Indian markets are expected to see a gap down opening on Thursday, amid broad-based selling in global markets. Even as US Federal Reserve maintained its status quo stance, global markets sank on profit-taking and inflation worries.
The US Federal Reserve, while maintaining status quo stance on rates and bond-buying programme, expressed its concern over inflation and indicated tapering off the bond-buying programme sooner than later. The Dow Jones Industrial Average slumped 265.66 points, or 0.77 per cent overnight while the S&P 500 edged down 0.54 per cdent or 22.89 points and the tech-focused the Nasdaq Composite dipped 0.24 per cent or 33.17 points.
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Though these indices recovered from the day's low, Asian markets opened on a weak note.
The SGX Nifty at 15,662 indicates at least a 100-point loss in the Nifty futures at opening. The Nifty futures on Wednesday closed at 15,790.20. Most Asia-Pacific markets are down. Markets across Japan, Korea, Hong Kong, Australia and Taiwan have declined between 0.3 per cent and 1.3 per cent in early deals on Thursday.
According to Sahaj Agrawal, Head of Research - Derivatives at Kotak Securities, for short-term traders, an aggressive trade has not triggered yet for the index while stock-specific moves continue; advice keeping a check on leveraged positions. “For investors, the broader sentiment remains positive with buying on meaningful dips advisable. Any correction on account of the FED meet outcome remains an opportunity to accumulate. IT and FMCG remain strong while select BFSI stocks can be bought at current levels,” he added.
Stocks to watch
Ashiana Housing Ltd has acquired and executed a registered sale deed on certain land ad measuring approximately 22.1 acres in Wazirpur, in Sector-93, Gurgaon Manesar Urban Complex, Gurgaon, Haryana. Group housing project is planned on this land with potential saleable area of approximately 21 lakh square feet, with a floor space index of approximately 17 lakh square feet.
ISGEC has received an order for the fabrication of Above Ground Piping Spools from Tata Projects Limited. The broad scope includes manufacturing of more than 115,000 inch-dia shop fabricated Piping Spools of high-end metallurgies, viz. Alloy Steel, Stainless Steel, and Incoloy for a major project in the hydrocarbon sector.
Sequent Scientific: India Ratings and Research (Ind-Ra) has upgraded Sequent Scientific Limited’s Long-Term Issuer Rating to “IND A+” from “IND A” with outlook being “Positive”.
IPO screener
Krishna Institute of Medical Sciences (KIMS) IPO was subscribed 0.27 times at the end of Day 1. The IPO, which opened for subscription on Wednesday at a price band of ₹815-825, will close on Friday. KIMS Hospitals has raised ₹955 crore from 43 anchor investors ahead of the opening of its maiden IPO. The ₹2,144-crore public issue comprises a fresh issue of equity shares worth up to ₹200 crore and offer-for-sale (OFS) of 2.35 crore shares by its existing promoters and shareholders.
Dodla Dairy IPO, which opened for subscription on Wednesday, was subscribed 1.4 times at the end of Day 1. The IPO comes with a price band of ₹421 to ₹428 a share. It comprises a fresh issue aggregating up to ₹50 crore and an OFS of up to 1.09 crore equity shares, including 92 lakh shares held by TPG Dodla Dairy Holdings Pte. Ltd. Bids can be made for a minimum of 35 shares. Dodla Dairy has raised ₹156 crore from 18 anchor investors at the upper price band of ₹428 per equity share. The firm allocated allocated 36.46 lakh equity shares at the upper price.
The IPO of (BSE-SME) Navoday Enterprises Ltd, a marketing and event management company, closes today. So, far it has been subscribed by 1.68 times. The IPO price has been fixed as ₹20 apiece. The company plans to raise ₹46 crore and the market lot is 6,000 shares. The stock will be listed at BSE-SME. The issue will close on Thursday.
Times Green Energy (India) Limited, a Hyderabad-based company launched its IPO on Wednesday wherein it expects to raise ₹4.05 crore. The company has set an issue price of ₹61 per a share of ₹10 face value. The issue closes on June 22. The issue has so far been subscribed by 0.66 times. Shares will be listed on the BSE-SME platform.
Results corner
Albert David, Aruna Hotels, Basant Agro Tech, Bimetal Bearings, DB Corp, Gyscoal Alloys, Global Vectra Helicorp, HealthCare Global Enterprises, Hindustan Media Ventures, IFB Agro Industries, Indostar Capital Finance, Jammu & Kashmir Bank, Khadim India, Kingfa Science, Nava Bharat Ventures, Natco Pharma, Novartis India, Oceanic Foods, Power Mech Projects, Power Grid Corporation, Royal Orchid Hotels, Siel Financial Services and Tube Investments of India will release quarterly earnings on June 17.