Important Information For October 21 Stock Trading Strategy

The Indian equity benchmarks are likely to open on a flat note on Friday as indicated by the Nifty Futures traded on Singapore Exchange. The Nifty Futures on Singapore Exchange also known as SGX Nifty Futures rose 0.05 per cent or 8 points to 17,528 amid weak global cues.

Here are key things to know before market opens on Friday:

Asian Markets

Most of the Asian markets were trading lower with Japan's Nikkei down 0.23 per cent, South Korea's KOSPI fell 0.21 per cent, Hong Kong's Hang Seng declined 0.41 per cent and Taiwan Weighted fell 0.2 per cent.

US Markets

Stocks on Wall Street lost ground again Thursday, though the major indexes remained on pace for a weekly gain after a strong two-day rally earlier this week.

The S&P 500 fell 0.8 per cent. Nearly three-fourths of the stocks in the benchmark index closed in the red, with retailers, banks and industrial companies among the biggest weights. The Dow Jones Industrial Average slipped 0.3 per cent and the Nasdaq composite fell 0.6 per cent. Small company stocks fell more than the broader market, pulling the Russell 2000 index 1.2 per cent lower.

Treasury yields continued rising to multiyear highs, a trend that’s helped push up rates on mortgages and other loans. The yield on the 10-year Treasury climbed to 4.23 per cent from 4.14 per cent late Wednesday and is at its highest level in 14 years. The yield on the two-year Treasury, which tends to track expectations for future Federal Reserve action, rose to 4.61 per cent from 4.56 per cent.

Corporate earnings remained a big focus for Wall Street all week as investors try to get a better picture of how companies are faring amid the hottest inflation in four decades and how they see the economy moving forward.

Gold and Crude Oil Price Check

Benchmark U.S. crude oil for November delivery rose 43 cents to $85.98 a barrel Thursday. Brent crude for December delivery fell 3 cents to $92.38 a barrel.

Gold for December delivery rose $2.60 to $1,636.80 an ounce. Silver for December delivery rose 33 cents to $18.69 an ounce and December copper rose 9 cents to $3.41 a pound.

The dollar rose to 150.17 Japanese yen from 149.90 yen. The euro rose to 97.85 cents from 97.68 cents.

Foreign Flows

Foreign institutional investors bought shares worth Rs 1,865 crore on Thursday while domestic institutional investors sold shares worth Rs 886 crore.

ITC, Axis Bank, Yes Bank, Canara Bank Among Stocks In Focus

ITC: ITC on Thursday reported a 24.08 per cent increase in consolidated net profit at Rs 4,670.32 crore in the second quarter of FY23, led by a strong performance across segments including cigarettes and agri business.

The company had posted a net profit of Rs 3,763.73 crore during the July-September quarter of the previous fiscal, it said in a regulatory filing.

Its revenue from operations rose 25.35 per cent to Rs 18,608 crore in the second quarter of the current fiscal compared to Rs 14,844.38 crore in the year-ago period.

ITC's total expenses were at Rs 12,823.87 crore, up 25 per cent in Q2/FY 2022-23, as against Rs 10,258.26 crore in the corresponding quarter.

Infosys:  Infosys has allowed employees to take up 'gig' jobs on the side with prior consent of managers provided such an engagement does not compete with the company, its clients or pose conflict of interest.

The company, in an internal communication to employees, detailed how staff can take up 'gig' work.

Analysts say, the move may help the company to address some attrition challenges, since it allows employees to take up additional source of earnings, and chase their tech passion, albeit with firm riders.

Vodafone Idea: The telecom ministry will 'activate' its plan to convert dues of Vodafone Idea into equity as soon as the telco demonstrates firm commitment as a serious long-term player in the market through fundraising or any other confidence-building measure, according to a senior government official.

The nod from market regulator SEBI came in earlier this year for the dues-to-equity conversion, and the Telecom Department is ready to "take the plunge" once VIL takes some "positive action".

Any confidence-building measure would act as an assurance for the Department of Telecom (DoT), given that the government will neither have board representation in Vodafone Idea nor does it plan to interfere with decision-making within the telco despite the conversion giving it nearly 33 per cent stake.

Axis Bank: Axis Bank on Thursday reported a 66.29 per cent jump in its consolidated net profit for September quarter at Rs 5,625.25 crore, driven by a substantial decrease in bad loan provisions and margin expansion.

On a standalone basis, the third largest private sector lender reported a 70 per cent increase in its profit after tax for the July-September period at Rs 5,329.77 crore.

The core net interest income rose 31 per cent to Rs 10,360 crore on the back of a 14 per cent growth in assets and a 0.57 per cent expansion in the net interest margin at 3.96 per cent.

Coforge: IT company Coforge on Thursday reported about 37 per cent increase in consolidated profit after tax to Rs 201.1 crore in the second quarter ended September 30, 2022.

The company had recorded profit after tax of Rs 146.7 crore in the same period a year ago.

The consolidated revenue from operations of Coforge increased by about 25 per cent to Rs 1,959.4 crore during the reported quarter from Rs 1,569.4 crore it posted in the September 2021 quarter.

IndiaMART:  B2B e-commerce firm IndiaMART InterMESH on Thursday reported a 17 per cent drop in consolidated net profit to Rs 68 crore for the quarter ended September.

The company had posted a net profit of Rs 82 crore in the same period a year ago.  

The consolidated revenue from operations, however, increased by 32 per cent to Rs 241 crore from Rs 182 crore in the September 2021 quarter.

Yes Bank: The Competition Commission of India (CCI) on Thursday approved the proposed Rs 8,900 crore deal wherein two entities will buy stakes in Yes Bank.

CA Basque Investments, part of the Carlyle Group, and Verventa Holdings, an affiliate of funds managed by Advent International are to acquire 10 per cent stake each in the private sector lender.

Canara Bank: State-owned Canara Bank on Thursday reported an 89 per cent increase in its net profit to Rs 2,525 crore for the quarter ended September on the back of robust growth in net interest income and decline in bad loans.

The lender had posted a net profit of Rs 1,333 crore in the same period of the previous fiscal. 

Its total income also rose to Rs 24,932.19 crore during July-September this year against Rs 21,331.49 crore in the same period of 2020-21, Canara Bank said in a regulatory filing.