– Zee-Sony merger is in the final stages, says Punit Goenka
– Bank guarantees of telcos to be returned, govt likely to tell SC
– Vedanta promoters to fund stake buy in holding company via loans
and
– Star Health IPO to open on November 30
Now lemme give you a quick glance on the state of the markets.
Asian stocks were steady as traders weighed the prospect of tighter monetary policy to curb inflation. Japan’s Topix index was down 0.3%, South Korea’s Kospi added 0.1% and Australia’s S&P/ASX 200 Index was little changed.
The yield on 10-year Treasuries was at 1.66%. The dollar paused for breath after surging with bets on higher rates when Jerome Powell was picked for a second term as Federal Reserve chair.
Oil prices fell as the US-led coordinated release of stocks from strategic reserves eased concerns over tightness in global supply, while investors took profits from the previous day’s rally ahead of the US Thanksgiving holiday. Brent crude futures slid 0.4% to $81.99 a barrel.
That said, here’s what is making news.
Life Insurance Corp of India (LIC), one of the biggest institutional investors in the stock markets, escaped the brutal losses in Paytm because of its standard investment guidelines that usually steer clear of initial public offerings (IPOs). The company does not invest in IPOs as a principle and would rather look at secondary market investments after listing.
Auto component makers are back on investors’ radar as a rebound in vehicle sales and increased supply of chips have improved the outlook for the sector. Shares of Sona BLW Precision, Minda Industries, Suprajit Engineering, Jamna Auto, and Minda Corp have rallied between 10% and 30% in the past month. Lumax Industries, Wabco India, and Lumax Auto gained between 5% and 10%. The benchmark Nifty declined nearly 4% during this period.
Indian equity hedge funds are in a spot following a clarification issued by the capital markets regulator on their portfolio composition that could require them to cut exposure to their best performing stocks. According to Securities and Exchange Board of India rules, category III Alternative Investment Funds, also known as hedge funds, cannot invest more than 10% of their portfolio in a single stock.
LASTLY,
The gross outflow of the domestic mutual funds in the secondary market rose to a record high of Rs 1.1 lakh crore in October 2021, the data from SEBI showed. In addition, the three-month rolling gross sales surpassed Rs 1 lakh crore at the end of the month reflecting rising redemption pressure.
NOW Before I go, here is a look at some of the stocks buzzing this morning.
The merger of Zee Entertainment Enterprises (ZEE) and Sony Pictures Networks India (SPN) is on track and “in the final stages of stitching up”, disclosed Punit Goenka, MD & CEO, ZEE on Tuesday.
Vodafone Idea shares will be in focus as the Department of Telecommunications (DoT) is likely to tell the Supreme Court soon that the government will return bank guarantees (BG) of telcos even for matters which are currently sub judice.
BPCL will soon float a tender for a 20 MW electrolyser to build the country’s largest green hydrogen plant as it aims to achieve net-zero emissions for its operations by 2040, its chairman Arun Kumar Singh has said.
Promoter companies of Anil Agarwal-led Vedanta will be funding the creeping acquisition of 4.55% stake of $800 millionin the holding company through a combination of debt from Oaktree Capital and other banks.
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!
