 8,600 Down from Record High. Buy or Sell?
    2021-08-07, By: System Administrator

    Gold price in India saw huge drop on Friday, highest in a week. On the Multi-Commodity Exchange (MCX), October gold contracts tanked 0.22 per cent to Rs 47,498 for 10 grams at 1400 hours on August 5. Silver also dropped on Friday. The precious metal future fell by 0.26 per cent to Rs 66,826 on August 6. In the international market, gold edged lower on Friday, driven by the stronger dollar. Investors will be keenly watching US jobs report for cues on the Federal Reserve’s future policy stance.

    “Gold prices continued to feel the effects of the hawkish comments by a US Federal Reserve official’s for early tapering of the central bank’s asset purchases ahead of a key jobs report.  Stronger data also weighed on prices. The number of Americans filing new claims for unemployment benefits declined further last week, while layoffs dropped to their lowest level in just over 21 years in July as companies held on to workers amid a labour shortage. Initial job claims for state unemployment benefits fell 14,000 to a seasonally adjusted 385,000 for the week ended July 31. Reflecting investor sentiments, holdings of SPDR Gold Trust fund edged lower to 1,027.61 tonnes on Thursday from 1,027.97 tonnes on Wednesday," said Sriram Iyer, senior research analyst at Reliance Securities.


    “International spot gold and silver prices have started in the red this Friday morning in Asian trade as the dollar held gains ahead of the much-anticipated US jobs data, while a growing number of Federal Reserve officials signalled the possibility of a sooner-than-expected policy tightening. Technically, LBMA Gold below $1810 level could see a Bearish momentum up to $1795-$1788 levels. Resistance is at $1811-$1820 levels. Technically, LBMA Silver holds a resistance of 21-Daily Moving Average at $25.65 below which could see a downside move up to $25.00-$24.30 levels. Resistance is at $25.50-$25.90 levels," Iyer added.

    “Domestic gold and silver prices could start in the red this Friday morning, tracking overseas prices. On the domestic front, MCX Gold October is holding resistance near Rs 47,800-48,000 levels. Support is at Rs 47,500-47,400 levels. On the domestic front, MCX Silver September holds a resistance Rs 67,700-68,200 levels. Support is at Rs 66,300-65,900 levels," he further added.


    “Even with prices languishing in a narrow trend, the gold market continues to build a solid base in July, seeing a modest uptick in investor inflows into gold-backed exchange-traded funds (ETFs), according to the latest report from the World Gold Council. In its monthly global ETF monitoring report, the WGC said that 11.1 tonnes of gold flowed into global ETF in July, with the value of assets under management increasing to $669 million, up +0.3% from the previous month.The report said that total ETF demand currently stands at 3,636 tonnes, down only 7?low the record levels reported in October. Although the gold market continues to see healthy investment demand, the WGC said that the inflows haven ‘t been enough to reverse the weakness reported in the first quarter of 2021," said Amit khare, AVP, research commodities, Ganganagar Commodities Limited.

    “Today’s release of the US Labor Department’s jobs report for July will be an important component that will shape and determine adjustments to the current monetary policy of the Federal Reserve. Gold and Silver are trading near oversold zone as per hourly chart, momentum indicator RSI also indicating some positive sign on daily chart. So one short covering is pending in bullion’s, traders are advised to create fresh long position in Gold and Silver, traders should also focus important technical levels given below for the day: August Gold closing price 47,603, Support 1 - Rs 47,350, Support 2 - Rs 47,100, Resistance 1 - Rs 47,850, Resistance 2 - Rs 48,200. September Silver closing price Rs 66,998, Support 1 - Rs 66,400, Support 2 - Rs 65,800, Resistance 1 - Rs 67,570, Resistance 2 - Rs 68,400," he added.

  • Glenmark Life Sciences shares make tepid debut. Should you buy now?
    2021-08-07, By: System Administrator

    Glenmark Life Sciences has limited competitor for next two years as one can't open an API manufacturing company overnight.

    Glenmark Life Sciences is an API manufacturer and API demand has gone up to the tune of near 50 to 60 per cent in the last one year

    Glenmark Life Sciences shares make tepid debut at Indian bourses as the Active Pharmaceutical Ingredients (APIs) manufacturer company got listed today at meager 4 per cent premium. This listing is a shocker to the markets as the company is in unique API manufacturing business, which has strong business outlook. API demand has soared around 50 to 60 per cent in the last one year and it is expected to further remain in high demand. So, fundamentals of the company are quite strong and hence tepid debut at Dalal Street might be an opportunity for those who missed the opportunity during IPO allocation. According to experts, one needs to keep an eye on the counter for first one to two trade sessions next week as some institution may invest in the stock as its valuations are quite attractive at this level.

    Advising investors to buy Glenmark Life Sciences shares; Avinash Gorakshkar, Head of Research at Profitmart Securities said, "Glenmark Life Sciences is an API manufacturer and API demand has gone up to the tune of near 50 to 60 per cent in the last one year. In coming times, this API demand is expected to remain upside. The company has limited competitor for next two years as one can't open an API manufacturing company overnight. It takes around 15-18 months to get all clearances for incepting an API manufacturing company. So, this API business is expected to fuel Glenmark Life Sciences shares in next 6 months to 12 months and my advice to those who have this share in their portfolio is to hold the counter for at least 6 months as the company is expected to report strong quarterly numbers."


    On whether one can buy the counter from the open market Avinash Gorakshkar said, "Since, valuations of Glenmark Life Sciences shares are quite attractive, institutions are expected to make investment in the counter. If that happens, the share price of the company may shot up in immediate short-term. So, those who want to make fresh buying in the counter should keep an eye on the stock for at least first two trade sessions next week. Any institution investing in the stock would be an opportunity for momentum buy in the counter. However, in case there is no institutional investment coming in the stock, one can still buy the counter at around ?700 levels and hold it for 6 to 12 months." He said that the counter will soon showcase four-digit number as fundamentals of the company is very strong.


    Glenmark Pharmacuticals vs Glenmark Life Sciences

    However, Ravi Singhal, Vice Chairman at GCL Securities had other advice. He advised lucky bidders to book profit even when it’s mere 5 per cent and switch their money in Glenmark Pharmaceuticals, the parent company of Glenmark Life Sciences. Singhal said that out of the net ?1,513.60 crore raised from this public issue, around 70 per cent will go to the parent company while rest 30 per cent will remain with Glenmark Life Sciences. So, in future, Glenmark Pharmaceuticals share price will show more upside moves in comparison to Glenmark Life Sciences. He advised both share holders of Glenmark Life Sciences shares and fresh buyers to look at Glenmark Pharmaceuticals shares and try buying it at ?550 to ?570 levels for the 3 to 6 months target of ?675. However, Singhal strictly advised investors to maintain stop loss at ?520 while taking any position in Glenmark Pharmaceuticals shares.

  • Gold Price Today: Yellow metal edges higher, experts say buy on dips for target of 48,200
    2021-08-04, By: System Administrator

    Gold was trading higher in the Indian markets on August 4, tracking a positive trend in international spot prices on a subdued dollar.

    On the Multi-Commodity Exchange (MCX), October gold contracts were trading 0.14 percent higher at Rs 47,932 for 10 grams at 0930 hours. September silver futures were trading 0.32 percent higher at Rs 68,132 a kilogram.

    Both the precious metals settled mixed in the international markets the previous day. December gold futures contract settled at $1,814.10 a troy ounce and September silver futures settled at $25.58 a troy ounce. Both metals ended a mixed in the domestic market as well.

    Gold showed some weakness despite benchmark 10-year bond yields dropping to multi-month lows and the dollar index slipping from its recent highs. Silver prices were stable.

    Track live gold price here

    “Investors are waiting for Friday’s US non-farm employment data to better understand the economic recovery from the pandemic in the backdrop of highly transmissible Delta plus variants,” Manoj Kumar Jain, Director, Head-Commodity & Currency Research, Prithvifinmart Commodity Research.

    “We expect both precious metals to remain volatile in Wednesday’s session ahead of the US non-farm data but hold key support levels of $1,800 and $25 per troy ounce, respectively,” he said.

    At MCX, gold has support at Rs 47,660-47,500 and resistance at 48,000-48,155. Silver has support at 67,500-67,100 and resistance at 68,200-68,600 levels. “We suggest buying in gold around 47,800 with a stop loss of 47,580 for the target of 48,200,” Jain said.

    Technical indicators

    Expert: Ravindra Rao, CMT, EPAT, VP-Head Commodity Research, Kotak Securities

    COMEX gold trades marginally higher near $1,816 after slipping 0.4 percent on August 3. Gold has continued to trade in a range above $1,800 amid choppiness in equities and the dollar and uncertainty ahead of the US jobs report.

    However, rising virus cases, concerns about the Chinese economy and uneven recovery have supported the price. ETF outflows, however, show weaker investor interest.

    Gold may remain choppy along with equities but concerns about China and the virus may support the metal.

    Amit Khare, AVP- Research Commodities, Ganganagar Commodities Limited

    Gold and silver are giving some positive signals on the daily chart. The momentum indicator RSI is also indicating the same on the hourly chart.

    Traders are advised to create fresh long positions near given support levels, and should also focus on important technical levels given below for the day:

    August Gold closing price: Rs 47,864 | Support 1 47,800 | Support 2: 47,600 | Resistance 1: 48,000 | Resistance 2:  48,200.

    September Silver closing price: Rs 67,914 | Support 1: 67,450 | Support 2: 67,000 | Resistance 1: 68,350 | Resistance 2: 69,000.

    Sriram Iyer, Senior Research Analyst, Reliance Securities

    International spot and futures gold prices edged lower on August 3, as traders stayed on the sidelines ahead of the US jobs data due later this week that could influence the timeline of the Federal Reserve’s cuts back on the asset purchase programme.

    Domestic gold ended weaker, while silver prices ended with marginal gains, tracking overseas prices.

    The bullion index ended marginally weaker, tracking weak domestic gold prices. Domestic gold and silver prices could start in the green on August 4, tracking overseas prices.

    On the domestic front, MCX October gold is holding resistance near 48,000, a slip can take prices to 47,800-47,600. Resistance is at 48,100-48,250.

    MCX September silver holds a resistance 68,200-69,000 levels. Support is at 67,100-66,700.

  • This Rakesh Jhunjhunwala stock dips 15% in one month. Experts give 'buy' tag
    2021-08-04, By: System Administrator

    Rakesh Jhunjhunwala portfolio :As per the shareholding pattern of the company for June 2021 period, Big Bull holds 1.14 per cent of the net company shares.

    In the last one month, this Rakesh Jhunjhunwala portfolio stock has dipped to the tune of near 15 per cent and market experts have called it 'good opportunity to buy' and hold it for long term.

    Rakesh Jhunjhunwala portfolio is being scanned by retail stock market investors to find out which way smart money is moving. This exercise works as Rakesh Jhunjhunwala tips for them in finding the value picks. However, it seems that market experts are not much moved by recent decision of Big Bull to trim stake in Tata Motors. Despite Rakesh Jhunjhunwala trimming stake in Tata Motors, they have been maintaining buy on every dip in Tata Motors share price. In the last one month, Tata Motors share price has dipped to the tune of near 15 per cent and market experts have called it 'good opportunity to buy' and hold it for long term as the auto stock is expected to go up to ?430 per stock mark in next 12 months.

    Speaking on the triggers that will fuel Tata Motors share price rally; Ravi Singhal, Vice Chairman at GCL Securities said, "After the launch of CNG variant vehicles in the passenger segment by Tata Motors, Maruti Suzuki India Limited or MSIL is fast losing its market share to Tata Motors, which is expected to boost company’s numbers in upcoming quarterly results. Apart from this, India's Scrappage Policy coming in 2022 and Chinese growth fueling Land Rover and Jaguar sales are some of the major triggers that may go on to boost sharp rise in Tata Motors share price."

    On this Rakesh Jhunjhunwala company's stock price outlook; Sumeet Bagadia, Executive Director at Choice Broking said, "After the sharp decline in Tata Motors share price, it's ideal to buy around ?275 to ?280 levels for immediate target of ?300. The stock is facing mild hurdle at ?300 but once it breaks this level, we may witness sharp upside moves in this Rakesh Jhunjhunwala stock."

     

    Advising investors to buy this Rakesh Jhunjhunwala portfolio stock for long term; Ravi Singhal of GCL Securities said, "One can buy this counter at around ?280 levels for the target of ?430 in next 12 months. However, one must maintain stop loss at ?250 while taking position in the counter."

    Rakesh Jhunjhunwala share holding in Tata Motors

    Recently, the 'Warren Buffett of India' hit the headlines for trimming his stake in Tata Motors from 1.29 per cent to 1.14 per cent. As per Tata Motors shareholding pattern for recently ended June 2021 quarter, Rakesh Jhunjhunwala holds 3,77,50,000 Tata Motors shares, which is around 1.14 per cent of the net company shares.

  • Sensex plunges about 1,000 points in 2 days. Key triggers dragging stock markets lower
    2021-07-31, By: System Administrator

    Indian stock markets were today hit by weak global sentiment and IMF's downgrade of GDP growth

    Indian stock markets were under pressure for third day in a row amid weak global cues and GDP growth downgrade by IMF. Investors were also cautious ahead of Fed rate meet and tomorrow's weekly derivatives expiry. The Sensex fell over 770 points at day's low today when it hit 51,802, after a 0.5% slide on Tuesday. The broader NSE Nifty 50 index was down nearly 1% to below 15,600.

    Here are key updates from Indian markets:

     

    Asian shares were down near at seven-month lows amid storm in Chinese equity markets, after Beijing announced enforcement measures on technology companies.

    "There is a mild risk-off in equity markets globally as reflected in the rising dollar. The sell-off in Chinese tech stocks on Beijing's regulatory crackdown has triggered concerns about whether this sell-off will spread to other segments. China is too big now. It can cause flutters in global markets," says VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services.


    The International Monetary Fund on Tuesday forecast India's economy to grow 9.5% in 2021 - a cut of three percentage points from its earlier forecast.

    Dr Reddy's shares extended Tuesday's plunge when it fell nearly 3% today. The Nifty pharma index was down about 1% with sentiment turning weak after Dr Reddy's earnings performance.

    L&T, Kotak Bank, M&M,. HDFC Bank and Axis Bank were among other major losers in the Sensex pack.

    Shares of InterGlobe Aviation, which runs India's biggest airline IndiGo, were down 3?ter the airline posted its sixth consecutive quarterly loss on Tuesday.

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    Ravi Singhal, Vice Chairman at GCL Securities said, "This crash in markets can be attributed to the combination of two reasons — US Fed meeting today and weak global cues. US Fed meeting is going to happen today and Indian traders don't want to remain in limbo as tomorrow will be weekly expiry at Indian markets. So, traders are squaring off their position one day before the weekly expiry."


    The US Fed is widely expected to hold interest rates near zero at the end of the two-day policy meeting today. But any comments on on the mechanics of tapering bond buying will be keenly watched.

  • Day trading guide for Friday: 5 stocks to buy or sell today-July 30
    2021-07-30, By: System Administrator

    Day trading guide for Friday: Indian benchmark equity indices broke a three day losing streak on Thursday and closed higher led mainly by metal stocks. The BSE Sensex went up 209 points and closed at 52,653 while NSE Nifty shot up 69 points and closed at 15,778 levels. According to stock market experts, the NSE Nifty as per weekly time-frame chart is showing a larger range movement. They are expecting an upside bounce from the lows and advised ‘buy on dips’ strategy for traders as overall sentiment of the markets is positive to neutral.

     

  • Gold Price Today Jumps Over Rs 48,000: Highest In a Week. What Investors Should Do?
    2021-07-30, By: System Administrator

    Gold price in India jumped on Thursday tracking the global peers. On the Multi-Commodity Exchange (MCX), August gold contracts surged 1.01 per cent to Rs 47,057 for 10 grams at 1600 hours. Silver saw a massive hike on July 29. The precious metal increased 2.03 per cent to Rs 67,740 on Thursday.

    In the international market, gold prices rose to its highest level in over a week on Thursday. The surge came after US Federal Reserve had failed to give a timeline for its tapering plans. Spot gold rose 0.5% to $1,815.56 per ounce by 0129 GMT, having earlier hit a peak since July 20 at $1,817.35. US gold futures climbed 0.9% to $1,815.30 per ounce, said Reuters. US Fed chief Jerome Powell said the US job market still had “some ground to cover” before it would be time to pull back. Fed’s policy statement weighed on the dollar index, which hit a two-week low on Wednesday.

     

    “Gold price edged higher, as the latest insistence from Fed Governor Powell that rate increases aren’t on the radar, put pressure on the dollar and support the safe haven asset. US central bank acknowledged to the fact about eventual withdrawal of pandemic-era monetary policy support, although Governor Powell mentioned that the US job market still had ‘some ground to cover’ before it would be time to pull back," said Navneet Damani, VP – commodities research, Motilal Oswal Financial Services.

    “Today market participants will keep an eye on the US Q2 GDP data scheduled later in the day. Overall till $1770 hold for gold on the CoMex, gold has a chance to run up back to 1840 and 1870. On the domestic front Rs 47,200 could be a base and rallies could take gold to over Rs 49,000 over the next few weeks," he further added.

    “The just-released data point of the week, the Federal Reserve’s Open Market Committee (FOMC) statement, showed the US central bank kept its monetary policy unchanged, as expected. The Fed said the U.S. economy continues to strengthen and that inflationary pressures are still transitory. Based upon markets’ reactions the FOMC statement might be deemed just a bit less dovish than expected. US Treasury bond and note yields rose, while the US dollar index rallied after the statement. Traders are now awaiting a press conference from Fed Chair Jay Powell. A number of market watchers are still concerned about slowing economic growth and rising inflation, what many call stagflation. August gold futures were last down $5.70 at $1,794.10 and September Comex silver was last up $0.106 at $24.75 an ounce. Technically, gold futures bulls and bears are on a level overall near-term technical playing field. Bulls’ next upside price objective is to produce a close above solid resistance at the July high of $1,835.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $1,775.00. First resistance is seen at the overnight high of $1,807.60 and then at this week’s high of $1,812.00. First support is seen at last week’s low of $1,789.10 and then at $1,780.00," said Amit Khare, AVP- research commodities, Ganganagar Commodities Limited.


    “Gold and silver are trading near oversold zone as per hourly chart and giving positive signal on the daily chart, momentum indicator RSI also indicating the same. Silver is looking more strong than Gold in daily chart and creating a positive divergence in daily chart, So traders are advise create long position in Gold and Silver, traders should also focus important technical levels given below for the day: August gold closing price Rs 47,577, Support 1 - Rs 47450, Support 2 - Rs 47,300, Resistance 1 - Rs 47,700, Resistance 2 - Rs 47,900. September Silver closing price 66,390, Support 1 - Rs 66,000, Support 2 - Rs 65,500, Resistance 1 - Rs 66,750, Resistance 2 - Rs 67,300," he added.

  • Dr Reddy's shares continue to bleed. Is it a 'buy on dip' opportunity?
    2021-07-30, By: System Administrator

    Dr Reddy's share price: The recent beating in the pharma stock is due to the below par quarterly results of the company, say experts

     

    Dr Reddy's share price: After hitting 10 per cent lower circuit on Tuesday, Dr Reddy's shares have further extended its downside trend and crashed more than 3 per cent in the intraday trade session. According to stock market experts, this heavy beating in the pharma stock is mainly due to the lower than expected Dr Reddy’s Q1 results. They said that markets were expecting rise in its profit while it reported slump in its quarterly profit. However, they maintained that such dip in Dr Reddy's share price should be seen as an opportunity to take 'positional call' in the counter as triggers like Sputnik vaccine manufacturing in India from September this year and fear of third wave are still around.

     

    Talking on the triggers that’s anticipated to favour Dr Reddy's shares in close to time period; Ravi Singhal, Vice Chairman at GCL Securities stated, "The latest beating in Dr Reddy’s inventory is due to the under par quarterly outcomes of the corporate. However, it is a short-term sentiment that’s anticipated to fade away in subsequent one to two commerce classes. One ought to take a look at taking positional name within the counter at this juncture as it has slipped round 14 per cent within the final two commerce classes."

    Requested in regards to the triggers aiding Dr Reddy’s shares; Ravi Singhal of GCL Securities stated, "Dr Reddy’s goes to begin manufacturing of Sputnik vaccine in India from September this yr that's anticipated to work as massive set off for the corporate’s inventory. Other than this, we’re as soon as once more witnessing rise in instances of Covid-19 in numerous components of India and overseas, which displays that third wave of Covid-19 remains to be round. If that occurs, there will likely be enormous demand for Covid vaccines — a state of affairs that augurs properly for Dr Reddy’s share value outlook."

    Standing in sync with Ravi Singhal's views; Sumeet Bagadia, Government Director at Selection Broking stated, "Dr Reddy's shares have robust help at ?4400 and one can provoke purchase within the counter under ?4600 mark for the speedy goal of ?5,000 sustaining cease loss at ?4400."

     

    Highlighting the positives that will assist Dr Reddy's share value rally; Kunal Dhamesha, Analysis Analyst at Emkay World Securities stated, "After the sharp correction within the inventory value following the end result announcement, the inventory is buying and selling at a gorgeous P/E a number of of 24 towards the historic common P/E a number of of 26,' including, "(Dr Reddy’s Laboratories) Administration alluded that profitability will enhance meaningfully from Q2, pushed by the ramp-up of not too long ago launched merchandise, larger progress within the branded markets and a rise in API scale. Administration additionally reiterated its long-term EBITDA margin steerage of 25 per cent."

    Kunal Dhamesha of Emkay World Securities suggested inventory market traders to purchase Dr Reddy's shares for one yr goal of 5,755 per inventory ranges.

  • DLF to Suntech Realty - why real estate stocks are soaring?
    2021-07-27, By: System Administrator

    After the positive commentary by DLF management, market is expecting reduction in debt of other real estate companies and hence this buying is happening on the positive changes taking place in their EPS (Earnings Per Share).

    • According to stock market experts, lower home loan interest rate and fast approaching festival season are two major reasons for rise in real estate stocks' price

    On account of lower home loan interest rates, fast approaching festival season expected to fuel demand for real estate properties, realty stocks are witnessing fresh buying these days. Realty major DLF share price shot up 2.40 per cent in the intraday trade while in the last 5 trade sessions, DLF shares scaled around 3.2 per cent. Suntech Realty stocks too gained around 3 per cent in last 5 trade sessions. Realty stock Brigade Enterprises surged to the tune of 3 per cent in this time period.

    Speaking on the reason for rise in realty stock price; Avinash Gorakshkar, Head of Research at Prifitmart Securities said, "We can attribute two major reasons for the rise in real estate stock price — lower home loan interest rate and fast approaching festival season. Historically, the period is considered best period for real estate companies in terms of sale. Apart from this, recent DLF numbers have been announced and the commentary of the company promises higher sales in the festival season. Apart from this, after DLF's first quarter result announcement, market is expecting strong quarterly numbers from other real estate companies too."

    On how DLF results are fueling real estate share price Ravi Singhal, Vice Chairman at GCL Securities said, "After the positive commentary by DLF management, market is expecting reduction in debt of other real estate companies and hence this buying is happening on the positive changes taking place in their EPS (Earnings Per Share). In coming times, we can expect further rise in the real estate counters as next quarter will be festival season and sales of real estate companies are expected to go up in this period."

    Asked about the stocks that one can buy in current market scenario Ravi Singhal said that one can buy DLF, Godrej Properties and Mahindra Lifespace Developers shares for 6-9 months time-horizon. In this period, Singhal said, Godrej share price may go up to RS 440, Godrej Properties stock may hit 1700 levels while Mahindra Lifespace Developers is expected to go up to Rs 1100 per share levels.

    Realty major DLF reported sales booking jump of nearly 7-fold year-on-year to RS 1,014 crore during the April-June quarter of this fiscal, on strong demand for its independent floors and luxury homes in Gurugram. In its investor's presentation, DLF said it sustained sales momentum during the June quarter despite the resurgence of COVID infections. Out of the total sales bookings in Q1 of FY22, DLF said the launches of new projects contributed RS 542 crore.

     

  • Gold Price Today Jumps but Rs 8,500 Down from Record High. Should you Invest?
    2021-07-26, By: System Administrator

    Gold price in India saw a marginal increase on Monday. On the Multi-Commodity Exchange (MCX), August gold contracts jumped 0.25 per cent to Rs 47,653 for 10 grams at 0930 hours on July 26. Silver also edged higher on Monday. The precious metal’s September future climbed 0.04 per cent to Rs 67,194 a kilogram on July 26.

    Gold prices in the international market tanked on Monday. Spot gold dropped 0.1% to $1,799.89 per ounce by 0110 GMT, according to Reuters. US gold futures fell 0.2% to $1,798.90 per ounce. The dollar index inched towards to a three-month peak hit last week. As a result, yellow metal become costlier for holders of other currencies.

    All eyes are on Federal Open Market Committee’s meeting this week. The experts believe that the US central bank will keep the policy rates and stance unchanged during the meeting. However, investors will look out for clues on when the U.S. central bank might rein in its easy monetary policies.

    To encourage the subdued demand of yellow metal, dealers are offering heavy discounts on gold in India. Dealer discount on the precious metal in the country remained near one-month highs, according to reports.

    “International spot gold and silver prices have started flat to marginally higher this Monday morning in Asian trade as all eyes shift to the Federal Reserve meeting this week. The Fed’s policy meeting next week will be followed by comments from Chair Jerome Powell which could continue to suggest that the central bank would remain accommodative despite recent spikes in inflation readings. On the other hand, other data like durable goods orders and US GDP data for 2nd quarter could also drive markets. Technically, LBMA Gold has bounced back from $1790 level where its trading above $1800 level could see some upside push up to $1811-$1817 levels. Support is at $1798-1787 levels. LBMA Silver could trade within the range of $25.00-$25.80 levels,” said Sriram Iyer, senior research analyst at Reliance Securities.

    “Domestic gold and silver prices could start flat to marginally higher this Monday morning, tracking overseas prices. On the domestic front, MCX gold August holds a Support near Rs 47,300-47,100 levels. Resistance is at Rs 47,700-47,900 levels. MCX Silver September holds a support near 66600 levels where it could see a resistance near Rs 67,300-68,000 levels. Support is at Rs 66,700-65,900 levels,” Iyer added.

    “Gold and silver are giving some pullback signal on the daily chart as well as four hourly charts, momentum indicator RSI also indicating the same. Silver is looking more strong than Gold in daily chart and creating a positive divergence in daily chart. So traders are advise create long position in Gold and Silver near support levels, traders should also focus important technical levels given below for the day: August Gold closing price Rs 47,534, Support 1 – Rs 47,300, Support 2 – Rs 47,000, Resistance 1 – Rs 47,780, Resistance 2 – Rs 48,101. September Silver closing price Rs 67,024, Support 1 – Rs 66,500, Support 2 – Rs 66,000, Resistance 1 – Rs 67,525, Resistance 2 – Rs 68,000,” Amit Khare, AVP- research commodities, Ganganagar Commodities Limited.

