– India wants Vodafone Idea promoters to infuse capital
– India may infuse more capital in 3 general insurers before listing
– Nirmala Sitharaman keen to push capital spending
– LIC, EPFO may fund startups
Now lemme give you a quick glance on the state of the markets.
Dalal Street appeared set for a muted start this morning. Nifty futures on the Singapore Exchange traded some 20 points lower at 8:20 hours (IST). Most Asian peers were trading lower, giving up early gains on Tuesday, after Wall Street finished mostly higher, setting fresh records.
Elsewhere, the US 10-year Treasury yield dipped about one basis point to 1.25%. The dollar eased while other safe-haven currencies such as the yen held firm against riskier currencies on Tuesday, as disappointing economic data from China, the spreading Delta variant of the coronavirus and political tension in Afghanistan weighed on risk appetite. Oil prices rose on Tuesday, recovering from the previous day’s losses. Brent crude was up 13 cents, or 0.2%, at $69.64 a barrel.
That said, here’s what is making news.
The government may infuse more capital in three loss-making, state-owned general insurers to help them meet regulatory requirements and prepare them for listing and privatisation. Initial estimates suggest these companies–National Insurance Co. Ltd, Oriental Insurance Co. Ltd and United India Insurance Co. Ltd–together need about ?5,000 crore. The government will consider the stock exchange listing of National Insurance and Oriental Insurance after the capital infusion.
Analysts are bullish on the Indian IT sector due to healthy deal wins and robust FY22 guidance. KPIT Technologies, Birlasoft, eClerx, Mindtree, Tata Elxsi, NIIT, and Firstsource, among others, have seen substantial buying interest lately as these companies should log high double-digit revenue growth until FY24. Margins are good as well, exceeding what analysts have been pencilling in.
Financial and information technology stocks are among those favoured with the maximum upgrades in target prices after the June quarter earnings, showed an analysis of Bloomberg data on BSE 500 companies that are tracked by at least five analysts. UTI Asset Management Company, which is tracked by 10 analysts, has seen its consensus target price increasing 54%. Jindal Stainless, Welspun India, KPR Mill, ICICI Securities, Equitas Holdings, Zensar Technologies, Firstsource Solutions, Mphasis, KPIT Technologies, and Persistent Systems have seen target prices rising 32-51%.
LASTLY,
After cryptocurrencies, the non-fungible token or NFT has attracted the taxman’s attention as any purchase of the blockchain digital file will attract equalisation levy and goods and services tax (GST). This would mean that any NFT bought could become dearer by a few percentage points. The tax department is set to slap a 2% equalisation levy on these transactions. Also, the indirect tax department would seek that the exchanges pay GST on the transaction value, ET reported.
NOW Before I go, here is a look at some of the stocks buzzing this morning…
The proposed merger between Embassy Group and Indiabulls Real Estate has entered the final lap as both the companies have now filed the requisite joint application with the jurisdictional bench of NCLT for its approval.
Adani Enterprises has entered into a definitive agreement to acquire
Sadbhav Infrastructure Project’s network of border checkposts across Maharashtra – housed under Maharashtra Border Check Post Network Ltd
(MBCPNL) – for an enterprise value of Rs 1,680 crore.
Online travel firm EaseMyTrip on Monday reported an over six-fold jump in consolidated net profit to Rs 15.4 crore for the quarter ended June 30, mainly on account of robust performance in the air passage segment.
Vodafone Idea (Vi) will file a curative petition if the Supreme Court rejects its review plea seeking correction of what it calls errors in the telecom department’s calculation of statutory payment arrears,
managing director Ravinder Takkar.
Do also check out over two dozen stock recommendations for today’s trade from top analysts on ETMarkets.com.
That’s it for now. Stay with us for all the market news through the day. Happy investing!
