Post Market Analysis 08-10-2021

Benchmark Indian equity indices rose, aided by gains in IT, energy, auto and PSU banking shares. The Sensex ended 0.64% higher at 60,059.06, and the broader Nifty50 climbed 0.59% to 17,895.2.

Nifty IT jumped 1.96%, and PSU Bank advanced 1.65%. BSE Energy index surged 2.69%.

Indian rupee fell 19 paise to 74.98 against the US dollar.

The RBI kept the key interest rates unchanged at existing levels and maintained its “accommodative” stance. Many analysts said market participants drew comfort from no big surprises as the RBI’s monetary policy decision was in line with their expectations.

Stock in News Today

Reliance Industries: The company’s shares zoomed more than 4% in intraday trading, a day after the company’s retail arm said it will open 7-Eleven convenient stores in India. It became the first Indian company to cross Rs 18 lakh crore in market capitalisation. The first store will open on Saturday (October 9, 2021) in Andheri East, Mumbai. 

MCX, IEX: Shares of both the companies soared after the Supreme Court consented to allow the introduction of new market instruments for electricity trading amid coal shortage crisis. The power ministry said on Thursday that the Supreme Court has approved the introduction of new market instruments for electricity trading as per the terms mutually agreed between the power regulator Central Electricity Regulatory Commission (CERC) and market regulator Security Exchange Board of India (SEBI). According to the agreement, CERC will regulate all the physical delivery based forward contracts, while the financial derivatives will be regulated by SEBI.

Airtel: The telecom operator has announced a new cashback offer of Rs 6000 for users who purchase smartphones costing not more than Rs 12000. Airtel wants its customers to make a minimum recharge of Rs 249 or above for 36 months, after which they will get full cashback in two instalments.

Thomas Cook: The company’s shares rose more than 20% after the Indian government said it will start granting fresh tourist visas for foreigners. Other stocks in the tourism and hospitality sector like IRCTC, Lemon Tree Hotels, EIH, Indian Hotels also gained. Foreign tourists coming via chartered flights will be allowed from Oct. 15 while tourists entering India by flights other than chartered aircrafts will be permitted from Nov. 15, the government said in a statement on Thursday.

KPI Global Infrastructure: Shares of the company rose over 9% to Rs 140.95 per share after the company said it signed a new long-term Power Purchase Agreement (PPA) with GHCL Limited. KPI said that the agreement includes sale of 1.25 Mega Watt of solar power for a period of 20 years, under independent power producer (IPP) business vertical.

Motherson Sumi: The company has bought a majority stake in CIM Tools, a supplier to aerospace industry. Motherson Sumi said it will acquire 55% stake from promoters of CIM Tools. The three founders of CIM will retain 45% stake.

Zee Entertainment Enterprises: The company has been granted two weeks time by NCLT with regard to filing a reply to Invesco’s petition after the company’s and Punit Goenka’s lawyers request. NCLT will take up the case next on October 22.

Zydus Cadila: The drugmaker said it has received tentative approval from the US health regulator FDA to market generic Adapalene and Benzoyl Peroxide gel used for treatment of acne in the American market. The drug will be manufactured at the group’s Topical plant at Ahmedabad.

Adani Group: The group has been handed over the operations, management and development responsibilities of The Lokpriya Gopinath Bordoloi International Airport in Guwahati on Friday. In the initial three years, the new airport operator will be supported by the employees of the Airports Authority of India, which was handling the airport’s operations.