After a sharp recovery on Thursday, domestic markets are expected to open on a flat note. Global equities are ruling flat in early trade on Friday, but in the green, signalling positive bias.

The SGX Nifty is currently ruling at 15,840 (730 am), as against Nifty futures closing of 15,816 on the NSE on Thursday.

Analysts expect market to move in a narrow range with stock-specific action. Mid- and small-cap stocks are likely to remain in focus, they added.

Most Asia-Pacific markets such as Japan, Korea, Taiwan and Australia are firm with gains ranging from 0.1 per cent to 0.6 per cent. However, Chinese markets are weak by about 0.5 per cent. Overnight, the US major indices such as Dow Jones, S&P 500 and Nasdaq closed with a gain of about 0.1-0.3 per cent. In early morning, futures of these indices gained further by 0.3 per cent, presenting all-round green signal for domestic market.

According to Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd, the Q1 result season has so far been in-line to better than expectations — leading to sector /stocks specific action — which is likely to continue in the near term as well. Also, it may provide investors with some insights into the scale of economic recovery through the management commentaries.

“Overall, equity markets have shown strong resilience even though it faces headwinds from the advent of a possible third Covid wave and persistent inflation readings prompting a potential rate increase. Positive macro data, both on global and domestic front, is giving confidence to the investors of faster economic recovery,” he added.

Stocks to watch

Shares of Zomato will be listed on the bourses on Friday. Sources, quoting grey market, said the stock is likely to open with 25-30 per cent gain. The ₹9,375-crore IPO, which closed for subscription on July 16, was subscribed over 38 times with portion reserved for qualified institutional buyers getting 54.71 times and HNIs 34.80 times. Quota reserved for retail investors received bids for 7.9 times. The company has fixed the IPO price at the upper end of ₹72-76. Zomato had garnered ₹4,196 crore from 186 anchor investors ahead of the IPO by allocating 55.22 crore shares at ₹76 apiece.

QSR cos like Jubilant Food, Burger King, Speciality Restaurants and Westlife Development are likely to be in focus.

Tata Power Company has signed Share Purchase Agreement (SPA) on July 22 with Tata Power International Pte. Ltd, a wholly owned subsidiary of the company, for sale of 100 per cent equity shares held in Trust Energy Resources Pte Ltd (TERPL), another wholly owned subsidiary of the company for a consideration of $285.64 million.

V-Mart & Arvind Fashions Arvind Lifestyle Brands Limited (ALBL), a wholly owned subsidiary of Arvind Fashions Limited, has signed definitive agreements for strategic sale of assets of its Unlimited retail business to V-Mart Retail Ltd for ₹150 crore. Unlimited operates a chain of 74 value fashion retail stores across South and West India and retails fashion apparel and accessories for men, women and children at affordable prices. The transaction is expected to be concluded in the next 2-3 weeks, subject to necessary regulatory approvals.

UltraTech Cement has prepaid its long-term loans amounting to ₹5,000 crore during the month, the company said in a notice to the stock exchanges. The loan repayments have been done through free cash flows generated by the company.

Valiant Organics The equity shares of Valiant Organics Ltd will be listed and admitted to dealings on National Stock Exchange of India Limited from July 23 under the scrip code VALIANTORG. Shares of Valiant Organics Ltd were last traded on BSE at ₹1,402.

PSP Projects has secured new work orders worth ₹82.79 crore till date in the financial year 2021-22 for institutional and industrial projects from various clients, the company informed the stock exchanges.

Mahindra Lifespace Developers Board to consider to meet on a proposal for issuance of bonus equity shares, subject to requisite approvals.

Results Calendar

ABB Power Products and Systems India, Ambuja Cements, Artson Engineering, Atul, Aurionpro Solutions, Cigniti Technologies, Crompton Greaves Consumer Electricals, Cybertech Systems, Dr Agarwals Eye, Dynamatic Technologies, Federal Bank, Fineotex Chemical,Gujarat Terce, JSW Steel, Jubilant Pharma, Jupiter Infomedia, Majesco, Menon Bearings, Nectar Lifesciences, Panacea Biotec, Reliance Industries, Rollatainers, SBI Cards and Payment Services, Seshasayee Paper & Boards, SKF India, Sparc Systems, Standard Industries, Symphony, Transcorp International, Tuticorin Alkali, Urja Globak, United Spirits and YES Bank are slated to announce their quarterly results on Friday.

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