24/11/2022
*Very Good Morning!!!*
*US Markets in Detail....*
*SGX: 18,300: +46: +0.25%*
Today
*Listing of New Securities of Power Mech Projects Ltd*
1,95,593 equity shares of Rs.10/- each issued at a premium of Rs. 1268.16/- to promoter on a preferential basis pursuant to conversion of loan
*Listing of Securities of SUVEN LIFE SCIENCES LTD.*
7,26,91,239 equity shares of Re. 1/- each issued at a premium of Rs. 54/- on rights basis
IPO
*Listing of Equity Shares of Keystone Realtors Limited*
11,38,77,423 Equity Shares of Rs.10/- each fully paid up… IPO px: Rs. 541/-
Anchor Investors attached
Subscription: QIB: 4.04x; HNI: 3.19x; Retail: 0.55x
*Last heard: Premium Rs. 4/-*
Few More IPOs
*Dharmaj Crops…. Expected upper price band 257*
last heard : Rs. 40 buyers
*Uniparts India Ltd….mostly roadshow on Monday*
*AMBO AGRITECH BSE SME*
Issue size - Rs 10.20 cr; Price - Rs 30/share
Dt - 21/11/2022 to 24/11/2022
*Day 3 subscription: NII: 21.17x; Retail: 78.07x; Total: 49.65x*
*Pritika Engineering Components Limited-NSE SME*
Issue size : ₹9.42 Cr; Price : ₹29
Issue Date : 25-Nov to 30-Nov, 2022
*Baheti Recycling Industries Limited Limited-NSE SME*
Issue size : ₹12.42 Cr; Price : ₹45
Issue Date : 28-Nov to 30-Nov, 2022
*Provisional Cash Rs. In Crs. (23nd Nov)*
FIIs -790 (7,231 – 8,021)
DIIs +414 (6,124 – 5,710)
Sensex: 61,511: +92: +0.15%
Nifty: 18,267: +23: +0.13%
BankNifty: 42,729: +272: +0.64%
NiftyIT: 29,406 (-41) (-0.14%)
MIDCAP: 25,268: +51: +0.20%
Dow: 34,194: +96: +0.28%
S&P: 4,027: +24: +0.59%
Nas: 11,285: +111: +0.99%
Brazil: 108,841 (-195) (-0.18%)
Ftse: 7,465: +12: +0.17%
Dax: 14,428: +5: +0.04%
Cac: 6,679: +22: +0.32%
MOEX: 2,212: +16: +0.72%
WTI Oil: $77.39 (-4.4%)
Brnt: $84.7 (-4.14%)
Natural Gas: 7.31: +7.79%
Gold: $1,765: +10: +0.59%
Silver: $21.76: +2.48%
Copper: $364: +3: +0.80%
Copper (LME): $8,013: +133: +1.68%
Alluminum (LME): $2,429: +50: +2.10%
Zinc (LM): $2,915: +9: +0.29%
Tin (LME): $22,194: +1,035: +4.89%
Eur-$: 1.0395: +0.88%
GBP-$: 1.2053: +1.40%
Jpy-$: 139.58 (-1.17%)
Re: 81.8513: +0.22%
USD-RUB: 60.8 (-0.49%)
US10yr: 3.69%
GIND10YR: 7.291: +0.08%
$ Index: 106.138 (-1.01%)
US Vix: 20.35 (-4.42%)
India Vix: 14.04: +1.45%
BalticDry: 1,149 (-28) (-2.38%)
*ADR/GDR*
Cogni: +1.35%
Infy: +0.83%
Wit (-0.41%)
IciciBk: +0.48%
HdfcBk: +1.06%
DrRdy: +0.54%
TataMo: +0.08%
TatSt (-0.39%)
Axis: +0.74%
SBI: +1.50%
RIGD: +0.16%
INDA (-0.14%) (IShares MSCI INDIA ETF)
INDY (-0.11%) (IShares MSCI INDIA 50 ETF)
EPI (-0.09%) (Wisdom Tree India Earning)
PIN (-0.12%) (Invesco India Etf)
*U.S. stock indexes finished higher for a second day on Wednesday in a choppy session after the latest meeting minutes from the Federal Reserve showed most policy makers expect a slower pace of interest rate hikes will “soon be appropriate”, even if they are uncertain how high the benchmark rate will rise. Treasuries rallied, with the benchmark 10-year yield around 3.69%. Wall Street’s fear gauge, the Cboe Volatility Index, fell to its lowest level in more than three months.*
*Minutes from the Fed’s November meeting signaled that the central bank is seeing progress in its fight against high inflation and is looking to slow the pace of rate hikes, meaning smaller ones through the end of this year and into 2023.*
*Meanwhile, the dollar dropped for a second day as investors assessed a fresh batch of economic data. Business activity in the US continued to contract and separate data showed US unemployment applications rising more than expected, in a sign of cooling in the labor market.*
*Earlier on Wednesday, a mixed bag of economic data led to a drop in yield on the benchmark 10-year Treasury note , helping drive stocks up.*
