The S&P 500 and Nasdaq rose by 1% as investors returned following a major sell-off. Strong comments from Federal Reserve officials alleviated recession concerns. Traders expect rate cuts in the next Fed meeting. Nvidia boosted indices, while Uber and Caterpillar reported positive earnings. The Nasdaq is up 9% in 2024.
Financial planners suggested flexicap funds as an ideal starting point for those entering equity mutual funds. Managers can invest across large, mid, and small cap companies without restrictions, making these funds versatile. With ₹3.90 lakh crore managed across 39 schemes, they are suitable for long-term investors seeking balanced risk and volatility.
SEBI recommended stricter disclosure norms for offshore derivative instruments and foreign portfolio investors with segregated portfolios. The objective was to uphold concentration norms, requiring detailed disclosures for FPIs with significant assets in a single corporate group or large AUMs. In July 2024, 35 FPIs were identified with numerous segregated portfolios.
Sebi proposed alterations to the regulatory framework for investment advisers and research analysts to reduce registration requirements and compliance costs. It also suggested relaxing eligibility criteria, including qualifications, and removing experience and net worth requirements. Sebi recommended maintaining a deposit for arbitration and conciliation purposes, aiming to address concerns about business continuity in the profession.
JSW Steel sought ₹2,500 crore through SBI and ICICI Bank for capital expenditure. The company aimed to issue non-convertible debentures at an 8.5% interest rate. JSW intended to invest ₹20,000 crore in FY25 to enhance production capacity, targeting 50 million tonnes by FY31. Talks were reportedly in advanced stages.
Ola Electric Mobility’s ₹6,146 crore IPO, the biggest so far in 2024, was oversubscribed 4.27 times. The offering included ₹5,500 crore in new shares and ₹645.6 crore from existing investors. Funds will support plant expansion, debt repayment, and R&D. Listing is expected on August 9.
Foreign investors have ramped up their investments in the Indian auto sector, buoyed by strong earnings and improved cost management. In July, the sector's weightage in FPI portfolios reached a peak of 8.10%. Projections estimate an earnings growth of 15-18% this fiscal year, enhancing the sector's appeal amidst higher overall market valuations.
The night before long-time leader Sheikh Hasina fled Bangladesh amid deadly protests, her army chief decided not to enforce a curfew on civilians. General Waker-Uz-Zaman held a meeting with his generals, concluding that troops would not open fire on civilians. This decision indicated a significant shift in support for Hasina's government.
Prasar Bharati is inviting applications from TV broadcasters to stream their linear TV channels on its upcoming over-the-top (OTT) platform for one year. Interested parties must submit their applications by August 12.
Paris Olympics Schedule Day 12: India's athletes participated in various events at the Paris Olympics 2024, aiming for success following a mixed performance. Key participants included Suraj Panwar and Priyanka in the Marathon Race Walk relay, golfers Diksha Dagar and Aditi Ashok, and wrestlers Vinesh Phogat and Antim Panghal. Athletics and weightlifting events featured several potential medalists.
Indian stock markets have shown resilience amid global selloffs, thanks to robust domestic investment and strong economic indicators. Recent declines in global indices saw the Nifty drop less sharply, reflecting the impact of significant domestic inflows. Analysts credit strong corporate earnings and economic growth for this stability, contrasting with heavier losses in other Asian markets.
Shares of Indian textile and garment companies surged amidst political unrest in Bangladesh, raising hopes of potential benefits for India. Analysts remain cautious about short-term gains, highlighting uncertainties about India's production capacity and brands’ reaction. Textile stocks have shown strong returns this year, but current market gains could be short-lived.
The Justice Department announced Tuesday that a Pakistani man, Asif Raza Merchant, had been charged with attempting to hire a hit man to assassinate political figures in the United States. Merchant, who recently visited Iran, potentially targeted former President Donald Trump, according to a senior law enforcement official. Merchant was arrested in New York on July 12.
Indian consumer goods companies have operated in Bangladesh, Sri Lanka, and Nepal for years, generally facing little impact from local instability. Marico's stock dipped nearly 6% due to its substantial earnings from Bangladesh, where its subsidiary accounts for a significant portion of its overseas revenue. Other FMCG companies saw lesser impacts.
A UK government minister on Tuesday slammed American tech billionaire Elon Musk for his "unacceptable" comments on social media about far-right riots gripping England and Northern Ireland. Technology minister Peter Kyle met representatives from TikTok, Meta, Google, and X on Monday and warned that social media users spreading misinformation will have "nowhere to hide".
The rupee's recent decline against the US dollar might be due to strategic moves by the Reserve Bank of India to boost export competitiveness. The RBI is believed to have intervened to address the rupee's overvaluation, reflected in a high REER. The interventions appear to have reduced the REER, making Indian exports more competitive.
Oil prices decreased in early Asian trading following a short-lived rebound due to unexpected increases in U.S. crude and gasoline inventories. Brent crude futures dropped to $76.27 a barrel, and WTI crude declined to $72.95 a barrel. Tensions in the Middle East and lower production at Libya’s Sharara oilfield have added to global supply concerns.
On Tuesday, Indian markets closed lower, with the Nifty dipping below 24,000 for the first time in six weeks. Despite gains in Asian markets, local equities failed to sustain growth due to concerns over US economic conditions and geopolitical issues. Foreign investors continued to sell, weakening the rupee further.
Tim Walz, a 60-year-old former high school football coach with a thick Midwestern accent, has gained popularity on social media for his unassuming and uncool demeanor. A video filmed a year ago featuring Walz with his daughter, Hope, at the Minnesota State Fair went viral during his vetting period. The video captures Walz's reaction on a ride called the Slingshot and his lighthearted interaction with his daughter.
Happy Wednesday! The surge in quick commerce is driving deal activity in the D2C sector. This and more in today’s ETtech Morning Dispatch.
Markets saw initial gains on Tuesday but ended with minor losses. Volatility is set to continue due to global factors and RBI policy. Nifty futures indicated a positive start, oil prices dropped, and FII/DII actions were mixed. Several major companies will release their Q1 results on Tuesday.
