“USDINR CMP- 83.3775 (spot) Indian Rupee traded on a flat note today. Weak domestic markets and a rise in crude oil prices put pressure on Rupee. However, weak tone in US Dollar and FII inflows supported Rupee at lower levels. US Dollar eased as traders trimmed their positions ahead of inflation data. US Dollar gained over the past few days on better than expected non-farm payrolls report last week. We expect Rupee to trade with a slight positive bias on softness in US Dollar and fresh foreign inflows. Positive global market sentiments may also support Rupee. Traders may take cues from inflation and IIP data from India. Traders may also take cues from inflation data from US. Investors may remain cautious ahead of FOMC meeting outcome tomorrow. USDINR spot price is expected to trade in a range of Rs 83 to Rs 83.70,” Anuj Choudhary Research Analyst, Sharekhan by BNP Paribas.

The company’s board of directors approved the fundraising of over Rs 2,250 Crore through Issue of Equity/Equity Warrants. The stock trades at Rs 55.61 down 8.19%.

The stock price of Tata Communications surged 1.72% to Rs 1736.55 following the news that JLR is partnering with Tata Communications to deploy the latter’s cloud-first, software-defined wide area network (SD-WAN) technology, connecting all JLR’s 128 sites worldwide. This advanced global connected capability extends between JLR’s global HQ and its plants, warehouses, sales centers, data centers, and cloud services.

“While the Sensex reaching 70,000 is a significant milestone, it’s important to remember that investing is a long-term journey. Current valuations are reasonable, supported by strong economic fundamentals and a positive market sentiment. This suggests that markets are likely to continue trending upward alongside economic growth. Ignoring asset allocation reviews: Regularly review and rebalance your portfolio to maintain your target asset allocation. Continue your SIPs through market fluctuations for long-term wealth creation. Resist chasing short-term gains and avoid investing based on emotions. Resist the urge to make impulsive decisions based on market noise. Stick to your investment plan and avoid making emotional trades. Don’t be lured by stocks with attractive prices but lack underlying strength. Always prioritize companies with strong financials and long-term prospects.

Consider increasing your equity allocation slightly to capitalize on the current market momentum, particularly in the lead-up to elections. Average out investments: Use market dips to invest additional funds and build your portfolio at lower prices. Remember, even in a bull market, unexpected events and systemic risks can lead to significant downturns. Maintain a diversified portfolio and ensure proper debt allocation to mitigate potential losses. Don’t abandon your long-term asset allocation strategy in pursuit of short-term gains.”

-Nitin Rao CEO InCred Wealth

(Source: NSE)

The stock price of SpiceJet advanced by 4.28% to Rs 63.16 as investors are enthused by funding plans and the proposal to list the company’s securities on the National Stock Exchange (NSE). The company’s board of directors will continue to discuss fundraising plans on Tuesday after it could only partially complete the agenda items on Monday.

IREDA share trading is up by more than 15%, reaching a new 52-week high of Rs 102. IREDA shares have tripled from their IPO price within 10 days of listing.

The stock price of Wockhardt jumped 6.59% to hit a fresh 52-week high of Rs 408.8 after the company announced the completion of the pivotal Phase 3 pneumonia study of its macrolide antibiotic Nafithromycin WCK 4873.

The stock price of Jammu & Kashmir Bank soared 11.82% to hit a fresh 52-week high of Rs 140 following the news that the bank has commenced a Qualified Institutional Placement (QIP) with the goal of raising Rs 750 crore. This initiative is a strategic maneuver aimed at fortifying the company’s financial standing and facilitating growth initiatives. The board formally approved the decision to raise funds through QIP in July earlier this year.

“The key equity indices, Sensex and Nifty, began the day on a positive note on Tuesday, mirroring global market trends. The surge was driven by anticipation surrounding crucial economic data from the US and forthcoming meetings of major central banks, with potential insights into prospective interest rate cuts in the coming year. The Nifty has been in consolidation mode for the fifth consecutive session, maintaining proximity to the 21,000 levels. We anticipate this consolidation to persist throughout the day. Notably, the 21,000 Call strike exhibits significant Open Interest (OI) with approximately 85 lakh shares. On the Put side, the 20,900 strikes boast substantial OI, amounting to around 72 lakh shares. Examining Bank Nifty, option data suggests that the 47,000 Put strike holds noteworthy OI, serving as a crucial immediate support level. Overall market sentiment is optimistic, making a “buy on every dip” strategy a viable approach,” said Shrey Jain, Founder and CEO SAS Online.

ICICI Bank has allotted 327,394 equity shares of face value of Rs 2 each on December 12, 2023 under the ICICI Bank Employees Stock Option Scheme-2000. The above allotment has been approved by two Executive Directors today at 9.50 a.m (being time of the last approval) pursuant to the power delegated by the Board of Directors of the Bank at its meeting held on October 21, 2023, the company said in a regulatory filing. ICICI Bank’s stock trades at Rs 1,014.75 down 0.23%.

The stock price of Rail Vikas Nigam 4.06% to Rs 185.6 on the news that the company has emerged as the Lowest Bidder (L1) for ‘Part Design and Construction of Elevated Viaduct, Five (5) Elevated Metro Rail Stations (viz. Shaheed Bagh, Khajrana Chauraha, Bengali Chauraha, Patrakar Colony & Palasia Chauraha) and Ramp between Chainages 31+755 to 34+898.061 & 3+669.547 to 5+862 for Indore Metro Rail Project.’