    “Gold has now started trading below $1800 and bulls are missing out the control gradually as the counter is making higher lower every passing day. Dollar strengthening and absence of any fresh fundamental news are signally some sell off in precious metal. Gold on MCX is also trading in pressure and it will be prudent for the long-term investors to wait for some time to make fresh long trades. For intraday trade, we are anticipating some bounce back from 47500 levels and traders can continue to ride this sideways price action both sides with strict stop loss and follow the key pivot levels. Key level for gold August Contract – Rs 47,518. Buy Zone Above – Rs 47,525 for the target of Rs 47,736-47,938. Sell Zone Below – Rs 47,500 for the target of Rs 47,316-47,098,” said Sandeep Matta, founder, TRADEIT Investment Advisor.

  • Your Rs 1 lakh would have become Rs 5 lakh in one year in this stock
    2021-07-26, By: System Administrator

    Multibagger stocks 2021: The engineering company stock has delivered around 400 per cent return to its share holders in the last one year by soaring from Rs 39.05 per stock levels to Rs 194.90 at NSE in this period.

    Multibagger stocks 2021: Year 2021 has witnessed huge number of stocks giving more than 100 per cent return to its share holders. However, if we look at the multibagger stocks 2021 list in India, this time a good number of mid-cap and small-cap stock have managed to make a cut into the elite list of multibagger stocks. Goodluck India shares are one of them. The engineering company stock has delivered around 400 per cent return to its share holders in the last one year by soaring from Rs 39.05 per stock levels to RS 194.90 at NSE in this period.

    Goodluck India share price history

    As the name suggests, Goodluck India share price has remained a milking cow for its share holders throughout the year. Yesterday on 19th July 2021, Goodluck India share price hit its 10 per cent upper circuit while in the last 5 trade session, Goodluck India shares have jumped over 31 per cent. Goodluck India stock price has surged over 81 per cent in last one month while in the last six month, it has yielded around 157 per cent. However, when we look at the last one year return of Goodluck India shares, it is staggering near 400 per cent. So, the stock has delivered four times return to its share holder in the last one year.

    Investment return

    Taking cue from Goodkluck India share price history, if an investor had invested Rs 1 lakh in the counter one month ago, its Rs1 lakh would have become Rs 1.81 lakh. If the investor had invested Rs 1 lakh six months ago and had remained invested in the stock, its Rs 1 lakh would have become Rs 2.57 lakh. However, if the investor had invested Rs 1 lakh a year ago and had remained invested in the stock throughout the year, its Rs 1 lakh would have grown Rs 5 lakh in this period.

     

    Goodluck India share price target

    When asked for those investors who missed this opportunity and want to enter in this engineering counter Ravi Singhal, Vice Chairman at GCL Securities said, "It's an engineering company and it has scaled sharply upward after making a breakout at Rs150 per stock levels. One should not buy the counter at current levels and wait for correction and buy in Rs150 to Rs175 range for the target of RS 275 to Rs 350." However, Singhal strictly advised investors to maintain stop loss at Rs120 while taking position in the engineering counter.

     

     

     

  • Gold prices today are below Rs 48,000. Should you invest now?Know the expert view
    2021-07-19, By: System Administrator

    India's gold prices witnessed a sharp fall on Monday. On the Multi-Commodity Exchange (MCX), gold contracts in August fell 0.03% to Rs 47,909 at 10 grams in 1235 hours.

    "Gold"s fair value has determined about 1800 levels as yellow metal is struggling to break through the $ 1835 level due to the lack of new fundamental news, the rising US dollar and the looming threat of delta variants. The strong recovery in the global stock market has also weakened the position of a safe haven for gold. The US dollar will be a major driver of gold prices in the coming days and the dollar will rise further. Will have a negative impact on a safe paradise, "said Sandeep Matta, founder of TRADEIT Investment Advisors.

    "In our view, the MCX's gold price also plummeted on Friday, closing at around 48,000 levels. The gold outlook is currently neutral until it remains above the 48500 level. Long-term investors are advised again to wait for some modifications to make new entries while day traders need to be proactive in earning small profits on both sides.

    Gold August Contract Key Level – Rs 48,139. Buy the above zones – Rs48,150 against Rs48,250-48,408 targets. Sell ??the following zones – 48,150 rupees against a target of 47,925-47,837 rupees, "he added.

     

    "Federal Reserve Chairman Jerome Powell's testimony to the Senate on Thursday did not provide new insights following his remarks and prepared texts on Wednesday when he was easily inclined to monetary policy. Powell said the Fed is still a long way from shrinking its bond-buying program (quantitative easing). He also said that the U.S. central bank said the rise in inflation was only temporary. Many believe Powell and the Fed are at the forefront of inflation and behind the curve, said Amit Carre, AVP of Research Commodities at Ganganagar Comodity Limited. I will.

    "Gold and silver seem weak to the technical momentum indicator RSI showing the same. Traders are encouraged to create short positions in gold and silver. Traders are important for the day. Technical levels should also be focused on: August Gold closing price 48,053, Support 1-Rs 47,800, Support 2-Rs 47,600, Resistance 1-Rs 48,300, Resistance 2-Rs 48,510. September Silver closing price 68,319 , Support 1-Rs 67,300, Support 2-Rs 66,300, Resistance 1-Rs 69,400, Resistance 2-Rs 70,000, "added Khare.

  • Gold Price Today: Yellow metal holds steady, crucial support at Rs 47,500
    2021-07-13, By: System Administrator

    Buy gold on dips around 47550 with a stop loss of 47300 for the target of 48000 and in silver around 68800 with a stop loss of 68400 for the target of 69900, suggest experts.

    India Gold MCX August Futures trades higher on Tuesday following positive trend in the international spot prices as the dollar weakened slightly ahead of the US inflation data.

    Spot gold rose marginally to $1,807.22 per ounce. The dollar index was down about 0.1%. A weaker dollar makes gold less expensive for other currency holders, said a Reuters report.

    On the Multi-Commodity Exchange (MCX), August gold contracts were trading 0.16 percent higher at Rs 47,850 for 10 grams at 0930 hours. September silver futures were trading 0.22 percent higher at Rs 69,531 a kilogram.

    Track live gold price here

    Gold and silver showed extreme volatility on Monday and settled on a mixed note in the international markets. Gold August futures contract settled at $1805.90 per troy ounce and silver September futures contract settled at $26.24 per troy ounce. Both the precious metals settled on a mixed note in the domestic market.

    Gold and silver prices got support from the fresh coronavirus outbreak in the Britain and European Union. Prices also get support after the EU president reaffirms that the bond-buying program continues until March, 2022, suggest experts.

    “We expect both the precious metals to remain volatile in Tuesday’s session and continue to hold key support levels, any decline in the prices would be an opportunity for buying at lower levels,” Manoj Kumar Jain, Director, Head-Commodity & Currency Research, Prithvifinmart Commodity Research, said.

    “At MCX, Gold has support at 47550-47330 and resistance at 48000-48180 levels; silver has support at 68800-68400 and resistance at 69900-70400 levels,” he said.

     

    ain suggests buying in gold on dips around 47550 with a stop loss of 47300 for the target of 48000 and in silver around 68800 with a stop loss of 68400 for the target of 69900.
    Technical indicators

    Expert: Sriram Iyer, Senior Research Analyst at Reliance Securities

    International spot gold ended flat and was off session lows while silver prices ended higher on Monday.

    Domestic gold prices ended lower, but were off session lows, while silver prices ended with small gains on Monday. The dollar and recovery of bond yields ended with gains on Monday and capped upside.

    Domestic gold and silver prices could start flat this Tuesday morning, tracking overseas prices.

    On the domestic front, MCX Gold August holds strong support near 47600-47400 levels. Resistance is at 47900-48100 levels.

    MCX Silver September below 69500 levels could see a Bearish momentum up to 68900-68000 levels. Resistance is at 70100-71000 levels.

    Amit Khare, AVP- Research Commodities, Ganganagar Commodities Limited

    Gold is showing more weakness compared to Silver since the last 2 trading sessions. The momentum indicator RSI is indicating some profit booking signal on the daily chart.

    Traders are advised to create a short position in Bullion's near given resistance levels, and should also focus on important technical levels given below for the day :

    August Gold closing price 47,774: Support 1 - 47500, Support 2 - 47200, Resistance 1 - 48000, Resistance 2 - 48225.

    September Silver closing price 69,375: Support 1 - 68800, Support 2 - 68100, Resistance 1 - 70000, Resistance 2 - 70610.

    Abhishek Chauhan Head Commodities & Currencies, Swastika Investmart

    US Dollar is witnessing a rangebound movement and is not able to sustain at higher levels giving support to Gold prices. Gold in MCX is sustaining above 200-Daily EMA.

    However, the US 10-year yield also rebounded from lower levels which are keeping Gold prices trading in a narrow range. Gold has support at 47400 and resistance at 48000. Silver has support at 68400 and resistance at Rs 70,100.

    Ravindra Rao, CMT, EPAT, VP- Head Commodity Research at Kotak Securities

    COMEX gold trades marginally higher near $1811/oz after a 0.3?cline yesterday. Gold inched up gaining support from virus concerns, China’s monetary easing measures, ECB’s shift in inflation strategy and uneven recovery.

    However, weighing on price is continuing ETF outflows and recovery in bond yields from recent lows. Gold may witness choppy trade as Fed's monetary policy is assessed however with price holding above $1800/oz, the momentum looks positive.

  • Gold Price Today: Yellow metal trades lower, experts say buy for a target of Rs 48,300
    2021-07-08, By: System Administrator

    Buying gold around 47800 with a stop loss of 47580 for the target of 48300 and in silver around 69000 with a stop loss of 68500 for the target of 70200, suggest experts.

    India Gold MCX August Futures trade lower on Thursday following muted trend in the international spot prices amid strong US Dollar.

    The dollar index traded near the highest level in three months versus its rivals, making gold more expensive for other currency holders, said a Reuters report.

    On the Multi-Commodity Exchange (MCX), August gold contracts were trading 0.33 percent lower at Rs 47,750 for 10 grams at 0930 hours. July silver futures were trading 0.60 percent higher at Rs 68,946 a kilogram.

    Track live gold price here

     

     

    Gold and silver showed volatility on Wednesday due to strength in the dollar index. Gold prices gained for the fifth straight session and crossed $1800 per troy ounce for the first time in around the last three weeks. Both the precious metals settled on a mixed note in the international markets.

    Gold prices showed strength on Wednesday amid weakness in the benchmark 10-year bond yields in the United States. 10-year bond yields slipped to 1.31% on Wednesday and supported both the precious metals. However, strength in the dollar index capped gains.

    The US Federal Reserve released its June month monetary policy minutes on Wednesday and most of the members said that the reopening of the economy has been uneven and due to this inflation is rising.

    “The monetary policy minutes were a mix of hawk and doves. We expect both the precious metals to remain volatile in Thursday’s session after Fed minutes and gold could test $1820 levels in upcoming sessions,” Manoj Kumar Jain, Director, Head-Commodity & Currency Research, Prithvifinmart Commodity Research, said.

    “Gold has support at $1792-1778 and resistance at $1814-1828 per troy ounce; silver has support at $25.88-25.55 per troy ounce and resistance at $26.40-26.70 per troy ounce,” he said.

    Jain further added that at MCX, gold has support at 47700-47550 and resistance at 48100-48330 levels; silver has support at 68800-68500 and resistance at 69900-70300 levels.

    “We suggest buying in gold around 47800 with a stop loss of 47580 for the target of 48300 and in silver around 69000 with a stop loss of 68500 for the target of 70200,” he added.

    Technical indicators

    Expert: Ravindra Rao, CMT, EPAT, VP- Head Commodity Research, Kotak Securities

    COMEX gold trades marginally lower near $1797/oz after a 0.4% gain yesterday. Gold is pressurized by firmness in the US dollar as FOMC minutes added to uncertainty about Fed’s monetary tightening. Also weighing on price is continuing ETF outflows.

    However, supporting price is renewed virus concerns and uneven global economic recovery. Gold may remain sideways to lower as diverging monetary policy stance of Fed and other central banks may keep the US dollar supported.

    Hareesh V, Research Head Commodities at Geojit Financial Services

    Lower US treasury yields and worries over the rise in new virus cases due to the more virulent Delta variant are keeping gold prices steady near $1800 an ounce. Meanwhile, a strong US dollar and optimistic global economic sentiment continue to dampen its safe asset appeal

    Prices continue to be choppy inside $1820-1748 levels and breaking any of the sides would suggest a short-term direction for the commodity. Anyhow, a close below $1745 is a bearish signal for the metal.

    Sriram Iyer, Senior Research Analyst at Reliance Securities

    International spot gold prices ended above $1,800/ounce on Wednesday as U.S. Treasury yields declined after minutes from the Federal Reserve's June meeting showed officials felt its substantial progress goal on economic recovery has not yet been met.

    In other metals, international spot silver ended flat and fell from session high’s tracking the strength of the Dollar.

    Domestic gold ended higher, while silver gave up gains to end in the red on Wednesday, tracking overseas prices.

    Domestic gold and silver prices could start weaker this Thursday morning, tracking overseas prices.

    On the domestic front, MCX Gold August holds a strong support near 47700-47600 levels. Resistance is at 48100-48300 levels.

    MCX Silver September holds a resistance 50-DMA near 70480 levels above which could see a bullish momentum up to 71200-72100 levels. Support is at 68900-67900 levels.

    Amit Khare, AVP- Research Commodities, Ganganagar Commodities Limited

    Gold and Silver again showed a mixed movement on Wednesday. Gold is showing more strength compared to Silver on the daily chart.

    Traders are advised to create a long position in Gold rather than Silver and should also focus on important technical levels given below for the day:

    August Gold closing price 47,910: Support 1 - 47700, Support 2 - 47500, Resistance 1 - 48100, Resistance 2 - 48400.

    September Silver closing price 69,365: Support 1 - 68770, Support 2 - 68200, Resistance 1 - 70000, Resistance 2 - 70500.

  • Gold Price Today: Yellow metal trades lower, experts say buy for a target of Rs 48,300
    2021-07-08, By: System Administrator

    Buying gold around 47800 with a stop loss of 47580 for the target of 48300 and in silver around 69000 with a stop loss of 68500 for the target of 70200,” suggest experts.

    India Gold MCX August Futures trade lower on Thursday following muted trend in the international spot prices amid strong US Dollar.

    The dollar index traded near the highest level in three months versus its rivals, making gold more expensive for other currency holders, said a Reuters report.

    On the Multi-Commodity Exchange (MCX), August gold contracts were trading 0.33 percent lower at Rs 47,750 for 10 grams at 0930 hours. July silver futures were trading 0.60 percent higher at Rs 68,946 a kilogram.

    Track live gold price here

     

     

    Gold and silver showed volatility on Wednesday due to strength in the dollar index. Gold prices gained for the fifth straight session and crossed $1800 per troy ounce for the first time in around the last three weeks. Both the precious metals settled on a mixed note in the international markets.

    Gold prices showed strength on Wednesday amid weakness in the benchmark 10-year bond yields in the United States. 10-year bond yields slipped to 1.31% on Wednesday and supported both the precious metals. However, strength in the dollar index capped gains.

    The US Federal Reserve released its June month monetary policy minutes on Wednesday and most of the members said that the reopening of the economy has been uneven and due to this inflation is rising.

    “The monetary policy minutes were a mix of hawk and doves. We expect both the precious metals to remain volatile in Thursday’s session after Fed minutes and gold could test $1820 levels in upcoming sessions,” Manoj Kumar Jain, Director, Head-Commodity & Currency Research, Prithvifinmart Commodity Research, said.

    “Gold has support at $1792-1778 and resistance at $1814-1828 per troy ounce; silver has support at $25.88-25.55 per troy ounce and resistance at $26.40-26.70 per troy ounce,” he said.

    Jain further added that at MCX, gold has support at 47700-47550 and resistance at 48100-48330 levels; silver has support at 68800-68500 and resistance at 69900-70300 levels.

    “We suggest buying in gold around 47800 with a stop loss of 47580 for the target of 48300 and in silver around 69000 with a stop loss of 68500 for the target of 70200,” he added.

    Technical indicators

    Expert: Ravindra Rao, CMT, EPAT, VP- Head Commodity Research, Kotak Securities

    COMEX gold trades marginally lower near $1797/oz after a 0.4% gain yesterday. Gold is pressurized by firmness in the US dollar as FOMC minutes added to uncertainty about Fed’s monetary tightening. Also weighing on price is continuing ETF outflows.

    However, supporting price is renewed virus concerns and uneven global economic recovery. Gold may remain sideways to lower as diverging monetary policy stance of Fed and other central banks may keep the US dollar supported.

    Hareesh V, Research Head Commodities at Geojit Financial Services

    Lower US treasury yields and worries over the rise in new virus cases due to the more virulent Delta variant are keeping gold prices steady near $1800 an ounce. Meanwhile, a strong US dollar and optimistic global economic sentiment continue to dampen its safe asset appeal

    Prices continue to be choppy inside $1820-1748 levels and breaking any of the sides would suggest a short-term direction for the commodity. Anyhow, a close below $1745 is a bearish signal for the metal.

    Sriram Iyer, Senior Research Analyst at Reliance Securities

    International spot gold prices ended above $1,800/ounce on Wednesday as U.S. Treasury yields declined after minutes from the Federal Reserve's June meeting showed officials felt its substantial progress goal on economic recovery has not yet been met.

    In other metals, international spot silver ended flat and fell from session high’s tracking the strength of the Dollar.

    Domestic gold ended higher, while silver gave up gains to end in the red on Wednesday, tracking overseas prices.

    Domestic gold and silver prices could start weaker this Thursday morning, tracking overseas prices.

    On the domestic front, MCX Gold August holds a strong support near 47700-47600 levels. Resistance is at 48100-48300 levels.

    MCX Silver September holds a resistance 50-DMA near 70480 levels above which could see a bullish momentum up to 71200-72100 levels. Support is at 68900-67900 levels.

    Amit Khare, AVP- Research Commodities, Ganganagar Commodities Limited

    Gold and Silver again showed a mixed movement on Wednesday. Gold is showing more strength compared to Silver on the daily chart.

    Traders are advised to create a long position in Gold rather than Silver and should also focus on important technical levels given below for the day:

    August Gold closing price 47,910: Support 1 - 47700, Support 2 - 47500, Resistance 1 - 48100, Resistance 2 - 48400.

    September Silver closing price 69,365: Support 1 - 68770, Support 2 - 68200, Resistance 1 - 70000, Resistance 2 - 70500.

  • Gold rate today: Yellow metal trades higher; resistance seen at Rs 48,200 per 10 grams
    2021-07-07, By: System Administrator

    Gold prices in India traded higher on the Multi Commodity Exchange (MCX) Wednesday tracking a positive trend in international spot prices amid a fall in US Treasury yields, analysts said.

     

    At 11:50 am, gold futures for August delivery rose 0.29 percent to Rs 47,823 per 10 grams as against the previous close of Rs 47,684 and the opening price of Rs 47,761 on the MCX. Silver futures traded 0.67 percent higher at Rs 69,978 per kg. The prices opened at Rs 69,620 as compared to the previous close of Rs 69,512 per kg.

    “A drop in US Treasury yields and softer dollar ahead of US Federal Reserve minutes are supporting the precious metal prices. Covid concerns are also lifting the safe-haven appeal for gold,” said Ajay Kedia, Director, Kedia Advisory.

    According to Kedia, the bias for gold remains positive and hence advises investors to buy gold on a drop in prices.

    “On MCX, gold may face resistance at Rs 48,200 and support is seen at Rs 47,380. Silver may find resistance at Rs 71,600 and support at Rs 68,700,” Kedia said.

    International gold prices held firm near the key $1,800/ounce psychological level on Wednesday, helped by a drop in US Treasury yields, while investors awaited minutes from the Federal Reserve’s June meeting for more clues on its policy outlook, said a Reuters report.

    Spot gold was up 0.1 percent at $1,797.84 per ounce, after hitting its highest since June 17 at $1,814.78 on Tuesday. US gold futures rose 0.3 percent to $1,799 per ounce.

    Benchmark 10-year Treasury yields were pinned near their lowest in more than four months. Lower bond yields reduce the opportunity cost of holding non-interest bearing gold.

    Market participants are now awaiting minutes from the Fed’s latest meeting, due at 1800 GMT, which could shed more light on the interest rate trajectory after a hawkish tilt by the US central bank last month.

    “Precious metal seems to be in the process of switching its direction as after three weeks of sideways consolidation it crossed $1,800 level yesterday though could not close above it. US bond yields held near a two-week low while investors are watching for the Federal Reserve’s minutes to gauge the outlook for US interest rates,” said Sandeep Matta, Founder, TRADEIT Investment Advisor.

    On MCX, it seems that gold prices have entered in the accumulation zone and any dip should be a buying opportunity until it breaches and close below Rs 46,500 level, Matta added.

    Meanwhile, depreciation in the Indian rupee against the US dollar amid volatility in the domestic equity market lifted appeal for the safe-haven bullion.

    “The overall structure of bullion is strong. Now momentum indicator RSI is also cool down in the hourly chart and again ready for upside movement. So traders are advised to create a long position in gold and silver. Traders should also focus on important technical levels for the day,” said Amit Khare, AVP- Research Commodities, Ganganagar Commodities.

    August Gold: Support 1 – Rs 47,300, Support 2 – Rs 47,000; Resistance 1 – Rs 48,100, Resistance 2 – Rs 48,500.

    September Silver: Support 1 – Rs 68,500, Support 2 – Rs 68,100; Resistance 1 – Rs 70,500, Resistance 2 – Rs 71,400.

  • Stocks to buy today: Experts give buy call on these shares
    2021-07-06, By: System Administrator

    Expecting volume expansion in the market stock market experts advised investors to buy these 6 shares when the market opens on Tuesday.

    BSE mid-cap and small-cap indices rose 0.3 per cent and 0.8 per cent respectively on Monday

     

     

    Stocks to buy today: After world stocks hugged close to record highs on Monday, Indian indices ended higher for the second consecutive day on Monday. The Nifty opened higher with a gap up, rose to remain in a band through the day and closed near its intraday high. At close, the NSE Nifty was up 112.20 points at 15,834. However, volumes on the NSE remained subdued. Among sectors, Realty, Metals and Banks were the main gainers, while Power was the lone loser. BSE mid-cap and small-cap indices rose 0.3 per cent and 0.8 per cent respectively. According to experts, Indian stock market has some more upside potential in the near term. They said that 15,870 to 15,915 could be the next resistance for the Nifty while 15,777 could be its immediate support.

    Expecting volume expansion in the market stock market experts advised investors to buy these shares when the market opens on Tuesday:

    Speaking on shares to buy today Sumeet Bagadia, Executive Director at Choice Broking said, "Today investors or traders can buy SBI and Godrej Properties shares."

     

    Here are the levels that Sumeet Bagadia of Choice Broking advised while taking position in his suggested counters:

    1] SBI or State Bank of India: Buy at Rs.430, target Rs.445 to Rs.450, stop loss at Rs.419

    2] Godrej Properties: Buy at Rs.1440, target Rs.1500 to Rs.1550, stop loss at Rs.1390

    Sharing on his stocks picks of the day Ravi Singhal, Vice Chairman at GCL Securities said, "One can look at Muthoot Finance, delta Corp and Hindalco Industries shares, if there is any plan to add some stock in one's portfolio."

    Here are the levels that Ravi Singhal advised while taking position in his suggested counters:

     

    3] Muthoot Finance: Buy at Rs.1565, target Rs.1600, Rs.1650 and Rs.1700, stop loss at Rs.1500

     

    4] Delta Corp: Buy at CMP, target Rs.204, Rs.216 and Rs.219, stop loss at Rs.184

    5] Hindalco Industries: Buy at CMP, target Rs.400, Rs.415 and Rs.435

    On his stock pick of the day Sandeep Matta, Founder at TRADEIT Investment Advisors said that he has only one stock to suggest investors and the stock he names is IDFC First Bank.

    Here are the levels that Sandeep Matta advised while taking position in his suggested counters:

    6] IDFC First Bank: Buy at CMP, target Rs.60 to Rs.64, stop loss at Rs.45

  • This IT stock is up 600% from IPO price in 8 months. Should you still buy?
    2021-07-05, By: System Administrator

    Happiest Mind share price has been breaking records since its listing. The stock was listed at ?351 at the BSE — logging 111 per cent listing premium, doubling investors' money in single trade session.

    Happiest Minds share price today is quoting Rs.1208 per stock at NSE — logging around 625 per cent public issue premium. Happiest Minds public issue was listed at BSE and NSE on 17th September 2020 and the issue price was fixed at ?165 to ?166. So, those who subscribed the IPO and hold it after the listing, they have registered over 600 per cent listing premium. In the last one month, Happiest Minds shares have jumped 35 per cent while in the last six months, the technology stock have delivered more than 250 per cent returns to its share holders. However, if we go by the stock market experts, the stock still holds potential to further scale. They recommended retail investors to buy Happiest Minds shares on any major fall as it has strong support at ?1,000 levels.

    Speaking on the fundamentals of Happiest Minds that helped the success of the IPO listing and then sharp rise in the shares post-listing Avinash Gorakshkar, Head of Research at Profitmart Securities said, "Happiest Minds Technologies has strong business model at the OTT platform. It is in the cloud business too. The company has strong client base that includes Amazon and Netflix. This rise in the tech counter is further expected post-Covid-19 restrictions as there will be huge investment coming into the cloud service and OTT platform. So, any major dip around Rs.1,000 in the counter should be seen as a buying opportunity for long-term."

    Sharing Happiest Minds share price target in long-term Ravi Singhal, Vice Chairman at GCL Securities said, "The counter is a portfolio stock and one can still buy the counter for 12-18 month target of Rs.2,000 to Rs.2,100."

     

    Happiest Mind share price has been breaking records since its listing. The stock was listed at ?351 at the BSE — logging 111 per cent listing premium, doubling investors' money in single trade session. D-Mart operator Avenue Supermarts and IRCTC also fall in the list as they too had delivered more than 100 per cent listing gains to its IPO subscribers.

  • Gold Price Today: Yellow metal trade flat, experts say buy on dips for a target of Rs 47,550
    2021-07-05, By: System Administrator

    Buy gold on dips around Rs 47,055 with a stop loss of Rs 46,880 for the target of Rs 47,550 and in silver around Rs 69,600 with a stop loss of Rs 68,800 for the target of Rs 70,900, say experts.

     

    Gold was trading flat in the Indian market on July 5, tracking muted international spot prices amid a rise in the US dollar.

    On the Multi-Commodity Exchange (MCX), August gold contracts were trading 0.04 percent higher at Rs 47,306 for 10 grams at 0930 hours. July silver futures were trading 0.35 percent higher at Rs 70,431 a kilogram.

    The dollar ticked up 0.1 percent against its rivals, making gold expensive for holders of other currencies, said a Reuters report. Investors were waiting for more US economic data for clues on the Federal Reserve’s monetary policy plans.

    On July 2, gold and silver prices settled on a positive note in the international markets. August gold futures contract settled at $1,787.55  a troy ounce and silver July futures contract at $26.60 a troy ounce. Domestic markets also settled on a positive note.

