Broader mkt outperforms, European shares open higher

The headline equity indices traded with minor cuts in afternoon trade. The Nifty managed to hold above the 20,050 mark. Healthcare, pharma and consumer durables shares advanced while banking, IT and financial services stocks declined. Trading was volatile due to November F&O series expires today.

At 13:30 IST, the barometer index, the S&P BSE Sensex, was down 124.47 points or 0.19% to 66,777.44. The Nifty 50 index lost 24.65 points or 0.12% to 20,071.95.

The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index gained 0.36% while the S&P BSE Small-Cap index advanced 0.50%.

The market breadth was positive. On the BSE, 1,797 shares rose, and 1,836 shares fell. A total of 159 shares were unchanged.

Market valuation of BSE-listed companies crossed a record $4 trillion for the first time on November 29, on the back of positive market sentiment in Indian equities. FIIs turning buyers for five days in a row and DIIs buying aggressively have aided this strong trend. However, this rally has stretched the valuations of domestic equities significantly, pushing India�s market cap GDP ratio to 1.2.

Economy:

Union Cabinet approved extension of the PM Garib Kalyan Anna Yojana for another five years from January 1, 2024, with an estimated cost of Rs 11.8 lakh crore. The scheme was last extended till December 31, 2023.

Indian economy is likely to slow down further to 6.1% in FY25 compared with 6.3% projected in FY24 as global growth remains subdued, the OECD reportedly noted in its latest economic outlook.

New Listing:

Shares of Tata Technologies were currently trading at Rs 1,332.30 at 13:27IST on the BSE, representing a premium of 166.46% as compared with the issue price of Rs 500.

The scrip was listed at Rs 1,199.95, exhibiting a premium of 140% to the issue price. So far, the stock has hit a high of 1,400 and a low of 1199.95. On the BSE, over 25.08 lakh shares of the company were traded in the counter so far.

Shares of Gandhar Oil Refinery (India) were currently trading at Rs 307.55 at 13:28 IST on the BSE, representing a premium of 81.98% as compared with the issue price of Rs 169.

The scrip was listed at Rs 295.40, exhibiting a premium of 74.79% to the issue price. So far, the stock has hit a high of 344.60 and a low of 295.40. On the BSE, over 20.20 lakh shares of the company were traded in the counter so far.

Shares of Fedbank Financial Services were currently trading at Rs 146.40 at 10:09 IST on the BSE, representing a premium of 4.57 % as compared with the issue price of Rs 140.

The scrip was listed at Rs 137.75, exhibiting a discount of 1.61% to the issue price. So far, the stock has hit a high of 148 and a low of 133.15. On the BSE, over 14.44 lakh shares of the company were traded in the counter so far.

Gainers & Losers:

SBI Life Insurance Company (up 2.35%), UltraTech Cement (up 2.16%), Hero MotoCorp (up 2.03%), Eicher Motors (up 1.90%) and Mahindra & Mahindra (up 1.79%) were major Nifty gainers.

Adani Enterprises (down 2.06%), Tata Motors (down 1.08%), IndusInd Bank (down 1.02%), Adani Port and Special Economic Zone (down 0.74%) and Tech Mahindra (down 0.32%) were major Nifty losers.

UltraTech Cement rose 2.16%after the company has acquired a 0.54 mtpa cement grinding assets of Burnpur Cement, located at Patratu in Jharkhand at a consideration of Rs.169.79 crore. The company�s capacity in India now stands at 133 mtpa.

Stocks in Spotlight:

Metro Brands rallied 4.10% and FSN E-Commerce Ventures advanced 2.88% after the Foot Locker, Inc., the New York-based specialty athletic retailer, announced the signing of a long-term licensing agreement with both the companies. This partnership will offer the most comprehensive selection of global sportswear and footwear to sneaker fans in India.

Jupiter Wagons added 0.34%. The company�s board has authorised the opening of the issue for qualified institutions placement (QIP) of equity shares on Wednesday, i.e. 29 November 2023. The board has approved a floor price of Rs. 331.34 for the issue, which is at 2.42% discount to yesterday�s closing price of Rs 339.55. The company�s board will meet on 4 December 2023 to consider and determine the issue price for the equity shares to be allotted to qualified institutional buyers pursuant to the issue.

PCBL gained 2.68%. The company received board approval for entering into a joint venture with Australian company Kinaltek Pty (Kinaltek), for expansion into the battery application market.

Aurobindo Pharma rose 1.55%. The company�s wholly owned subsidiary, Eugia Pharma Specialities received final approval from the US Food & Drug Administration (USFDA) to manufacture and market Budesonide Inhalation Suspension.

Global Markets:

Markets in Europe and Asia advanced on Thursday ahead of key economic data from the region. China�s factory activity shrank for a second straight month in November. The official manufacturing purchasing managers� index fell slightly to 49.4 in November from 49.5 in October, according to data from the National Bureau of Statistics released Thursday.

Retail sales rose in Japan, but at the slowest pace so far this year, while industrial output during the same month increased more than expected. Official data showed Japan retail sales rose 4.2% last month. Japan�s factory output gained 1.0% in October.

South Korea�s central bank held its benchmark policy rate at 3.5% for the seventh meeting in a row, in line with expectations. In its announcement, the Bank of Korea said that �although inflation has been elevated than previously expected, it is projected to continue its underlying trend of a slowdown.�

US stocks remained near the flat line on Wednesday, even as the U.S. economy grew more than expected. GDP in the third quarter accelerated at a 5.2% annualized pace, above the initial estimate of 4.9%.

Investors will focus on the Fed`s preferred measure of inflation on Thursday and Euro Zone consumer inflation figures for further clarity on the where inflation is headed. Fed Chair Jerome Powell is due to speak on Friday. His words will be scrutinized by traders to gauge where rates may head.

Oil prices settled more than 1% higher on Wednesday as futures contracts gain momentum ahead of key OPEC meeting on Thursday. OPEC and its allies, OPEC+, are set to hold a virtual meeting on production cuts.

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