PremiumInflation in the US at the consumer level was 6% in February, which is way above the Fed's target. However, Fed might have trouble increasing the interest rates further as the banking system may already be cracking due to all of its rate increases from the last year.
BSE Sensex closed at 57,900 down by 337 points, and Nifty closed at 17,043 down by 111 points yesterday. On Tuesday, After a flat opening, Nifty traded below 17,090 in the morning trade & after making a day high of 17,224.65 Nifty closed below 200 DMA for the third consecutive day. Intraday traders can look for long opportunities only above the resistance level of 17,130 and if it sustains for 15 minutes. Traders can look for fresh shorts only if nifty breaks the 16,940 level & remains below for 15 min to ensure short.
Post the 4-day slide, the total market valuation of BSE-listed companies stood at ₹256.39 lakh crore at the end of Tuesday, leaving investors poorer by ₹9.85 lakh crore compared to March 8.
GNFC and India Bulls Housing Finance are the two stocks in the F&O ban list for Wednesday trading. (Read More)
Drug major Cipla on Tuesday said it has inked a pact with Africa Capitalworks to sell a 51.18 per cent stake in Uganda-based Cipla Quality Chemical Industries Ltd.
The company and its wholly-owned subsidiaries, Cipla (EU) Ltd and Mauritius-based Meditab Holdings Ltd, have entered into a share purchase agreement with Africa Capitalworks on March 14, Cipla said in a regulatory filing.
Subsequent to the sale, Cipla Quality Chemical Industries (CQCIL) will cease to be a subsidiary of the company, it added.
Consideration to be received by Cipla (EU) Ltd and Meditab Holdings Limited shall be in the range of USD 25-30 million, Cipla noted. (PTI)
The government on Tuesday said that 559 foreign companies ceased operations in the country since 2018.
Meanwhile, as many as 469 foreign companies started operations in the country, according to a written reply by Minister of State for Corporate Affairs Rao Inderjit Singh in the Rajya Sabha.
These figures are from 2018 till March 9 this year.
So far this year, two foreign companies have stopped operations. The number stood at 78 in 2022, 115 (in 2021) and 120 (in 2020). In 2019 and 2018, the number of such companies that stopped operations was 133 and 111, respectively.
A total of 469 foreign companies started operating in India during the given period. (PTI)
Apple Inc. is delaying bonuses for some corporate divisions and expanding a cost-cutting effort, joining Silicon Valley peers in trying to streamline operations during uncertain times, according to people with knowledge of the situation.
The shift will reduce the frequency of bonuses for a portion of Apple’s corporate workforce, said the people, who asked not to be identified because the plan hasn’t been announced publicly. Separately, the company is freezing hiring for more jobs and leaving additional positions open when employees depart.
In the past, Apple typically doled out bonuses and promotions once or twice per year depending on the division. The twice-a-year teams usually saw that happen in April and October. Under the new plan, that group won’t see bonuses or promotions next month, and all divisions will move to an annual schedule — with the payments occurring only in October. (Read More)
Mahindra & Mahindra on Tuesday said its wholly-owned unit Mahindra Bangladesh Pvt Ltd has ceased to exist.
Mahindra Bangladesh Pvt Ltd (MBPL) convened the final extraordinary general meeting of its shareholders on March 14, 2023 and approved the final voluntary winding up, Mahindra & Mahindra (M&M) said in a statement.
Hence, MBPL has been liquidated and has ceased to be in existence with effect from March 14, 2023, it added.
MBPL had zero income from operations as on March 31, 2022.
The net worth of MBPL, as on March 31, 2022 stood at ₹3.18 crore, constituting 0.01 per cent of the consolidated net worth of the Mumbai-based auto major, M&M noted.
Equity and other assets, commodity markets settled on Wednesday as investors around the globe digested the US banking turmoil. Shares in the US and Europe climbed back on Tuesday on softening US inflation data as it offset fears over banking crisis. Bonds and interest rate futures cooled off some of the gains in past few days. Interest rate futures pricing now implies an 80% chance of a 25 basis point U.S. rate hike next week, said a Reuters report. With the latest inflation data and the dust settling on the SVB, Signature Bank closure, experts now foresee slower US Fed hikes.