     

    “We expect gold and silver to remain volatile this week and continue to hold their support levels. Strength in crude oil and weakness in the benchmark 10-year bond yields continue to support precious metal prices. Gold has support at $1,774-1,762, while resistance is at $1,800-1,810 per troy ounce,” Manoj Kumar Jain, Director, Head-Commodity & Currency Research, Prithvifinmart Commodity Research, said.

     

    On MCX, gold has support at Rs 47,055-46,920 and resistance at Rs 46,500-4,6740, he said. Silver has support at Rs 69,600-69,100 and resistance at Rs 70,700-71,200 levels, he said.

    Jain suggests buying in gold on dips around Rs 47,055 with a stop loss of Rs 46,880 for the target of Rs 47,550 and in silver around Rs 69,600 with a stop loss of Rs 68,800 for the target of Rs 70,900.

    Technical indicators

    Expert: Ravindra Rao, CMT, EPAT, VP- Head Commodity Research, Kotak Securities

    Comex gold was trading modestly higher near $1,789 after a 0.4 percent gain on July 2. Gold has inched up as mixed US non-farm payrolls data has brought a halt to the dollar’s rise. Renewed virus concerns have also increased gold’s safe-haven appeal.

    However, weighing on price is weaker investor interest and the Fed’s monetary tightening expectations. Gold has edged up on mixed US jobs report, however, upside remains restricted by persisting worries about the Fed's monetary tightening.

    Amit Khare, AVP- Research Commodities, Ganganagar Commodities Limited

    Gold and silver both are making the bottom and indicating strong pull-back signals. The momentum indicator RSI is also giving strong positive divergence on the daily chart.

    Traders are advised to make long position in gold as well as silver and focus on important technical levels given below for the day:

    August gold closing price: Rs 47,285; support 1: 47,000; support 2: 46,700; resistance 1: 47,525; resistance 2: 47,800.

    September silver closing price; Rs 70,188; support 1: 69,500; support 2: 68,900; resistance 1: 70,830 and resistance 2: 71,825.

    Sriram Iyer, Senior Research Analyst, Reliance Securities

    International gold and silver prices continued to rebound for the third consecutive day on July 2, tracking weakness in the dollar.

    Domestic gold and silver rose, tracking overseas prices. The US two-year yields tumbled in the wake of the payroll report, as wage gains remained steady.

    Domestic gold and silver prices could start marginally higher on July 5, tracking overseas prices.

    On the domestic front, MCX August gold holds strong support near Rs 47,150-47,000. Resistance is at 47,400-47,700.

    Above 68,700, MCX September silver will continue bullish momentum up to Rs 70,300-71,400. Support is at Rs 68,600-67,300.

    Abhishek Chauhan Head Commodities & Currencies, Swastika Investmart

    Declining US bond yield and dollar that fell against the basket of major currencies supported gold and silver prices.

    The short-term trend in gold may remain range-bound to upside. Comex gold has resistance at $1,800 and above this level, it may move towards $1,830.

    While $1,750 is a crucial support zone, below it, this view would be negated. On MCX, 47,500 is a key resistance level, while support is at 46,800. Silver has support at 69,000 and resistance at 70,500.

    Disclaimer: The views and investment tips expressed by experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

     

     

  • Should you join the sectoral funds growth bandwagon?
    2021-07-01, By: System Administrator

    Source : (www.money9.com)

    Investing consistently before spending inculcates a habit of financial discipline.

    For many years, the Indian pharmaceutical sector has been mired in the tangle of regulatory difficulties, competition, pricing pressures, and enormous R&D investments that did not result in revenue visibility. However, the Indian Pharmaceuticals had a complete bull cycle from 2009 to 2015, followed by a significant slump from 2016 to 2019.

    Data from the S&P BSE Healthcare index show a double-digit yearly increase in the years 2013 (23%), 2014 (47%), and 2015 (15%), as well as in previous years since 2009.

    However, from 2016 to 2019, just a single negative digit return was recorded. From a low base of profits and earnings in the year 2020, pharma stocks saw a massive roar from the beginning of January 2020 till June 23, 2021; the S&P BSE Healthcare index has given returns of 85%. That said, India’s asset management firms are following the same pattern.

    The value research data shows that the sectoral pharma fund has given returns of 49.61% (Absolute return), for 1 year and 25.01% (Annualised return), and 13.89% (Annualised return) over 3 and 5 years as of June 22, 2021 as the domestic businesses have seen improvement in margins on the back of new product launches and scale leverage.

    Similarly, the Sectoral Technology Fund has done quite well in terms of performance. The absolute returns in just one year have been 105.33%, shows value research data. “Owing to reasons such as an increase in the Work From Home (WFH), change in business tactics, use of Artificial Intelligence (AI), cloud, online advertising and social media, increase in internet consumption and many more, the IT sector remained an outperformer. Looking at these factors, IT stocks will remain agile during the pandemic,” said Ravi Singhal, Vice Chairman, GCL Securities.

     

    The banking and financial services space, too, did exceptionally well. But the Bank Nifty started moving up by Sept-Oct 2020, that is, with a lag after the frontline indexes had moved up quite a bit. As per the value research data under Equity oriented category, the sectoral banking fund has given returns of 58.19% (Absolute return), for 1 year and 7.39% (Annualised return), and 12.20% (Annualised return) over 3 and 5 years as of June 22, 2021.

     

    “We need to bear in mind the fact that the performance of the sector and the overall growth of the economy are very closely linked. Better provisioning for and management of Non-Performing Assets (NPAs), less than expected NPA levels post the pandemic, gains through digital and retail banking, low cost of funds from the accommodative stance of the RBI, are all factors that helped the sector hold well against all odds,” said Joseph Thomas, Head of Research, Emkay Wealth Management.

    What should be the course of investors?

    As per the market experts, investments into sector funds carry much higher risk compared to normal diversified funds, and therefore, exposure should be initiated after careful study and consultations with professional advisors.

    Currently, the index seems to be stalled at 32000 to 34000 levels. While financial experts see some downward pressures as corrections set in, they should be utilised as opportunities to buy the sectoral fund for the long-term portfolio.

    “Nippon, SBI, and Mirae pharma & healthcare funds have been doing well. Whereas under Banking funds, ICICI Prudential, Sundaram, SBI and Tata banking funds have delivered commendable portfolio performances,” explained Thomas.

  • Reliance Power, Rel Infra stocks surge. Why ADAG stocks are rallying
    2021-06-30, By: System Administrator

    Source : (www.livemint.com)

    Market is speculating debt reduction in Reliance Power after the move leading to rise in profit making probability, experts said.

    This rise in the ADAG group shares is because of the preferential share transfer by Reliance Power to Reliance Infra, say experts

    NEW DELHI : Anil Dhirubhai Ambani Group (ADAG) shares Reliance Power and Reliance Infrastructure or Reliance Infra share price shot up near 5 per cent in the opening bell today. According to stock market experts, this rise in the ADAG group shares is because of the preferential share transfer by Reliance Power to Reliance Infra. They said that the market is speculating debt reduction in Reliance Power after the move leading to rise in profit making probability.

    Speaking on the immediate reason for rise in Reliance Infra and Reliance Power stocks' rally Ravi Singhal, Vice chairman at GCL Securities said, " This rally in Reliance Infra and Reliance Power is due to the positive sentiments getting triggered after the news break of Reliance power transferring preferential shares into Reliance Infrastructure. It has triggered positive sentiment about both the ADAG group stocks expecting debt reduction in Reliance Power with the help of Reliance Infra."

    Highlighting upon the market expectation after this preferential share transfer news Avinash Gorakshkar, Head of Research at Profitmart securities said, "This rally in these two ADAG stocks indicates that the market has strong belief in the profit-making potential of the company but due to the high debt of these companies, they were not ready to put money in these penny stocks. however, after the preferential share transfer, institutional investor may look towards the stock and if that happens, we can witness sharp rise further in these stocks." However, he advised investors to remain away from these stocks as nothing concrete can be assumed till any big investment comes in the ADAG companies from outside, say from FIIs, DIIs, etc.

  • This Dolly Khanna share gives multibagger return. Expert recommend ‘buy’
    2021-06-30, By: System Administrator

    Source : (www.livemint.com)

    According to the shareholding pattern for March 2021 quarter, Dolly Khanna share holding in the company is 1.15 per cent of the net company shares.

    Dolly Khanna share portfolio is in news these days for buying stake in three companies. However, it would be interesting for the investors to know that one of the Dllay Khanna shares have delivered more than 100 per cent returns in the last one year. Name of that Dolly Khanna stock is Nucleus Software Exports. This company is a leading provider of lending and banking transaction solutions to the global financial services industry and its share price has shot up from ?273.55 per stock mark to ?587 levels in the last one year — giving multibagger return of near 115 per cent. According to the stock market experts, Nucleus Exports share price has received profit-booking in the recent trade sessions and has been side-ways for the last one month as well, so, one can buy the counter for 6 to 9 month target up to ?750.

    Speaking on the fundamentals of Nucleus Software shares Arijit Malakar, Head of Equity Research, Ashika Stock Broking said, "Nucleus Software Exports ltd is a leading provider of lending and banking transaction solutions to the global financial services industry, which facilitate more than 26 million transactions each day, managing over $200 billion of loans and enabling more than 2 lakh users logging in daily. Company provides digital lending and banking transactions support to global BFSI segment, which remain unscathed during this pandemic. Increasing digital adoption across the global financial sector is the main driver for the company going ahead."

    Arijit Malakar went on to add that in last 5 years Nucleus Software has given stupendous growth both in operating level and net level with revenue growth of 8 per cent CAGR, EBTIDA 33 per cent and PAT 29 per cent.

    Recommending buy call on Nucleus Software Exports shares Ravi Singhal, Vice Chairman at GCL Securities said, "Nucleus Software shares are looking positive on the chart pattern and one can buy this counter at around ?570 for targets ?640, ?700 and ?750 in next 6 to 9 months time-frame."

    Dolly Khanna net worth in Nucleus Software Exports

    According to the shareholding pattern on the company for March 2021 quarter, Dolly Khanna share holding in Nucleus Software Exports is 1.15 per cent of the net company shares. The marquee investor holds 3,33,251 shares of the company.

  • SBI to Canara Bank — experts recommend 'buy' on these banking stocks
    2021-06-29, By: System Administrator

    source : (www.livemint.com/)

    According to experts, when the market is at record high, it doesn't mean all stocks are at record high. There are still good number of stocks that have not fully participated in the recent market rally. 

    SBI and Canara Bank shares are such banking stocks that are still available at attractive valuations, say experts

    Stocks to buy today: After stellar opening of July series on Friday and Nifty hitting all-time high on Monday, market investors are looking for the stocks that will outperform the markets in upcoming trade sessions. To help such investors, stock market experts have suggested looking at those stocks that are still at discounted price. They advised investors to buy State Bank of India (SBI) and Canara Bank shares as these banking stocks have still not fully participated in the market rally.

     

    Speaking on the reason for advising investors to buy SBI and Canara Bank shares Ravi Singhal, Vice Chairman at GCL Securities said, "When the market is at record high, it doesn't mean all stocks are at record high. There are still good number of stocks that have not fully participated in the recent market rally. SBI and Canara Bank shares are such banking stocks that are still available at attractive valuations."

     

    SBI share price outlook

    Speaking on the SBI share price target in short-term time-horizon Mudit Goel, Senior Research Analyst at SMC Global Securities said, "One can buy SBI shares at current market price for short-term target of ?470 maintaining top loss at ?390."

     

    However, advising long-term investors to buy SBI stocks Ravi Singhal of GCL Securities said, "One can hold the banking counter for ?500 and ?550 targets in next 6 to 9 months."

     

    Canara Bank share price prediction

     

    Advising share market investors to buy Canara Bank stocks Mudit Goel of SMC Global Securities said, "For short-term, one can buy Canara Bank scrip at current market price for the target of ?185 to ?190 maintaining stop loss at ?145."

     

    For long-term investors Ravi Singhal of GCL Securities said that one can hold Canara Bank shares for 6 to 9 month target of ?220."

  • Gold Price Today Down Rs 9,000 From All-Time High. Is it Right Time to Invest?
    2021-06-29, By: System Administrator

    Source : - (www.news18.com/)

    In the international market, gold prices slipped to a one-week low on Monday. On the Multi-Commodity Exchange (MCX), gold futures rose 0.11% to Rs 46,976 for 10 grams.

    Gold prices in India continued to remain below Rs 47,000-mark on Monday. On the Multi-Commodity Exchange (MCX), gold futures rose 0.11% to Rs 46,976 for 10 grams at 0950 hours IST on June 28. Silver saw a marginal jump on Monday. July silver futures were up by 0.30 per cent at Rs 68,079 a kilogram.

    In the international market, gold prices slipped to a one-week low on Monday, weighed down by a bounce in the dollar and mixed signals from the US Federal Reserve on monetary policy. Spot gold was down 0.2% to $1,777.03 per ounce by 0249 GMT, according to Reuters. US gold futures shed 0.2% to $1,774.80, Reuters said.

     

    “Inflation measure was below expectations in May. The data initially weighed on the dollar, but the currency recovered from the lows of the session and kept upside capped. According to CFTC data, on the speculative side of things, gold net longs were reduced by 38,288 contracts to 76,163, while silver net longs were reduced by 16,675 contracts to 29,882 in the week to June 22," said Sriram Iyer, senior research analyst at Reliance Securities.

    “International spot gold and silver prices have started flat to weaker this Monday morning in Asian trade. Technically, LBMA Gold Spot above $1780 level could see upside push up to $1787-$1798 level. Support is at $1775-$1766 levels. LBMA Silver if sustain above $26.00 level will continue its bullish momentum & further could see $26.30-$26.90 levels. Support is at $25.90-$25.00 levels," it added.

    “Domestic gold and silver prices could start flat to weaker on Monday morning, tracking overseas prices. On the domestic front, MCX Gold August holds a strong support of Rs 46,800 where it could bounce back up to Rs 47,000-47,200 levels. If MCX Silver July trades above Rs 67,500 levels we could witness a continuation of its bullish momentum up to Rs 68,200-70,000 levels. Support is at Rs 67,000-65,800 levels," he mentioned.

     

    “The momentum indicators are turning up, and a base appears to have been forged around $1,773. A move above $1,800 is needed to confirm the bottom. Initial target $1,820 (38.2%) of June ’s decline and $1,833 (~200-day moving average). U.S. 10-year yield stalled at 1.50%, Another bullish signal is that bitcoin is not seeing a renewed rally after briefly falling below $30,000 and erasing all the year-to-date gains this week," said Amit Khare, AVP research commodities, Ganganagar Commodities Limited.

    “Gold and silver both are trading at oversold zone. The momentum indicator RSI is also creating positive divergence on four hourly chart, So traders are advise to create long position in gold, silver near support levels and traders should also focus important technical levels given below for the day: August Gold closing price 46,925, Support 1 - Rs 46,700, Support 2 - Rs 46,500, Resistance 1 - Rs 47,150, Resistance 2 - Rs 47,450. July silver closing price Rs 67,873, Support 1 - Rs 67,400, Support 2 - Rs 66,800, Resistance 1 - Rs 68,200, Resistance 2 - Rs 68,850," he said.

     

    “The confusion over the FOMC hawkish message followed by Powell’s dovish testimony has created uncertainty which is keeping gold below the $1,800 an ounce. Currently the momentum indicators are turning up, and a base appears to have been formed around $1,773. A move above $1,800 is needed to confirm the bottom and get some excitement back into the space. Gold on MCX is also trading in tight range where skilled traders are making money both sides. Sideways consolidation is likely to continue until it closing above Rs 47,500 levels. Key level for Gold August contract – Rs 46,991. Buy zone above – Rs 46,995 for the target of Rs 47,150-47,329. Sell zone below – Rs 46,991 for the target of Rs 46,775-46,613," said Sandeep Matta, founder, TRADEIT Investment Advisor.

  • Rakesh Jhunjhunwala portfolio: Experts give 'buy' tag to this hospitality stock
    2021-06-24, By: System Administrator

    Source : (https://www.livemint.com/)

    • As per the shareholding pattern for March 2021 quarter of this hospitality and online gaming company, Rakesh Jhunjhunwala and his wife Rekha Jhunjhunwala together holds 7.50 per cent company stocks

     

    Rakesh Jhunjhunwala portfolio: Amid Indian indices trading at record high, retail investors are looking at the marquee investors as it gives an idea about the direction in which the smart money is moving. In fact, stock market experts are also looking at Rakesh Jhunjhunwala holdings to find out the stock with which the 'Warren Buffett of India' has maintained strong conviction. Taking cue from Rakesh Jhunjhunwala, market experts have recommended retail investors to buy Delta Corp shares as the stock has Rakesh Jhunjhunwala share holding to the tune of 7.50 per cent and the 'Big Bull' remained invested in the stock even when the hospitality stocks were receiving heavy beating during the second wave of Covid-19. They said that Delta Corp share price is expected to zoom as unlock activities are fast catching across nation.

     

    Speaking on the Rakesh Jhunjhunwala-owned Delta Corp share price outlook Ravi Singhal, Vice Chairman at GCL Securities said, "Delta Corp major revenue comes from its hospitality business and it is fast expanding its online gaming business.

    On Delta Corp share price target for short-term Sumeet Bagadia, Executive Director at Choice Broking said, "One can buy Delta Corp stocks at current market price of ?182.95 (Tuesday close price at NSE) for short-term target up to ?225 maintaining stop loss at ?170."

     

  • Rakesh Jhunjhunwala portfolio: Experts recommend 'buy' on this communication stock
    2021-06-24, By: System Administrator

    Source : (https://www.livemint.com/)

    Rakesh Jhunjhunwala has investments in this company through his wife Rekha Jhunjhunwala

    Rakesh Jhunjhunwala portfolio stock Tata Communications share price has given around 20 per cent return in the last one month. Interestingly, this near 20 per cent return is after more than 5 per cent correction in the last five trade sessions in this Rakesh Jhunjhunwala stock. According to stock market experts, this correction was nothing but profit-booking and Tata Communications shares are expected to further rise up to ?1800 mark in next 6 to 9 months.

    Speaking on the reason for being so bullish on this Rakesh Jhunjhunwala company stock Ravi Singhal, Vice Chairman at GCL Securities said, "Tata Communications will be a beneficiary communication company from the TCS Bharti Airtel deal that aims to roll-out Made in India 5G because it Tata Communications looks after their communication network. Apart from this, the company is expected to get around ?10,000 crore additional liquidity from the Government of India's plan to monetize its land bank that it received from BSNL."

    Highlighting the strong fundamentals of the company that is further supporting Tata Communications share price positive outlook Sandeep Matta, Founder TRADEIT Investment Advisors said, "Tata Communications has presence in over 200 countries serving more than 7,000 customers globally. It represent over 300 of the Fortune 500, Connects 4 out of 5 mobile subscribers worldwide and Connects businesses to 60 per cent of the world’s cloud giants. The company’s strategic growth plan, focused approach and structural improvement in margins have attracted multiple re-rating. Though deal closures delays and some segmental impact due to Covid could have near term weakness in revenues, the demand outlook is robust as the company is focusing on reinvesting for growth and even looking for inorganic expansion." He said that any dip in the counter should be seen as a buying opportunity by investors.

    Asked about his suggestion to the stock market investors in regard to Tata Communications shares Ravi Singhal of GCL Securities said, "One can buy this Rakesh Jhunjhunwala stock at current market price (Monday close price of ?1267 at NSE) for six to nine month targets of ?1670 and ?1800." However, Singhal advised strict stop loss at ?1100 while taking buy position in the counter.

    For short-term traders who want to take position in Tata Communications stock Sandeep MAtta of TRADEIT Investment Advisors said, "Short-term traders can buy the counter only above ?1289 for the target of ?1335 with the stop loss of ?1235."

    Rakesh Jhunjhunwala share holding in Tata Communications

    As per March 2021 quarter Tata Communications shareholding pattern available with the BSE, Rakesh Jhunjhunwala has investments in Tata Communications through his wife Rekha Jhunjhunwala. Rekha Jhunjhnwala holds 29,50,687 Tata Communications shares which is to the tune of 1.04 per cent of the net company shares.

  • Infosys, TCS to HCL Tech: Experts explain why these stocks are all set to rally
    2021-06-18, By: System Administrator

    Source : (https://www.livemint.com/)

    On account of US Dollar (USD) scaling up against major global currencies and fear of third wave of Covid-19 looming around, IT stocks are expected to move upside in both short-term and mid-term time-horizon, say experts

    Stocks to buy today: On account of US Dollar (USD) scaling high against major global currencies and fear of third wave of Covid-19 looming around, IT stocks are expected to move upside in both short-term and mid-term time-horizon. Hence, stock market experts are advising investors to look at quality IT company stocks whose fundamentals are strong and they have global presence. They recommended Infosys, TCS, Tech Mahindra and HCL Tech shares to buy if someone is in mood to buy IT stock today.

    On why one should buy IT stocks today Asutosh Mishra, Head of Research - Institutional Equity at Ashika Stock Broking said, "IT sector is witnessing robust demand in order inflow as pandemic accelerated the cloud and digitization adoption across the organizations. Companies across the world are moving their system from enterprise model to cloud along with digitization to facilitate the hybrid work culture."

    Recommending IT shares to buy today Ravi Singhal, Vice Chairman at GCL Securities said, "US Dollar appreciation in the global currency market is going to help Indian IT companies to get more volume with the same clientele. Market is not expecting any trend reversal in this US Dollar rally and hence, expecting better quarterly result for these IT companies next month, there can be bulk buying in the IT stocks leading to sharp rise in the IT sector stocks." Singhal advised investors to look at stocks like Infosys, TCS, Tech Mahindra and HCL Tech if they are in mood to take any positional call.

    Here is the outlook for above mentioned IT stocks:

    1] Infosys: Speaking on Infosys share price target Ravi Singhal of GCL securities said, "One can buy Infosys shares at ?1455 to ?1477 for the targets of ?1600, ?1700 and ?1800 in next two months time-frame." However, Singhal advised investors to maintain stop loss at ?1414 while taking position in the IT major.

    2] TCS: Asked about TCS share price target Ravi Singhal said, "Invstors with time-horizon upto two months can buy TCS shares in the range of ?3255 to ?3277 for the targets RS 3400, ?3500 and ?3600."

    3] Tech Mahindra: Asked about Tech Mahindra share price target Sandeep Matta, Founder at TRADEIT Investment Advisor said, "We advise to buy TechM for the target of ?1150 to ?1185 in 6 months’ time frame with a positional stop loss of ?950 and investors are advised to accumulate at lower levels."

    4] HCL Tech: On HCL Tech share price target Sandeep Matta of TRADEIT Investment Advisors said, "Technically the IT stock is expected to remain in a bullish trend on account of strong US Dollar as over 60 per cent of its revenue is received from the US. One can buy HCL Tech shares at current market price and further accumulated on dips for the target of ?1060 to ?1130 in short-term with the stop loss of ?880."

    Recommending Tech Mahindra shares to investors Asutosh Mishra of Ashika Stock Broking said, “HCL tech is well placed to take advantage of same and thus we see good value creation in medium to long term."

  • Rakesh Jhunjhunwala portfolio: Experts give 'buy' call for this tech stock
    2021-06-18, By: System Administrator

    Source : (https://www.livemint.com/)

    Rakesh Jhunjhunwala holds 10.80 per cent stake in this tech company and he has investments in this company much before it got listed

    Rakesh Jhunjhunwala portfolio company Nazara Technologies is in news for acquiring majority stake in Arrakis Tanitim Organizasyon Pazarlama San.Tic. Ltd. Sti. (PublishMe), the largest mobile game publishing agency in the Middle East and Turkey. This Rakesh Jhunjhunwala-backed company will invest an approximate amount of ?20 Cr for acquiring 69.82 per cent stake by way of primary and secondary transaction through its subsidiary. This development and some other fundamentals already favouring Nazara Technologies shares have caught attention of stock market experts and they have recommended buy on this Rakesh Jhunjhunwala share holding company stock.

    Speaking on the fundamentals of this Rakesh Jhunjhunwala portfolio stock Sandeep Matta, Founder at TRADEIT Investment Advisors said, "Nazara Technologies is a leading mobile gaming company offering a range of diversified gaming products across the interactive gaming, eSports and gamified early learning ecosystem in emerging markets. Fundamentals of the gaming sector are robust as industry is expected to grow with CAGR (cumulative annual growth rate) of over 30 per cent in India on account of proliferation of cheap smartphones, high-speed internet and reduction in data prices."

    On his suggestion to the stock market investors Sandep Matta of TRADEIT Investment Advisors said, "The company is trading expensive with low promoter’s holding and operating at low ROE, we recommend buy on SIP mode in the counter for the target of ?1800 to ?1950 in 6 to 9 month time-frame with stop loss of ?1350."

    For those who want to invest one time lumpsum amount Ravi Singhal, Vice Chairman at GCL Securities said, "This Rakesh Jhunjhunwala stock is in overbought condition and one should wait for the profit-booking in the counter. My advice to the investors is to buy around ?1400 for long-term."

    Rakesh Jhunjhunwala share holding in Nazara Technologies

    As per the January to March 2021 quarter Nazara Technologies shareholding pattern, Rakesh Jhunjhunwala holds around 10.8 per cent shares of the company and he has investments in the company much before it got listed at the Indian bourses. So, the 'Warren Buffett of India' has strong conviction about the company much before it became a listed company.

  • Gold rate today: Yellow metal rises above Rs 47,000 per 10 grams; silver jumps 1%
    2021-06-18, By: System Administrator

    source : (https://www.cnbctv18.com)

    Gold prices in India traded higher on the Multi Commodity Exchange (MCX) Friday tracking gains in international spot prices as investors opted for short-covering after a steep fall in the previous session.

    At 10:20 am, gold futures for August delivery rose 0.38 percent to Rs 47,138 per 10 grams as against the previous close of Rs 46,958 and the opening price of Rs 47,147on the MCX. Silver futures traded 1.11 percent higher at Rs 68,350 per kg. The prices opened at Rs 68,417 as compared to the previous close of Rs 67,599 per kg.

    Gold and silver prices crashed more than 3 percent and 5 percent, respectively, on Thursday after the US Federal Reserve signalled to raise interest rates in 2023.

    International gold rose on Friday, but was headed for its worst week since March 2020 after the US Federal Reserve’s hawkish message on monetary policy lifted the dollar higher and dented the safe-haven metal’s appeal, said a Reuters report.

    Spot gold was up 0.6 percent at $1,784.16 per ounce. However, prices have fallen nearly 5 percent so far this week. US gold futures gained 0.5 percent to $1,783.20.

    “Afer a massive fall in the previous session, gold and silver prices are witnessing short-covering today. Weakness in Indian rupee amid volatile domestic equity market is also supporting the precious metals,” said Ajay Kedia, Director, Kedia Advisory.

    According to Kedia, gold is expected to trade sideways to positive.

    “On MCX, support for gold is seen at Rs 46,800 and resistance at Rs 47,450. Silver may find support at Rs 67,100 and resistance at Rs 69,800,” he said.

    Following hawkish comments from Fed officials, the dollar jumped to a two-month high and was on track for its best week in nearly nine months, while the US benchmark 10-year yield rose.

    “The FOMC outcome has triggered a surge in 10-Year US bond yield and rise in US dollar which weighed heavily on gold,” said Sandeep Matta, Founder, TRADEIT Investment Advisor.

