Before the trading day begins, learn about the number of factors that may influence share prices and the trading climate in stock markets.
Important developments across the globe, the current situation of global markets, sentiments, and the overall news related to stocks or companies are some of the key indicators that you need to consider before investing in the stock market.
Also, the views of brokerages on select stocks and buy/hold/sell recommendations with target prices play a significant role in determining how the markets are going to perform.
Dollar Index: The Dollar Index (DXY) has hit four-day highs as the market broke above the 98.38 level. The Dollar Index was at 98.418 after its recovery from lows below 98. US Dollar is trading higher against a basket of currencies.
Asian Markets: Asian stocks opened higher with analysts awaiting positive signals from Beijing on US-China trade. China said it wants ‘calm’ trade resolution with the US.
US Markets: Technology stocks boosted the Wall Street as China signalled pause in trade retaliation. Dow closed over 300 points higher, up 1.3 per cent; S&P 500 gained 1.3 per cent and Nasdaq advanced 1.5 per cent. All the 11 major S&P 500 sectors were in the black.
European Markets: European stocks closed higher after trimming gains slightly during the afternoon session. The pan-European Stoxx 600 pared losses to end the session more than 1 per cent higher.
Crude: Crude oil prices rose on firm global cues. Rise in crude oil futures was largely in tandem with a firm trend in the global market. Brent was trading at $61/bbl while WTI was up 1.7 per cent at $56.71/bbl. US weekly crude production rose 200,000 barrels per day (bpd) to a new record at 12.5 million bpd in the week to August 23.
STOCKS IN NEWS
ICRA: The rating agency has terminated the employment of its CEO & MD Naresh Takkar. The termination was done after due consideration for best interests of company. Interim COO Vipul Agarwal will be responsible for the day-to-day operations until the next CEO is appointed.
HDFC/Gruh Finance: HDFC will offload 9.2 per cent in Gruh Finance through block deals today. HDFC will sell around 6.7 crore shares of Gruh Finance in the price range of Rs 243-250 per share.
Adani Green Energy/Essel Group Companies: Adani Green Energy has inked pact with the Essel Group to acquire 205 MW solar assets, at an enterprise valuation of around Rs 1,300 crore. The assets are located in Punjab, Karnataka and Uttar Pradesh. The deal is expected to close by the end of September.
HCL Technologies: US lawsuits related to opioid pain killers could hurt Cognizant and HCL Tech, an Economic Times report said. The IT services companies face hurdles due to possible client bankruptcies or cut in spending .
DHFL: DHFL lenders are planning to put loans to builders in SPVs, according to an Economic Times report. These SPVs could also work like pooled entities such as AIFs. Around Rs 32,000 crore of loans may be transferred to the SPVs. The lenders are currently evaluating the ownership structure of the SPVs.
United Bank Of India: The lender has launched housing and car loan schemes with pricing linked to the repo rate. The move is intended to ensure quicker transmission of policy rate changes.
Grasim: The company’s board has approved the increase in limits for issue of NCDs of up to Rs 2,500 crore.
Wipro: The company could expand partnership with Google to drive digital transformation for enterprises.
HDFC Bank: The lender will sell entire stake in GST Network for Rs 1 crore to 13 state governments.
Ramco Cements: The company said the market is conducive to raise cement prices. The company’s capacity utilisation is at 90 per cent at present. It is aiming for a revenue of Rs 7,500 crore in FY21. The capacity will touch 20 million tonne by 2020 against 12.5 million tonne now.
LIC Housing Finance: Siddhartha Mohanty has been reappointed as the MD & CEO of LIC Housing Finance.
PNC Infra: The company has bagged a national highway EPC project of Rs 1,062 crore. The construction of the project will be completed in 36 months.
Premier Explosives: The company has received the license for manufacturing solid propellant at its Katepally facility. The new license will enable manufacturing of solid propellants of larger size at its greenfield project.
SBI Life Insurance: UBS maintains 'buy'; hikes target price to Rs 980 per share, from Rs 860.
Bharat Electronics: UBS maintains 'sell'; target price at Rs 89 per share.
SBI: Morgan Stanley maintains 'overweight'; cuts target price to Rs 330 per share, from Rs 390.
Axis Bank: Morgan Stanley maintains 'overweight'; cuts target price to Rs 975 per share.
Reliance Industries: Morgan Stanley maintains 'overweight'; target price at Rs 1,349 per share.
Dr. Reddy's: CLSA maintains 'buy; cuts target price to Rs 3,200 per share, from Rs 3,330.
Maruti Suzuki India: Citi maintains 'buy'; target price at Rs 7,400 per share.