Business
With new lifetime highs expect heightened volatility
Friday the 16th of June was a red-letter day for the markets in India as they made new lifetime closing highs on both the BSESENSEX and NIFTY. While the closing highs have been made, we still need about 200 points on BSESENSEX and 60 points on NIFTY to beat the intraday highs. This is a small number and could happen on just the next positive day that markets witness. Normally these happen within a day or two of the closing highs whether before or after.
BSESENSEX gained 758.95 points or 1.21 per cent to close at 63,384.58 points while NIFTY gained 262.60 points or 1.41 per cent to close at 18,826.00 points. The broader markets saw BSE100, BSE200 and BSE500 gain 1.65 per cent, 1.78 per cent and 1.88 per cent respectively. BSEMIDCAP gained 2.95 per cent and closed at 28,331.32 points. Similarly, BSESMALLCAP gained 2.87 per cent and closed at 32,293.19 points.
The two MIDCAP and Smallcap sectors have been outperformers and have gained 21.1 per cent and 23.5 per cent from the lows made in March 2023. Against this the rise in BSESENSEX has been 11 per cent and 11.87 per cent in NIFTY respectively. Our markets gained on four of the five trading sessions and lost on one.
The Indian Rupee gained 53 paisa or 0.64 per cent to close at Rs 81.93 to the US Dollar. The US FED in its policy meeting decided to keep interest rates unchanged in a band of 5-5.25 per cent. Dow Jones during the week gained on three of the five sessions and was up 422.34 points or 1.25 per cent to close at 34,299.12 points.
In primary market news, shares of Ikio Lighting Limited listed on the bourses on Friday (June 16). The company had tapped the capital markets with its fresh issue for Rs 350 crore and an offer for sale of 90 lakh shares in a price band of Rs 270-285. Shares listed at Rs 391 on BSE and Rs 392.50 on NSE. They closed day one at Rs 403.75, a gain of Rs 118.75 or 41.67 per cent on BSE and at Rs 403.85, a gain of Rs 118.85 or 41.70 per cent on NSE.
The week ahead sees one IPO tap the capital markets. HMA Agro Industries Limited is tapping the capital markets with its fresh issue of Rs 150 crore and an offer for sale of Rs 330 crore in a price band of Rs 555-585. The issue opens on Tuesday (June 20) and closes on Friday (June 23). The issue would raise Rs 480 crore.
HMA Agro Processors is one of India’s largest buffalo meat processors and exporter. The company has also started exporting basmati rice and frozen fish. The company has six plants spread across the Northern and Western part of India with the Haryana plant recently set up being the largest capacity and most modern processing plant anywhere in South East Asia. The plant has a capacity of 570 tons per day.
The entire product of the company is exported to over 40 countries globally. It markets its products under its own brand name. The company HMA Agro exports over 10 per cent of India’s buffalo meat exports and is currently one of the top three largest exporters doing so. The company enjoys a decent reputation amongst its customers and being a food item is highly regulated by both the exporting country and the importing country.
The idea of entering rice and fisheries is to extend the food basket and also as the buyer is the same. The company sells to wholesalers and is a B-to-B player. Further India’s exports of Rice and Buffalo meat form the top and the second topmost item of export in the Agri basket.
The company reported revenues of Rs 3,083 crore for the year ended March 2022 and a net profit of Rs 117.62 crore for the same year. The EPS for the 12 months is Rs 24.39. For the nine months ended December 2022, the company reported revenues of Rs 2,370 crore and a profit after tax of Rs 113.24 crore. The EPS on a non-annualised basis is Rs 22.96.
The Haryana plant which would effectively double the capacity of the company has started commercial operations since January 23 and the current year 23-24 would be the first full operation of the company. The PE band of the issue based on the 12 months, March 22 number is 22.76-23.99. If one were to annualise the nine months earnings for the period ended December 22, the EPS would be Rs 30.6. The resultant PE band would be 18.13-19.1.