    Fundamentally, he is of the view that rising inflation and rising interest rates mean economies are stronger, suggesting more consumer and commercial demand for metals and also needs to keep in mind that problematic inflation has historically been bullish for the yellow metal, as a hedge against rising prices.

    “At the current level, gold is in oversold zone and one daily positive closing will help gold to again regain $1,850 mark,” Matta said.

    Meanwhile, indicative of sentiment, holdings of SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, fell 0.4 percent to 1,041.99 tonnes on Thursday.

    “Gold and silver both are trading in an oversold zone in the daily chart, where we can see a pullback rally any time. The overall trend for both precious metals is still positive. So traders are advised to create long positions in bullion,” said Amit Khare, AVP- Research Commodities, Ganganagar Commodities.

    August Gold: Support 1 – Rs 46,700, Support 2 – Rs 46,200; Resistance 1 – Rs 47,250, Resistance 2 – Rs 47,750

    July Silver: Support 1 – Rs 67,500, Support 2 – Rs 66,900; Resistance 1 – Rs 68,100, Resistance 2 – Rs 68,700

  • Experts recommend 'buy' on these PSU stocks
    2021-05-19, By: System Administrator

    Source : (www.livemint.com)

    Experts say that it's opportune to buy public sector unit or PSU stocks, which are available at discounted price today.

    Covid-19 may force Indian government to generate funds and in that case we can expect disinvestment process to get accelerated, say experts

    Amid lowering numbers of fresh Covid 19 cases in India, market experts are recommending stock investors to continue with stock specific trade as the fear of second wave is still not over. They said that Covid-19 may force Indian government to generate funds and in that case we can expect disinvestment process to get accelerated. So, it's opportune to buy public sector unit or PSU stocks, which are available at discounted price today. They said that BHEL, BPCL, NBCC are the PSU stocks that one can buy today.

    Speaking on the reason for recommending PSU shares to buy today Avinash Gorakshkar, Head of Research at Profitmart Securities said, "Due to the second wave of Covid-19 in India, the government will be under stress to infuse liquidity in the market. To maintain the liquidity, they will have to generate funds and for that reason, they can accelerate the disinvestment of the PSU, which they have already announced in the Budget 2021. So, I believe that PSU stocks like BHEL, BPCL and NBCC can be a good option if an investor is looking to buy PSU stock.

    Unveiling the investment strategy in BHEL shares; Ravi Singhal, Vice Chairman at GCL Securities said, "One can buy BHEL shares at current market price for the target of ?144 maintaining strict stop loss at ?62." BHEL share price at NSE closed at ?73 on Tuesday.

    On his suggestion to investors in regard to BPCL and NBCC Ravi Singhal of GCL Securities said, "One can buy BPCL stocks for targets of ?500 and ?555 maintaining stop loss at ?425. For those who want to buy NBCC, they can buy it at current levels for the target of ?59 and 67 maintaining the stop loss below ?45.

  • How can the home finance sector boost residential sales amid COVID-19?
    2021-05-19, By: System Administrator

    Source : (www.99acres.com)

    As the housing demand and the housing finance sector are grossly intertwined, low interest rates coupled with a series of measures on the part of the housing finance sector can help boost the residential demand amid the Coronavirus crisis.

    Owing to the investment intensive nature of home buying, potential investors have to arrange finances in advance, especially the middle and lower-income groups of the society. Although the Coronavirus pandemic has significantly affected homebuyers’ and created unprecedented challenges for the entire economy, the declining home loan interest rates have presented a unique opportunity for aspiring home buyers to go for the purchase. The pandemic has also provided a chance for the housing finance sector to come up with suitable products for the current challenging times. Major players such as HDFC, State Bank of India (SBI), ICICI and LIC HFL are offering home loans at the lowest interest rates of all time. Moreover, with the intent to encourage the housing finance sector and, in turn, the homebuyers, the Reserve Bank of India (RBI) has also slashed the repo rate twice in the past one year. Low interest rates backed by a series of measures by the housing finance sector can play a vital role in revitalising the housing demand.

    Home loan rates- An overview

    If seen purely from the interest rates perspective, there could be no better time to avail a home loan as the rates are at a multi-decade low. The housing prices across India have also witnessed a correction as the real estate developers are keen on clearing the piled up inventory. This makes the current housing market a buyer’s one.

    Ravi Singhal, Vice Chairman, GCL Securities Ltd, says, “The declining home loan rates are no coincidence. While the Union government is aggressively pushing for the ‘Housing for All’ mission to provide homes to the needy, the RBI is also encouraging the availability of credit by reducing the repo rates. The attractive rates of interest enable the salaried class citizenry to purchase an otherwise unaffordable home. Moreover, the privatisation of banking institutions and their competition with private banks has provided the homebuyers with a multitude of options to choose. They can bargain for low interest rates and can even shift the balance home loan to an institution offering lower interest than the present one. All in all, the competition is leading to homebuyers benefit and giving a boost to the housing demand

    Let us look at the floating home loan interest rates of some of the major financial institutions in India

    Banks

    Interest rates range for floating home loans (in percent per annum)

    Kotak Mahindra Bank

    6.65-8.45 percent

    SBI Home Loan

    6.70-7.50 percent

    HDFC

    6.75-8 percent

    PNB Housing

    7.35 percent onwards

    LIC HFL

    6.90 percent onwards

    ICICI Home Loan

    6.90-8.05 percent

    Bank of Baroda Home Loan

    6.85-8.20 percent

    Source: Bankbazar.com

    In addition to the above-mentioned rates, the banks and Housing Finance Companies (HFCs) offer reduced home loan interest rates to the women home buyers. This discount can range from 0.05 percent to 0.50 percent.

    Highlighting the effect of low home loan interest rates on housing demand, Ramani Sastri, Chairman and MD, Sterling Developers Pvt. Ltd., avers," With the role of the real estate sector in generating employment and economic activity, it goes without saying that the sector’s perennial hope is fixed on lower home loan interest rates. Although a reduction in the prevailing repo rate ensures adequate  capital flow in the market, the home loan interest rates have already gone down substantially over the last year, and are presently at an all-time low. Homebuyers are likely to take advantage of the lower interest rates and the demand for housing is expected to increase with fence-sitters  taking the plunge."

    How can the housing finance sector boost realty growth in the country?

    Despite attractive home loan rates, there are some impediments which, if rectified, can aid significantly in boosting the homebuyers' morale.

    Reduced documentation- Owing to the Marginal Cost of the funds-based Lending Rates (MCLR) regime, banks remain preferred by the homebuyers for home loans. However, they are discouraged by the humongous documentation and verification process, leading to delays and disinterest. Reduction of documentation and promotion of technology will encourage potential homebuyers.

    Longer terms and reduced EMIs- A longer repayment period translates into lower Equated Monthly Installments (EMIs). This step can augment the real estate growth as it will encourage the end-users in buying homes. In addition to this, a no-penalty clause can be included for those buyers who want to prepay the amount earlier when the situation improves. This will further entice potential homebuyers to avail of the loan. The institution must be empathetic towards the loan seekers as the times are challenging.

    Compulsory home insurance- All housing finance institutions must encourage the new or existing home buyers to avail a home insurance facility. In the present context, loss of income is more likely, and ‘home insurance with loss of income’ rider might save homebuyers in case of job loss. Financial institutions must tie up with insurance companies for customised products for COVID times.

    Promotion of flexi home loans- An innovation in the home loan segment, flexi home loans offers flexibility on interest payable. It is immensely beneficial for buyers investing in an under-construction property as the payments are linked to the stage of construction of the property in question. In this product, the EMIs are comparatively lower and can be repaid in small amounts.

    Focus on Tier 2 cities- As most of the working population has moved back to their native places, the housing finance industry must focus on Tier 2 and Tier 3 cities. Prices per housing unit are lower in Tier 2 and Tier3 cities in comparison to the metro cities. Hence the amount of loan would be lesser, and it would help both the housing finance sector and prospective homebuyers.

    The current predicament makes it imperative for the housing finance sector to be more considerate and to customise products for the challenging times. It will not only help the real estate sector to gradually tread the path towards recovery but also help the housing finance sector to expand its portfolio.

     

  • Mutual Funds with more than 100 percent return in one year
    2021-05-19, By: System Administrator

    Source: (www.indiainfoline.com)

    The mutual fund industry has recently crossed a total Asset Under Management (AUM) of Rs 32 Trillion, and it is increasing every year.

    The year 2020 was an exceptional year in recent history. We witnessed many abnormalities such as negative Crude Oil Prices, the steepest decline and the fastest recovery cycle in the equity market, and complete lockdown by the Central Government in the wake of the Coronavirus pandemic. These were just a few challenges amongst many others.

    If we talk about the equity market, more than one Crore new Demat accounts got opened in India in 2020, and whoever invested in this year in the equity market has surely got tremendous returns out of it. However, when it comes to equity or stock market investment, it is always advisable to go through the Mutual Funds (MF) route because these funds are skillfully managed by highly qualified and experienced professionals.

    The mutual fund industry has recently crossed a total Asset Under Management (AUM) of Rs 32 Trillion, and it is increasing every year. There are 41 Asset Management Companies (AMCs), and more than 1800 Funds fall under the purview of various Equity, Debt and Hybrid categories. Therefore, it is difficult for a user to select the right Mutual Fund among so many options. Although it is very difficult to predict which sector will perform the best in the coming year, we can only analyze past data and current situation and make an investment decision to invest accordingly.

    Here is a snapshot of few mutual funds which has given more than 100 percent return in the last one year.

    Fund Name

    Category

    1 Year Return (%)
    (As on 27th-Apr-21)

    Net Assets (Cr)

    Quant Small Cap Fund

    EQ-SC

    175

    170

    ICICI Prudential Commodities Fund

    EQ-THEMATIC

    154

    214

    Quant Infrastructure Fund

    EQ-INFRA

    137

    10

    ICICI Prudential Technology Fund

    EQ-IT

    132

    1818

    Quant Tax Plan

    EQ-ELSS

    120

    106

    Kotak Small Cap Fund

    EQ-SC

    114

    3423

    Tata Digital India Fund

    EQ-IT

    113

    1161

    Aditya Birla Sun Life Digital India Fund

    EQ-IT

    113

    1148

    Quant Active Fund

    EQ-MLC

    109

    260

    DSP Natural Resources and New Energy Fund

    EQ-Energy

    105

    514

    Quant Consumption Fund

    EQ-Consumption

    104

    7

    PGIM India Midcap Opportunities Fund

    EQ-MC

    104

    1108

    IDFC Sterling Value Fund

    EQ-VAL

    103

    3208

    Nippon India Small Cap Fund

    EQ-SC

    102

    12474

    Data Source: www.valueresearchonline.com

    Although the past performance of a mutual fund never guarantees similar future results, we can take reference of the data for analysis purpose. Almost every category in Equity Mutual Funds has performed well this year; however, IT and Metal in the sectorial funds and Small Cap in the capital segment have outperformed.

    Here are some reasons to check the performance of these domains-

    Information Technology (IT) – BSE IT index has given a 101 percent return in the last one year. Owing to the COVID-19 pandemic, IT stocks were in flavour, as these companies are getting mammoth deals. Owing to reasons such as an increase in the Work From Home (WFH), change in business tactics, use of Artificial Intelligence (AI), cloud, online advertising and social media, increase in internet consumption and many more, the IT sector remained an outperformer. Looking at these factors, IT stocks will remain agile during the pandemic.

    Metals – BSE Metal Index has given an outstanding return of 182 percent in one year. Due to the low-interest rates, Metal demand has increased significantly across the world. As per recent data, the home sales in the USA remained the highest since 2007. Moreover, rising housing and infrastructure demand in China will further augment the metal demand. These factors are helping the metal sector to outdo this excellent performance for one more year.

    Small Cap – BSE Small-Cap has displayed a fairly good performance of 99.51 percent in one year. Due to the COVID-19 challenge, a limitation in boundaries is helping the small caps companies. Owing to a new taxation system, small companies are finding it easier to fight with large companies. On account of fewer imports from China due to the cold war situation and border tussles, small cap companies are immensely benefitting.

    Therefore, if you had invested in the above Mutual Funds last year at the end of April 2020, your fund would have been doubled by the end of this month. These kinds of opportunities come once in ten years. After the great recession of 2008, few mutual funds have displayed a similar kind of performance in 2009. Otherwise, in general, one should not expect more than 15-20 percent yearly return from the stock market.


    The author of the article is Ravi Singhal, Vice Chairman, GCL Securities Limited

  • this Rakesh Jhunjhunwala portfolio stock delivers near 17.5% return in a week
    2021-05-18, By: System Administrator

    Source :(www.livemint.com)

    Rakesh Jhunjhunwala maintained his 1.6 per cent stake in Lupin in March 2021 quarter

    Rakesh Jhunjhunwala portfolio stocks are those in which the 'Warren Buffett of India' has strong conviction. That's why both retail and institutional investors follow Rakesh Jhunjhunwala holdings carefully. As stock experts are betting high on the pharma stocks due to the ongoing Covid-19 crisis in India, Rakesh Jhunjhunwala too maintained his 1.6 per cent stake in Lupin in March 2021 quarter. Interestingly, the 'Big Bull' of Indian stock market had same 1.6 per cent holdings in Lupin in December 2020 quarter.

    If we go by the Lupin share price history, Lupin shares at NSE had closed at ?1057.95 on 4th May 2021. But, Lupin share price today is ?1244 (at 9:44 AM). That means Lupin shares have surged to the tune of near ?186.05 or more than 17.5 per cent.

    Speaking on the reason nfor such a sharp rise in Lupin stock price Ravi Singhal, Vice Chairman at GCL securities said, "Generic drug is one of the major business of Lupin and in the last few months, demand for generic drug in the US and European Countries have gone up dramatically. It is helping Lupin to get better price for its generic drugs in both US and Europe."

    Singhal said that Lupin share price is expected to continue on the north trajectory as the demand for generic drug is not going to subside in near short-term. He said that in three to six months time, Lupin share price may go up to ?1370.

    Expecting Lupin share price rally in immediate short-term Avinash Gorakshkar, Head of Research at Profitmart Securities said, "Lupin board meeting is scheduled on 15th May and dividend announcement is expected in that meeting. So, Lupin stocks are expected to continue its positive bias till the board meeting outcome becomes public."

  • Mutual Funds vs FD: Want huge returns? Check this DETAILED COMPARISON for long term investment
    2021-05-10, By: System Administrator

    Source: (https://www.zeebiz.com/)

    Long-term investors often remain confused between Mutual Funds and Fixed Deposits - Which one is a better option for investment?

    The fact is that be it FDs or MFs, the money is lent to others, and there is always a risk associated with it. If you compare the returns of Large Cap Equity Mutual Funds with Bank FDs, the difference is huge.

    Long-term investors often remain confused between Mutual Funds and Fixed Deposits - Which one is a better option for investment? Ravi Singhal, Vice-Chairman, GCL Securities Limited, says, "While a Fixed Deposit can guarantee you a fixed sum, the returns are substantially low in comparison to the similar investment in Mutual funds. A comparative analysis will present a clearer picture."

    "When you invest in a Bank Fixed Deposit (FD), the banks lend this money to businesses in the form of a loan, and when you invest in Equity Mutual Funds, then Mutual Funds Asset Management Company (AMC) further invest the accrued funds in the stock market and buy the equity of companies in turn.

    Whichever is the way of investment, ultimately, the money is getting invested in the businesses, and your funds have a credit risk associated with it.

    On the one side, when people invest in a Bank FD, they feel relaxed and do not worry about the risks associated with the investment; however, on the other side, when they invest in Mutual Funds (MFs), they feel that their money is at risk.

    The fact is that be it FDs or MFs, the money is lent to others, and there is always a risk associated with it. If you compare the returns of Large Cap Equity Mutual Funds with Bank FDs, the difference is huge.

    Therefore, we must understand the risk associated with both the investment instrument in greater details.

    Why Fixed Deposits?

    First, let us understand how FDs are safer than mutual funds:

    1. Portfolio diversification:

    Banks has diversified portfolios, as they lend not only to the businesses but also to the retail customer. Banks have multiple forms of loans to attract maximum customers, such as Personal Loans, Home loans, Two Wheeler/Four wheeler loan etc. Whereas Equity Mutual Funds Companies generally invest in top 25-100 companies, on the other side banks have millions of customers under their ambit.

    2. Insurance on FD:

    Every FD is insured by DICGC (Deposit Insurance and Credit Guarantee Corporation), which is a wholly-owned subsidiary of the Reserve Bank of India (RBI). However, this insurance covers a maximum amount of Rs 5 Lakh. That means, in case a bank defaults, DICGC is liable to pay you the FD amount (only up to Rs 5 Lakh).

    3. Returns are guaranteed:

    There are no market risks associated with FDs. Hence, the returns are guaranteed by the Banks.

    Mutual funds Risk analysis

    Credit Risk -If you invest in large-cap mutual funds, these funds invest the accrued amount in the top 20-50 stock market listed companies of India. To understand the real worth of these companies, companies, let us understand the concept with an example of the Nifty 50 index, which represents the leading 50 companies of the Indian stock market.

    The market cap (capitalisation) of these top 50 companies is Rs 113.5 Lac Crore, which is almost 60 percent of the Indian Gross Domestic Product (GDP). These companies come from 14 different sectors such as Automobile, pharma, Banks etc., and these are the top companies of their respective sectors. In fact, the Indian economy has a huge dependency on these companies, so it is next to impossible that all these companies will default at the same time, and your investment goes down the drain.

    Market Risk- As you might have heard on a daily basis that Mutual funds are subject to market risk. Actually, they are. However, if you stay invested for at least ten years, Nifty 50, a leading benchmark of share market performance, has never given negative returns.

    In the last 20 years, it has given an average Compound Annual Growth Rate (CAGR) of 12.3 percent and a minimum CAGR of 5.5 percent (almost current FD rates) on a ten years investment horizon.

    Therefore, if you are investing for the long term, you can rely on the stock market.

    Let's say, if you invest Rs 1 lakh rupees for ten years, an FD will pay you Rs 1.79 Lakh (assuming 6 percent returns). However, if you invest the same amount in Large Cap Mutual Funds, it will become Rs 3.40 Lakh (assuming 13 percent returns, which is the average of all Large Cap Mutual funds return in 5 years), which is almost 190 percent of FD returns.

    Overall, you must make an investment decision keeping all the above-mentioned factors in mind because investment in an FD is secure than mutual funds, but the cost of this safety is huge, and returns are abysmally low."

  • Rakesh Jhunjhunwala portfolio: Experts recommend ‘buy’ call for this auto stock
    2021-05-10, By: System Administrator

    Source: (www.livemint.com)

    Rakesh Jhunjhunwala portfolio: Experts recommend ‘buy’ call for this auto stock

    Irrespective of the bearish perspective in the auto sector the 'Warren Buffett of India' remained invested in the auto company with 1.29 per cent shareholding

    Rakesh Jhunjhunwala has recently changes his stake in 12 portfolio stocks but he continued with his conviction in rest of the stocks that includes Tata Motors shares. Irrespective of the bearish perspective in the auto sector the 'Warren Buffett of India' remained invested in the auto stock with his same 1.29 per cent stake in the Tata Group Company. Like Rakesh Jhunjhunwala holdings in Tata Motors, market experts too have expected some bullish trend in this auto stock in immediate short-term to medium-term time-horizon. They gave 'buy' tag to Tata Motors stocks irrespective of the rising fresh Covid-19 cases in India.

    Speaking on the Tata Motors share price outlook Ravi Singhal, Vice Chairman at GCL Securities said, "Tata Motors share price has already discounted at a discounted levels due to the rising Covid-19 cases in India. It is a big Tata Group auto sector company with strong fundamentals. So, once the Covid pressure eases, it would be one of the fast upside moving stocks at the Indian indices. But, one should wait for some more consolidation in the counter. Currently it has closing at around ?301 at the NSE. I would advise investors to buy Tata Motors at around ?280 levels for the target of ?340 and 370 in medium-term or from three to six month time-horizon."

    Suggesting investors to buy Tata Motors for short-term time-frame Mudit Goel, Senior Research Analyst at SMC said, "One can buy Tata Motors at current market price for the target of ?332 maintaining strict stop loss at ?287."

    Tata Motors share price at NSE on Friday closed at ?301.45 per stock levels.

  • Rakesh Jhunjhunwala portfolio: Experts suggest 'buy' on this agro chemical stock
    2021-05-07, By: System Administrator

    Source: (www.livemint.com)

    Rakesh Jhunjhunwala portfolio: Experts suggest 'buy'  on this agro chemical stock

    Rakesh Jhunjhunwala has maintained his conviction in this scrip as he and his wife Rekha Jhunjhunwala have kept their stake unchanged in March 2021 quarter.

    Rakesh Jhunjhunwala and his wife Rekha Jhunjhunwala together hold 9.93 per cent stake in this company

    Rakesh Jhunjhunwala portfolio has mainly stocks from finance, tech retail and pharma sector. Recently the 'Warren Buffett' of India changed his holdings in 12 companies, increasing stake in 5 stocks and decreasing stake in 7 companies. In rest of his portfolio stocks, Rakesh Jhunjhunwala continued with his conviction and Rallis India was one of them. The Agro Chemical company has recently made a breakout and stock market experts are expecting 'sharp' upside move in the stock in next 3 to 6 months.

    Speaking on the fundamentals supporting Rallis India share price; Avinash Gorakshkar, Head of Research at Profitmart Securities said, "Rallis India is a Tata Group company that deals in agro chemical sector. It's a zero debt company and its management guidance in the last quarterly results said that the coming quarterly numbers of the company will be positive. As the Indian Meteorological Department (IMD) has predicted normal monsoon in India, overall fundamentals of the company looks promising and one can buy Rallis India shares at current market price for both short-term and long-term, depending upon the choice of an investor."

    Sharing important levels in regard to Rallis India shares Ravi Singhal, Vice Chairman at GCL Securities said, "Rallis India share price has recently made a breakout and one can buy this Rakesh Jhunjhunwala stock at current market price for three to six month target of ?340 and ?370. However, one must maintain the stop loss at ?255 while taking buy position in the scrip."

    Rakesh Jhunjhunwala net worth in Rallis India

    Rakesh Jhunjhunwala and his wife Rekha Jhunjhunwala together hold 9.93 per cent Rallis India shares. As per the company's shareholding pattern for March 2021 quarter, Rakesh Jhunjhunwala holds 7.26 per cent stake in Rallis India while Rekha Jhunjhunwala owns 2.67 per cent stake in the company. The investor couple had same 9.93 per cent stake in the company in December 2020 quarter as well.

  • Experts give 'buy' tag to these pharma company stocks
    2021-05-07, By: System Administrator

    Source :(www.livemint.com)

    Experts give 'buy' tag to these pharma company stocks

    Due to rise in Covid-19 cases in India, one should focus on pharma stocks as they are expected to outperform other sectors in next one to three months

    Due to Covid-19 spread, pharma sector is going to receive major traction in the market leading to higher performance reflecting in their balance sheet, say experts

    Amid talks of third wave of Coronavirus in India, the domestic stock market is expected to remain volatile and experts are suggesting investors to continue stock specific trade, keeping special focus on the pharmaceutical sector stocks. They are of the opinion that due to the Covid-19 in India and other countries, pharma sector is going to receive major traction in the market leading to higher performance reflecting in their balance sheet. They suggested investors to look at Lupin, Cipla and Divi's Lab shares to buy today for one to three month time-frame.

    Speaking on the shares to buy today Avinash Gorakshkar, Head of Research at Profitmart securities said, "Currently, the market looks unmoved by the rising Covid-19 cases in India but if you look at the FIIs trade practice in recent days, they are fishing out their money from the Indian markets. So, any negative news on the Covid-19 in India looks dangerous for the Indian indices and hence I would recommend investors to maintain stock specific trade keeping strict stop loss. In current market scenario when the fresh Covid-19 cases in India have gone above 4 lakh mark, one should focus on pharma stocks as they are expected to outperform other sectors in next one to three months."

    Asked about the pharma stocks that one can look at, Gorakshkar said that Lupin, Cipla and Divi's Lab are some of the prominent shares that one can buy at current price keeping one to three month time-horizon. However, Gorakshkar said that these stocks can be kept in one's portfolio for long-term too.

    Unveiling investment strategy in Lupin shares Ravi Singhal, Vice Chairman at GCL securities said, "Lupin has recently witnessed sharp upside move and is still expected to go northward. One can buy Lupin stocks at current price for the target of Rs 1240 and 1270 maintaining stop loss at ?1122 mark."

    On Cipla and Divi's Lab shares Ravi Singhal of GCL Securities said that one can buy Cipla shares at current levels for the target of Rs 1044 maintaining stop loss at Rs 844. For those who are interested in taking position in Divi's Lab shares, Singhal advised buying at around Rs 4,000 for the target of Rs 4270 and Rs 4440 maintaining stop loss at Rs 3922.

  • Rakesh Jhunjhunwala Portfolio: Experts give 'buy' tag to this tech stock
    2021-05-07, By: System Administrator

    Source : (www.livemint.com)

    Rakesh Jhunjhunwala Portfolio: Experts give 'buy' tag to this tech stock

    Delta Corp has business in two sectors — hotels and online gaming. Its hotel business is hit due to the recent Covid-19 pandemic spread in India but at the same time the pandemic has helped its online gaming business

    Delta Corp is one Rakesh Jhunjhunwala stock, to which, the experts have given 'buy' tag and said that the stock is positive if an investor invests keeping log-term time-horizon in mind

    Rakesh Jhunjhunwala portfolio stocks are in news these days as the market magnet has overhauled its share holdings in 12 companies. While the Big Bull increased stake in 5 companies, he decided to lower stake in 7 companies. Stock market experts are of the opinion that this overhaul could have been caused by the reasons better known to Rakesh Jhunjhunwala only as they still see some of the Rakesh Jhunjhunwala stocks to go northward from current market price. Delta Corp is one such stock, to which the experts have given 'buy' tag and said that the stock is positive if an investor invests keeping log-term time-horizon in mind.

    Speaking on the fundamentals of Delta Corp shares Avinaskh Gorakshkar, Head of Research at Profitmart Securities said, "Delta Corp has business in two sectors — online hotel booking and gaming. Its hotel booking business is hit due to the recent Covid-19 pandemic spread in India but at the same time the pandemic has helped its online gaming business." Gorakshkar said that once the Covid-19 crisis stablises one can expect the Delta Corp share price among the sharp upside moving stocks. However, he maintained that the stock is recommended for those who are investors and have long-term time-frame in mind.

    On what should be the ideal trade strategy if an investor decides to invest in Delta Corp shares Ravi Singhal, Vice Chairman at GCL Securities said, "Delta Corp share price at NSE closed yesterday at ?148.80. One can buy this counter at current market price for the long-term targets of ?240 and ?270 keeping stop loss at ?124. However, I would advise investors to have an eye on how the third wave of Coronavirus pans out in India as the Government of India (GoI) has expected third wave of Covid-19 by November this year. If the GoI fails to contain the third wave, then the hospitality industry will have a huge hit in December, especially in Goa and Maharashtra."

