MarketBuzz
1214: Marketbuzz Podcast With Hormaz Fatakia: HPCL, Paytm, Olectra set to cap action packed week
Good morning and welcome to CNBC TV18's Market Bus Podcast with me, Hormer Svetakya this Friday morning. And if last evening is anything to go by, we are in for an action-packed end to a week that has been no less devoid of action. The government announced a cut in patrol and diesel prices by two rupees a liter and that is already effective as we speak. And that will keep the oil marketing companies, the HPCLs, BPCLs and Indian oil in focus because the cost of that fuel price cut will be borne by them. The OMCs have seen a significant surge so far this year and that may also weigh on investor sentiment. What you should also keep on your radar are other oil sensitive, the paint companies and the likes because while fuel prices have been cut here, but global oil prices are at a four-month high with Brent crude nearing $85 a barrel and WTI nearing $81 a barrel. Onto the B&B category of stocks now and B&B I mean battered and bruised. The first is PayTM which has been granted a license to participate in UPI as a third-party application provider and four banks, Access Bank, SBI, HDFC Bank and Yes Bank will act as payment system providers. So for Yes Bank, this is also significant as it will also be acting as the merchant acquiring bank for new and existing UPI merchants for PayTM and this PayTM being granted a TPAP license is a confirmation of a CNBC TV18 news break. Now the next stock in this B&B category is IIFL Finance. Another downgrade came yesterday from HSBC. The stock had a negative reaction to the fundraising announcement and after market closing Fitch ratings has placed the issuer default rating and the medium-term note program of the company on rating watch negative which is subject to further downgrade once the watch period which is usually of six months will come to an end. So we'll keep an eye out on that as well. In some more stocks plenty of companies have received orders and I'll start out with those companies that have received orders from the Gujarat, Urja, Vikasnigam or the GUVNL. First up is Indigrid is which 97 crore order for them. KPI Green has won a 50 megawatt wind solar hybrid power project. NHPC has received a letter of intent for a 200 megawatt solar power project with nearly 850 crore rupees and JSW Energy has received a letter of intent for a 300 megawatt solar capacity. So these four companies have received orders or letters of intent from GUVNL. In some more order wins but not from Gujarat, Urja, Vikasnigam though and Shakti pumps is one here which is one of 93 crore order in Maharashtra while Railtell has won 113 crore order in Urisa. Remember that Railtell ended at a 10% upper circuit in yesterday's trading session. TVS motors will hold a board meeting next week which is on the 20th of March to consider a bonus issue of shares but the only difference is that this will not be just another bonus issue but it will be done through the issue of non-convertible redeemable preference shares. You can read about this on cnbctv18.com. Back to the markets then and there was a slide recovery yesterday but all the indices are still down for the week. So the small caps took heart from the Jeffries note advising investors not to panic as it recovered almost everything that it lost on Wednesday. Yet both the mid cap and the small cap index are down over 4% this week which as of Thursday's close is the worst weekly performance since December of 2022. It shows the kind of rally that these two indices have had so far. Even for the nifty the index is down a percent and a half this week so far and it could be its own worst week in over five months. The analysts who we spoke to said that it is too early to determine whether this is the start of a recovery by seeing the price action of just one day. They advise staying cautious and focus on specific stocks instead of taking aggressive bets on the index. The handover from Wall Street is negative as well after the markets ended lower because of a hotter than expected producer price index report. The Asian markets have also opened lower on the final trading day of the week and the gift nifty as we speak is down over a hundred points indicating a gap downstart for our markets. Certainly not a gift when you hear something like that and do continue to tune into our coverage of the electoral bond donors with some interesting names popping up there. Mega engineering is one such case as is another company called Future Gaming. In that context keep an eye out on companies like Electra Green Tech as mega engineering is the promoter entity there with a 50% stake. Of course there are listed entities as well. Grasem, Sanfarma, ITC and many others in that list but the entire coverage can be read on CNBCTV18.com. That's all for today. We wish you a wonderful trading day and a happier week and of course for the sharpest markets insights. Stay tuned to CNBCTV18 and CNBCTV18.com.