Brokers watch their screens during trading hours inside a dealing room at a bank in Mumbai, India. (Photographer: Abhijit Bhatlekar/Bloomberg News)

All You Need To Know Going Into Trade On March 6

Asian stocks traded mixed Wednesday after their U.S. peers struggled to make headway in the absence of market-moving catalysts.

Japanese and Korean shares slipped, while stocks in Australia posted modest gains, after the S&P 500 Index closed little changed. The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, rose 0.16 percent to 11,051 as of 7:05 a.m.

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Here’s a quick look at all that could influence equities today.

U.S. Market Check

  • U.S. stocks edged lower as investors struggled to find inspiration after a torrid start to the year.
  • The yield on 10-year Treasuries held at 2.72 percent.

Also read: Tariff-Man Trump to Preside Over $100 Billion Jump in Trade Gap

Asian Cues

  • Japan’s Topix index fell 0.3 percent.
  • Futures on the S&P 500 slid 0.2 percent.
  • Australia’s S&P/ASX 200 Index added 0.5 percent.
  • South Korea’s Kospi dipped 0.1 percent.
  • Hang Seng futures rose 0.3 percent.

Also read: Trump Presses India on Trade as U.S. Seeks Its Help on China

Commodity Cues

  • Brent crude ended 0.76 percent lower $65.36 per barrel.
  • West Texas Intermediate crude fell 0.7 percent to $56.16 a barrel.
  • Gold added less than 0.1 percent to $1,288.21 an ounce.

Also read: Oil Slides After Industry Report Shows Big U.S. Stockpile Build

London Metal Exchange

  • Nickel ended higher for the third consecutive trading session, up 2.9 percent.
  • Aluminium ended 0.05 percent lower.
  • Copper ended 1.1 percent higher.
  • Lead ended lower for the third consecutive trading session, down 0.57 percent.
  • Zinc ended 1.05 percent lower.
  • Tin ended 0.54 percent higher.

Key Events To Watch This Week

  • Bank of Canada Governor is expected to keep rates on hold Wednesday due to lingering uncertainty on housing and investment, while sticking to his message that borrowing costs eventually need to head higher.
  • European Central Bank policy makers are expected to leave rates unchanged amid a deteriorating outlook. President Mario Draghi will hold a news conference on Thursday after the decision.
  • The U.S. jobs report Friday may show hiring moderated in February. Nonfarm payrolls may have increased by 185,000 while the jobless rate fell to 3.9 percent, according to estimates.

Indian ADRs

All You Need To Know Going Into Trade On March 6

Stocks To Watch

  • Endurance Technologies’ promoter said it will sell 63.6 lakh equity shares or 4.52 percent equity with greenshoe option of additional 41.9 lakh equity shares or 2.98 percent equity to non-retail investors on March 6 and retail investors on March 7. The floor price for the offer for sale is set at Rs 1,100 – a discount of 12.6 percent.
  • Edelweiss Financial Services: CDPQ to invest over Rs 1,800 crore into ECL Finance, the NBFC arm of Edelweiss.
  • HCC promoter pledged additional 78.16 lakh equity shares or 0.52 percent equity with IDBI Trusteeship.
  • Blue Star’s B Thiagarajan was elevated to the position of Managing Director with effect from April 1, 2019. He earlier served as the Joint MD of the company.
  • GATI Lenders invoked 26,000 shares pledged by promoters on Feb. 28.
  • Bank of Maharashtra: RBI levied a penalty of Rs 2 crore delayed implementation of SWIFT related operational controls.
  • Five banks faced a total penalty of Rs 10 crore from the Reserve Bank for non-compliance with various directions. Bank of Baroda, ICICI Bank, Yes Bank and Canara Bank have been penalised by the central bank for not complying with directions on global transaction messaging software Swift. Allahabad Bank was fined for non-compliance of directions with regard to Nostro accounts.
  • Indian Energy Exchange: On an all-India basis, the energy supplied in February 2019 at 95 BU (billion units) registered marginal increase of 3 percent from 92 BU compared to last year. The electricity market at IEX traded 2,879 MU (million units) in February registering a decline of 15 percent over 3,343 MU last year.
  • Sun Pharma: Raksha Valia on a net basis pledged additional 95.6 lakh equity shares with Citicorp. Shanghvi Finance released pledge on 11.7 lakh equity shares.
  • Grasim Industries signed definitive agreement with Soktas India Pvt Ltd. for an enterprise value of Rs 165 crore. SIPL is in the business of manufacturing and the distribution of premium cotton fabrics. SIPL reported revenue and Ebitda of Rs 186 crore and Rs 31 crore in 2017-18.
  • Reliance Capital: ICRA downgraded company’s short-term debt programme rating by one notch to A1 with negative implications from A1+. Downgrade was due to refinancing risk of short term maturities and delay in monetising the noncore investments. Company considers the rating action completely unjustified and inappropriate.
  • Reliance Home Finance: ICRA downgraded company’s short-term debt programme rating by one notch to A1 with negative implications from A1+. Downgrade was due to change in rating of parent company. Company considers the rating action completely unjustified and inappropriate.
  • Quick Heal Technologies to buyback 63.6 lakh equity shares or 9.02 percent equity at Rs 275 per share. Total buyback is worth Rs 175 crore, i.e., 23.87 percent of networth.

