01/07/2024
From Advisory Desk 1st July 2024
Market Outlook: US equity market ended lower on Friday as political uncertainty from the presidential debate overshadowed easing inflation data. Long-dated bond yields rose sharply despite favorable inflation data, driven by political concerns. Indian market could open flat, largely in line with Asian markets and US futures. On the domestic front, Nifty witnessed profit booking after reaching a new high on Friday and closed slightly lower. FIIs continued to add long positions in index futures, increasing their index long positions to 83%. Overall, the positive trend remains intact, and traders are advised to trade with a buy on dips approach. Auto stocks will be in focus ahead of monthly sales data. Today being the Bankex's weekly expiry, we expect the range to be 59100/59400-59900/60100.
Actionable: Buy Cochin Shipyard, Apollo Tyres, IREDA.
Global market:
DOW: -45
GIFT NIFTY : +8 (prev. close 24120)
NIFTY 50 : 24010
SENSEX : 79032
Institution:
FII: -23 Cr
DII: +6658 Cr
BSE:
Advances: 2133 / Declines: 1768
Currency:
Dollar: $ 83.38
Dollar Index: 105.62
Commodity:
Gold: $ 2326 per ounce
Crude: $ 85.38 per barrel
Bonds:
10 year US bond rate: 4.4
10 year Indian Bond rate: 7.01
Derivative:
PCR: 0.99
VIX: 13.
Updates:
Bharat Electronics Ltd: Company has announced that it has finalized a contract valued at Rs.3,172 crore with Armoured Vehicles Nigam Ltd. (AVNL).
Cochin Shipyard : Udupi Cochin Shipyard Ltd., a wholly-owned subsidiary, has entered into a contract with Wilson ASA of Norway for designing and building four Dry Cargo Vessels with a capacity of 6,300 TDW each. Additionally, an agreement has been reached for four more vessels of similar specifications, which are expected to be formally contracted by September 19 this year. The total cost for all eight vessels is estimated at Rs.1,100 crore, and Cochin Shipyard aims to complete this order by September 2028.
IREDA: The company has announced a strong Q1 business update, with loan sanctions at Rs.9,136 crore, up from Rs.1,893 crore year-on-year, and loan disbursements increasing by 67.6% to Rs.5,320 crore from Rs.3,174 crore year-on-year.
JSW Energy : JSW Neo Energy, a fully owned subsidiary of the company, has been awarded a contract by SJVN for developing 300 MW of wind-solar hybrid power projects. This is part of a larger initiative to set up 1,500 MW of Inter-State Transmission System (ISTS) connected wind-solar hybrid power projects (Hybrid-2).
Vodafone Idea : The company has increased tariffs for its pre-paid and post-paid customers from July 4, 2024. Tariffs hiked across pre-paid and post-paid plans by 10% to 21%. To invest in enhancing 4G experience and launch 5G services over the next few quarters.
Bank of Baroda : The lender has received a demand order amounting to Rs.1,067.82 crore from the Income Tax Department for the Assessment Year 2017-18. Additionally, the bank announced that its board of directors will convene on July 5 to discuss the Capital Plan for FY 2024-25, focusing on raising funds through additional Tier 1 and Tier 2 debt capital instruments, including an interchangeability option.
Godrej Properties: The company has secured leasehold rights for an 11-acre land parcel in Pune, which has a potential development area of 2.2 million square feet and an estimated revenue potential of Rs.1,800 crore. The development plans for this land primarily include group housing and high street retail. Additionally, the company has acquired 7 acres of land in North Bengaluru outright. This site is earmarked for a high-end residential project, with a potential development area of 9 lakh square feet and an estimated revenue potential of Rs.1,200 crore.
Securities In Ban: INDIACEM, INDUSTOWER.
Derivative View: On weekly front, Maximum Call OI is at 24200 then 24000 strike while Maximum Put OI is at 24000 then 23800 strike. Option data suggests an immediate trading range in between 23700 to 24000 zones.