(Source: NSE)

HDFC Life Insurance Company, Bajaj Auto, Hero MotoCorp, Grasim Industries and SBI Life Insuarnce Company are leading the gains on the NSE Nifty 50.

Nifty weekly contract has highest open interest at 21,000 for Calls and 20,900 for Puts while monthly contracts have highest open interest at 21,000 for Calls and 19,000 for Puts. Highest new OI addition was seen at 21,500 for Calls and 20,400 for Puts in weekly and at 21,500 for Calls and 20,400 for Puts in monthly contracts. FIIs increased their future index long position holdings by 0.76%, increased future index shorts by 3.84% and in index options by 12.57% in Call longs, 0.27% in Call short, 28.13% in Put longs and 3.53% in Put shorts,” said Anand James, Chief Market Strategist at Geojit Financial Services.

The benchmark equity index NSE Nifty advanced 0.19% to reach a record high of 21,037.90 during early trade on Tuesday.

“The fundamental factor supporting the rally which has taken the market to record highs is the series of positive news: Q3 GDP growth rate of 7.6%, CPI inflation falling to 4.87%, Manufacturing PMI rising to 56, Brent crude declining to $76 and FPIs turning buyers aided by correction in US 10-year bond yield to 4.23%. These positive economic news is being strengthened by expectations of political stability after the 2024 General elections. Since these positive developments are mostly in the price, the market is likely to wait for incoming crucial data before making further moves. Therefore, the market will be keenly watching the inflation print from the US tonight and the Fed’s message on Wednesday. An important trend in the market is the accumulation happening in the fairly-priced segments like PSU banks and some leading private banks,” said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

The benchmark equity indices hit fresh highs during early trade on Tuesday. The NSE Nifty gained 0.17% to reach a record high of 21034.1, while the BSE Sensex added 105.11 points to achieve a new high of 70,033.64.

HDFC Life Insurance Company, SBI Life Insurance, Tata Steel, Hindalco Industries and Bajaj Auto are leading the gains on the NSE Nifty 50.

“The USD/INR 27th December futures contract has been confined within a narrow range for an extended period. According to the weekly technical chart, the pair is currently trading above its moving average trend-line support at 83.22, with the RSI holding above the 60 level. Despite these positive indicators, the MACD is displaying a negative divergence, suggesting a potential divergence in the price movement. The pair seems to be stuck in a range. Analysing the weekly technical chart, the pair finds support in the range of 83.20-83.00, while resistance is positioned at 83.55-83.72. The persistent tight trading range indicates a lack of decisive movement. In today’s session, the pair is anticipated to maintain its range-bound trajectory, fluctuating between 83.15 and 83.70,” said Rahul Kalantri, VP Commodities, Mehta Equities.

The NSE Nifty 50 opened at 21,018.55 up 0.10%, while BSE Sensex opened at 70,020.68 up 92.15 points.

“In yesterday’s trading, the Sensex reached an unprecedented 70,000 mark, and the Nifty hit a new high at 21,026.10. Despite overbought technical conditions, Nifty bulls are expected to remain strong this Tuesday. Technical analysis indicates solid support for corrective declines in Nifty around 20,921, with potential hurdles at 21,139. Bank Nifty has substantial support at 46,907. Market sentiment, fundamental factors, and technical analysis collectively suggest that FOMO may drive Nifty to 21,500 in the inter-month perspective. Wall Street exhibits bullish momentum, with the S&P 500 reaching a new 2023 high. The upcoming two-day FOMC policy decision and the eagerly anticipated US CPI data release for November add to market anticipation. Recommended trades include buying Nifty at CMP with targets at 21,139/21,251 and Bank Nifty at CMP with targets at 47,501/47,801. Our chart of the day favours Persistent System, Coforge, Polycab, PNB, SBI, Canara Bank, TATA Consumer, and PNB on any intraday weakness with an inter-week perspective. A highlighted stock is PERSISTENT SYSTEM, suggested for purchase at CMP 6527 with a stop at 6403 and targets at 6625/6711, considering it a momentum play in an inter-week strategy,” said Prashanth Tapse, Senior VP (Research), Mehta Equities.

The NSE has added India Cements, Balrampur Chini Mills, Delta Corp, Hindustan Copper, Indiabulls Housing Finance, National Aluminium Company and SAIL to its F&O ban list for December 12, 2023.

Foreign institutional investors (FII) purchased shares worth net Rs 1,261.13 crore, while domestic institutional investors (DII) sold shares worth net Rs 1,032.92 crore on December 11, 2023, according to the provisional data available on the NSE.

WTI crude prices are trading at $71.47 up 0.17%, while Brent crude prices are trading at $76.11 up 0.11%, on Tuesday morning.

US stocks registered modest gains on Monday but managed to close at new highs for the year, ahead of major market catalysts this week that include inflation readings and the Federal Reserve’s policy announcement, which will strongly influence investor expectations on the path of interest rates, reported Reuters. The tech-heavy Nasdaq Composite advanced 28.51 points or 0.20 % to 14,432.49 and the S&P 500 added 18.07 points or 0.39% to 4,622.44. The Dow Jones Industrial Average added 157.06 points or 0.43% to 36,404.93.