*The number of Americans filing new claims for unemployment benefits rose more than expected last week and U.S. business activity contracted for a fifth straight month in November. Consumer sentiment ticked higher and home sales rose above expectations*
*U.S. stock exchanges will be closed for Thanksgiving Day on Thursday, Nov. 24, and reopen the next day only for a shortened session on Black Friday, the annual end-of-year shopping event, with trading ending at 1 p.m. Eastern on Nov. 25.*
Stocks finished higher on Tuesday, with the S&P 500 closing up 53.64 points, or 1.4%, to 4,003.58, the Dow industrials gaining 397.82 points, or 1.2%, to close at 34,098.10. The Nasdaq Composite advanced 149.89 points, or 1.4%, to close at 11,174.40.
Trading volume was thin ahead of the Thanksgiving holiday on Thursday, with the U.S. stock market open for a half-session on Friday.
*Volume on U.S. exchanges was 9.25 billion shares, compared with the 11.6 billion average for the full session over the last 20 trading days.*
*What drove markets?*
*November’s Federal Reserve meeting minutes revealed that it would soon be time to slow the pace of interest-rate increases, but FOMC officials were still unsure how much further the benchmark rate will go up. The Fed hiked its policy rate by 75 basis points to a range of 3.75% to 4% at its meeting earlier this month.*
*The central bank’s staff for the first time said a recession will be possible in the next year with some saying there is an increasing risk that the Fed’s actions “would exceed what was required” to bring inflation down to acceptable levels, according to the minutes.*
*U.S. Treasury yields fell after the minutes were published. The yield on the 2-year Treasury note TMUBMUSD02Y, 4.521% fell 3.6 basis points to 4.481% from 4.517% on Tuesday, while the yield on the 10-year Treasury note TMUBMUSD10Y, 3.759% slipped to 3.708%. The U.S. dollar index a measure of the currency against a basket of six major rivals, dropped nearly 1.1% to 106.07.*
What I think you're seeing is renewed investor enthusiasm fueled by those who see that beautiful light at the end of what has been a very dark tunnel. And there has been so much money on the sidelines that is rushing back into the markets and waiting to get back into the action
*Several Fed officials backed the need to moderate the pace of rate hikes, the central bank’s Nov. 1-2 meeting minutes show. Only a small number of these officials underscored the need for a higher terminal rate. Since the Fed’s latest meeting, investors have parsed a bevy of economic data that somewhat eased inflation concerns, further strengthening the case for smaller rate hikes. “The minutes were dovish as they recognized a softening in consumer demand and tightening international economic and financial conditions*
Still, some investors think that the meeting minutes didn’t convey anything new and that markets may be overreacting to the perceived shift in tone.
*The minutes said that hikes can be smaller than 75bps but also that the terminal rate will need to be higher than previously thought -- which also is pretty much what everyone at the Fed has been signaling anyway*
“There wasn’t a lot of new information. Policy makers appear set to slow the pace of rate hikes. This mirrors comments from Fed officials since the last meeting and is consistent with our forecast for a 50 basis point rate hike in December.”
Despite Wednesday’s economic data suggesting U.S. economic growth is slowing, investor sentiment looks to be improving.
The FOMC has been keen to stress that the fight against inflation is not over yet and we expect rate rises to continue well into 2023, but the slowing of the pace of the hikes will add fuel to increasing market excitement. With stock markets being forward-focused, these minutes will set the mood until the end of 2022.