DHFL releases Independent CA Report on CobraPost allegations:

  • Findings suggests that DHFL has not created shell companies and diverted funds.
  • Auditor did find some lapses in relation to pre-sanction due diligence and in monitoring of post disbursal end use of funds by the borrowers.
  • Auditor does not find merit in allegations of loans said to be part of Sahana group and/or Wadhawan group.
  • Allegation of political considerations is baseless and without merit.
  • No evidence found in relation to allegations of tax fraud.

Bulk Deals

  • CESC Ventures: International New Discovery Fund sold 1.48 lakh shares at Rs 516.44 each.
  • Spencers Retail: MFS Emerging Markets Equity Fund sold 5.75 lakh shares at Rs 150.1 each.
  • LA Opala: Steadview Capital Mauritius Ltd sold 7.53 lakh shares or 0.7 percent equity at Rs 200 each.

Relaxo Footwear

  • SBI MF bought 37.2 lakh shares or 3 percent equity at Rs 715 each.
  • Promoter Mukand Lal Dua sold 20 lakh shares or 1.61 percent equity at Rs 715 each.
  • Promoter Ramesh Kumar Dua sold 20 lakh shares or 1.61 percent equity at Rs 715 each.

Shree Pushkar Chemicals & Fertilizers

  • Edelweiss Multi Strategy Funds Management Pvt Ltd – Hexagon sold 1.55 lakh shares or 0.5 percent equity at Rs 130.14 each.

SP Apparels

  • Edelweiss Multi Strategy Funds Management Pvt Ltd – Hexagon sold 1.68 lakh shares or 0.65 percent equity at Rs 253.22 each.

Trading Tweaks

  • Asian Granito to consider fund raising via issue of equity shares or convertible warrants.
  • HDFC and Vedanta to consider dividend.

Who’s Meeting Whom

  • Titan Company to meet JPMorgan Asset Management and Blackrock International on March 6.
  • Mahindra Lifespace Developers to meet UTI MF on March 6.
  • Jubilant Life Sciences o meet JPMorgan, Citi Research, BoFAML, Haitong, IIFL and Systematix on March 6.

Insider Trading

  • Deepak Nitrite Promoter Storewell Credits and Capital Private Limited acquired 1.43 lakh shares from Feb 27-28.
  • Minda Corp Promoter Whiteline Barter Limited acquired 1.84 lakh shares from Feb. 28 – Mar. 1.
  • Satin Creditcare Networks Promoters acquired 42,231 shares on Mar. 1.
  • Spencers Retail Rainbow Investments Limited acquired 10 lakh shares on Mar. 1.

F&O Cues

  • Nifty March futures closed trading at 11,033, premium of 46 points.
  • Max open interest for Mar. 28 series at 11,000 Call, open interest at 18.1 lakh shares.
  • Max open interest for Mar. 28 series at 10,600 Put, open interest at 22.4 lakh shares.

Stocks In F&O Ban

  • Reliance Power
  • Wockhardt

Put-Call Ratio

  • Nifty PCR at 1.76 versus 1.69.
  • Bank Nifty PCR at 1.87 versus 1.57.
All You Need To Know Going Into Trade On March 6