    Ravi Singhal of GCL Securities said that if the Indian government fails to contain the third wave of Covid-19, then it is advisable for the Delta Corp share holders to exit at ?200 per stock levels and wait for the right time to re-enter.

    Rakesh Jhunjhunwala net worth in Delta Corp Company

    As per the Delta Corp shareholding pattern available at the BSE website bseindia.com, Rakesh Jhunjhunwala and his wife Rekha Jhunjhunwala together hold 7.50 per cent company shares in March 2021 quarter, which means the investor duo didn’t changed their holdings in Delta Corp Company.

  • Rakesh Jhunjhunwala Portfolio: Experts give 'buy' tag to this pharma stock
    2021-05-05, By: System Administrator

    Source: (www.livemint.com)

    Rakesh Jhunjhunwala Portfolio: Experts give 'buy' tag to this pharma stock

    Lupin shares would be one of the fastest upside moving stocks just after one trigger, say stock market experts.

    Lupin shares have made a breakout around a month ago but after that it has been trading sideways, say experts

    Rakesh Jhunjhunwala Portfolio: On account of highly volatile Indian stock market due to Covid-19 spread, experts have been bating in favour of pharma stocks to buy. For those investors who closely follow Rakesh Jhunjhunwala stocks, there is a piece of good news for them as experts have given 'buy' tag to Rakesh Jhunjhunwala portfolio share Lupin. They said that Lupin share price has made a breakout and after that it has been trading sideways. Experts were of the opinion that once Lupin shares starts surging, it will be one of the fastest upside moving stocks in the coming trade sessions.

    Speaking on the fundamentals supporting Lupin share price for an upside swing Avinash Gorakshkar, Head of Research at Profitmart Securities said, "Both margins and demand of the company looks promising. Apart from this, there is Covid-19 fear that is also supportive for the pharma sector stocks. Since Lupin is one of the leading pharma companies in India, it is bound to get benefit of investors moving towards pharma stocks. Apart from this, it is a Rakesh Jhunjhunwala portfolio share that also makes a big reason for the retail investors to look at this stock. My suggestion for the investors is to buy Lupin for both short-term and long-term time-frame.

    Unveiling the trade strategy and Lupin share price target Ravi Singhal, Vice Chairman at GCL Securities said, "Lupin shares have made a breakout around a month ago but after that it has been trading sideways. It would be one of the fastest upside moving stocks just after one trigger. One can buy Lupin stocks for one to three month target of ?1270 maintaining strict stop loss below ?970."

    Rakesh Jhunjhunwala holds 1.6 per cent stake in Lupin. According to the Lupin shareholding pattern for March 2021, Big Bull holds 72,45,605 Lupin shares.

    On Tuesday, Lupin share price at NSE closed at ?1060.

  • Outlook for May series: Experts see pharma, IT, metals driving gains
    2021-05-05, By: System Administrator

    Source : (www.livemint.com)

    Outlook for May series: Experts see pharma, IT, metals driving gains

    Roll over in Nifty and Bank Nifty from April to May is 66 per cent and 65 per cent respectively, which means market is not in overbought condition.

    Pharma, IT and metal sector will be the driving force for the markets next month and any dip should be seen as a buying opportunity rather getting panic from the selloff, say experts

    Outlook for May series: Taking cue from the May Series performance since 2014, roll over from April to May in Nifty and Bank Nifty and the market rally after hitting last week's low of 14151, stock market experts have predicted 2-3 per cent rise in the May option that has begun today. They said that pharma, IT and metal sector will be the driving force for the markets next month and any dip should be seen as a buying opportunity rather getting panic from the selloff. However, they advised to maintain the stop loss and strictly avoid any sell position in the May Series.

    Speaking on the May Series performance since 2014 Mudit Goel, Senior Research Analyst at SMC said, "May Series has been giving positive performance since 2014 and the positive rise witnessed in this period in the series ranges from 0.5 per cent to 8 per cent, which reflects about the sentiment with which people will enter the May Series."

    Standing in sync with Mudit Goel's views; Ravi Singhal, Vice Chairman at GCL Securities said, "Nifty has immediate support at 14,400 and on the upper side it may go up to 14,300. Similarly, Bank Nifty has strong support at 32,300 levels. On the upper side it may first hit 34,500 and then 36,500 in the May Series."

    On the reason for being so bullish on Nifty and Bank Nifty Ravi Singhal of GCL Securities said that roll over in Nifty and Bank Nifty from April to May is 66 per cent and 65 per cent respectively, which means market is not in overbought condition and any negative sentiment won't have that much of sell off trigger that we witnessed in the middle of the April Series. Roll over in Bank Nifty April 2021 was whopping 88 per cent.

    On suggestion to traders for May Series both experts advised 'buy on dips' and predicted 2 to 3 per cent rise in the May Series citing, "Any big dip should be seen as a buying opportunity and given support should be used as strict stop loss while taking buy position in the May Series. One should avoid selling in this series as overall sentiment for the series is positive."

    On sectors that will fuel May Series Mudit Goel of SMC said, "Pharma, IT, metal and to some extent fertiliser sector is expected to remain favourite of the market bulls."

  • Experts give 'buy' tag to SBI, ICICI Bank and Axis Bank Stocks for short term
    2021-05-05, By: System Administrator

    Source : (www.livemint.com)

    Experts give 'buy' tag to SBI, ICICI Bank and Axis Bank Stocks for short term

    These banking stocks have strong fundamentals and in immediate short-term they can showcase 3-5 per cent upside movement, say experts. (MINT_PRINT)

    After shedding near 2 per cent last week, the BSE Sensex and NSE Nifty finally managed to close higher on Monday. According to experts, volatility in the market is expected to continue till Covid-19 fear exists in the domestic market. However, they advised stock specific trade strategy and suggested investors to look at banking stocks as the sectors looks in oversold condition. They said that banks with strong corporate business outlook can showcase 3-5 per cent upside movement in short-term and advised SBI, ICICI Bank and Axis Bank shares that one can think of buying when the market opens on Tuesday.

    Speaking on which share to buy today Avinash Gorakshkar, Head of research at Profitmart Securities said, "Banking stocks are in oversold condition and there can be some upside move visible in some banking stocks. One can think of buying State Bank of India (SBI), ICICI Bank and Axis Bank shares when the market opens today. These banking stocks have strong fundamentals and in immediate short-term they can showcase 3-5 per cent upside movement."

    Standing in sync with Avinash Gorakshkar's views; Ravi Singhal, Vice-Chairman, GCL Securities Limited said, "SBI, ICICI Bank and Axis Bank have strong corporate business outlook and they are expected to improve fast on the NPA front. So, these three banking stocks are expected to show sharp upside move in short-term."

    Giving important levels for the stock investors in regard to SBI stocks Ravi Singhal of GCL securities said, “One can buy SBI shares at current market price for short-term targets of ?375, ?400 and ?425 maintaining stop loss at ?310.”

    For Axis Bank shares, Singhal suggested investors to buy at current market price for targets of ?725 and ?770. He advised investors to keep accumulating Axis Bank stocks till it is above ?620. Singhal also advised investors to strictly maintain the stop loss at ?620 while taking buy position in Axis Bank shares.

    For stock market investors interested in ICICI Bank shares, Singhal advised them to buy ICICI bank stocks for the short-term target of ?770.

  • Experts recommend large-cap stocks amid volatile stock markets
    2021-05-05, By: System Administrator

    Source : (www.livemint.com)

    Experts recommend large-cap stocks amid volatile stock markets

    In large-cap stocks, one will have the facility to do two-way trade and take benefit of both falling and rising trends, say experts.

    In large-cap stocks, sentimental movement will be least compared to mid-cap and small-cap stocks, say experts

    Amid highly volatile stock market and the number of fresh Covid-19 cases remaining above 3 lakhs for five consecutive days, stock market experts have recommended traders to switch towards large-cap stocks. They said that in large-cap stocks, sentimental movement will be least compared to mid-cap and small-cap stocks. They went on to add that in large-cap stocks, one will have the facility to do two-way trade and take benefit of both falling and rising trends.

    Favouring large-cap stocks in such a volatile markets Avinash Gorakshkar, Head of Research at Profimart Securities said, “Large-cap stocks give you a opportunity to trade both sides. Since the market is highly volatile and the way new cases of Covid have been rising for the last one week, the volatility in the market is expected to remain maintained this week too. So, traders are advised to maintain sell on rise strategy and shift focus towards large-cap stocks until the market volatile subsides.”

    Standing in sync with Avinash Gorakshkar's views; Ravi Singhal, Vice-Chairman, GCL Securities Limited said, “If the trader has front line liquidity, large-cap stocks give opportunity to come out of the position at right time as its movement is limited. However, in the case of mid-cap and small-cap stocks, the movement is so fast, especially in the volatile market that we are witnessing these days that one finds it quit tough to come out of the position at the price it wants.”

    Both experts advised strict stop loss while taking any position in current markets and suggested large-cap banking stocks to look at. They said that large-cap corporate banking stocks like SBI, ICICI Bank and Axis Bank are poised for 3-5 per cent upside swing in this week.

  • Share buyback offer: Should you participate? Does it give good returns?
    2021-05-05, By: System Administrator

    Source : (money control)

    When a company senses that its shares are undervalued in the open market and has surplus cash, the firm decides to go for a share buyback offer.

    A share buyback opportunity is always a dilemma-laden instance. Whenever a company rolls out a share buyback plan, the million-dollar question is whether to jump in or let it go?

    Will it be a wise decision in terms of returns? Here are the details of the process and the options that an investor can exercise

    What is a share buyback opportunity?

    Fundamentally, a share buyback is done when a company decides to buy its own stocks (shares) from the open market at a premium (greater) price.

    This is done for a number of reasons such as to enhance the value of remaining shares, to increase the overall holding value or to distribute less dividend in the forthcoming instances.

    What is the need for a company to go for a buyback?

    Traditionally, when a company senses that its shares are undervalued in the open market and has surplus cash for the buyback, the firm decides to go for a share buyback offer.

    The process of share buyback also displays that company management is confident about the financial performance of the business in the near future.

    What is the standard procedure of share buyback?

    There are some essential steps involved before a company goes for a buyback. As the foremost step, the company has to announce its buyback date and the offer price well in advance

    This is done to ensure that whoever is holding the company share on that date is eligible to participate. The company then rolls out a tender offer letter to all the shareholders.

    This letter provides the finer details of shareholding and the number of shares one is selling to the company at the buyback offer price. The letter also holds the details of the tender period.

    It is to be noted that a user can authorise a broker for buyback participation. In this case, the broker transfers the stock to the company from the client’s Depository Participant (DP).

    Once the paperwork is completed, the total value of the shares at the buyback price is paid by the concerned company directly to the client.

    How does a client benefit from the buyback offer?

    In most cases, the concerned company buys back its shares at an attractive premium (increased value) to attract more shareholders.

    Let us assume that the current value of a company's stock is Rs 300 per share. In case of a buyback, the company may offer Rs 330-350 or even higher price. This premium will encourage shareholders to sell the shares back to the company.

    However, it is advised two-three  days ahead of the buyback record date, an investor can buy and hold the stocks in his DP. This makes a shareholder eligible for the buyback offer.

    An investor generally has two options:

    First, the investor can keep holding until the tender period. Once the company informs the investor about the quantity they are buying back, the investor can provide the company with the required stocks. The rest of the shares can be sold in the open market.

    As part of the second strategy, once the record date for the share buyback elapses, the shareholder can sell the stocks. When the company issues a tender notification, the investor can buy it from the open market and sell it back to the company.

    However, both strategies have their own advantages and disadvantages.

    What are the major risks involved in a share buyback programme?

    Generally, the percentage of the buyback is not decided in advance. If the company had gone for a 100 percent buyback, there would be n risk involved in the buyback.However, the percentage of buyback depends on open market participation. In general, the buyback varies from 10-50 percentage.For example, if a holder has 100 shares the company announces a 35 percent buyback, the company will rebuy only 35 shares at the decided premium.

    This also means that you still have 65 shares of the company listed in the open market, exposed to the risks of the share market. Therefore, it is always advised to devise one’s strategy in accordance with the risk appetite. (The author is Vice-Chairman, GCL Securities Limited)

  • Experts give ’buy’ tag to this construction co stock in Rakesh Jhunjhunwala portfolio
    2021-04-23, By: System Administrator

    Source:- (www.livemint.com)

    Out of 12.84% shares, Rakesh Jhunjhunwala holds 10.94 per cent of the company shares while his wife Rekha Jhunjhunwala holds 1.90 per cent shares. 


    A smart investor rarely changes its long-term investment strategy. Rakesh Jhunjhunwala has done the same by keeping his share holding in Nagarjuna Construction Company (NCC) Limited at the same December 2020 quarter in the March ended quarter. The Big Bull and his wife Rekha Jhunjhunwala holds 12.84 per cent NCC shares out of which, Rakesh Jhunjhunwala holds 10.94 per cent of the company shares while his wife Rekha Jhunjhunwala holds 1.90 per cent company shares. Suggesting Indian investors to take lesson from the Rakesh jhunjhunwala conviction in NCC shares and take advantage of the discounted Covid-hit markets, experts have suggested investors to buy NCC shares. They said that company is one of the quality shares that one can think of buying for both short-term and long-term perspective.

    Speaking on the fundamentals of NCC stocks Avinash Gorakshkar, Head of Research at Profitmart Securities said, "When the market is at discounted level, one has the opportunity to buy quality stocks at attractive valuations. NCC is one such share that a stock market investor can think of buying in this Covid-hit market. Company's order book is attractive and its December quarter numbers were in sync with the market expectations. However, due to the rise in Covid-19 fresh cases, construction work has got hit and in coming times company may have to face shortage of construction workers due to migration of workers to their native place in the wake of lockdown imposed in certain parts of India." However, Gorakshkar said that such sentiments are temporary and once the Covid-19 comes under control, market will certainly rebound and in that case NCC share price will showcase sharp northward trend. He advised investors to buy NCC stocks for both short-term to long-term time-horizons.

    Unveiling strategy for stock market investors in regard to NCC shares Ravi Singhal, Vice-Chairman at GCL Securities Limited said, "NCC shares can be bought at Rs. 71 to Rs. 72 levels for the immediate short-term target of Rs. 82 and Rs. 91. However, one can hold the counter for next three months target of Rs.121 as it is poised to showcase sharp upside movement breaking its last 52-week high of Rs. 99.85."

  • Share Buyback Offer: Does It Give Good Returns?
    2021-04-01, By: System Administrator

    Source :- goodreturns

    Whenever a company announces buyback, stock market investors start contemplating - what to do? Participate in share buyback? Or stay away from it? Will it give good returns? Here is the explanation of share buyback and what you as an investor should do. All questions related to share buyback answered here:-

    What is share buyback?

    Basically, a buyback happens when a company buys its own shares from the market at a premium price for a number of reasons like to increase the value of remaining shares, increase overall holding value or giving less dividend to the market.


    Why any company does a buyback?

    Generally, when a company feels that their shares are undervalued, they have surplus cash for buyback, they go for it. The buyback also shows that management is confident about the performance of their business in the future.

    What's the standard procedure of share buyback?

    First of all, the company going for buyback has to announce its buyback date and offer price in advance, whoever is holding the share on that date is eligible for buyback action. Then the company sends a tender offer letter to all shareholders. This letter provides details of shareholding and how many shares, he or she is selling to the company at the buyback price. The letter also keep details of the tender period; a user can give authority to the broker for buyback participation. Now, the broker transfers stock to the company from the clients DP and then the company pays directly to the client the total value of the stock at buyback price.

    How a client gets benefitted from it?

    The company always buys its shares at a good premium to attract more people towards the offer. Suppose the current price of the stock is Rs 300 apiece, then the company may give an offer of Rs 330-350 or even better price. Now it is advised that before 2-3 days of the buyback record date, you buy and hold the shares in your DP, then you will be eligible for a buyback offer.

    Now you have two options:-

    First, keep your holding until the tender period company will inform you, what quantity they are buying back from you, you provide them with the same and the rest amount you can sell.


    What are the risks involved in share buyback?

    If the company buys 100% of your holding, there would be no risk in this trade, but it is not decided in advance, it depends on how much participation comes from the market. Generally, the buyback ratio varies from 10%-50%. If the buyback ratio is 25% and you are holding 100 shares of the company, the company will only buy 25 shares from you, which means your 75 shares are at market risk. So you have to make your strategy accordingly.

    The author Ravi Singhal, Vice-Chairman, GCL Securities Limited
     

  • Where Do You Want To Invest Your Money?
    2021-04-01, By: System Administrator

    Source : outlookindia

    When the choice is between Bank Nifty and Fin Nifty, go for the latter, which is a complete package

    Are you confused or facing a dilemma about where to invest your money - Bank Nifty or Fin Nifty? Investment should always be well-planned on the basis of logic, reasoning, fundamentals, calculations, and other relevant aspects. Let's deep dive into details of Bank Nifty vs Fin Nifty to understand which one is the better option to invest your money.

    Bank Nifty

    The Bank Nifty is basically a sectoral index with a focus only on banking stocks; it includes private and PSU banks. It is also one of the most actively traded indexes in the futures and options (F&O) segment and it is available for F&O trading on the NSE.

    This is how Bank Nifty is calculated

    • Bank Nifty is calculated using the free float methodology where the stocks are weighted based on the free-float market capitalisation.
    • The Bank Nifty was launched on September 15, 2003, and it uses January 01, 2000, as the base year with a base value of 1000. This means at the Bank Nifty value of approximately 30,000, indicates wealth creation to the tune of 30 times over the last 19 years.
    • The index is rebalanced semi-annually and the Bank Nifty values are available on a real-time basis during trading hours.

    A stock mix of the Bank Nifty Index

    Being a sectoral index, the Bank Nifty only represents the banking sector; including the private banks and PSU banks. Bank Nifty represents the 12 most liquid and large capitalised stocks from the banking sector which trade on the NSE. It provides investors and market intermediaries a benchmark that captures the capital market performance of the Indian banking sector.

    Here is the list of companies that are included in the Bank Nifty Weightage Index (Nifty Bank Index Stocks) as released by NSE India on basis of closing prices of January 31, 2021.

    S No.

    BANK NAME

    Weights %

    1

    HDFC Bank

    26.89

    2

    ICICI Bank

    20.01

    3

    Axis Bank

    16.59

    4

    Kotak Mahindra Bank

    13.55

    5

    State Bank of India (SBI)

    10.93

    6

    IndusInd Bank

    4.85

    7

    Bandhan Bank

    2.11

    8

    Federal Bank

    1.46

    9

    IDFC First Bank Ltd.

    1

    10

    RBL Bank

    0.97

    11

    Bank of Baroda

    0.83

    12

    Punjab National Bank (PNB)

    0.81

    Now, as per the latest development, the Bank Nifty lot size has also been revised to 25 units from 20 units.

    Fin Nifty

    The Nifty Financial Services Index is designed to reflect the behaviour and performance of the Indian financial market which includes banks, financial institutions, housing finance, insurance companies, and other financial services firms. The Nifty Finance Index comprises 20 stocks that are listed on the National Stock Exchange (NSE).

    This is how Nifty Financial Services Index is computed and its utility

    -Nifty Financial Services Index is computed using the free-float market capitalization method, wherein the level of the index reflects the total free-float market value of all the stocks in the index relative to a particular base market capitalization value.

    -Nifty Financial Services Index can be used for a variety of purposes such as benchmarking fund portfolios, launching index funds, ETFs, and structured products.

    Fin Nifty's constituents

    The index has 20 constituents and the weightage of each stock in the index is calculated based on its free-float market capitalization such that no single stock shall be more than 33 per cent and the weightage of the top 3 stocks cumulatively shall not be more than 62 per cent at the time of rebalancing.

    Index Constituents

    S No.

    SECURITY NAME

    Weights %

    1

    HDFC BANK LTD.

    27.13

    2

    HDFC LTD.

    17.51

    3

    ICICI BANK LTD.

    14.14

    4

    KOTAK MAHINDRA BANK LTD.

    12.1

    5

    AXIS BANK LTD.

    6.46

    6

    BAJAJ FINANCE LTD.

    5.64

    7

    STATE BANK OF INDIA

    4.06

    8

    HDFC LIFE

    2.21

    9

    BAJAJ FINSERV LTD.

    2.29

    10

    SBI LIFE INSURANCE.

    1.43

    11

    ICICIGI

    1.37

    12

    ICICI PRULIFE.

    0.74

    13

    PEL LTD.

    0.68

    14

    BAJAJ HOLDINGS.

    0.66

    15

    HDFC AMC LTD.

    0.59

    16

    SRT FINANCE LTD.

    0.87

    17

    PFC LTD.

    0.54

    18

    CHOLA INVESTMENT.

    0.66

    19

    REC LTD.

    0.49

    20

    M&M FINANCIAL LTD.

    0.44

    Lot size is 40

     

    Conclusion

    • The Nifty Financial Services index has a 94 per cent correlation and a beta value of 1.2 with the Nifty 50 Index. It has a correlation of 98 per cent with the Nifty Bank index.
    • The Nifty Financial Services index has delivered annualized returns of 14.99 per cent in the last 5 years. 10 out of 20 stocks in Nifty Financial Services index are constituent stocks of Nifty 50 index. They account for 92.97 per cent weightage in Nifty Financial Services index and 38.41 per cent weightage in Nifty 50 Index.
    • 5 out of 20 stocks in Nifty Financial Services index are constituent stocks of Nifty Bank index. They account for 63.89 per cent weightage in Nifty Financial Services index and 87.48 per cent weightage in Nifty Bank Index.
    • Larger sector amongst listed companies; accounts for 33.5 per cent of the Nifty 500 Index
    • 35 per cent of Foreign Portfolio Investments (FPIs) assets under management are invested in the financial services sector
    • 48 per cent of FPIs net inflows in the recent period is invested in the financial services sector
    • The last few years have seen big IPOs in the financial services sector and few big companies are in process of getting listed on the exchanges
    • Most Asset Management Companies (AMCs) have schemes themed on the financial services sector
    • As it is a complete package of the Indian financial sector not only banks even other products as well and there is more scope in other financial sectors, so it is recommended to invest in Fin Nifty.

    The author is Vice Chairman at GCL Securities Limited

  • First-Time Home Buyers, Know Your Tax Sops Before Investing
    2021-03-09, By: System Administrator

    Section 80C, 24 and 80EEA of the Income Tax Act let you avail benefits of Rs 5 lakh annually.

    Ravi Singhal

    Many first-time homebuyers often remain confused about the income tax benefits that they can avail on home loan after the purchase of their first residential property. If you are buying home first time, you are entitled to get income tax benefits on home loan under three sections – Section 80C, Section 24 and Section 80EEA of the Income Tax Act. These sections let you avail home loan benefits of Rs 5 lakh annually. Let's understand with a detailed chart of the various sections.

    Section

    Maximum Tax Benefits(Rs)

    Tax saving component

    Conditions

    80C

    150,000

    Home Loan Principal and Stamp Duty

    • Property should not be sold within 5 years of possession

    Section 24

    200,000

    Home Loan Interest

    • Income Tax assessee or any family member should be living in that house
    • Full interest can be claimed if house is on rent

    80EEA

    150,000

    Home Loan Interest

    • Stamp duty value of property should be up to Rs 45 lakh
    • Loan sanction date should be between April 1, 2019 to March 31, 2022
    • Assessee should not own any residential property till sanction of loan
    • Should not be claiming any amount under income tax Section 80EE
    • Loan should be borrowed only from a financial institution

    Now, let's consider a scenario that you have purchased a property in April 2021, property value is Rs 50 lakh and you have taken 80 per cent loan i.e. Rs 40 lakh on it from a financial institution (bank or NBFC) at interest rate of 7 per cent for 20 years.

    Now your monthly EMI would be around Rs 31,000 and you have to pay a total amount of Rs 372,000 in first year, out of which Rs 2.77 lakh is interest component payment and Rs 95,000 is principal component amount. Suppose your annual earning is Rs 15 lakh annually, in that case you can claim Rs 95,000 (principal payment) deduction under 80C (remaining Rs 55,000 of 80C can be claimed from stamp duty payment, valid for only first year), Rs 200,000 under Section 24 and remaining Rs 77,000 interest amount under Section 80EEA.

    So, first year you can take tax deduction benefits of Rs 4.27 lakh. Moreover, principal and interest paid components against home loan EMIs change every year, so it is suggested that check it in advance before you do your tax planning.

    Tax benefits for second time homeowner: If you own a property and wish to buy another then tax benefits under 80EEA cannot be claimed. In the above example, now you can claim Rs 95,000 under 80C (plus Rs 55,000 against stamp duty paid in first year) and Rs 200,000 under Section 24. If the purpose of home is investment and you want to lease it on rent, in that case you can claim full amount of interest component in Section 24, which is Rs 2.77 lakh in the above case.

    If the woman member of the family invests in house: As per income tax laws, there are no specific benefits in case a woman invests in the house. She can claim all the above-mentioned benefits under income tax laws similar to man. However, some state governments have given 1-2 per cent benefit of stamp duty if she is the owner of house. In Rajasthan, if you buy a house for Rs 40 lakh, then in general case, the stamp duty (including other charges) is 8.8 per cent, which is Rs 3,52,000, but if any a female member of the family buys this house, then she has to pay 7.5 per cent stamp duty, which is Rs 3,00,000. So, there is one-time saving of Rs 52,000 if a woman buys the same house.

    Tax benefits for husband-wife or joint purchase: If both husband and wife purchase the house jointly, the income tax benefit rules remain the same in that case, however, both the husband and the wife can claim tax benefits in their individual files. Maximum deductions benefits cannot cross the actual amount paid, i.e. both the husband and the wife cannot take benefit of same payment. For example, the interest component is Rs 2.77 lakh and the husband has taken a tax deduction benefit of Rs 2 lakh under Section 24, then the wife can only take the benefit of Rs 77,000 under Section 24, benefit taken against interest component can never cross Rs 2.77 lakh, which is the actual paid amount. Similarly, Rs 95,000 is paid against the principal payment, so if they want to take benefit under Section 80C, either the husband or the wife can take full benefit of Rs 95,000, or they can split it as per their tax planning, but full amount benefit cannot be taken in both accounts.

    The author is Vice-Chairman at GCL Securities Limited

    Source :- (outlookindia)   

  • Story Of Salaried Class: PM Thanks Taxpayers, FM Leaves Them 'High & Dry'
    2021-02-26, By: System Administrator

    Source:(abplive)

    The tax liability is computed on one's earnings and ability to show the income as non-taxable. The salaried class or the honest taxpayer is the most disadvantaged as 100% of the income tax is deducted even before the salary reaches their bank accounts. 

    Finance Minister Nirmala Sitharaman, while presenting the so-called "once-in-century budget" on February 1, left the honest taxpayers "high and dry" who were praised by Prime minister Narendra Modi for having helped finance the free food grain scheme and a significant humanitarian effort in dealing with the COVID-19 crisis.

    PM Modi had said if the government has been able to give free food grain to the needy, its credit goes to two classes of people - farmers and honest taxpayers.

