USDINR CMP- 83.40 (spot) “Indian Rupee depreciated on Wednesday on weak domestic markets and positive tone in the US Dollar. However, overnight decline in crude oil prices and favourable macroeconomic data from India cushioned the downside. India’s CPI inflation declined to 5.55% in November 2023 compared to 4.87% in October 2023. India’s IIP increased by 11.7% in October 2023 compared to 6.2% in September 2023. US Dollar rose today due to weak Pound which fell on disappointing GDP and industrial production data from UK. US CPI declined to 3.1% in November vs 3.2% in October but in line with forecast. Core CPI was steady at 4% and in line with estimates. We expect Rupee to trade with a slight negative bias on strong US Dollar and weak domestic markets. Some foreign outflows, due to profit booking, may also weigh on Rupee. However, weakness in crude oil prices and slower than expected inflation may support Rupee at lower levels. Traders may take cues from FOMC meeting outcome. Investors would look for cues on timing of rate cut in the Fed Chair, Jerome Powell’s speech. USDINR spot price is expected to trade in a range of Rs 83.10 to Rs 83.80,” Anuj Choudhary Research Analyst, Sharekhan by BNP Paribas.

IREDA, Bank of India, HDFC Bank, PFC and Tanla Platforms are among the most active stocks on the NSE.

Shares of the Indian Renewable Energy Development Agency (IREDA) continued their upward movement for the sixth consecutive day, registering a 10% gain on Wednesday, following a surge that triggered a 20% upper circuit on Tuesday.

Also Read : Stock has tripled from its initial public offering (IPO) price of ₹32, reaching an intraday high of Rs 112

The stock price of TVS Srichakra surged 1.12% to Rs 4,582.75 following the news that the TVS Eurogrip, one of India’s leading manufacturers & exporters of two-wheeler, three-wheeler and Off-Highway Tyres, exhibited their latest offerings at EXCON 2023, South Asia’s largest construction equipment exhibition. Globally available TVS Eurogrip’s flagship products for the construction segment were displayed at Hall 4, A11 & A12, Bangalore International Exhibition Centre (BIEC), Bengaluru, the company said in a press release.

Hemalkumar Hiranbhai Sagalia has tendered his resignation from the post of Company Secretary and Compliance Officer of the Company w.e.f. December 13, 2023. The Company has accepted his resignation and a note on the same was placed before the Board of Directors in their Meeting held on December 13, 2023, the company said in a regulatory form. Paras Defence’s stock trades at Rs 731.20 up 4.21%.

Hemen Bhatia has joined as Chief Executive Officer of Angel One Asset Management Company. Hemen Bhatia will spearhead the growth of the Group’s asset management business, highlighting Angel One’s commitment to positively impact a billion lives, through comprehensive financial solutions, the company said in a press release. Angel One stock trades at Rs 2,994.35 down 2.34%.

(Source: NSE)

“India Shelter Finance Corporation is a growing affordable housing finance company with a retail-focused portfolio. It has an extensive and diversified distribution network and a strong risk management system. It is a technology-driven company with a scalable operating model. The financial performance of the company has also been stable. However, there are some industry-specific risks as well, like high capital requirements, interest rate fluctuations, and the risk of nonpayment or default.

The company’s P/BV of 3.48x and P/E of 27.7x reflect a fair valuation that aligns with its growth prospects and risk profile. Consequently, based on its solid fundamentals, attractive valuation, and long-term growth potential, we recommend ‘Subscribe’ rafor the ISFC IPO.”

– Shivani Nyati, Head of Wealth, Swastika Investmart.

“After displaying a range-bound movement with a slight positive inclination in the last few sessions, the Indian stock market entered a phase of profit booking as the Sensex experienced a 250-point decline, with the Nifty dropping below 20,850 today also extending the losing streak from the previous day.

On the weekly expiry day, Bank Nifty observed profit booking due to selling pressure on heavyweight stocks such as HDFC Bank and Axis Bank, causing it to trade below 47,000. The support zone for Bank Nifty is identified at 46,850-47,000, while resistance is situated within the range of 47,225-47,300. Anticipating resistance at higher levels for the day, this is supported by the observation of aggressive Call writing in multiple Call strikes.”