There are two upsides that an investor putting his money in HMA Agro Industries is betting on. The first is the growth in the business with the company doubling its capacity from 2 lakh tons to 4 lakh tons. The biggest is the price differential between the price at which India exports its meat to the world and the international price of wheat earned by countries like Brazil and Australia. The difference is huge with India setting the floor at $2.85 per kg and Brazil at $4.45 per kg. The US is at a much higher $7.06. If the gap is narrowed it will increase the profitability significantly.
The company offers an investment into the meat segment which is a 100 per cent export item and highly regulated by the animal husbandry department. It offers decent returns for investors.
The FPO from Adani Enterprises and the fallout of the Hindenburg report are now over four months old. A lot of water has flown under the bridge and prices have moved. Adani Enterprises had fallen from Rs 3,500 to Rs 1,017 and are now around Rs 2,500. Significant opportunity for smart investors to make money. One thing to remember is that 3/4th of Adani’s businesses have sectoral regulators.
In an interesting milestone, MRF has become the first company in India to have its share price touch the one lakh mark. Its share price touched the 1 lakh mark for the first time on Tuesday (June 13) and closed at Rs 99,980.35 on Friday on the BSE. The market cap of the company is Rs 42,403 crore.
Markets have made their lifetime closing highs and would also do so on an intraday basis shortly. What next? There is a 3 per cent spill over which naturally and normally does happen. This would mean about 2,000 points on the BSESENSEX and 600 points on NIFTY. Markets would tend to be volatile with sharp intraday moves in both directions. The midcap and Smallcap space which have been outperformers would continue to rule the roost. The strategy for the week ahead would be to play in the midcap and Smallcap space and watch out for any signs of reversal. Even corrections at such stages in the market are swift. There would also be a retest of market highs once there is a reversal at the top. In short, elevated levels and unchartered territory is the reason for wild movement. Trade cautiously.
Business
FII inflows, Nvidia earnings, oil prices among key factors to drive stock market next week

Indian stock markets are likely to remain volatile next week as investors track foreign institutional investor (FII) flows, crude oil price movements, Nvidia’s quarterly earnings and changing interest rate expectations.
After a spectacular rally that pushed the Sensex and Nifty higher for 10 consecutive sessions, benchmark indices witnessed some profit booking towards the end of last week. However, sustained foreign inflows and resilient corporate earnings helped markets retain their weekly gains.
The Sensex declined 319 points to close at 81,592 on Friday (November 13), while the Nifty slipped over 155 points to settle at 25,144, snapping a three-session winning streak.
The correction came amid renewed concerns over global AI-related trade, rising crude oil prices and expectations of tighter monetary policy following a sharper-than-expected increase in domestic inflation.
One of the biggest factors influencing market sentiment next week will be the continuation of FII buying. Foreign investors remained net buyers of Indian equities for the tenth consecutive session on Friday, purchasing shares worth Rs 5,736.55 crore, according to provisional NSE data.
Crude oil prices will also remain on investors’ radar as geopolitical developments in the Middle East continue to create uncertainty over global energy supplies.
While comments from US President Donald Trump suggesting that the Iran war was effectively over initially eased concerns and triggered a decline in oil prices, fresh attacks on Saudi energy infrastructure and disruptions to shipping through the Strait of Hormuz led to a rebound.
Brent crude is currently hovering near $96 per barrel. Any further rise in oil prices could weigh on India’s macroeconomic outlook, inflation and corporate margins, while a sustained decline may support market sentiment.
Global technology stocks will also be in focus as investors await Nvidia’s quarterly earnings announcement scheduled for Tuesday (November 17).
The chipmaker’s results and management commentary could influence sentiment around the global artificial intelligence trade.
Any sharp movement in AI-related stocks may have an impact on Indian equities, particularly technology shares, as investors assess the implications for global growth and the competitive positioning of Indian IT companies.
Meanwhile, rising inflation has brought interest rate expectations back into focus. India’s retail inflation accelerated to 6.09 per cent in October from 5.54 per cent in September, breaching the Reserve Bank of India’s upper tolerance limit of 6 per cent.
The latest reading has strengthened concerns about the possibility of monetary tightening, with several economists anticipating a potential rate hike at the RBI’s December policy meeting. Market participants will closely assess the implications of higher inflation for borrowing costs, liquidity and economic growth.