    Over three weeks after the Budget, the Finance Minister, when asked about the salaried taxpayers, acknowledged that few taxpayers are burdened with taxes, and many old burdens are yet to be removed to make it reasSalaried Class - 'Most Abused Taxpayers'

    The Union Budget 2021 had no income tax relief provisions to the ordinary person, especially the salaried class, the "most abused class" among the taxpayers, many of whom lost jobs or had to take drastic pay cuts during the COVID-19 pandemic. 

    Commenting on the situation, Mohandas Pai, chairman of Aarin Capital, in a tweet after the Union Budget 2021, said: "India's most abused taxpayers. Very sad state of salaried, and yet they are treated shabbily by tax policy! Rich farmers are pampered with huge subsidies paid by honest salariat!"

     

    Only 1%  Bears Tax Burden  

    To put things in perspective, out of the total population of 136.64 crores, only 5.61 crores or 4% file their Income Tax Returns, and only a mere 1.46 crore or 1% are liable to pay tax. In the past 20 years, there has been an increase of about 60% in the number of return filers but only a 20% increase in taxpayers.

    The tax liability is computed on one's earnings and ability to show the income as non-taxable. The salaried class or the honest taxpayer is the most disadvantaged as 100% of the income tax is deducted even before the salary reaches their bank accounts. 

    Gopal Kumar Kedia, Managing Partner, G. K. Kedia & Co told ABP Live, "no income tax reliefs to the common person, especially the salaried class, left the population at large, in discontent and melancholy. The only merit of the budget was that though it didn't bring any income tax reliefs to the common person, there weren't any escalations either. But, there is more to what meets the eye."

    According to Gopal Kumar Kedia, a former accountant member of the Income Tax Appellate Tribunal, the irony of the situation is that a significant contribution towards this tax-paying community of 1% of the total population is the upper-middle-class having mainly salary income. 


    The Milking Cow - Feeding The Holy Cows

    "For long, the salaried class has been treated as a scapegoat for collecting income tax revenue by the government. While the common person pays high taxes, businesses enjoy exemptions and tax holidays, and the poor enjoy the facilities of health, transport, and what not, for free. Considering the above, it can be substantiated that salaried class is the Milk Cow who is feeding the Holy Cows, i.e., the Business Entities and the Poor," said Kedia. 

    The honest taxpayers won't mind if the government uses their taxes to give free food grain to the needy during the COVID-19 crisis. 

    The government offers various subsidies to the poor and farmers amounting to Rs 2.62 lakh crore, a part of which the honest taxpayers bear.

    However, it will concern them if their hard-earned money is used to recapitalize banks that loaned cash to dishonest businessmen Vijay Mallya and Nirav Modi. 

    India is one of the five largest economies in the world. Global tax collection is about 14.3% of the gross domestic product (GDP), and in India, it is about 12%. Almost half of India's GDP comes from informal sectors. Agriculture, which contributes 14% of India's GDP, remains tax-free. So, the government has to push honest taxpayers harder to meet budget obligations.

    When it comes to tax regimes, Indians pay one of the highest taxes and get almost nothing in terms of social security than other nations (refer to the chart below).

     

    No Social Security For Honest Taxpayers 

    From the above, it is evident that India is charging a high tax rate compared to other large economies worldwide. Some countries charge high-income tax rates as India and provide superior social security in public education, public healthcare, medical, insurance, and unemployment benefits.

    The public's tax comes back to them in the form of free or low-cost facilities. There is equal treatment of all taxpayers and non-taxpayers in India, except farmers and government employees, who get extra benefits in multiple terms.

    12 Crore Job Loss During COVID Without Any Unemployment Benefits

    According to CMIE data, over 12 crore Indians lost jobs due to the COVID-19 pandemic, and the salaried workers, many of them honest taxpayers, will find it difficult to find their jobs back. 

    "I think a part of income tax should be contributed to unemployment funds for taxpayers. The government can define eligibility criteria for it, like paying a minimum of Rs.1,00,000 yearly tax are eligible to get benefits and conditions to claim unemployment benefits. Like in the US, you are entitled to get unemployment claims only if the employer has terminated you from your job and are willing to join a company. But at least the people who are paying tax every year and now are unemployed with genuine reason should be taken care of by the government," Ravi Singhal, vice chairman, GCL Securities, told ABP News. 

    The social security tax rate is almost 8-13% (in addition to income tax) across the world, including unemployment insurance benefits and supplements, old-age, disability and survivors' pensions, family allowances, reimbursements for medical and hospital expenses, or provision of the hospital or medical services.

    Some part of social security tax is paid by the employer and the remaining by employees. Like in the US, the social security tax is 12.4%, out of which 6.2% is paid by the employee and 6.2% is paid by the employer, but it gives them huge mental relief.

    "The government should allocate some funds to the social security of taxpayers. It will not only boost the confidence of taxpayers but also increase the number of taxpayers in India. If not all of the above benefits, at least we can start with unemployment insurance in India," Singhal added. 

    Indirect Taxes

    Besides paying one of the highest direct taxes on income, Indians also pay one of the highest indirect taxes globally when they spend whatever is left after paying direct taxes. Buy a vehicle, pay road tax, Buy a house, pay stamp duty and registration, invest money, pay taxes on the return of investments.

    Now, even the interest earned on an employee's contribution above Rs 2.5 lakh in a year will become taxable.

    India's Indirect Taxes* 

    For example, Mr. X earns a salary of Rs 20 lakh in a private firm. He daily commutes to his office in the Fort area in Mumbai by his car from his residence in Navi Mumbai. 

    Total Income - Rs 20,00,000

    Tax (New regime) - Rs 3,51,000

    Fuel Expenses - Rs 1,80,000

    Other Expenses - Rs 14,69,000

    Indirect Taxes (@18%) Rs 2,64,420

    Taxes on Fuel (@60%) Rs 1,08,000

    Total amount paid in tax: Rs 7,23,420 or 36%

    *Calculation is based on an assumption and a fictitious situation. It is not to be taken for real tax calculations. 

  • Go For A 50:50 Strategy
    2021-02-22, By: System Administrator

    Source : (outlookindia)

    Invest 50 per cent in equity and 50 per cent in debt, and balance it from time to time

    Indian stock market and its various indices are witnessing some unprecedented bull runs but this also crops up a catch-22 situation in investors' mind - whether to put extra money or hold it for time till some correction happens and share bazaar becomes stable? This is a very natural question since whenever there is such all-time highs are witnessed, it poses a risk of losing money as well.

    Now, just remember the time - March 2020 and some months after it - when the lockdown was put in place in the wake of Covid-19 pandemic to contain the coronavirus spread. At that time too, stock markets were witnessing new lows every day but investors were struggling with a huge dilemma that whether to put extra money or not since as an investor one always wait for another low level so that he/she can reap hefty returns once the market bounces back.

    Now, as a stock market investor, what should you do in such share bazaar scenarios of all-time highs and all-time lows and the positions in between the bull runs and bear runs?

    Investors should follow the 50/50 investment strategy of American economist Benjamin Graham. So, what is this 50/50 investment strategy? How does it work? What are its benefits?

    As per this formula, investors should invest 50% of their money in the equity market and 50% in the debt market, and balance it from time to time.

    For example, if an investor wants to pumps in Rs 1,000 in total in the stock market, then he or she should invest Rs 500 in Debt and Rs 500 in equity.

    After a particular time period, there could be two scenarios - One - your investment in debt grows to Rs 510 vs original Rs 500, and your investment in equity becomes Rs 530 vs original Rs 500. Now, your total investment value stands at Rs 1040. Further, to balance the debt vis-a-vis equity ratio of 50:50, as per the investment strategy, you have to withdraw Rs 10 from equity and invest it into debt to make it again a balanced with 50/50 investment strategy.

    Now, let's focus on the second scenario. Let's assume if you get negative returns from equity or even lesser returns from the money you had put in debt; for instance, -4% returns have been fetched from equity investment and your total market value of funds in equity stands at Rs 480. In this case, , you have to withdraw Rs 15 from debt and invest in the equity market; this will make Rs 495 in both equity and debt, and that's what our ideal approach was of 50:50 debt vs equity investment. An investor should always review his/her portfolio from time to time to reap best returns from the market with the help of the balanced approach of 50:50 investment strategy.

    Moreover, let's take a look at benefits 50:50 investment strategy. Majorly, there are 3 benefits of the 50/50 formula.

    First of all, your investment portfolio always remains balanced because your 50% investment is in the debt market.


    Second, when the equity market is at the top levels or witnessing new highs, your portfolio helps you fetch more returns. And, using this strategy you a get a peace of mind by booking some part of the profit from equity's investment lot and divert some funds towards debt investment in order to balance portfolio as per 50:50 investment approach. This strategy gives you of bigger chance to reap profits and helps you save money by no losing all profits, in case market slumps down to lows from highs.

    Third, last but not the least, when the equity market is bearish, then using this 50:50 investment strategy you may always withdraw funds from debt and divert it to equity at cheaper levels. And, ultimately, using this strategy you buy equity at a low level and sell at a high level for booking big profits in future.

    Various market investors use different ratios depending upon their risk appetite, but 50:50 debt vis-a-vis equity is the best ratio if you are new to the market or beginner in terms of share bazaar. Once you gain knowledge, you can change this ratio with your stock market's bull and bear experiences.

    Authored by Ravi Singhal, Vice Chairman of GCL Securities

  • How to save Income Tax?
    2021-02-22, By: System Administrator

    Source :- ZeeBusiness

    How to save Income Tax? Top tips, options - Home loan, education loan, NPS, APY, 80CCD, 80C, house rent and more

    How to save Income Tax: All of us want to save money as much as we can, provided it is legally correct. 

    How to save Income Tax: All of us want to save money as much as we can, provided it is legally correct. How to save Income Tax is probably one of the most searched phrases when it comes to saving money for taxpayers. All of us should always pay our income tax as it goes in nation-building and strengthening the economy. But, intelligent, planned and strategic investments can help us save some money to pave the way for a financially secure future. Ravi Singhal, Vice-Chairman, GCL Securities Limited shares his knowledge tax savings options for FY 2021-22 and lists out ways that every taxpayer must explore in order to save some income tax:-

    Avail maximum benefit of 80C: If you are planning to save income tax, then you must avail the maximum benefit under 80C (Rs 1.5 lakhs per annum, as of now). One can freely choose saving instruments of their choice, like people not willing to take financial risk may go for 5-year Tax saver FD, Life insurance policies or other investment products offering fixed returns. Those who don't shy from taking risks can invest in Mutual funds under ELSS categories. There is no difference in the performance of ELSS and a normal mutual fund, except for the fact that there is a lock-in period of 3 years in ELSS category funds.

    Never ever ignore 80CCD: One should also consider utilising maximum limit under 80CCD (Rs 50k as of now) to save Rs 15k by investing in NPS (National pension System) scheme or APY (Atal Pension Yojna). There is a myth that NPS gives very low returns as compared to other available products, which is absolutely wrong. You can compare the performance of all funds under this category and can choose the fund of your choice. 50% of your funds are deployed in these market-linked products and 50% in debt instruments like government bonds. This ratio is changed by fund manager every year and 100% of your funds parked in debt market till retirement. As assessee already saving 15,000 in tax so whatever you are earning is actually earning on 35,000, so your actual returns are much higher if you save under this category. However, the products under 80CCD are pension funds only, so there are some restrictions on withdrawal of funds, you must consider it before investing.

    Triple benefit of home loan: Owning a home offers the triple benefit of house rent saving, property appreciation in the long term and tax benefits. If you are staying on rental property, then your rental expense is going to increase every year, whereas your EMIs is almost fixed (if interest rates do not change) Finance minister Nirmala Sitaraman in her Budget 2021 has extended timeline for availing additional tax benefit of Rs 1.5 lakhs under section 80EEA. Under ‘Housing for All’, the government is giving tax deduction benefits of up to Rs 3.5 lakhs (Rs 2 lakhs under section 24), which cannot be ignored.

    Moreover, you can save tax under multiple sections as per the following schedule if you buy residential property: -

    Section Maximum Tax Benefits Section    Maximum Tax Benefits    Tax saving component    Conditions Section    Maximum Tax Benefits    Tax saving component    Conditions
    Section 24 Rs 2,00,000 Home Loan Interest Assessee or any family member should be living in that house, full interest can be claimed if house is on rent.
    80EEA Rs 1,50,000 Home Loan Interest

    -Stamp duty value of property should be up to Rs 45 lakhs.

    -Loan Section date between 01st Apr 2021 to 31st Mar 2022

    - Assessee own no residential property till section of loan.

    - Not claiming any amount under income tax section 80EE.

    - Loan from Financial Institution only.

    80C Rs 1,50,000 Home Loan Principal - Property should not be sold within 5 years of possession.

    So If you claim all tax in all above components, you will be able to claim a maximum income tax deduction of Rs. 5 Lakhs

    Moreover, let's take a look at summary of other options to save income tax:-

    Section Description

    Annual

    Deduction

    Limits(In Rs)
    80C

    Following are the instruments comes under it
    1. Saving in Life insurance premium Mutual Funds (ELSS Category only), PPF, FD (5 years, Tax Saver only), Post Office Deposits, National Saving Scheme.

    2. Payment of tuition fee (max 2 kids).

    3. Principal repayment of housing loan.
    1,50,000
    80CCD Investment in National Pension System (NPS), Atal Pension Yojana (APY). 50,000
    80D Premium paid for medical insurance for self, spouse and children. 25,000(50k if age is above 60)
    Premium paid for medical insurance for parents. 25,000(50k if age is above 60)
    80E Interest paid on education loan for self, spouse or children. Interest paid for a period of 8 years only. No Limits
    80EE Interest for the first time home owner. Home value should be <=50Lac and Loan value <=35 Lac. 50,000
    80G Donations to various govt. approved charities, social and govt. organizations. (50% amount can be claimed for some organization) Max 10% of gross annual income.
    80GG House rent paid, where individual not getting HRA and not owning any property. Rent paid minus 10% of total income, 25% of total income or 5000 /month whichever is lesser.

    -Authored by Mr. Ravi Singhal, Vice-Chairman, GCL Securities Limited

  • Nifty at a high, but only 11 stocks are at record levels: A warning or an opportunity?
    2021-02-12, By: System Administrator

    source:- moneycontrol

    On February 8, the Nifty for the first time closed above 15,000 and 11 stocks, including names like Adani Ports, Bajaj Auto, & Bajaj Finance, have hit their lifetime highs.

    The Nifty50 hit the magical 15,000-mark early this month and hit a fresh record high of 15,257 on February 9 but only 11 stocks in the index have reached their record highs, so far, in the month.

    It should not come as a surprise as most stocks are still playing catch up. The 11 stocks that hit their lifetime highs include Adani Ports, Bajaj Auto, Bajaj Finance, Bajaj Finserv, Cipla, HDFC Bank, SBI and UltraTech Cement, data from AceEquity shows

    Nine stocks like Tata Motors, M&M, L&T, Sun Pharma, ITC and Power Grid Corp are trading at 52-week highs.

    The rally, which we saw in 2020 and is continuing in 2021, lifted most of the largecaps names in the index but there is plenty of upside still left in many stocks, experts say.

    "Many stocks are showing that they can lead from here or take rally further such as in FMCG –ITC. In pharma, Lupin and Sun Pharma. In IT, Infosys can lead from here compared to TCS. In banking, SBI. So, there are plenty of stocks in which upside is left and could well turn out to be leaders," Ravi Singhal, Vice Chairman, GCL Securities Limited, told Moneycontrol.

    "In terms of Nifty target, we see the index heading towards 17,600 in the base case scenario in 2021, and in the best case, it could well hit 18,900 while in the worst-case scenario,  the index could be around 15,900," he added.

    The Nifty that closed above the psychological mark of 15,000 on February 8 has come a long way after it was launched in April 1996, when it traded at 1,107, with the base year of November 1995 set as 1,000.

    The Nifty50 took nearly 18 years to reach 7,000, the next 8,000 points come in 6.8 years, Motilal Oswal said in a report. The Nifty 50 Index constituents make up roughly 58 percent of the total India market cap.

    If we look closely, the sprint to 15k from pandemic lows of 7,600 in March 2020  has taken just 220 days.

    The sharp recovery has been driven by a global liquidity backdrop, better containment of COVID-19, sharp recovery in corporate earnings and a market-friendly Budget, said the Motilal Oswal report.

    "There is plenty of upside still left on the Nifty 50 names. We are looking forward towards 16,308-16,848 to 17,200 for the Nifty50," Sacchitanand Uttekar, DVP–Technical (Equity), Tradebulls Securities, told Moneycontrol.

    Jashan Arora, Director at Master Capital Services, told Moneycontrol that if the Nifty50 move above 15,500, the next target will be in the range of 16,200-16,400 in 2021

    Multibaggers: What should investors do?

    There are 16 Nifty50 stocks that have risen 100-400 percent since April or so far in FY21, data from AceEquity showed.

    Stocks that more than doubled investors’ wealth include names like Tata Motors, M&M, JSW Steel, Bajaj Finance, HCL Technologies, Hero MotoCorp, Bajaj Auto, and Cipla.

    Data suggests that stocks that have more than doubled investors’ wealth since March belong to economy-linked sectors, finance as well as IT. After the recent run-up, investors can look at booking partial profits but the long-term investment argument still remains intact.

    "Out of the 16 names, one can book profits in the following stocks as they are close to our revised price targets and also trading closer to their peak valuations: Adani Ports, Bajaj Finance, Bajaj Finserv, Bajaj Auto, Shree Cement and Ultratech Cement," Rusmik Oza, Executive Vice President, Head of Fundamental Research at Kotak Securities told Moneycontrol.

    "We are still bullish on the banking stocks like HDFC Bank, ICICI Bank and SBI. We also like Cipla and Bharti Airtel from a one-year perspective," he said.

    Uttekar of Tradebulls Securities said that the stock hitting fresh high with volumes is a good sign, which highlights the willingness of participants to buy quality irrespective of the higher pricing.

    "Investors should continue to hold these stocks & maintain a trailing stop strategy based on larger degree time frames," he added.

    The stock market is more about investing in the future prospect of companies and sectors. The Budget 2021 promised capex in sectors such as infrastructure, healthcare, Make in India as well as real estate. Financial services remain the top pick.

    "Many companies in Nifty50 which have doubled wealth continue to have strong fundamentals and growth prospects. If anyone had invested in these companies in March 2020, they had entered at one of the best times. Despite these companies giving fabulous returns in one year, investors should continue to hold them," Harshad Chetanwala, Co-Founder- MyWealthGrowth.com told Moneycontrol.

    "If required one can look at trimming as part of these companies and book profits. At present, it is will be good to hold on with these companies for some more time as a pro-growth Budget after a difficult year, the pace of recovery in economic activities, and reasonable success of COVID vaccination can add more fuel to India’s progress," he said.

    Most of the sectors gave positive return in 2020 and with the Budget, which has something or the other for each and every sector, they will not disappoint investors. Hence, picking largecap names which are sectoral leaders will be a safe strategy for investors in 2021, experts say.

    Given the recent run-up seen in most names, some consolidation cannot be ruled out. But, the long term trend still remains intact.

    "All the sectors have rallied we can assume that there is not much upside in short term but since the longer-term trend is intact, we may see strong moves post consolidation or corrections in the index," says Arora of Master Capital Services.

    Ideally one should focus on booking partial profits in the stocks they hold but it was important to remain invested, he said. "It is quite probable that India is on the cusp of a multi-year economic expansion cycle. If this pans out, the bull market will sustain and grow stronger. So remain invested in quality stocks in performing sectors," he said.

  • Invest In Gold For Better Returns(Source: outlookindia)
    2021-02-09, By: System Administrator

    The yellow metal has given 28% returns in 2020 and promises security against inflation in the long run

    What are the options that immediately strike your mind when you think of safe instruments in terms of savings and yielding better returns? Generally speaking, gold and real estate are the two most preferred options. Investment in property is proper goal-based investment and requires a lot of planning and research, but gold is something that every Indian wants to make a part of his or her investment portfolio. Especially for ladies, gold is always one of the top choices for investment.

     

    It goes without saying that gold has a significant role in Indian celebrations, especially in marriages where it keeps a weightage of at least 20-40 per cent of the entire budget.

    And, that's what makes India the second-largest consumer of gold across the globe. As far reaping profits are concerned, gold gave a return of almost 28 per cent in the year 2020 on a year-on-year basis, beating all odds of COVID-19 pandemic, whereas Sensex witnessed a growth of 16 per cent and Fixed Deposit (FD) returns stood at almost 6 per cent.

    Due to COVID-19, most of the economies across the world were hit badly.

    Further, the uncertainty on economic recovery drove investors to move towards safe havens of investments, which supported gold prices additionally. Moreover, the production cost of gold at the international level has witnessed a jump amid COVID-19 spread, which eventually gave a boost to gold prices.

    Now, we are in 2021, and pretty well optimistic about gold because of multiple domestic and international reasons. If we pay attention to global economic scenarios, in its first press conference of 2021, the US Fed has predicted slower growth this year. Fed has kept its asset purchase budget intact at $120 billion per month. Fed chairman Jerome Powell agreed that the road to recovery will be much slower and longer than what was originally estimated by top economists. Powell made it clear that the Fed intends to maintain its current monetary policy of low-interest rates, a massive accumulation of treasuries and mortgage-backed securities.

                         Interestingly, the Fed has kept interest rates at near to 0 and has promised to keep it unchanged for at least 3 more years, which makes the opportunity cost of gold 0 for the US investors. US government has authorised a stimulus package of $900 billion, which is creating excess liquidity in the market and leading to higher inflation which will be supportive of gold prices.

    Now, taking Indian scenarios into account is also important because India is the second-largest importer of gold. Last year, we witnessed a downfall in gold import because marriages and other celebratory functions were postponed due to government guidelines on lockdown in the view of COVID-19 pandemic.

    Keeping the current situation in mind (when the vaccine has been given approval), functions that were postponed last year are most likely going to happen this year and this will create a huge demand for gold in India.

    Secondly, COVID has given a boost to the usage of digital payment apps like Paytm, PhonePe, and others, which are offering a hassle-free mode of gold purchase and accumulation, which is now attracting many digital investors.

    I think Sovereign Gold Bonds (SGB) offer the best investment tools. It gives you a fixed return of 2.5 per cent on a yearly basis, irrespective of gold's actual performance. The capital gains tax arising on the redemption of SGB to an individual has been exempted. The indexation benefits will be provided to long term capital gains arising to any person on transfer of bond.

    Now, if we compare gold with FD, the risk-taking appetite of investors should always be considered and taken into account. Gold has given almost 100 per cent absolute returns in the last 10 years, 15 per cent in the last 5 years, 20 per cent in the past 3 years and 28 per cent in the year 2020 despite the pandemic.

                                  FD interest rate is almost 5-6 per cent in almost all the leading banks in India, and 7 per cent in some of the comparatively smaller banks, which is just above the inflation rate, which was 4.95 per cent in 2020, and 3.75 per cent currently in 2021, and much lower than gold returns of the past 10 years. Also, as the government is enhancing liquidity through stimulus packages, and we expect a higher inflation rate in 2021. So, for long-term investment, one should go for gold investment which always gives security against inflation in the long term. The performance of gold has been very good compared to FD. We expect the same in the future as well.

     

  • Banks recap, ARC for stressed assets among steps for financial sector
    2021-02-01, By: System Administrator

    New Delhi, Feb 1 (IANS) The financial sector has seen several announcements in the Union Budget including banks recapitalisation and a ARC for stressed assets.

    Suman Chowdhury, Chief Analytical Officer, Acuite Ratings & Research said that the budget has made a few important announcements in financial sector reforms. It has permitted 74 per cent FDI in the insurance sector which is expected to lead to higher investments and consolidation in the sector.

    While another Rs 20,000 crore has been allocated for capital in public sector banks, the budget has also announced its intent to divest its stake in two public sector banks and one general insurance company.

    "This is surely a significant step ahead but the government’s ability to execute it in a timely manner needs to be seen. Lastly, an ARC and an AMC is proposed to be set up to buy out stressed assets of the banking sector. We, however, will need to wait for the details in this regard before we can comment on the efficacy of such a bad bank in providing capital relief to the banks with high GNPAs," he said.

    Manoj Purohit, Partner and Leader - Financial Services Tax, BDO India said that to ease access of finance and augment funds for the infra sector, the proposal of providing FPIs an entry into debt financing of REITs and InvITs will open up a large source of fresh funding for the infrastructure and real estate sectors. This will also open up a new avenue for FPIs to invest in a growing market like India.

    Ravi Singhal, Vice Chairman, GCL Securities Ltd, said that the bill for the development of financial institution has shown a clear path for the growth on financial infrastructure in the Atmanirbhar Bharat. Further, the Modi government's announcement of a sharp increase in capital expenditure and thus providing Rs 5.54 lakh crore will develop momentum for financial infrastructure domain.

    "Further, the announcement of the development of investor charter should also be welcome as it will protect the hard-earned money of a number of investors."

    The Budget has also announced decriminalisation of offences under corporate laws. "The consolidation of securities laws, existing decriminalisation of offences under the Companies Act and the proposed decriminalisation under the LLP Act marks an important move towards making Indian corporate legal framework, simpler, business friendly and ultimately (hopefully) reducing compliance costs," said Arka Mookerjee, Partner, J. Sagar Associates.

    The Budget also announced a new securities market code. “The securities market code is in line with previous discussions on the NFRA. It marks a step towards streamlining the multiple laws, ordinances, guidelines and regulations. If drafted and executed in a proper manner, it will be helpful to market participants and remove any possible conflicts in the regulatory framework and will provide clarity in policy making to investors and stakeholders,” he said.

    Shagoofa Rashid Khan, Partner and Head – Project, Investment and Advisory Head – Funds, Investment and Advisory, Cyril Amarchand Mangaldas said a new development financial institution announced to target debt portfolio of 5 lakh crore. Will this be new wine in old bottle or will this be a progression on the learnings of past development finance institutions and IDF experimentation, she asked.

    Khan said the long-awaited task of aligning SEBI FPI regulations with Sebi InvITs and REITs regulations has been finally announced. Debt capital to now flow easily from FPIs including ESR focussed funds and financial institutions.

    She said the assets identified for NHAI and PGCIL InvITs pipeline will make these Invits very attractive and thus deepen the InvITs market.

    Khan said the fine print of announcements relating to ARC and asset management company to acquire, manage and sell stressed and distressed loans to AIFs needs to be assessed. This could lead to spreading the risk and reward of such investments across wider spectrum who under the extant guidelines may not have qualified as QIBs for direct investment in security receipts such NRIs, family offices etc.

    Monetisation of surplus land under government companies and sick public sector enterprises will kick start the languishing real estate sector but alignment and easing the approvals process (including change in land use, urban land celing clearances, environmental approvals, development authority approvals etc) for re-purposing these lands to profitable commercial use in order to attract foreign capital is key, Khan said.

    "Despite many announcements that could lead to real estate development, it is disappointing that FM has not liberalised the FDI restrictions applicable to RE sector. The archaic restriction of three year lock-in needs to be removed to unshackle the sector," Khan said.