Here are all the global factors that will drive the Indian market today: (Read More)
Companies defaulting on the regulatory requirement to have at least one woman on their boards are attracting the attention of authorities, two persons aware about the development said. The Companies Act mandates every listed company and every public limited company with paid-up capital of ₹100 crore or more, or sales of ₹300 crore or more, to have at least one woman director. They also have to fill up intermittent vacancy of the woman director diligently.
Several companies, including state-owned ones under the jurisdictions of Registrars of Companies (RoCs) in Delhi, Kanpur and Bihar, have been found to be in default, one of the two people cited above said on the condition of anonymity. Authorities have already taken up the matter with several companies, and in some cases, notices are about to be issued. (Read More)
State-run energy firms, including ONGC Videsh Ltd (OVL), Bharat Petro Resources Ltd, Indian Oil Corp. (IOC) and Oil India Ltd (OIL), are unable to access around $400 million in dividend payments stuck in Russia as Western sanctions have made it harder to transfer money out of the country, three people aware of the development said.
This stuck dividend income is on account of the Indian firms’ stakes in Russia’s CSJC Vankorneft and LLC Taas-Yuryakh.
India has leveraged its “special and privileged strategic partnership" with Russia to acquire stakes in Russian oil and gas projects. OVL, for instance, holds a 26% stake in CSJC Vankorneft, the owner of the Vankor Field and North Vankor license. An Indian consortium comprising Indian Oil Corp., OIL, and Bharat Petro Resources also holds a 23.9% stake in the same venture, with Rosneft’s affiliate RN Vankor operating the field with a 50.1% stake. In addition, a consortium of Indian Oil Corp., OIL, and Bharat Petro Resources holds a 29.9% stake in LLC Taas-Yuryakh. (Read More)
Yamuna Expressway Industrial Development Authority (YEIDA) plans to move the insolvency appellate tribunal NCLAT against NCLT's decision to reject its claims while approving the resolution plan of Suraksha Group to acquire Jaypee Infratech Ltd (JIL).
YEIDA will contest the rejection of its claims for additional compensation payable to the farmers and others, which was rejected by the Principal bench of the National Company Law Tribunal (NCLT) last week while approving the bid of Suraksha Group. (Read More)
The Competition Commission of India (CCI) on Tuesday said that it has approved Reliance Industries Ltd's ₹2,850 crore acquisition of German firm Metro AG's wholesale operations in India.
Reliance Retail Ventures Ltd (RRVL), a subsidiary of the oil-to-telecom conglomerate, signed definitive agreements to acquire a 100 per cent equity stake in Metro Cash & Carry India Pvt Ltd for a total cash consideration of ₹2,850 crore as the conglomerate run by billionaire Mukesh Ambani seeks to strengthen its dominant position in India's mammoth retail sector. (Read More)
Stocks ended broadly higher on Wall Street Tuesday, as some of the most breathtaking moves from a manic Monday reversed course.
The S&P 500 rose 1.7% after a report showed inflation is still high but heading lower. Stocks of smaller and mid-sized banks recovered some of their prior plunges caused by worries that customers could yank out all their cash. Treasury yields soared to trim their historic drops.
The Dow Jones Industrial Average rose 1.1%, while the Nasdaq composite added 2.1%. Gains in technology stocks, banks and communications services companies powered much of the rally.
A week ago, Wall Street was expecting Tuesday’s report on inflation to be the most important data of the week, if not month. The worry at the time was that inflation is staying stubbornly high, which could force the Federal Reserve to pick up the pace again on its hikes to interest rates.
Tuesday’s report showed that inflation at the consumer level was 6% in February, versus a year before. That matched economists’ expectations and was a slowdown from January’s 6.4% inflation rate, but it’s still way above the Fed's target.
In normal times, that could indeed call for an increase in the size of rate hikes. The trouble for the Fed is that it’s also facing a banking system that may already be cracking due to all of its rate increases from the last year, which came at the fastest pace in decades. The second- and third-largest bank failures in U.S. history have both come since Friday. (AP)
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