The Week Ahead (Mar 19-23): It's raining IPOs on Dalal Street
Tracking global cues, Indian market closed with losses for the week. Key indices – Sensex closed down 0.4%, Nifty down 0.3%, Bank Nifty by 0.7%. Cut in BSE Midcap and BSE Smallcaps was the most with 1.4% and 1.5% respectively.
Coal India -8.5%, TCS -6.7% & IOC -4% were among the biggest Nifty losers for the week.
US - EU meet on tariffs
According to Reuters report US Commerce Secretary Wilbur Ross and European Trade Commissioner Cecilia Malmstrom will meet this week to discuss and resolve a deepening dispute over trade tariffs. Earlier on Malmstrom met the US Trade Representative Robert Lighthizer in Brussels.
US has announced import duties of 25% on steel and 10% on aluminum.
US Fed meets for the first time under the Chairmanship of Jerome Powell on Tuesday-Wednesday. It is widely expected that Fed may hike rates on Wednesday. Recently retired Fed Chairperson Janet Yellen kept rates unchanged in the January-February meeting but hinted that Fed may hike rates thrice in 2018. Chances are that Fed may hike rates 4 times if economic indicators are favourable.
Bank of England meet
Bank of England will meet on Thursday and is widely expected to keep rates unchanged. BoE will wait for more certainty and favourable economic indicators, may hike rates in the month of May.
IPOs this week
It's raining IPOs on Dalal Street. As many as three companies will float their initial share sale this week. Gurgoan based Auto component maker Sandhar Technologies' IPO will hit the Street on Monday-Friday. Company aims to raise over Rs 500 cr with a price band of Rs 327-332/share.
Government owned steel maker Mishra Dhatu Nigam (MIDHANI)'s IPO will open March 21-23, company is looking to raise Rs 438 cr with a price band of Rs 87-90/share.
The next company from ICICI Bank's stable to go public is ICICI Securites. It's IPO will open from March 22-26.The company aims to raise nearly Rs 4,000 cr, price band set at Rs 519-Rs 520/share.
Race for ABG Shipyard
There is a new twist in bids for ABG Shipyard with yet another extension. The date to express interest for ABG Shipyard has been extended to March 20. The date for resolution plan for ABG Shipyard too has been extended to March 26. The move comes in as only 1 bidder emerged.
Rajya Sabha Election
Polling for 58 Rajya Sabha seats is scheduled for March 23. The counting of votes will also take place on the same day. With barely a year left in the current Lok Sabha, the changed Rajya Sabha numbers will have more impact in the first couple of years of the next Lok Sabha.
Nearly a third of the members of the 245-seat Rajya Sabha retire every two years. The changed numbers would determine the complexion of the House until April 2020.