  • Budget 2021 Expectations LIVE: Here is what India wants - Check latest news, updates, demands here
    2021-01-25, By: System Administrator

    Union Budget 2021 Expectations LIVE: The Union Budget 2021 is almost here as Finance Minister Nirmala Sitharaman, Minister of State for Finance Anurag Thakur and senior officials of the finance ministry on Saturday participated in the symbolic 'Halwa Ceremony' that marks the beginning of compilation of budget documents. Union Budget 2021 is scheduled to be presented in Parliament on February 1, 2021

    Finance Minister Nirmala Sitharaman has promised a never before like Union Budget as the Modi government looks to give a further boost to Indian economy. Ahead of the Union Budget 2021 presentation, here are all the LIVE updates on the expectations from Finance Minister Nirmala Sitharaman and Union Budget 2021:-

    Budget 2021 Expectations LIVE: Ravi Singhal, Vice-Chairman, GCL Securities Limited

    "As Modi government has risen to the occasion to curb the spread of pandemic for the strengthening and revival of the India economy, we expect many big announcements from Hon'ble Union Finance Minister Nirmala Sitharaman in this Budget 2021. It goes without saying that Income Tax is one of the most important aspects of Budget, hence some relief for the common man is what we look forward to. Also, we expect crude to come under the Goods and Services Tax (GST) umbrella. In addition to all this, reduction in entertainment tax, incentives to give a boost for setting up manufacturing hubs and push for infrastructure spending will also be key areas to watch out for. Keeping above expectations in mind, we recommend, Voltas and Havells as most benefited owing to the possibility of income tax reduction and boost for the creation of manufacturing hubs. Further, BPCL is also a most benefited from our side due to 'crude may come under GST' expectation from Budget 2021. Moreover, BPCL's stake sale candidature is also one of the reasons behind most benefited recommendation. Also, Bharti Airtel, SUN TV are most benefited from our end due to Covid-19 campaign and advertisements on TV channels by the government with an aim to educate people and spread pandemic-related awareness. Tata Power can be considered from reaping additional returns due to relief measures and incentives announced by the Modi government for the renewable energy sector. Siemens and L&T should be considered as most benefited due to infra related sops and a further boost from the Modi government for the creation of manufacturing hubs. Furthermore, with an aim to boost automobile demand by phasing out old, polluting vehicles, the highly-awaited scrappage policy is also expected from this important Budget 2021. Hence, keeping in view the same, we recommend most benefit for Tata Motors, Ashok Leyland, Maruti and Shriram Transport."

  • NSE to launch derivatives on the Nifty Financial Services Index from January 11, 2021
    2021-01-11, By: System Administrator

    National Stock Exchange of India (NSE) has received an approval from Securities Exchange Board of India (SEBI) to launch derivatives on the Nifty Financial Services Index in the futures & options segment of the Exchange. Currently, NSE offers index derivatives on only two equity indices – Nifty 50 Index and the Nifty Bank Index. 
    The financial services sector assumes significance as the sector accounts for 33.5% of the Nifty 500 index. The Nifty Financial Services Index comprises of 20 stocks and is designed to reflect the behaviour and performance of the Indian financial market which includes banks, financial institutions, housing finance, insurance companies and other financial services companies.  
    A recent investment data of Foreign Portfolio Investors (FPIs) indicates, 48% of new investment flows were channelized into the financial services sector. The sector accounted for 35% of the assets under the custody of FPIs. Further, many of the asset management companies have mutual fund schemes on the financial sector theme. 
    The Nifty Financial Services index has a 94% correlation and a beta value of 1.2 with the Nifty 50 Index. It has a correlation of 98% with the Nifty Bank index. The Nifty Financial Services index has delivered annualized returns of 14.99% in the last 5 years. 
    Exchange will offer futures and options in 7 serial weekly excluding the monthly expiry and 3 serial monthly contracts. This is the first time that the Exchange will make available weekly futures for the stock index derivatives. The derivatives are cash settled with expiry day being the last Thursday of the expiry month for the monthly contracts and Thursday of the expiring week for weekly expiry contracts. The option contracts are European styled Call Option (CE) and Put Option (PE) with strike scheme of 30-1-30 and strike interval of 100. 
    The Exchange will launch the index derivatives on the Nifty Financial Services Index from January 11, 2021. 

  • Money making tips! Want bumper returns, profit in 2021? Top 3 investment options for you
    2021-01-11, By: System Administrator

    "Equity, gold and property are some of the safest investment options which will yield good returns as well."

    Undoubtedly, the entire 2020 was marred by coronavirus crisis. There was nearly no economy in the world which didn't face the negative impact of Covid-19 pandemic. However, as compared to other countries, India performed really well and has started bouncing back to normal, that too earlier than expected. The key reason why Indian economy showing signs of positive development was the government's policies in various sectors.

    According to research done by Jaipur-based stock-broking firm GCL Securities Limited, now liquidity is being witnessed in the market because of steps taken by the Central government. Commenting on the findings of the research, vice-chairman of GCL, Ravi Singhal, "Due to lockdown imposed in the wake of Covid-19 pandemic, the economy faced quite an impact but due to the stimulus packages, policies and financial aid given by the government to boost the economy, liquidity flow has been increased in the market. And, keeping in view the liquidity flow, equity, gold and property are some of the safest investment options which will yield good returns as well."

    'Equity, SIP, IT shares: Good returns'

    Noteworthy, due to liquidity flow enhancement and developments in infrastructure, companies are expected to pour in additional investments, which in turn will give a further boost to liquidity.

    It is advised for equity-oriented mid and long term investors to invest regularly through SIP modes in the year 2021 so as to reap good returns in 2-3 years down the line.

    Also, GCL research report suggests that due to Covid-19 pandemic impact, many IT companies have trimmed down their expenditures, which are expected to give benefits to these firm in future. And, hence, investment in shares of IT companies can be considered as a good option for reaping profits.

    'Gold: Yellow metal due to liquidity, inflation'

    Moreover, due to an increase in liquidity, investment in gold is also a good option for handsome returns. Details available of past few decades suggest that whenever inflation goes up, the returns from yellow metal also witness a jump. Overall, gold bonds or gold investment can a good option for your investment portfolio.

    'Real Estate/Property/Flats/Homes: Due to low home loan rates'

    Further, the findings of the GCL research report suggest that due to low-interest rates on home loans, property buying has also witnessed a jump. Nowadays, ready-to-move-in flats are being preferred by the homebuyers. The affordable and mid-segment flats have witnessed the maximum purchase. Keeping all these points in mind, if you are willing for long term real estate investment, then properties in tier-2 and tier-3 cities are good options.

  • India Stocks Decline Amid Prospect of U.S. Stimulus Delay
    2020-12-11, By: System Administrator

    (Bloomberg) -- Indian stocks fell, in line with a broad decline in Asian peers, as negotiations toward a U.S. stimulus deal showed no sign of progress needed for an agreement by year-end. The S&P BSE Sensex declined 0.3%, ending a 5-day series of consecutive gains, while the NSE Nifty 50 Index slipped 0.4%, snapping a seven-day win streak. Both gauges had touched a record high on Wednesday.

    Agro-chemical maker UPL Ltd. was the worst performer on the Nifty with a 11?cline, its biggest drop since March 23, after Indian daily Economic Times reported on allegations that the company’s founders had siphoned off money. The company said the allegations are “motivated by malafide intentions” and that no siphoning of funds took place.

    The Indian market decline on Thursday “appears to be a temporary pause as ample liquidity in the market has been continuously supporting a buy trend,” according to Ravi Singhal, a strategist at Jaipur-based GCL Securities Ltd.

    Foreign investors have purchased a net $18.4 billion of Indian equities this year through Dec. 8, are already the most since 2013, according to data compiled by Bloomberg.

    “Investors must focus on quality names with high margins of safety,” said Binod Modi, head of strategy at Reliance Securities Ltd. “A broad-based rally across all counters might not sustain for long and men would be separated from the boys in the context of potential of earnings recovery.”

    The rupee weakened 0.1% to 73.6662 per U.S. dollar, while the yield on 10-year government bonds was little changed at 5.92%.
     

    The Numbers

    • Fifteen of 19 sector indexes compiled by BSE Ltd. fell, led by a gauge of basic material companies
    • HDFC Bank Ltd. contributed the most to the Sensex decline, decreasing 1.4%; UltraTech Cement Ltd. had the largest drop, falling 3.6%
  • RBI Keeps Rates Unchanged & Upgraded GDP Forecast; Here Is What India Inc Says
    2020-12-07, By: System Administrator

    Here is what leaders of India Inc. and chief economists have to say about RBI's decision to spur growth.

    The Reserve Bank of India, on Friday, while keeping the key lending rates unchanged revised its growth projection for the country's real gross domestic product (GDP) to -7.5% for FY2021 from -9.5%. Here is what leaders of India Inc. and chief economists have to say about RBI's decision to spur growth.

    Mr. Chandrajit Banerjee, Director General, CII: "The upward revision in RBI's GDP growth expectation to -7.5% as compared to the -9.5% it had forecasted earlier is encouraging. CII has been observing a gradual recovery seeping in over the last few months, and the industry is optimistic that this growth momentum will continue going forward as well."

    Mr. Sanjay Palve, MD, Finance, Essar Capital Ltd: "The RBI governor has hinted towards green shoots of economic recovery with improved projections in GDP growth. The unchanged repo rate indicates the accommodative stance of the central bank as all efforts are being made to revive growth in the economy."

    Mr. Shishir Baijal, Chairman & Managing Director, Knight Frank India: "RBI's accommodative stance in the last few months has kick-started the economy that had experienced a sudden contraction due to the pandemic. These measures have ensured both - demand stimulation and liquidity in the economy, achieved by keeping the short term borrowing rates well below the benchmark."

    Mr. Rajiv Agarwal, MD& CEO, Essar Ports Ltd: "We appreciate RBI's efforts to maintain an accommodative stance. The unchanged Repo rate is understandable despite a spurt in inflation, which has been primarily driven by disruptions in the supply chain, excessive margins, and indirect taxes."

    Mr. Krish Raveshia, CEO of Azlo Realty: "The RBI keeping key rates unchanged is on expected lines as inflation has been way above the RBI mandated level. The policy stance kept unchanged at Accommodative indicates further rate easing in the near future. The announcement by RBI to keep system liquidity in surplus to help growth is a big positive."

    Dr. Poonam Tandon, CIO, IndiaFirst Life Insurance Company Limited: "The RBI kept the policy rates unchanged given the growth-inflation dynamics with an accommodative stance. The focus is to revive growth and spur economic activity, which has been disrupted by the Covid19 pandemic while ensuring inflation remains within the targeted range."

    Mr. Deepak Sood, ASSOCHAM Secretary-General: "Given the inflationary challenges, it is no surprise that the RBI-MPC has kept the policy repo rate unchanged at four percent. However, we must applaud the MPC for staying on course with regard to the accommodative interest rate stance. What is more, Governor Mr. Shaktikanta Das has laid a lot of emphasis on the fact that economic recovery would be dependent on sustained policy support."

     Mr. Surendra Hiranandani, Chairman and Managing Director, House of Hiranandani: "The RBI's decision of keeping the repo rate unchanged was on expected lines owing to the rise in inflation in recent months. Even though the apex bank has kept rates unchanged, we still believe that there is room for financial institutions to cut down on their lending rates."

    Mr. Ravi Singhal, Vice Chairman, GCL Securities Limited: "The RBI's accommodative stance to stay the repo rate unchanged is in line with what most folks within the industry were expecting. The governing agencies got to contain near-term financial risks within the face of rising inflation. CPI has reached 6.8% in Q3 FY 20, which is an alarming sign. In Q4, although it's expected to ease bent 5.8%, it's still not a healthy number."

    RBI has announced to increase the transaction limit of contactless cards to Rs 5,000.

    Vikas Saraogi, Vice President, Merchant Acceptance, South Asia, Mastercard: "In the last few months, there has been an exponential growth in contactless digital payments. This is because consumers are increasingly choosing to pay in a safe and hygienic way for their day to day needs. Mastercard welcomes the RBI's decision to increase the limit from Rs. 2000 to Rs. 5000 without entering a PIN on contactless transactions through NFC cards."

    What did the economists say?

    Dr. Aurodeep Nandi, India Economist, Vice President, Nomura: "The RBI resisted blinking despite the high inflation glare. There were two insecurities that the market had in the run-up the policy meeting – one, whether the higher-than-expected inflation and growth data would trigger a rethink on the existing 'lower-for-longer' guidance on policy rates; and two, whether the RBI would look to temper the surge in liquidity to re-align money market rates with the policy corridor. On both, the RBI has essentially doubled down on its October accommodative guidance and asserted that inflation remains largely supply-side driven and that supporting growth remains its paramount priority."

    Mr. Abheek Barua, Chief Economist, HDFC Bank: "The RBI kept its policy rate unchanged at 4%, as expected, and continued to keep its policy stance accommodative. Some sections of the market had anticipated the central bank to act on the rising surplus liquidity in the system in light of the increasing inflationary pressures. However, the absence of any major liquidity absorption measures in the midst of a prolonged inflationary episode and indeed the upward revision of both the RBI's growth and inflation forecasts might be somewhat puzzling."

    Prithviraj Srinivas, chief economist, Axis Capital: "The RBI kept policy rates on hold and its accommodative stance + guidance unchanged as expected. This despite an upward revision to growth and inflation forecasts. The MPC has unanimously voted to keep markets calm, given the uncertain outlook. However, the governor noted in his statement that there is a small window to proactively manage supply-side disruptions and break the inflation spiral, which is fuelled by excessive margins and indirect taxes."

  • RBI Monetary Policy: Experts Say In Line With Expectations
    2020-12-07, By: System Administrator

    The RBI's Monetary Policy Committee (MPC), which recommended holding repo rates or interest rates steady is largely in line with expectations say experts.

    The Monetary Policy Committee's view that inflation is likely to remain elevated, barring transient relief in the winter months from prices of perishables, was largely responsible for holding interest rates steady.

    According to Shishir Baijal, Chairman & Managing Director, Knight Frank India today's announcement remains in line with the RBI's goal of nurturing growth despite the rise in inflation.

    "RBI's accommodative stance in the last few months has kick started the economy that had experienced a sudden contraction due to the pandemic. These measures have ensured both - demand stimulation and liquidity in the economy, achieved by keeping the short term borrowing rates well below benchmark.

    Keeping demand stimulated to maintain the current momentum would be critical for continuous acceleration of the economic recovery. Recently reviving market performance indicators, despite all odds and supported by government and central bank interventions, have enthused a great sense of relief across real estate markets in the country. Home loan interest rates, which are at the lowest, have played a key role in rekindling the latent demand in housing market by nudging home buyers to make purchase decisions even during the pandemic. RBI's decision to keep the rates unchanged will keep the momentum of demand intact to provide the much needed stability, as even while there is recovery in the economy, it is still fragile and highly volatile," said Mr Baijal.

    According to Ravi Singhal, Vice Chairman, GCL Securities, the RBI's accommodative stance to stay the repo rate unchanged is in line with what most folks within the industry were expecting. "The governing agencies got to contain near-term financial risks within the face of rising inflation. Consumer Price Inflation has reached 6.8% in Q3 FY 20, which is an alarming sign. In Q4 although it's expected to ease bent 5.8%, it's still not a healthy number. However green shoots are visible within the overall economy substantiated by resilient rural consumption and up tick in urban demand. The Market will also boost on some relief could be seen in winter months for inflation cool down," he stated.

    According to Ram Raheja - Director, S Raheja Realty, the real estate sector was expecting a rate cut which would give further impetus to demand and induce liquidity in the market.

    "However, for the third time in a row the RBI decided to keep the repo rate unchanged for the growth of the economy and to have control over inflation maintaining an accommodative stance. While the GDP expectations for H1 2021 are on the downside, there is expectation of recovery in H2. With the next budget focusing on boosting growth, this may lead to rise in investment in safe-haven assets like real estate as prices are likely to appreciate from current levels. With the role of the real estate sector in generating employment and economic activity, we foresee 2021 as a year that makes a comeback along with the hopes of a vaccine," he stated.

  • India’s Sensex Edges Lower from Record High in Volatile Session
    2020-12-03, By: System Administrator

    (Bloomberg) -- India’s equity benchmark edged lower from yesterday’s record high as investors assessed the outlook for further gains.

     The S&P BSE Sensex slipped 0.1% at the close, after swinging between intraday gains and losses. NSE Nifty 50 Index was little changed, as about two shares rose for each one that fell. Both measures yesterday closed at new peaks.

    “We are advising clients to buy on declines as low interest rates and ample global liquidity will continue to support the market,” said Ravi Singhal, a strategist at Jaipur-based GCL Securities Ltd. “The higher levels will prompt some investors to book profits.”

    Foreign net equity purchases of $16.11 billion this year through Nov. 27 are already the most since 2014 as funds have poured in chasing returns. The relative strength index on both the Sensex and Nifty is around 70, a level that some traders read as a signal that they’re overbought.

    The rupee weakened 0.2% to 73.8025 per U.S. dollar, while the yield on 10-year government bonds fell one basis point to 5.92%.
     

    The Numbers

    • Seventeen of 19 sector indexes compiled by BSE Ltd. rose, led by a gauge of realty companies
    • HDFC Bank Ltd. contributed the most to the Sensex decline, decreasing 1.9%, while Kotak Mahindra Bank Ltd. had the largest drop, falling 3.3%
    • Asian Paints Ltd. provided the biggest boost to the index, advancing 3.9%
  • SEBI panel to consider big bang reforms in November 26 meet
    2020-11-26, By: System Administrator

    SEBI panel to consider big bang reforms in November 26 meet; T-1 settlement, zero demat balance on the cards

    A Sebi-appointed advisory panel may take up some big bang reforms for discussion during its meeting on Thursday. On the agenda could be reducing settlement days to T+1, capital adequacy norms for brokers and banks needing separate entities to become clearing members.

    The Securities and Exchange Board of India (SEBI)-appointed Secondary Market Advisory Committee (SMAC) will discuss big bang reforms for the capital market during its meeting on November 26.

    SMAC represents all market participants, including exchanges, brokers 0and Depositaries. This will be the panel’s first meeting this year due to the disruption caused by Covid-19. After deliberation by the SMAC, the regulator will take these issues to the SEBI board for approval.

    The committee may have four key points of discussion on the agenda for its meeting on Thursday:

    • Reducing settlement days to T+1
    •  Final call on zero amount of a client to be taken every 90 days
    • Capital adequacy norms for a broker
    •  Banks needing a separate company to become clearing members

    T+1 settlement

    SEBI is planning to cut down settlement days from T+2 to T+1. India would be the second market to implement this measure, should it go forward.

    The regulator has discussed the T+1 settlement mechanism on various platforms but faced resistance from market participants, especially Foreign Portfolio Investors. However, SEBI has firm grounds for this reform as less settlement time means less risk of a default by brokers.

    Speaking to Moneycontrol, a SMAC member said: “If Sebi makes settlement happen on T+1 evening instead of T+1 morning, this measure could be implemented in the market.”

    “It will make clients keep their trading and Demat accounts with the same brokering house as they will not get enough time for stock transfers,” said Ravi Singhal, Vice Chairman, GCL broking firm. “But T+2 settlement is causing delays in the settlement process, hence the seller gets to pay in two days.”

    Singhal added: “T+1 settlement is good for seller clients as their funds will be free the next day and hence they can better utilise their funds. It is also good for brokers, as they have to collect margin for only one day, so it will improve overall churning of regularly traded clients.”

    FPIs have reservations that implementation would be difficult because of the time difference. This measure may impact volume on the cash market as FPIs account for more than 40 percent of the market.

    FPI association  ASIFMA (Asia Securities Industry & Financial Markets Association) has written to the Finance Minister seeking to stop this measure.

    Second discussion point

    SEBI has a plan to make the funds account of all clients in the books of the stockbrokers' nil once in 30 or 90 days, depending upon the preference of the clients.

    The regulator is toying with the idea of making the account nil and not permitting debit balances as settlement. The limit of Rs 10,000 is also proposed to be done away with.

    In the current framework, with the introduction of pledge systems, securities do not currently leave the demat account of the client. Therefore, the settlement of securities is no longer applicable. However, a margin in the form of funds continues to lie in the books of the broker and is subject to settlement.

     

    Periodic settlement has been a norm since December 3, 2009. It requires the broker to return excess funds and securities to the clients. However, a client going into debit was also considered a settlement, as with a debit balance no account is due by the broker and it is the broker who has to take the money from the clients.

    Further, 225 percent of the margin dues and an additional amount of up to Rs 10,000 could be retained by the broker subject to client consent. For example, if a client has a credit balance of Rs 1 crore with the broker, and margin dues on open positions of Rs 10 lakh, the broker can hold back up to Rs 22.5 lakh and has to compulsorily return the remaining Rs.77.5 lakh to the client as settlement.

    This new norm is now under consideration, especially after the Anugrah Broking default, where client money was lying with the broker for years. SEBI has also received several complaints about a large broker, who transferred client money into a liquid fund just before settlement dates.

    An office-bearer of the broker association involved in the discussion said: “I believe that Sebi has got its heart in the right place. As long as the clients are not inconvenienced in their trading experience, we will support the Sebi proposals. The pledge-repledge system for example has been amazing in identifying the bad sheep in the market. These bad actors deserve exemplary punishment for tarnishing the image of the entire community. Monitoring of funds is also essential, and brokers have never objected to any measures that increase transparency.”

    Moneycontrol had reported on October 29 that SEBI is considering strengthening settlement norms.

    Capital adequacy norms for brokers

    During a recent conference of the Confederation of Indian Industry (CII), Uday Kotak, CII President and Chairman of Kotak Mahindra Bank, raised the issue of capital adequacy norms for brokers. Kotak told SEBI chairman Ajay Tyagi that the regulator should come out with a capital adequacy ratio for granting of a license to broking firms.

    Separate entity to become clearing members

    Currently, banks themselves become clearing members, which creates a conflict of interest. So, SEBI is planning to create norms for a separate company for clearing members.

  • India Stocks Extend Record as Modi’s Alliance Secures State Poll
    2020-11-11, By: System Administrator

    India’s benchmark equity index climbed to a record as a ruling party alliance won a state election, adding to positive sentiment amid a pick-up in business activity.

    The S&P BSE Sensex rose 0.7% to close at 43,593.67 in Mumbai, after falling by an equal measure earlier in the session. The NSE Nifty 50 Index advanced 0.9%. Both gauges completed their longest string of gains in a month to end at new peaks.
    Still, both measures’ relative strength indexes are above 70, a level that may signal they’re overbought, while a measure of volatility climbed for a second day to a one-week high.

    “On higher levels, a little bit of profit-booking is expected,” said Ravi Singhal, vice chairman at Jaipur-based GCL Securities Limited.

    Prime Minister Narendra Modi’s party retained control through a coalition in the eastern state of Bihar in its first election since the pandemic struck. While India has the world’s second-largest coronavirus case count, new infections are less than half of the peak in mid-September, according to data from John Hopkins University.

    Modi’s alliance’s “win in Bihar suggests political immunity from the pandemic,” Sonal Varma, chief economist for India and Asia, ex-Japan, at Nomura Holding Inc. in Singapore, wrote in a note. The results indicate that the prime minister remains popular, she said.

    India’s emergence from the world’s biggest lockdown has triggered a revival in demand, even as Asia’s third-largest economy is forecast to contract this year for the first time in about four decades.

    “There is optimism that an economic recovery may be faster as business activity is steadily rising close to the pre-pandemic levels,” said Kranthi Bathini, an equity strategist at WealthMills Securities Ltd.

    As earnings season continues, 28 of the 43 Nifty 50-member companies that have announced results so far have beaten or matched analyst estimates. Coal India Ltd., Power Grid Corp. and Shree Cement Ltd. are due to report results today.

    The rupee weakened 0.3% to 74.3725 per U.S. dollar, while the yield on the 10-year government bond fell 1 basis point to 5.91%

    The Numbers

    • All but two of 19 sector indexes compiled by BSE Ltd. rose, led by a gauge of metal companies
    • Infosys Ltd. contributed the most to the Sensex advance, increasing 2.9%, while Tata Steel Ltd. had the largest gain, rising 7.4%
    • Reliance Industries Ltd. was the biggest drag on the index, declining 4.2% and IndusInd Bank had the biggest drop, falling 5.6%
    • Stocks including Adani Green Energy Ltd., Apollo Hospitals Enterprise Ltd., Balkrishna Industries Ltd., and Kotak Mahindra Bank Ltd. surged after being included in the MSCI Asia Pacific November review
  • Pfizer Shares Zoom To A 52-Week High On Covid-19 Vaccine Promise
    2020-11-11, By: System Administrator

    Pfizer will remain attractive in the medium term as the pharma industry continue to outperform for the next few quarters, as per market experts

    Shares of Pfizer Ltd jumped almost 20% to touch its 52-week high of Rs 5875 on Tuesday morning after its parent company Pfizer Inc announced its vaccine against Covid-19 is 90?fective. 

    Pfizer Limited shares were trading up 7.26% at Rs 5275 in a firm Mumbai market, valuing it Rs 24,132 crore.  Pfizer Inc., which is developing the vaccine with its German partner BioNTech SE on Monday, said that its experimental Covid-19 vaccine was more than 90?fective, a promising development as the world has waited anxiously for any positive news about a pandemic that has killed over 1.2 million.

    According to preliminary findings, protection in patients was achieved seven days after the second of two doses and 28 days after the first. The companies said they expect to supply up to 50 million vaccine doses globally in 2020 and up to 1.3 billion doses in 2021.

    A vaccine at that level of effectiveness, administered widely, is enough to break chains of infection. Pfizer Inc. shares rose as much as 15% on Monday, while BioNTech American depositary receipts surged as much as 24%.

    "We are a significant step closer to providing people around the world with a much-needed breakthrough to help bring an end to this global health crisis. We are reaching this critical milestone in our vaccine development program at a time when the world needs it most," Pfizer Chairman and CEO Albert Bourla said in a statement.

    The companies have agreed to supply deals with the US and other countries, but it's likely that front-line medical and essential workers, and at-risk groups, will receive a shot first.

    With effectiveness for the first vaccines previously expected to be in the range of 60% to 70%, a rate of more than 90% "is just extraordinary," said Anthony Fauci, director of the  US's National Institute of Allergy and Infectious Diseases (NIAID).

    However, questions about production, distribution, and the shot's performance and capability still need to be answered, according to vaccine specialists. The Pfizer trial started less than four months ago, and how long the vaccine will confer protection and how many will benefit are almost complete unknowns for now.

    Since the Pfizer vaccine uses messenger-RNA (mRNA) technology, it will need to be stored and distributed at minus 70 degrees Celsius – a big challenge for India and other developing countries with under-developed cold chain infrastructure.

    On the other hand, viral vector (adenovirus) vaccines typically have less stringent refrigeration requirements and can be shipped at 2-8 degrees Celsius. The vaccine candidates being developed by Oxford/AstraZeneca, Johnson & Johnson, and Sanofi/Novavax, for instance, use viral vector technology.

    On the performance of the stock in the market, Sanjiv Bhasin, Director IIFL Securities, told ABP News, "Pfizer will attractive in the medium term. Besides, the whole pharma pack of stocks will continue to outperform for the next few quarters. There may be  a re-rating for many pharma businesses as the vaccine unfolds."

