:::LALKAR GROUP::::

The domestic stocks clawed their way back on Thursday, ending slightly higher after a volatile session. Despite weekly options expiry shaking things up, the Nifty 50 managed to stay above 23,550. The action was sector-specific, with investors favoring realty, metals and private banks while taking profits in pharmaceuticals, autos and state-owned lenders. This highlights the ongoing trend of rotation, with money moving into undervalued large caps and out of previously hot counters. Even the broader market, which has been on a tear, seems to be taking a breather.

In the barometer index, the S&P BSE Sensex was up 141.34 points or 0.18% to 77,478.93. The Nifty 50 index rose 51 points or 0.22% to 23,567.

ICICI Bank (up 1.05%), Reliance Industries (up 1%) and HDFC Bank (up 0.66%) were major index movers.

The broader market outperformed the headline indices. The S&P BSE Mid-Cap index added 0.55% and the S&P BSE Small-Cap index gained 1%.

The market breadth was positive. On the BSE, 2254 shares rose and 1612 shares fell. A total of 115 shares were unchanged.

The NSE's India VIX, a gauge of market's expectation of volatility over the near term, declined 2.68% to 13.35.

Economy:

The government announced an increase in Minimum Support Prices (MSP) for all 14 kharif crops for the 2024-25 season (July-June). This hike is expected to put an additional Rs 35,000 crore in the hands of farmers, bringing the total MSP payout to around Rs 2 lakh crore.

Meanwhile, the Reserve Bank of India (RBI) projects continued economic momentum in the April-June quarter, driven by rising private consumption and strengthening manufacturing and services sectors.

Numbers to Track:

The yield on India's 10-year benchmark federal paper rose 0.06% to 6.979 as compared with previous close 6.974.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 83.6325, compared with its close of 83.4400 during the previous trading session.

MCX Gold futures for 5 June 2024 settlement was up 0.41% to Rs 72,027.

The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was up 0.17% to 105.44.

The United States 10-year bond yield gained 2.55% to 4.257.

In the commodities market, Brent crude for August 2024 settlement lost 6 cents or 0.07% to $85.27 a barrel.

Global Markets:

Shares in Europe advanced while Asian stocks ended mixed on Thursday, awaiting further U.S. policy signals. Sterling held steady ahead of a Bank of England meeting, where interest rates are likely to remain unchanged.

The Bank of England (BoE) decided to hold interest rates at a 16-year high of 5.25% despite some members advocating for a cut. This decision comes ahead of the July 4th election.

Meanwhile, the Swiss National Bank (SNB) cut its key interest rate by 25 basis points to 1.25% on Thursday, June 20th, 2024. This marks the central bank's second interest rate reduction this year. Inflation in Switzerland expected to hold steady around 1.4% for 2024.

China, as expected, kept benchmark lending rates steady despite a sluggish economy.

IPO Update:

The initial public offer (IPO) of DEE Development Engineers received 13,42,84,887 bids for shares as against 1,49,44,944 shares on offer, according to stock exchange data at 17:00 IST on Thursday (20 June 2024). The issue was subscribed 8.99 times.

The issue opened for bidding on Wednesday (19 June 2024) and it will close on Friday (21 June 2024). The price band of the IPO is fixed between Rs 193 to Rs 203 per share. An investor can bid for a minimum of 73 equity shares and in multiples thereof.

Akme Fintrade (India)'s IPO received 9,13,08,500 bids for shares as against 78,65,000 shares on offer, according to stock exchange data at 17:00 IST on Thursday (20 June 2024). The issue was subscribed 11.61 times.

The issue opened for bidding on Wednesday (19 June 2024) and it will close on Friday (21 June 2024). The price band of the IPO is fixed between Rs 114 to Rs 120 per share. An investor can bid for a minimum of 125 equity shares and in multiples thereof.

Stocks in Spotlight:

Vedanta rallied 4.86% after the mining company?s board has considered and approved fund raising of Rs 1,000 crore by issuing non-convertible debentures (NCDs) on private placement basis.

Tata Communications rose 1.83% after the company announced that it has secured a five-year $250 million sustainability-linked loan (SLL) from ANZ, DBS Bank and Export Development Canada (EDC).

Gokaldas Exports jumped 4.10% after the company announced its decision to invest about Rs 350 crore in BRFL Textiles, one of the largest single-location fabric processing companies in India, by subscribing optionally convertible debentures. The funds will primarily be utilised to meet the working capital needs, with a smaller portion going towards capex requirements.

Sapphire Foods India gained 1.25% after the company announced that its board has approved 5-for-1 stock split.

Awfis Space Solutions advanced 1.12% after the company reported consolidated net profit of Rs 1.37 crore in Q4 FY24 as compared with net loss of Rs 13.85 crore posted in corresponding quarter last year.

Indian Oil Corporation added 1.29% after the company said that it is partnering with GPS Renewables to create a new joint venture focused on biofuels.

Bondada Engineering hit an upper circuit of 5% after the company received work order from Goldi Solar aggregating to Rs 14.65 crore.

GMR Power and Urban Infra hit an upper circuit of 5% after the firm?s subsidiary, GMR Smart Electricity Distribution (GSEDL) has entered into an arrangement with Bosch Global Software Technologies (BGSW) for the smart meter projects.

Best Agrolife soared 14.63% after the company?s subsidiary secured new insecticide license. Their company, Seedlings India, is developing Namagen, a powerful 3-in-1 insecticide targeting various pests.

Tanfac Industries zoomed 8.9% after the company announced the signing of a framework agreement worth revenue of $81 million (Rs 675 crore) over next 5 years with one of the leading Japanese Specialty Chemical company.

Railtel Corporation of India advanced 1.8% after the public sector enterprise announced that it has received a work order from South Central Railway for telecomminucation works, aggregating to Rs 20.22 crore.

Brigade Enterprises added 1.6% after the company announced that it has signed a land lease agreement to develop a third World Trade Center (WTC) tower at Infopark Kochi.