-Shrey Jain, Founder and CEO SAS Online

PI Industries announced no negative impact from capacity additions on its guidance, maintaining an 18-20% growth forecast for FY24. The statement, conveyed in an interview, reflects the company’s confidence in managing expanded production capabilities. PI Industries’ stock trades at Rs 3,433.70 down 1.44%.

The stock price of Cyient rose 1.80% to Rs 2,010 following the news that the company inaugurated the CyientifIQ Experience Center (CEC) in its Hyderabad Campus. The CEC is a remarkable experiential demonstration of 100+ intelligent engineering and technology solutions built in collaboration with 10+ partners, the company said in a press release.

India Shelter Finance IPO opens for public subscription today and will close on Friday, December 15, 2023. The bidding for anchor investors concluded on Tuesday, wherein the company collected Rs 360 crore. The price band for its public issue at Rs 469-493 per equity share of face value Rs 5 each. At the upper end of the price band, the company’s promoters and shareholders seek to raise Rs 1,200 crore from the IPO. Ahead of the public issue, India Shelter Finance shares’ GMP rose 29.41% over the upper end of the share price on offer.

https://www.financialexpress.com/market/ipo-news-india-shelter-finance-opens-for-subscription-gmp-up-29-should-you-subscribe-to-the-issue-3337171/

DOMS Industries IPO opens for public subscription today and will close on Friday, December 15, 2023. The bidding for anchor investors concluded on Tuesday, wherein the company collected Rs 537.75 crore. The price band for its public issue at Rs 750-790 per equity share of face value Rs 10 each. At the upper end of the price band, the company’s promoters and shareholders seek to raise Rs 1,200 crore from the IPO. Ahead of the public issue, DOMS Industries shares’ GMP rose 62.66% over the upper end of the share price on offer.

https://www.financialexpress.com/market/ipo-news-doms-industries-opens-for-subscription-gmp-up-62-should-you-subscribe-to-the-issue-3337180/

(Source: NSE)

NTPC, Eicher Motors, Hero MotoCorp, UltraTech Cement, and Power Grid Corporation of India are leading the gains on the NSE Nifty 50 during early trading on Wednesday.

“India’s inflation jumped to 5.6% year on year in November, came in lower than the consensus estimates of 5.8% with halting a three-month slowdown to 4.9% in October from a peak of 7.4% in July. The pick-up was due to higher food inflation. A lower year-earlier base and shortages of onions and tomatoes due to unseasonal rains likely pushed up vegetable prices. The jump in food prices was driven by temporary factors which we expect to start reversing in January. Industrial production growth jumped to 11.7% year on year in October from a revised 6.2% in September (from 5.8%) against consensus estimate of 10.5%. We don’t see growth surprises creating upward pressure on core prices. Stronger growth is being supported by a capacity boost in manufacturing and increased government spending on infrastructure. These sectors augment the supply side and allow for a higher level of non-inflationary growth. We expect RBI to start cutting rates in April as inflation resumes a downtrend. Also, the focus is likely to shift in 2Q24 to supporting growth as tight monetary conditions start to hurt domestic demand and the external slowdown weakens exports. Todays, inflation numbers yet again confirms the ‘goldilocks’ for the Indian economy, on one hand the economic data is robust, yet the inflation remains subdued. This is Bullish report for Indian stocks in the near term, “said Amit Goel, Co-founder & Chief Global Strategist at Pace 360.

“Nifty weekly contract has highest open interest at 21,000 for Calls and 20,900 for Puts while monthly contracts have highest open interest at 21,000 for Calls and 19,000 for Puts. Highest new OI addition was seen at 21,000 for Calls and 20,500 for Puts in weekly and at 21,000 for Calls and 20,500 for Puts in monthly contracts. FIIs increased their future index long position holdings by 10.74%, decreased future index shorts by 1.99% and in index options by 17.87% increase in Call longs, 7.02% decrease in Call short, 18.84% increase in Put longs and 10.10% decrease in Put shorts,” said Anand James, Chief Market Strategist at Geojit Financial Services.