*The Federal Reserve meets next on Dec. 13 and 14. Traders widely expect a 50-basis-point hike at the next meeting, with some betting on a 24% chance of a 75 basis points hike, according to CME Group’s FedWatch Tool.*
*Earlier, in U.S. economic data, U.S. durable-goods orders rose 1% in October while jobless benefit claims rose 17,000 to 240,000 in the latest week, the highest level since August.*
*Meanwhile, the S&P Global flash U.S. services purchasing managers indexes in November dropped to 46.1 from 47.8. S&P Global flash U.S. manufacturing purchasing managers indexes in November fell to 47.6 from 50.7. Any number below 50 reflects a contracting economy. The University of Michigan’s final November consumer sentiment index fell in November to 56.8 and remained depressed, reflecting concerns about high inflation and the increasing possibility of a recession.*
*U.S. new home sales advanced 7.5% to a seasonally-adjusted annual rate of 632,000 in October from a revised 588,000 in the prior month, the Commerce Department reported Wednesday.*
*Elsewhere, oil prices -4.32% were modestly lower, while natural-gas futures climbed 7.2% to $7.269 per million British thermal units, with European natural-gas futures also surging after Russian energy giant Gazprom threatened to cut deliveries through a Ukraine pipeline to Europe. Markets are also waiting on news of an agreement between the U.S. and its allies over a price cap on Russian oil.*
*European markets closed higher on Wednesday as investors digested euro zone economic data and awaited the U.S. Federal Reserve’s latest meeting minutes.*
*European investors were also inspecting Wednesday’s flash November PMI (purchasing managers’ index) readings from the euro zone, which reaffirmed that the 19-member currency bloc has entered recession, but showed the downturn in business slowing slightly.*
Despite recent gloomy economic data, low consumer confidence and the increasing cost of living in Europe, markets have brightened following a lower-than-expected U.S. inflation reading anticipating a slower pace of interest rate hikes.
Meanwhile, Purchasing Managers’ Index figures for the euro zone published Wednesday improved slightly from the prior month.
In the U.K., the composite index was little changed at 48.3 in November from 48.2 in October.
*Goldman Sachs: Energy crisis will push euro zone into ‘shallow’ recession. However, he adds that the region is “roughly” at peak inflation, with price rises expected to fall closer to 3% next year.*
*Credit Suisse shares fell more than 5% on Wednesday after the embattled Swiss lender projected a 1.5 billion Swiss franc ($1.6 billion) loss in the fourth quarter and flagged further net outflows from its wealth management division.*
*Companies in focus*
• *Nordstrom finished 4.2% lower* on Wednesday after the retailer swung to a surprise quarterly loss and joined other stores in reporting lower sales, saying it was “right-sizing” its inventory. However, Nordstrom beat profit and sales expectations in its latest results, according to consensus expectations.
• *Deere rose 5%* toward a seven-month high after the agriculture, construction and forestry equipment maker reported fiscal fourth-quarter sales that were well above expectations, and provided an upbeat full-year outlook.
• *Citigroup stock dropped 2.2%* after the bank was told it must address weaknesses in its management of financial data by U.S. banking regulators.
• *Manchester United’s stock jumped 25.8%* on Wednesday after the club’s owners confirmed they are exploring potential financial investment or an outright sale of the storied Premier League club.
• *HP Inc. shares finished 1.8%* lower after the company’s executives on Tuesday announced plans to cut up to 10% of their workforce in the coming years while issuing weaker-than-expected earnings guidance.
• *Credit Suisse shares fell 6.1%* after the bank’s shareholders overwhelmingly approved a plan to raise 4 billion francs ($4.2 billion) on Wednesday. In two votes, shareholders backed a plan for a private placement as well as a rights offering of discounted shares.
• *Tesla Inc jumped 7.82%* with Citigroup upgrading the electric-vehicle maker's stock to "neutral" from a "sell" rating.
*Key events this week:*
# ECB publishes account of its October policy meeting, Thursday
# US stock and bond markets are closed for the Thanksgiving holiday, Thursday
# US stock and bond markets close early, Friday
*Currencies*
# The Bloomberg Dollar Spot Index fell 0.8%
# The euro rose 1% to $1.0402
# The British pound rose 1.5% to $1.2065
# The Japanese yen rose 1.2% to 139.50 per dollar
*Cryptocurrencies*
# Bitcoin rose 2.9% to $16,594.92
# Ether rose 3.9% to $1,173.48
*Bonds*
# The yield on 10-year Treasuries declined six basis points to 3.69%
# Germany’s 10-year yield declined five basis points to 1.93%
# Britain’s 10-year yield declined 13 basis points to 3.01%
*Commodities*
# West Texas Intermediate crude fell 4.3% to $77.44 a barrel
# Gold futures rose 0.7% to $1,766.50 an ounce
N.B.: The above information is sourced from the various sites on the internet
