Buzzing Stocks: SBI Cards, Adani Ports, Hindustan Copper and other stocks in news today
Indian rupee opened lower at 73.81 per dollar on Tuesday against previous close of 73.74 amid volatile trade seen in the domestic equity market.
Market at 10 AMBenchmark indices erased early gains and trading flat in the volatile session.The Sensex was up 10.28 points or 0.02% at 58501.21, and the Nifty was up 0.60 points or 0.00% at 17397.50. About 931 shares have advanced, 1720 shares declined, and 101 shares are unchanged.
V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services:
The Evergrande crisis has caused a minor sell-off in markets with the Dow and S&P falling by around 1.7 percent each and Nasdaq and Russel 2000 correcting by above 2 percent each. Concerns are being expressed whether this might turn out to be China’s Lehman moment. This appears far-fetched now since Evergrande’s debt is not widely held and, therefore, is unlikely to lead to a contagion with systemic risks.
The recovery in Dow which was down 972 points at the lows to close with a loss of 614 points is an indication of market’s confidence that a contagion is unlikely. However, investors have to be cautious since markets are richly valued and, therefore, vulnerable to corrections. The ultimate impact of the Evergrande crisis is yet to be seen and known.
There is another view that the Chinese crisis- the regulatory crackdown earlier and the Evergrande crisis now- bode well for India, facilitating increasing capital flows to India. This may play out in the medium to long-term.
The FOMC meet starting today may give a timeline on tapering. This will be watched closely by markets, globally. This is likely to be a ‘taper without tantrum”
Oil prices advance amid US supply tightness signals
Oil prices rose on Tuesday as analysts pointed to signs of U.S. supply tightness, ending days of losses as global markets remain haunted by the potential impact on China’s economy of a crisis at heavily indebted property group China Evergrande.
BSE Realty index rose 3 percent supported by the Godrej Properties, DLF, Prestige Estate
Asian Markets Update:
Global stock markets grappled with contagion fears on Tuesday, sparked by troubles at China Evergrande as growing risks the property giant could default on its massive debt pile prompted investors to flee riskier assets.
Glenmark Pharma gets US FDA nod for Clindamycin Phosphate Foam
Glenmark Pharmaceuticals has received final approval by the United States Food & Drug Administration (USFDA) for Clindamycin Phosphate Foam, 1%, the generic version of Evoclin Foam, 1%, of Mylan Pharmaceuticals Inc.
Glenmark Pharma was quoting at Rs 498.40, up Rs 3.45, or 0.70 percent on the BSE.
Cadila Healthcare to sell its two brands
“Zydus Healthcare Limited, a wholly owned subsidiary of Cadila Healthcare has entered into an agreement with Integrace Private Limited (purchaser) to sell two brands viz. Mifegest and Cytolog,” as per the press release.
Cadila Healthcare was quoting at Rs 541.85, down Rs 4.50, or 0.82 percent on the BSE.
KRChoksey on Paras Defence:
Paras Defence and Space Technologies is one of India’s leading private sector companies in the “Indigenously Designed, Developed, and Manufactured” (“IDDM”) category, catering to four major segments of the Indian defence sector, namely defence and space optics, defence electronics, electro-magnetic pulse (“EMP”) protection solutions, and heavy engineering.
The company derives most of its revenues from the Government arms and associated entities. Additionally, increased customer demand for the company’s space optics products would boost revenue and profitability going forward. As a result, we recommend a ‘SUBSCRIBE’ rating for the Paras Defence IPO.