Business
FII inflows, Nvidia earnings, oil prices among key factors to drive stock market next week

Indian stock markets are likely to remain volatile next week as investors track foreign institutional investor (FII) flows, crude oil price movements, Nvidia’s quarterly earnings and changing interest rate expectations.
After a spectacular rally that pushed the Sensex and Nifty higher for 10 consecutive sessions, benchmark indices witnessed some profit booking towards the end of last week. However, sustained foreign inflows and resilient corporate earnings helped markets retain their weekly gains.
The Sensex declined 319 points to close at 81,592 on Friday (November 13), while the Nifty slipped over 155 points to settle at 25,144, snapping a three-session winning streak.
The correction came amid renewed concerns over global AI-related trade, rising crude oil prices and expectations of tighter monetary policy following a sharper-than-expected increase in domestic inflation.
One of the biggest factors influencing market sentiment next week will be the continuation of FII buying. Foreign investors remained net buyers of Indian equities for the tenth consecutive session on Friday, purchasing shares worth Rs 5,736.55 crore, according to provisional NSE data.
Crude oil prices will also remain on investors’ radar as geopolitical developments in the Middle East continue to create uncertainty over global energy supplies.
While comments from US President Donald Trump suggesting that the Iran war was effectively over initially eased concerns and triggered a decline in oil prices, fresh attacks on Saudi energy infrastructure and disruptions to shipping through the Strait of Hormuz led to a rebound.
Brent crude is currently hovering near $96 per barrel. Any further rise in oil prices could weigh on India’s macroeconomic outlook, inflation and corporate margins, while a sustained decline may support market sentiment.
Global technology stocks will also be in focus as investors await Nvidia’s quarterly earnings announcement scheduled for Tuesday (November 17).
The chipmaker’s results and management commentary could influence sentiment around the global artificial intelligence trade.
Any sharp movement in AI-related stocks may have an impact on Indian equities, particularly technology shares, as investors assess the implications for global growth and the competitive positioning of Indian IT companies.
Meanwhile, rising inflation has brought interest rate expectations back into focus. India’s retail inflation accelerated to 6.09 per cent in October from 5.54 per cent in September, breaching the Reserve Bank of India’s upper tolerance limit of 6 per cent.
The latest reading has strengthened concerns about the possibility of monetary tightening, with several economists anticipating a potential rate hike at the RBI’s December policy meeting. Market participants will closely assess the implications of higher inflation for borrowing costs, liquidity and economic growth.
Business
US flight disruption: Air India advises passengers to check latest status

New Delhi : Air India on Saturday advised passengers to check the latest status of their flights and plan their journey to the airport accordingly, amid massive disruption at the US airports. The Federal Aviation Administration (FAA) lifted a nationwide ground stop that had halted departures at US airports after a communications failure, though airlines warned that disruption and cancellations could continue.
“A nationwide ground stop is currently in effect across the US due to communication outages affecting air traffic operations. As a result, departures from airports across US are impacted, with possible consequential disruptions to Air India flights to and from the US,” Air India said in a statement posted on X. “Our teams continue to closely monitor the situation and will share updates as available,” it added. The cancellation of US flights happened after a communications problem affected air traffic operations. The notice announcing the cancellation did not specify the cause of the failure or say that airline schedules had returned to normal.
Earlier, the FAA’s Air Traffic Control System Command Center said the ground stop remained in effect across a large portion of the country, although some coastal facilities had been able to release international departures. In an update, American Airlines said some flights from certain airports were beginning to receive clearance to depart. At that point, most departures remained paused, and the airline expected further disruption, including unavoidable cancellations. American advised customers to check their flight status and review its travel alert for options. Its warning was issued before the FAA’s cancellation advisory. Homeland Security Secretary Markwayne Mullin told reporters earlier that officials had acted as a precaution following a telecommunications outage affecting the FAA. “There is no indication as of yet that this was a nefarious attack,” he said at the time. That preliminary assessment did not rule out a cyberattack.
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