Domestic stocks are likely to see a cautious start to Wednesday’s trade, ahead of a scheduled speech by the US Federal Reserve Chair Jerome Powell, where he could give hints about the pace of future interest rate hikes. Asian markets were trading cautiously in early Wednesday trading. All eyes would be on the Uniparts India IPO. Here’s what you should know before the Opening Bell:
Nifty outlook
Nifty on Tuesday formed a Bullish Belt Hold candle on the daily chart. It has been making higher highs for the last five sessions and supports are gradually shifting higher, said Chandan Taparia of Motilal Oswal Securities. The index needs to hold above 18,500, for an up move towards 18,700 and 18,881, he said. Supports for the index are placed at 18,442 and 18,350, Taparia said.
SGX Nifty signals a flat start
Nifty futures on the Singapore Exchange quoted 11.50 points, or 0.06 per cent, lower at 18,747, hinting at a muted start for the domestic market on Wednesday.
Asian markets sees cautious trade
Asian stocks were trading cautiously in Wednesday’s trade amid China developments, ahead of the US Federal Reserve Chair Jerome Powell speech later in the day. Japan’s Nikkei declined 0.6 per cent, South Korea’s Kospi rose 0.5 per cent while China’s Shanghai Composite was flat. Hong Kong’s Hang Seng and Taiwan’s TWSE rose 0.3 per cent each.
US indices end flat
US stocks settled flat on Tuesday, ahead of an upcoming speech by the US Federal Reserve Chair Jerome Powell that could provide hints about the pace of future interest rate hikes going ahead. Dow Jones Industrial Average rose 0.01 per cent to 33,852.13. S&P500 index declined 0.16 per cent to 3,957.60. Meanwhile, Nasdaq Composite declined 0.59 per cent to 10,983.78.
Oil up on easing China Covid restriction
Oil steadied on Tuesday as gains on hopes for a loosening of China’s strict COVID-19 controls were later offset by concerns that OPEC+ would keep its output unchanged at its upcoming meeting, Reuters reported. Brent crude futures were up 48 cents at $83.67 a barrel. US West Texas Intermediate (WTI) crude futures were 53 cents higher at $77.77.
Corporate actions today
Wednesday will see shares of Milk Food will go ex-dividend today. Shares of Chandra Prabhu International will go ex-split from face value of Rs 10 to Rs 2 each. Dharani Finance will disclose its quarterly results today. Apollo Hospitals Enterprise, Syschem (India) and Eighty Jewellers have board meetings today. The board of Indo Cotspin will consider a proposal of stock split today.
Uniparts India IPO to open today
The Rs 835.61 crore IPO by Uniparts India, a global manufacturer of engineered systems and solutions, is all set to open on Wednesday, November 30. The IPO price band has been fixed at Rs 548-577 apiece. Given the price band, the asking valuation comes in at 14.52-15.29 times FY22 earnings per share. This is against the industry average PE range of 27.36 times. Balkrishna Industries, Bharat Forge and Ramkrishna Forgings are among listed peers of Uniparts India.
Stocks in F&O ban
Shares of BHEL, Delta Corp, Indiabulls Housing and Punjab National Bank are banned in the F&O segment today. Derivative contracts in a security are banned when they cross 95 per cent of the market-wide position limit (MWPL). No new positions can be created in the derivative contracts of said security. This prohibition is lifted when the open interest in the stock drops below 80 per cent of the MWPL across exchanges.
FPIs buy shares worth Rs 1,242 crore
Provisional data available with NSE suggests FPIs were net buyers of domestic stocks to the tune of Rs 1,241.57 crore on Tuesday. Domestic institutional investors (DIIs) were sellers of equities to the tune of Rs 744.42 crore.
Rupee slips 3 paise against dollar
Rupee slipped 3 paise to close at 81.71 against the dollar on Tuesday as rising crude oil prices in the international market weighed on forex market sentiment. However, a firm trend in domestic equities and a weak American currency overseas capped the losses in the local unit, forex traders said. It touched an intra-day high of 81.57 and a low of 81.74 against the greenback.