Infosys to receive Rs 6329 crore refund from IT department: Daily Market Update - 1 April 2024 | Globe Capital Market LTD.
Infosys to receive Rs 6329 crore refund from IT department: Daily Market Update – 1 April 2024

Infosys is expecting a refund of Rs 6,329 crore from the Income Tax Department, the country's second largest IT services company has said. It also informed the stock exchanges about tax demand to the tune of Rs 2,763 crore, citing various assessment orders.
Infosys said it has received orders from the Income Tax Department for assessment years 07-08 to 15-16, 17-18, and 18-19 during the quarter. "As per the orders, the company expects a refund of Rs 6,329 crore (including interest).

Overview and Outlook

Global Stock Market Today

  • Barring Nasdaq, other US equity markets ended in green.
  • European equity markets settled on flat tom positive note.
  • Asian equity markets are trading mix.
  • GIFT Nifty is trading 42 point up, Nifty futures is likely to open around 22531 levels (as on 8:30AM).


News highlights from across the globe

  • Markets in Asia were trading higher in early trade on Monday as risk sentiment improved after data showed industrial activity in China rebounded from five-month decline.
  • The S&P 500 index rose by 0.11% and Nasdaq Composite fell 0.12%. The Dow Jones Industrial Average rose by 0.12%.
  • The yield on the 10-year U.S. bond was trading at 4.21% and Bitcoin was at 70840 level. Brent crude was trading  at $86.81 a barrel.


Important news updates from the domestic front

  • HDFC Bank plans to sell its 100% stake in HDFC Education and Development Services through the Swiss challenge method. After the Swiss challenge process is over, the bank will decide on the purchaser.
  • Bank stocks: The RBI authorised 11 banks to import both gold and silver in FY25 from April 1. Axis Bank, HDFC Bank, SBI, Karur Vysya Bank are among eligible buyers for gold and silver and Indian Overseas Bank, PNB and Union Bank of India can buy only gold.
  • NTPC has discontinued operations of 2×110 MW Barauni Thermal Power Station Stage-I permanently.
  • JSW Steel: Unit JSW Vijayanagar Metallics commissioned 5 MTPA capacity hot strip mill at its Vijayanagar plant.
  • Muthoot Microfin has raised $75 million via external commercial borrowings, to be utilized for on-lending and financing of eligible social loans.
  • Punjab National Bank board approved raising capital up to Rs 10,000 crore via compliant bonds, in one or more tranches during FY25.
  • Strides Pharma: The corporate insolvency resolution process against unit Strides Alathur has been stayed by the NCLT.
  • Shriram Finance approved and allotted NCDs on private placement basis. The issue size is Rs 733 crore with a greenshoe option of Rs 617 crore.
  • Torrent Power has received letter of award from its distribution unit for setting up 150 MW grid-connected wind solar hybrid project with a cost of Rs 1,825 crore.


Nifty Overview & Outlook

Benchmark Nifty index settled higher at 22327 levels after adding over 200 points to its previous closing values.

Broader markets underperformed the benchmark as Mid and Small cap index settled on flat to positive note.

All sectoral indices, barring Media, tracked at NSE settled in green. Amongst them, PSU Bank index was at the top of the tally, gained over 2.5% followed by Auto Metal, Pharma and Healthcare index that rose over 1% each.

Nifty index is well placed on multiple chart frames. Going ahead, cross and sustenance above 22550 will open the doors for further upmoves. Hence, we suggest traders to maintain buy on dips trading approach till it is holding above 21900 levels on closing basis.


Derivatives Overview & Outlook

Last Friday, short covering was seen in Nifty and Finnifty futures with decrease in open interest by 23.2% and 4.8% respectively. On the other hand, no significant activity was seen in Banknifty futures on open interest front.

Nifty futures rolled 70% of open interest into next contract which was lower then the previous month rollovers of 79%.

On options front, Nifty will start the new weekly contract with maximum positions at 22000 PE closely followed by 22200 PE and 22500 CE.


Institutional Trading Activity

Last Week, FIIs bought stocks worth Rs 1060 Cr in the cash segment, bought stocks futures worth Rs 8679 Cr and sold index futures worth Rs 1929 Cr. DIIs were net buyer in the cash segment to the tune of Rs 8914 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 22590-22650; Supports 22270-22200

Banknifty – Resistances 47800-48100; Supports 47300-47000

Finnifty – Resistances 21210-21300; Supports 21020-20950


F&O Securities in Ban Today  – ZEEL.


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