    Ravi Singhal, Vice Chairman, GCL Securities Limited, said, "Pfizer announced 90?curacy of covid vaccine, on the note, global markets have zoomed. The market is in a bull run, but a bit of profit-booking is expected on higher levels. Gap up opening due to Pfizer news people can book profit at higher levels."

  • India Stocks Decline as U.S. Stimulus Concern Damps Sentiment
    2020-10-27, By: System Administrator

    India stocks fell as an elusive U.S. stimulus deal kept sentiment subdued in the region, while investors closely watched local companies earnings.

    The S&P BSE Sensex fell 1.3% to 40,145.50 in Mumbai, while the NSE Nifty 50 Index declined 1.4%.

    “It is predominantly global factors at play here with U.S. futures down and investors also wanting to avoid the U.S. election day uncertainty,” said Kranthi Bathini, an equity strategist at WealthMills Securities Pvt.

    Investors remain focused on the chances of agreement on a stimulus package as November’s election fast approaches. Still, concerns are mounting that surging virus cases could force more businesses to close.

    At home, economic activity is rebounding, and foreign investors’ net buying of $2.2 billion in local stocks this month is the highest since August. The central bank’s October policy meeting minutes indicated reviving growth is a bigger priority for the newly appointed monetary policy committee than achieving an inflation target.

    “Low interest rates and optimism about company sales picking up during the festive season that began this month are positives supporting the stocks,” said Ravi Singhal, an analyst at Jaipur-based GCL Securities Ltd. “High inflation for an extended period of time remains a key risk while the U.S. election-led volatility may weigh on sentiment during the week.”

    In company earnings, 10 out of the 18 Nifty 50 companies that have announced results so far have either met or exceeded expectations.

    The rupee weakened 0.3% to 73.8475 per U.S. dollar, while the yield on 10-year government bonds was little changed at 5.84%.

    The Numbers

    • All except one of 19 sector indexes compiled by BSE Ltd. declined, led by a gauge of energy stocks.
    • Reliance Industries Ltd. contributed the most to the Sensex drop and fell 4%; Amazon.com Inc. secured relief in its dispute with Future Group after a court put a temporary hold on the debt-strapped Indian conglomerate’s $3.4 billion deal to sell assets to Reliance Industries.
    • Bajaj Auto had the largest drop, falling 6.1%.
    • IndusInd Bank Ltd. was among the best performers, adding 1.4%; Kotak Mahindra Bank Ltd. is exploring a takeover of the lender, people with knowledge of the matter said. IndusInd denied the report, an external spokesperson said.
  • Technical Outlook: Nifty Support Zone At 11,810-11,740 Points
    2020-10-23, By: System Administrator

    Here is a quick look at the various support and resistance from a technical point of view as provided by Mr. Ravi Singhal, Vice Chairman, GCL Securities Limited.

    Nifty support zone: 11,810-11,740 points Nifty resistance zone: 11,988-12077 points

    Bank Nifty support zone: 24,024-23,844 points Bank Nifty resistance zone: 24,700-25000 points

    Buying zone of Nifty 11,820-11,844 points SI: 11744 TGT: 11,944-12022,12088

    Bank Nifty buying zone: 24,100-24,200 Sl: 23844 TGT: 24488,24800,25000

  • Nifty To Find Resistance At 11,988-12,077 Points
    2020-10-22, By: System Administrator

    While the markets have been buoyant over the last few weeks, the Nifty is likely to find support at 11,810-11,740 points, while the resistance is likely to be at 11,988-12077 points, according to Mr. Ravi Singhal, Vice Chairman, GCL Securities Limited. The buying zone for the Bank Nifty has been placed at 24,000 to 24,100 points.

    Here are some of the technical levels as suggested by Mr. Singhal.

    Key levels to watch for:

    Nifty support zone 11,810-11,740 Nifty resistance zone 11,988-12077

    Bank nifty support zone 24,024-23,777 Bank Nifty resistance zone 24,555-24888

    Buying zone of Nifty 11,810-11,840 SI 11740 TGT 11,944-12022,12088

    Bank Nifty buying zone 24,000 -24,100 Sl 23777 TGT 24488,24800,25000

  • Raghuram Rajan says RBI should continue focus on inflation management
    2020-08-05, By: System Administrator

    Former Reserve Bank of India (RBI) governor, Raghuram Rajan has asserted that it is important for the Indian central bank to retain the inflation focus to ensure that people continue to have confidence in the Rupee.

    “People still have confidence in the rupee and it is very important that confidence continues. For that confidence to continue, it is important that the RBI shows commitment towards inflation,” Rajan said in an interview,

    “If there is no expectation that it will contain inflation going forward, there will be more worries about the rupee plummeting and that could be a source of concern going forward,” Rajan said.

    Rajan’s comments are significant in the context of an ongoing debate on whether the monetary policy committee (MPC) should cut key RBI policy lending rate further or remain on status quo to guard against inflation fears. The MPC is set to announce the policy decision tomorrow after a three-day meet.

    India’s retail inflation inched up to a little above 6 per cent in June from 5.84 per cent in March.

    Rajan said it is critical to safeguard the credibility of the RBI.

    “One of the Institutions working well right now is the central bank. The credibility of RBI is one reason why the currency has not plummeted despite our inability to contain the virus, fears around our growth trajectory as well as our fiscal situation,” Rajan said in the interview.

    The inflation targeting regime served India well and it is important that RBI continue to emphasise that it will keep inflation within those bands, Rajan said. “It (inflation targeting) has actually served us quite well and let's recognise that rather than have a whole set of dialogues, which take us nowhere,” Rajan said.

    The RBI has cut its key lending rate, repo, by a cumulative 115 basis points (bps) since the start of the pandemic. This, along with a liquidity infusion to the tune of Rs 8 to Rs 9 lakh crore was aimed at pushing up credit growth in the system. However, bank lending to industries will continue to be muted on account of lack of demand.

    Rajan, a former chief economist with the International Monetary Fund (IMF), was RBI governor between 2013 September and 2016. Rajan’s tenure was a crucial phase for the Indian banking system. It was then the RBI initiated the process to identify and hidden stress in the banking system and subsequently initiated an asset quality review (AQR).

    Following this, banks were forced to identify and disclose the hidden bad loans in their balance sheets. Within a few years, the Gross NPAs in the banking system shot up to over Rs 9 lakh crore from around Rs 3 lakh crore before the process.

  • NPCI to expand payments network with NFC, looks to challenge private heavyweights: Report
    2020-08-05, By: System Administrator

    The National Payments Corporation of India (NPCI) is looking to add near-field communication (NFC) capabilities to its Unified Payments Interface (UPI) and is reportedly in talks with payment aggregators to push the product across point-of-sale (POS) devices.

    The access to POS and NFC capability will likely expand UPI’s reach to offline merchants increase the peer-to-merchant transaction and compete with private payment networks, sources told Mint.

    Moneycontrol could not independently verify the report.

    “NPCI wants to target the 5 million POS machines in India which are doing well and registering high-value transactions. Enabling NFC is the only way to tap into this… it will however face resistance from offline payment aggregators and POS manufacturers,” a senior banker told the paper.

    Private players Mastercard and Visa expanded contactless networks using NFC through tap-on-go payments systems, they added. NFC-enabled tap-on-go cards allow customers to tap the card instead of swiping at POS terminals. The technology would also benefit NPCI’s Rupay card and other similar services, besides UPI, the report said.

    However, both private players already have strong partnerships with banks and POS providers, while NPCI may face some push-back as existing alliances will be challenged, the banker said, adding: “It is yet to be seen how NPCI incentivises the offline payment ecosystem to adopt this offering.”

    NPCI and Visa did not respond to queries, the report said.

    The company is further looking to collaborate with smartphone manufacturers to embed the NFC function directly into devices, and plans to then expand this to large format stores. For phone users, NPCI is also looking to collaborate with banks to issue prepaid-cards and vouchers on the UPI network as an alternative to QR-codes.

  • Foreign, domestic investors' favourites: ICICI Lombard, RBL Bank and Shree Cement top the list
    2020-02-18, By: System Administrator

    As per a report by brokerage firm Edelweiss Securities, during the October-December quarter, FIIs were net buyers of nearly $4.88 billion in Indian equities.

    Top private banks were on the radar of the foreign institutional investors (FIIs) during October-December quarter of FY20 as they added ICICI BankRBL Bank and IndusInd Bank in the quarter, data from Edelweiss Securities showed.

    Other than the banks, FIIs continued adding insurance names such as HDFC Life Insurance CompanyICICI Lombard General Insurance CompanySBI Life Insurance Company and ICICI Prudential Life Insurance Company, like the previous two quarters, to their portfolios.

  • Budget 2020 | Govt may cut personal income tax rates: Report
    2020-01-25, By: System Administrator

    A final decision in the matter is expected to be taken by the Prime Minister Narendra Modi sometime early next week

    Ahead of the upcoming Budget, the Centre is studying several options to bring down personal income tax, CNBC-TV18 reported. A final decision in the matter is expected to be taken by the Prime Minister Narendra Modi sometime early next week.

    Sources told CNBC-TV18 that the finance ministry is considering various options with respect to reduction of personal income tax rates. Some of these options include slashing tax rates on personal income, in line with the suggestions of the task force on direct tax simplification; rejig of existing tax slabs; and raising the minimum personal income tax exemption limit from the current Rs 2.5 lakh.

    In addition, the government is also considering ways to increase tax saving measures, one of which is via the infra bonds route. The government may allow tax saving via infrastructure bonds of up to Rs 50,000 a year, sources added.

    With the Union Budget set to be tabled on February 1, there are expectations of a slew of fiscal measures being taken into consideration to bolster India's economic growth. Following the recent tax break by way of the corporate tax rate cuts, India Inc is now hopeful for a reduction the tax rates on personal income, a move the industry believes would help rejuvenate the country's drooping consumption demand.

  • Over 50 stocks in BSE500 index turned multibaggers in 10 years; worth a buy in 2020?
    2020-01-13, By: System Administrator

    “Only buy something that you’d be perfectly happy to hold if the market shut down for 10 years.” That's a word of wisdom from Warren Buffett.

    Moneycontrol charted the data for past 10 years for the stocks in the S&P BSE 500 index. More than 50 stocks in the index gave more than 1000 percent, returns while 169 out of 500 rose 100-900 percent in the same period, according to data from AceEquity.

    On the other hand, only 0.16 percent, or 80 stocks, out of 500 gave negative returns in the last 10 years.

    So if you are invested in the stocks that have growth potential and a unique business model which could sustain for a decade, multibagger returns can’t be ruled out.

    As many as 56 stocks from the S&P BSE 500 index gave 1000-35000 percent returns in the last 10 years. The names include Info Edge3M IndiaPage Industries, Berger Paints, Eicher Motors, Atul, Ajanta Pharma, Astral Poly, Bajaj Finance, Caplin Point and Avanti Feeds.

    10-Year 1

     

    10-Year 2

     

    Note: The above list contains stocks that are part of the BSE500 index in 2020.

    It makes sense for investors to hold onto stocks for more than 10 years for long-term wealth creation, but can the same stocks be considered for the next 10 years?

     

    Expert View

    The first and foremost thing which investors have to understand that things change in a decade, and what worked 10 years back might not be even relevant now; hence, portfolio churning is important.

    Investors should re-balance their portfolio after 10 years and book profits in stocks which have already rallied or the business model is not sustainable.

    “In the last 10 years, lot of changes have happened in the economy with the service sector now accounting for more than 60% of the GDP. The composition of Indices has undergone a major change in the last 10 years. There has been a shift from old economy to new economy stocks and sectors,” Rusmik Oza, Sr. VP (Head of Fundamental Research-PCG), Kotak Securities told Moneycontrol.

    “Many non-cyclical sectors and stocks who have the businesses in the B-2-C model can continue to be wealth generators in the next 10 years. Many of the new age growing businesses will have more listed stocks in the next few years and could be the future wealth generators: he said.

    Businesses like insurance, asset management, retail, healthcare, small finance banks, specialty chemicals, fintech, CRAMs, eCommerce could be wealth-generating sectors in the coming years.

  • Over Rs 30,000 cr worth of IPOs likely in 2020; SBI Cards, UTI AMC among key names
    2020-01-02, By: System Administrator

    Experts also expect IPOs of HDB Financial, National Insurance Company, National Stock Exchange, RailTel, Indian Railways Finance Corporation etc which are yet to file their prospectus for IPOs.

    With many big companies likely to hit the primary market, 2020 could be far better than 2019. In fact, it could be the best in the past five years, as suggested by experts who Moneycontrol spoke to.

    Only 17 companies launched their IPOs in 2019. Dinesh Engineers withdrew its public issue due to weak market conditions during the year 2019

     Hence, 16 firms (against 24 companies in 2018) raised Rs 12,362 crore in total.

    The year 2020 is expected to be completely different as at least 20 companies will come out with their IPOs and the size could be far more than those launched in 2019, experts feel.

    "2020 will be much better than last 5 years in terms of number of companies and size of IPOs. India is capital hungry and a good way to raise long term capital is through equities," Umesh Mehta, Head of Research, Samco Securities told Moneycontrol.

    VK Sharma, Head PCG & Capital Markets Strategy at HDFC Securities also sees substantially higher number of IPOs in the 2020 compared to 2019.

    As per the Prime Database (as of December 20, 2019), the size of IPOs which already received SEBI approval or awaiting nod could be more than Rs 30,000-35,000 crore.

    More than 30 companies filed their draft red herring prospectus since September 2018 (including 20 in 2019 itself), of which Mazgaon Dock Shipbuilders, Route Mobile (Rs 600 crore approved by SEBI on January 1, 2020), Samhi Hotels (Rs 2,000 crore), IREDA (Rs 750 crore), Shyam Steel, Bajaj Energy (Rs 5,450 crore), Powerica, Satyasai Pressure, Annai Infra Developers have already received

    approval from the SEBI for launching IPOs within a year.

    The companies which filed their IPO papers in 2019 include SBI Cards & Payment Services (Rs 9,600 crore), Burger King India (Rs 1,000 crore), Puranik Builders (Rs 1,000 crore), Home First Finance (Rs 1,500 crore), Easy Trip Planners (Rs 510 crore), Equitas Small Finance Bank (Rs 1,000 crore), UTI AMC (Rs 4,000 crore), Montecarlo and Mukesh Trends Lifestyle.

    Umesh Mehta said HDB Financial, SBI Cards, Burger King etc would be a few IPOs which are expected to gain limelight in 2020.

    Umesh Mehta said HDB Financial, SBI Cards, Burger King etc would be a few IPOs which are expected to gain limelight in 2020.

    Image10112020

    HDB Financial, National Insurance Company, National Stock Exchange, RailTel and Indian Railways Finance Corporation are also expected to file their prospectus for IPOs soon.

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    "A lot of new issues (IPOs) are lined up in 2020, some of which could have the potential to create long term wealth," Siddhartha Khemka, Senior Vice President | Head-Retail Research at Motilal Oswal Financial Services said.

    But again as usual, any weak market condition/sentiment can slow down or force companies to think many times to launch IPOs, experts feel.

    "Though a lot of IPO are lined up. Sailing of IPOs would be depend on 2 main factors first is pricing of the issue & second is market scenario (Sentiments), If market scenario continue to remain positive than we may

  • Bharti's Sunil Mittal and Hero Group's Sunil Munjal eye stake in Yes Bank: Report
    2019-10-16, By: System Administrator

    Their interest is at the preliminary stage and if the deal does takes place, Mittal and Munjal would be acquiring the stake in their private capacity, which could be up to five percent

    Prominent industrialists Sunil Mittal and Sunil Munjal have envisaged interest in acquiring stake in Yes Bank, reports ET Now.

    Their interest is at the preliminary stage and if the deal does takes place, Mittal and Munjal would be acquiring the stake in their private capacity, which could be up to five percent, the report stated.

    Another five percent may be sold to private equity investors.

    Yes Bank said it continues to be in regular conversation with the Reserve Bank of India (RBI) on its fund raising drive.

    In response, a Bharti spokesperson stated,“We strongly deny these baseless rumors. Mr. Sunil Bharti Mittal has no plans to make any investment in Yes Bank.”

  • After smartphones, the Chinese are now looking to capture India's auto sector
    2019-07-08, By: System Administrator

    These China-headquartered companies manufacture e-scooters, e-bikes, electric three-wheelers, petrol-powered performance bikes, SUVs, luxury cars, buses and construction equipment

    India’s burgeoning automotive demand and a sustained push by the government towards electric mobility has led to nearly a dozen Chinese companies entering India over the last three-to-four years.

    While some of these companies are tying up with Indian entities, others have entered on their own and are setting up manufacturing facilities and R&D centres.

    These China-headquartered companies manufacture e-scooters, e-bikes, electric three-wheelers, petrol-powered performance bikes, SUVs, luxury cars, buses and construction equipment.

    Lesser known Chinese entities such as Benling, CFMOTO, SUNRA, Gemopai Electric, Evoke Motorcycles to name a few have already entered India. Zhejiang Rongda Industry & Trade, Jiangsu Kingbon Vehicle and Zhejiang Linghang Electronics have partnered Indian companies to jointly produce vehicles.

    Some of these companies manufacture fully electric vehicles, an area where the Indian government is taking new strides. Benling India Energy and Technology, a direct subsidiary of Guangdong Sheng-based Dongguan Benling Vehicle Technology Co, for instance has invested Rs 10 crore to set up an assembly unit in Manesar for rolling out low-speed electric scooters.

    Other more widely known brands like Volvo Cars (owned by Zhejiang Geely Holding Group), MG Motors (owned by SAIC Motor Corporation), Benelli (owned by Zhejiang Qianjiang Motorcycle Group Co), Great Wall Motors Company and Sany Heavy Industry Co have established manufacturing facilities and R&D operations.

    There is a clear desperation by the Chinese companies to enter India. For instance CFMOTO, a $400 million Hangzhou, China-based company, has tied up with AMW Motorcycles, which is part of the now defunct and debt-ridden AMW Motors that produces medium and heavy trucks.

    Revolt Intellicorp, promoted by Micromax Mobiles founder Rahul Sharma, showcased electric bikes in June that were based on bikes produced by Shanghai-headquartered SOCO. The Revolt RV400 looks identical to the Super SOCO TS1200R.

    An aggressive lot

    Market watchers, however, say that the current breed of Chinese companies have a different but aggressive approach towards the Indian market compared to the earlier flock.

    “Earlier companies like Lifan and Beiqi Foton tried to find their footing in India. But bad product quality and corporate indecision led to their quiet exit from India. Today’s Chinese companies are different, they are much more ambitious and serious about having a slice of the Indian automotive pie,” said a senior executive who provides consultancy services to auto companies.

    The Brihanmumbai Municipal Corporation (BMC) procured and ran several units of air-conditioned King Long buses. The BEST undertaking was forced to blacklist the company after multiple instances of the buses catching fire or breaking down. Till date many associate the buses with Chinese make, thanks to the misinformation spread by the BEST, while the buses were actually built in Punjab by JCBL. The damage to the brand, however, was done.

    The Lifan Group, which had tied up with Delhi-based Monto Motors for launching cheap motorcycles in India, was partly responsible for eroding the brand image of Chinese products. Their 100cc and 125cc bikes had several quality issues leading to their eventual exit from India.

    But to beat this poor brand recall, Chinese companies devised new ways. SAIC, China’s largest car maker, decided to invoke MG Motors, a 90-year old British brand that laid in slumber for most part of the last few decades. MG (Morris Garages) recently launched its first SUV Hector (Rs 12.18 lakh) in India, which is based on the Baojun 530: an SUV sold in China.

    Goldstone Infratech, an Indo-China joint venture company comprising BYD of China, changed its name to Olectra Greentech last year. Goldstone was accused by India truck and bus makers of offering buses at very low prices, backed by subsidy from the Chinese government. Goldstone emerged as one of the largest bidders for supplying electric buses to Indian cities.

    It remains to be seen if the latest entrants are more successful than their predecessors.

  • 'FII inflows for 6 months after election results could be around Rs 60,000-70,000 crore'
    2019-06-15, By: System Administrator

    It has been three weeks of trading since the Lok Sabha elections results were announced. BJP returned to power with a bigger mandate than 2014, adding more stability to the political scenario in the country, much to the delight of the foreign investors.

    The foreign investors took this very positively especially when domestic investors were waiting for correction even before the elections. The week from May 24, 2019, till June 13, 2019, Nifty saw a return of 1.4 percent that was supported by inflows in FIIs via ETFs primarily.

    Within the ETF segment, the two largest funds tracking MSCI EM did not receive any inflows as India weight is reduced in the index due to the addition of new countries.

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    But the two largest funds (I Share India & Wisdom Tree) tracking MSCI/FTSE India received inflows worth $264 million on AUM of $5.45 billion, which is almost 4.84 percent of AUM, the largest in recent times.

    This is in line with the historical trend that witnesses an influx of 1.3-2 times of FIIs post-election as compared to pre-election. Six months prior to Lok Sabha 2019 election FIIs bought in a total of Rs 38,800 crore. Keeping this in mind, we expect post elections six months inflows around Rs 60,000-70,000 crore, which would increase the Nifty return in a short duration.

    These inflows are based on the mandate that the new government will bring in more radical measures to push the economy out of its current slump and the issues faced by the financial sector will be addressed in a much better fashion. The inflows might spread unevenly through this period as the ground data movement will also be integral to the pace at which these inflows are attracted.

    We believe that as the inflows from FIIs push the Nifty returns higher, the DIIs will start adding to MF inflows, in later stages, as it takes only three to five months for retail investors to gather faith in the movement of economy and markets. Thus, DIIs participation would only come at a later stage.

    Overall we believe, as of now, FIIs would continue to take Nifty at higher levels only via select stocks and there might be some inflows in select midcaps by HNIs.

    (The author is Founder at Target Investing.)

    Disclaimer: The views and investment tips expressed by investment expert on moneycontrol.com are his own and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

  • Iraq continues to be India's top oil supplier, imports from US rises 4-folds
    2019-05-01, By: System Administrator

    row become India's top crude oil supplier, meeting more than a fifth of the country's oil needs in 2018-19 fiscal year.

    According to data sourced from the Directorate General of Commercial Intelligence and Statistics, Iraq sold 46.61 million tonne of crude oil to India during April 2018 and March 2019, 2 percent more than 45.74 million tonne it had supplied in 2017-18 fiscal.

  • India's growth trajectory holds immense potential for global stakeholders: Ashish Sinha
    2019-04-20, By: System Administrator

    India's growth trajectory holds immense potential for global stakeholders to establish energy, infrastructure and technology collaboration with the country, a UN forum here has been told.

    Counsellor in India's Permanent Mission to the UN Ashish Sinha stressed on Wednesday at the ECOSOC Forum on Financing for Development Follow Up that India wanted to use growth as a mechanism to pull the maximum number of people out of poverty and improve quality of life in an inclusive manner.

    "India has retained its position as the world's fastest growing major economy. Indian economy has been growing over 7 percent for several years and the forecast for the future is equally robust," he said.

    Sinha noted that India improved its ranking by 23 positions in the World Bank's Ease of Doing Business rankings last year.

  • India's services exports rise 5.5% to $15.6 bn in February; imports down 3.3%
    2019-04-16, By: System Administrator

    India's services exports rose 5.5 per cent to USD 16.58 billion in February 2018-19 from USD 15.71 billion in the same month a year ago, data from the Reserve Bank showed Monday.

    However, the exports during February 2019 were lower than January's USD 17.75 billion.

    Services imports in February 2018-19 declined by 3.3 per cent to USD 9.81 billion, compared to USD 10.14 billion in the year-ago month, as per the RBI data on 'India's International Trade in Services: February 2019'.

    The imports stood at USD 11.3 billion during January this year.

  • Binani Cement Insolvency: Dalmia Bharat Moves Supreme Court Against NCLAT Nod To UltraTech's Bid.
    2018-11-15, By: System Administrator

    The Dalmia Group moved the Supreme Court challenging the National Company Law Appellate Tribunal's approval for the sale of Binani Cement Ltd. to UltraTech Cement Ltd.

    A three-judge bench headed by Chief Justice Ranjan Gogoi agreed to Dalmia's plea for an early hearing, and listed the case for Nov. 19, Bloomberg reported. The group is confident of getting a favourable verdict from the apex court, Dalmia Bharat's Group Chief Executive Officer Mahendra Singhi told BloombergQuint in an interview. Singhi, however, refused to share details of the grounds on which the group challenged the NCLAT's order, saying that that matter was sub judice.

    On Wednesday, the appellate tribunal approved UltraTech Cement's plan to acquire debt-laden Binani Cement, holding that the rival bid by Dalmia Group was "discriminatory" to creditors of the stressed cement maker.Dalmia Bharat-led Rajputana Properties had initially emerged as the top bidder for acquisition of assets of Binani Cement. Later, UltraTech, the second highest bidder, came back with a higher offer, backed by the original promoters of Binani Cement. (Source : bloomberg)

  • Overseas bondholders approve plan to ease RCom's debt burden.
    2018-08-24, By: System Administrator

    Anil Ambani-led Reliance Communications Ltd clinched the approval of its overseas bondholders to ease the carrier's debt burden, putting the company a step closer to averting bankruptcy. The operator, which defaulted last year on a $300-million bond, got 83% of bondholders to approve the plan, the company said in an exchange filing.

    "Reliance Communications bondholders approved the tender and exchange offer of $300 million bonds with an overwhelming majority of over 83%, at their meeting held today, 24 August 2018, in London. "RCom said in a statement. Following the offer, bondholders will receive cash proceeds of up to $118 million. "Bondholders will also get $55 million bonds to be issued by Global Cloud Xchange Ltd (holding company of GCX), a foreign subsidiary of RCom." the statement added. The Global Cloud Xchange bonds will be unsecured and will carry a coupon of 0.1% with maturity of four years, it added (Source : Mint)

  • Sebi plans to cap investor's equity exposure in line with net worth.
    2018-08-14, By: System Administrator

    The Securities and Exchange Board of India (Sebi) is planning to limit investor's exposure to shares and equity derivatives in line with their net worth, said three people with knowledge of the development. The move is aimed at preventing individuals from going overboard on equity investments, considered riskier than bonds.
    The proposal is similar to the concept of accredited investors in some developed markets. An accredited investor is one who meets requirements regarding income, net worth, asset size, governance status or professional experience. The US regulator has adopted requirements for accredited investors to protect those who may be unable to sustain the economic risk of investing in unregistered securities. The proposal, if implemented, could impact a number of equity investors. (Source : Economic Times)

  • GCL Won Kisan Pragati Award 2017
    2018-06-06, By: System Administrator
    Ganganagar commodity limited (gcl), one of india's prestigious financial services group has won the "kisan pragati award" at a function organized by ncdex. Ncdx has selected gcl for the award under outstanding performance, category in agriculture commodity in west zone (rajasthan and gujarat) of india. Vishal bagadia and honey sharma, director (s) of gcl have received the award from central food and civil supplies minister ram, vilas paswan and union minister of state for water resources, arjun ram meghwal in a grand ceremony held in hotel taj, new delhi. On the occasion, vishal bagadia, director ganganagar commodity limited said that gcl has been active in the field of commodity exchange from last 13 years. The company is offering services of broking and investment in equities, currency, insurance, mutual funds, along with the online and offline procurement of commodities, hedging and trading to its customers.
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