MarketBuzz
1242: Marketbuzz Podcast With Hormaz Fatakia: Nifty Bank near 50,000; BSE, Tata Chemicals in focus
(upbeat music) - Good morning and welcome to CNBC TV18's Market Bus Podcast. I am Hormas Fattakia. Well, the NFT bank is on the cusp of 50,000. And if the price action is anything to go by, don't be surprised if that ends up happening today itself. In case that does happen, the last 10,000 points journey would have taken the index two and a half years, since it had first hit the mark of 40,000 in October of 2021. The NFT bank has most of its constituents to thank for its 1,200 point rally on Monday, which turned out to be the best day for the index in two months. But the one that led the pack was ICICI Bank, which also hit a record high on Monday and contributed to nearly one third of the NFTs advance. Together, ICICI Bank, HDFC Bank and SBI contributed to over 60% of the NFTs 220 point gain on Monday. My colleague Sudarshan Kumar highlights that all these three names saw heavy delivery on Monday. ICICI Bank saw delivery transactions worth over 1,400 crores, SBI worth over 600 crores, and HDFC Bank worth over 1,350 crore rupees. In fact, Kotak Mahindra Bank that was beaten down all of last week due to the regulatory issues that it is going through, also advanced on Monday, and saw delivery transactions worth 900 crore rupees. Now, we head into a holiday tomorrow, and hence, the NFT banks weekly expiry, which usually takes place on Wednesday, will happen today, along with the Financial Services Index. What that also did was take the NFT past last week's high of 2,226, 25, although only just, but it has managed to cross that level nonetheless. So now, sustaining above those levels will hold the key for the index. Interestingly, FNO data suggests that the 2,600 and the 2,260,650 call strikes on the NFT have seen open interest shedding, while the 2,200 and 2,250 calls have seen open interest addition. Now, while private financials are the ones to watch out for today as well for any further follow-up buying, the other stock from the broader market that needs to be kept an eye on is BSC. The stock fell 13% on Monday, while at one point it was down as much as 18%. Still, it was the biggest single-day drop for the stock since its listing in 2017. BSC also saw delivery transactions worth over 1,400 crores on Monday. Now, Jeffrey is a downgraded BSC on Monday, but HDFC security has remained bullish, keeping its estimates unchanged and said that it will await further clarity on this issue. HDFC security is wrote in its note that BSC may look to increase its transaction charges by 25% and reduce clearing charges by 10% to offset the impact of this higher regulatory fees. So, we'll keep an eye out on that one. Now, speaking of delivery transactions, Vodafone idea also saw delivery transactions worth 710 crores as the stock remains in the F&O ban. Now, BioCon has also joined the list of stocks that are in the F&O ban for today's trading session. The NBC TV18, that the company has reduced sugar in its products and that will be reduced further. The management also said that in some products, sugar is required for the texturization and ultimately the nutrient profile is something that should match. In some earnings reactions, today watch out for Tara Chemicals as it reported a loss of 850 crores in the March quarter led mainly by an impairment charge of 963 crores. The European soda ash market remained under pressure due to the muted demand and margin pressure, which led to this one-time cash charge. However, the company's volumes grew sequentially as the demand for soda ash in India remains stable. While globally, the market remains cautious is what the company said. Tara Chemicals was the stock in the spotlight if you remember for most of March due to the Tata Sun's listing or not listing saga. There will be other financial names like Yuko Bang, Tuna Lafinkarp, Canfin Homes and other non-financial names like Rosari, biotech, shopper stop, Birlasov, Gillette, among others that will be reacting to their quarterly results, which were reported after marketers on Monday. You can read about all of them on cnbctv18.com. India cooperation will be reporting results today. IOC along with stocks like Adani Energy Solutions, Adani Total Gas, Castroly India, Chola Mandalam, Exide Industries, the out performer of this month, Nugent Software, Symphony, India Mart, among so many others that will be reporting results today. So it's a broader market results heavy day. NMDC has increased the prices of lump over by 400 rupees a ton to well over 6,000 rupees a ton now, while fines prices have been increased by 200 rupees a ton to 5,260 rupees a ton. Casey International will also be in focus as the company has won new orders worth over 1,000 crore rupees across various businesses. It's been a while, but block deals are back and we may see one today in SBFC Finance. It's likely to be a clean out trade where part of the promoter group is likely to sell up to 5.5% take worth nearly 550 crore in that block deal. The offer price range is set to be 87 rupees to 91 rupees a share. The handover from Wall Street is positive, but the market still remains on the edge ahead of the FOMC meeting that starts later tonight. All three indices in the US ended with gains of 3/10 of a percent and were led mainly by Tesla, which surged as much as 15% after clearing a key hurdle for full self-driving technology in China. Asian markets have also mostly opened higher this morning with Japan resuming trade after a holiday with gains of over a percent. The implied open for the gift 50 as we speak is pointing to a flat to positive start for our own markets. That's all for today, we wish you a happy day of trade and a happier midweek holiday. We'll be back on Thursday, the options expiry day to tell you all about the markets and stocks that you need to watch out for. Until then, stay tuned to CNBCTV18 and CNBCTV18.com. (upbeat music) (upbeat music) [MUSIC PLAYING]