Indian markets are likely to sustain the bull rally at least in the opening session on Thursday, amidst mixed global cues. As minutes from the US Federal Reserve’s latest meeting signalled that the central bank will not be in a hurry to begin scaling back its asset purchase programme, analysts expect foreign portfolio investments to resume in emerging markets such as India.

The Dow Jones Industrial Average index edged up 104.42 points, or 0.3 per cent, to 34,682. The S&P 500 index added 14.59 points, or 0.34 per cent at 4,358 and The tech-focussed Nasdaq Composite Index gained just 1.42 points to 14,665.

The SGX Nifty is currently ruling at 15,894, signalling flat-to-positive opening of domestic markets. The Nifty futures on Wednesday closed at 15,869.

Equity market, so far, has shown a strong resilience even though it faces headwinds from the advent of a possible third Covid wave, persistent inflation readings prompting a potential rate increase, and volatility around the US Fed taper talk, said Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd.

“It has been consolidating for quiet sometime due to lack of trigger. Q1-FY22 earnings season has started off and would continue to provide stock specific action. Also it may give some direction to the market as investors would eye management commentary to gauge scale of economic recovery,” he added.

Deepak Jasani, Head of Retail Research, HDFC Securities, said that Nifty outperformed its Asian peers, even as the advance decline ratio turned back to even. This suggests a tendency to keep taking profits by traders/investors in broader markets. Nifty is once again near its earlier top of 15,915. On falls, 15,745 could act as a support.

Sahaj Agrawal, Head of Research- Derivatives at Kotak Securities, said: “Nifty has been consolidating in a narrow range since the past few trading sessions. The medium term view remains positive with buying on dips advisable. For the short term, consolidation expected to continue with resistance seen at 15,980 levels. Realty and NBFC stocks expected to trade with a positive bias.”

Stocks to watch

Adani Ports and Special Economic Zone The Board has approved the issuance of US dollar denominated foreign currency bonds up to $750 million which may be issued in one or more tranches overseas, and that may be listed in any one or more stock exchanges in India or overseas. The proceeds will be used to finance the company’s capital expenditures and for general corporate purposes. The bonds will be issued on a private placement basis or otherwise, to eligible persons, entities, bodies corporate, companies, banks, financial institutions and any other categories of eligible investors permitted to invest in the bonds under applicable laws.

Marico has announced a strategic investment in Apcos Naturals Private Limited with an acquisition of 60 per cent equity stake for an undisclosed consideration. This equity stake will be acquired over a period of two years, through primary infusion and secondary buy-outs. Co-founded by CEO, Arush Chopra, and Brand Director, Megha Sabhlok, Apcos Naturals Private Limited owns “Just Herbs”, a line of pure, bespoke and Ayurvedic results-driven skin and hair care offerings, made from certified organic and wild-crafted ingredients collected from across India.

SeQuent Scientific Limited has announced the EUGMP approval of its tablets dosage manufacturing line in Turkey. The approval was further complimented by the successful renewal of EUGMP license for eight other manufacturing lines for various dosage forms including beta-lactam, non-beta lactam, terminal sterilisation, mastitis, powder beta-lactam, aerosol, pesticide, and solids in Turkey.

In addition to the EUGMP, the manufacturing lines in Turkey also hold GMP certificates from Turkish, Saudi Arabia, Ethiopian and Sudanese authorities. With these approvals, the company now has multiple EUGMP approved facilities globally, allowing it to better serve the needs of its customers in the regulated markets of Europe, and access to alternative manufacturing sites to ensure supply of high quality products.

Dilip Buildcon NHAI, in an interim order, has temporarily restrained DBL Anandapuram Anakapalli Highways Ltd and Dilip Buildcon Ltd (as being Promoter of Concessionaire) and other promoter(s) of the Concessionaire from participating in any NHAI/Authority’s bids directly or in association JV with immediate effect until further order/decision on the findings of the investigation after following due procedure. The decision was followed after an accident at Anandpuram - Pendurthi - Anakapalli project.

SAT Industries Ltd has further acquired 1,41,849 equity shares in Genext Students Private Limited aggregate amount of investment of ₹15,52,045, being 3.96 per cent of the paid-up capital of the company. Genext Students Private Limited is engaged in the business of Ed-tech solution offering LIVE Online Classes for students of grades 5-12.

IPO

Zomato The ₹9,375-crore IPO, which opened for subscription on Wednesday, was subscribed fully, on the back of heavy subscription by retail investors. The portion reserved for retail investors was subscribed 2.69 times, while non-institutional investors have put in bids for 13 per cent against their reserved portion. The portion set aside for employees is subscribed 18 per cent and that of qualified institutional buyers 98 per cent.

Ahead of the issue on Tuesday, the food delivery platform raised ₹4,196.51 crore from 186 anchor investors by allotting about 55.22 crore shares. Zomato IPO — the largest in 16 months after SBI Cards and Payment Services — has raised the funds at ₹76 a share, the upper end of the price band of ₹72-76.

The issue will close on Friday.

Results Calendar

Angel Broking, Avantel, Aditya Birla Money, Cyient, Ganesh Housing Corporation, Larsen & Toubro Infotech, Onward Technologies, Rama Paper Mills, Rollatainers, Tata Elxsi, Tata Steel Long Products and Wipro will release quarterly results on July 15.

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