“The short-term undercurrent of the market is bullish despite the high valuations. The growth momentum in the economy, the sustained buying by DIIs and retail investors, reversal of the FPI strategy from selling to buying and favourable global cues will keep the market resilient. From the global perspective, tonight’s Fed message is important in setting the global market trend. Markets will wait for the Fed chief’s message before taking a decisive turn.

Even though India’s CPI inflation has come higher at 5.55 % in November compared to 4.87% in October, this print is lower than the market expectation of 6%. IIP growth of 11.7% in October indicates continuation of the growth momentum in the economy. Steadily declining Brent crude ( now below $74 ) is strengthening India’s macros. Leading banks, capital goods, cement, oil marketing companies and the leading airline company are on strong wicket.”

– V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

The NSE Nifty 50 opened at 20,929.75 up 0.11%, while BSE Sensex opened at 69,648.56 down 97.53 points.

“The USD/INR 27th December futures contract has been consolidating within a narrow range for an extended period. According to the daily technical chart, the pair is currently trading above its moving average trend-line support at 83.35, and the RSI is holding above the 50-level mark. Despite the positive divergence indicated by the MACD, the pair remains range-bound. On the daily technical chart, the pair finds support in the range of 83.30-83.15, while resistance is established at 83.55-83.70. The pair’s persistent consolidation suggests a lack of decisive movement. In today’s session, it is anticipated that the pair will continue trading within the confines of 83.15-83.70. Traders are advised to closely monitor the levels of 83.30-83.50, as a breakout on either side of this range could provide crucial signals for potential positions. A decisive price breakout could offer further clarity on the future direction of the pair,” said Rahul Kalantri, VP Commodities, Mehta Equities.

“The Bank Nifty index encountered resistance at higher levels, facing selling pressure and struggling to breach the 47,500 mark. The lower-end support for the index is positioned at 46,800, and a decisive break below this level could trigger additional downside movement toward the 46,400 levels. With weekly expiry approaching, heightened volatility is anticipated. Traders are advised to exercise caution and implement strict stop-loss measures on both sides of the market,” said Kunal Shah, Senior Technical & Derivative analyst at LKP Securities.

“In yesterday’s trade, Nifty paused as bulls retreated amid overbought conditions, raising concerns about today’s intraday recovery on Dalal Street. A positive note for Nifty bulls is the 4% drop in WTI crude futures to $68.5 per barrel, while India’s rising retail inflation, especially in food, dampens sentiments. The US November CPI report adds to the caution, impacting Nifty’s outlook. Technically, Nifty faces hurdles at 21,100 levels, with support at 20,721, and Bank Nifty encounters resistance at 47,600 with support at 46,507. The focus turns to the FOMC policy decision and Powell’s comments, shaping market expectations. Nifty Bulls may adopt a hesitant stance, with a suggested trade to buy Nifty between 20,700-20,750 and Bank Nifty between 46,500-46,600. Chart recommendations favour PERSISTENT SYSTEM and MUTHOOT FINANCE, while RELIANCE is suggested as a sell at CMP 2424 based on weakening momentum,” said Prashanth Tapse, Senior VP (Research), Mehta Equities.

The NSE has added India Cements, Balrampur Chini Mills, Delta Corp, Hindustan Copper, Indiabulls Housing Finance, National Aluminium Company, SAIL and Zee Entertainment to its F&O ban list for December 13, 2023.

Foreign institutional investors (FII) purchased shares worth net Rs 76.86 crore, while domestic institutional investors (DII) added shares worth net Rs 1,923.32 crore on December 12, 2023, according to the provisional data available on the NSE.

WTI crude prices are trading at $68.43 down 0.17%, while Brent crude prices are trading at $73.06 down 0.25%, on Wednesday morning.

The US Dollar Index (DXY), which measures the value of the dollar against a basket of six foreign currencies, traded down 0.03% at 103.84.

US stocks closed at fresh highs of the year on Tuesday, after inflation data did little to alter views for the timing of a rate cut by the Federal Reserve, as investors awaited the central bank’s last policy decision of the year on Wednesday, reported Reuters. The tech-heavy Nasdaq Composite advanced 100.91 points or 0.70% to 14,533.40 and the S&P 500 added 21.26 points or 0.46% to 4,643.70. The Dow Jones Industrial Average rose 173.01 points or 0.48% to 36,577.94.