All You Need To Know Going Into Trade On October 13

Asian stocks were mixed Wednesday as traders weigh the impact of elevated inflation on the economic recovery and look ahead to earnings reports. Longer term Treasury yields declined.

Shares retreated in Japan, edged up in South Korea and fluctuated in Australia. U.S. futures fell after the S&P 500 and Nasdaq 100 dipped, with investors waiting to see whether the profit outlook can repair sentiment.

The Singapore-traded SGX Nifty, an early indicator of India's Nifty 50 Index’s performance, rose 0.17% to 18,035 as of 7 a.m.

The U.S. 10-year Treasury yield slipped further below 1.60%, while the yield curve flattened. The dollar was little changed. Markets are awaiting a U.S. CPI report that is expected to show inflation remained elevated.

A rally in crude oil amid a global energy crunch paused. In cryptocurrencies, Bitcoin pared its recent rally and traded around $56,200.

Stocks To Watch

• Tata Motors: The company will raise up to $1 billion (about Rs 7,500 crore) for a new passenger electric vehicle subsidiary (TML EV Co.) from TPG Rise Climate and its co-investor ADQ. The investors will pump in the funds through compulsory convertible instruments for an 11-15% stake in TML EV Co. That would give the company an equity valuation of up to $9.1 billion, Tata Motors said. TML EV Co. will invest over Rs 16,000 crore in the next five years for products, platforms, drive trains and dedicated EV manufacturing and charging infrastructure.

• Reliance Industries: Reliance New Energy Solar leads series C financing round in German solar component maker NexWafe. RIL subsidiary will pump $29 million to accelerate product and technology development. Other investors in the $45 million round include InnoEnergy, Lynwood and Saudi Aramco Energy Ventures, among others. Reliance plans to build large-scale solar wafer manufacturing facilities in India using NexWafe's technology.

• Centrum Capital: RBI grants small finance bank license to consortium of Centrum Group and Resilient Innovations. The new SFB, Unity Small Finance Bank, to take over assets and liabilities of Punjab & Maharashtra Cooperative Bank. Centrum's MSME and microfinance book to be merged with the SFB.

• IndusInd Bank, Kotak Mahindra Bank: Both banks have received government approval to collect direct and indirect taxes. Customers of both banks will be able to use net banking and mobile applications to pay taxes. Banks can also collect taxes through their branch networks. In February 2021, government lifted its bar on private banks from taking up government business.

• Zee Entertainment Enterprises: Representatives of Invesco proposed a deal to Zee’s CEO Punit Goenka in February, involving the merger of the company and certain entities owned by a large Indian group, the media firm said. Zee’s board met on Tuesday to consider a note addressed to them by Goenka. He said he had expressed his apprehension to Invesco that as the merging entities of the Indian group were over-valued, it would cause a loss to Zee shareholders. The proposed deal by Invesco representatives had valued public holding in Zee at Rs 21,130 crore. The company’s board also took note of an open letter issued by Invesco on October 11 and said it will respond to comments made in the letter.

• Power Grid Corporation of India: Board has given investment approval for setting up of electric vehicle charging station in Navi Mumbai at an estimated cost of Rs 14.23 crore. It has also approved incorporation of wholly owned subsidiary to undertake telecommunications and digital technology business of Power Grid.

• Happiest Minds Technologies: The company has entered into partnership with Tech4TH Solutions, a company incorporated in the U.S. Tech4TH provides digital services to worldwide companies in the Travel and Hospitality sectors.

• Power Finance Corporation: The government has granted Maharatna Status to the company.

• Steel Exchange India: To consider proposal for raising of funds on October 15.

• Zen Technologies: To consider fund raising plan on October 16.

• Bajaj Finserv: Trustee company under the name of Bajaj Finserv Mutual Fund Trustee Limited has been incorporated as a wholly owned subsidiary of the company.

• Earnings: Infosys, Wipro, Mindtree

Pledge Share Details

• Arvind: Promoter Aura Securities created a pledge of 25 lakh shares on October 7.

Bulk Deals

• Jain Irrigation Systems: Employees Retirement System of Texas bought 25.57 lakh shares (0.52%) at Rs 49.63 per share.

Trading Tweaks

• Ex-Date Interim Dividend: Man Infraconstruction

• Ex-Date Stock Split: Dhanvarsha Finvest, JTL Infra

• Ex-Date Income Distribution: India Infrastructure Trust

• Ex-Date Bonus Issue: SRF

• Price Band Revised From 10% To 5%: Jain Irrigation Systems

• Move Into Short-Term ASM Framework: Jain Irrigation Systems, PG Electroplast

• Move Out Of Short-Term ASM Framework: GTPL Hathway

• Move Into ASM Framework: Optiemus Infracom, Inox Wind Energy, Somany Ceramics

Money Market Update

• The rupee ended at 75.51 against the U.S. Dollar on Tuesday as compared to Monday's closing of 75.35.

F&O Cues

• Nifty October futures ended at 18,008.50, a premium of 16.55 points.

• Nifty October futures added 0.97%, and 2,428 shares in Open Interest. Nifty Bank October futures ended at 38,588.95, a premium of 67.45 points.

• Nifty Bank October futures added 5.52%, and 3,382 shares in Open Interest.

• Securities in the ban list: Nalco, Indiabulls Housing Finance, Punjab National Bank, SAIL, IRCTC, Sun TV, Bank of Baroda

• Securities removed from the ban list: Canara Bank, BHEL