Indian equity benchmark indices ended in the positive territory last week despite some global headwinds like increased global interest rates, geopolitical unrest in the Middle East, and continued stress in the Chinese real estate sector. Sectors like Realty, Metals, and Energy showed solid gains during the week. However, the IT index witnessed a decline.
On Friday, the BSE Sensex ended 125.65 points or 0.19 per cent down at 66,282.74 and the NSE Nifty settled 42.95 points or 0.22 per cent down at 19,751.05.
In India, the September CPI inflation eased to 5.02 per cent in from 6.8 per cent in August. The Index of Industrial Production (IIP) for August increased to 10.3 per cent from an upwardly revised print of 6 per cent in July 2023.
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According to analysts, the ongoing earnings season, movement of oil benchmark Brent crude, and the uncertainty in the Israel-Hamas war would influence the domestic markets in the coming week. The activities of Foreign Institutional Investors will also impact trading in the markets.
"A slew of earnings reports from heavyweights expected this week will significantly impact market direction. The activities of Foreign Institutional Investors (FIIs) will be important, given their recent consistent selling streak," Santosh Meena, Head of Research, Swastika Investmart Ltd.
“Weak start to the result season by IT sector’s subdued revenue guidance, combined with an uptick in crude oil prices affected the broad market trend. On the other hand, the realty sector performed well, fuelled by significant project launches and an uptick in pre-sales, buoyed by the onset of the festive season. Looking ahead, investors will closely monitor the further commencement of the Q2 earnings season which has high expectations like sectors Auto, Finance and Oil & Gas," said Vinod Nair, Head of Research at Geojit Financial Services.
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Top Stocks To Watch On 16 October:
Adani Enterprises
The Ministry of Corporate Affairs is probing the accounts of the group's two airports in Mumbai. The company on Friday said the Office of the Regional Director, Southeast Region, Hyderabad had sought information and documents on the airports - Mumbai International Airport Ltd and Navi Mumbai International Airport Ltd – for financial years 2017-18 to 2021-22.
NHPC
The state-run hydropower company expects Rs 788 crore worth of damages due to flash floods impacting its 510 MW Teesta-V Power Station in Sikkim. The damages are fully insured and the company said it will file a formal claim for the damages,
Tata Motors
Tata Motors has agreed to sell a 9.9 per cent stake in Tata Technologies for Rs 1,613.7 crore to TPG Rise Climate SF Pte Ltd and Ratan Tata Endowment Foundation, for a valuation of Rs 16,300 crore. TPG, a climate-focused private equity fund, will acquire 9 per cent stake while Ratan Tata Endowment Fund (RTEF) will buy the rest 0.9 per cent.
Bajaj Electricals
The company has secured a service contract worth Rs 564 crore from Power Grid Corporation of India Ltd for 400 kV transmission lines in Andhra Pradesh. The scope of work involves the establishment of a 400kV new transmission line, covering a distance of 83.12 km in Ananthapur and an extended 183 km line in Kurnool, Andhra Pradesh. The project is expected to be completed in 21 months.
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Union Bank of India
The Reserve Bank of India (RBI) imposed a penalty of Rs 1 crore for non-compliance related to loans and advances, statutory and other restrictions.
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