Tata Technologies to boost hot Indian IPO market on trading debut - Daily Market Update - Equity 30 Nov 2023 | Globe Capital Market LTD.
Tata Technologies to boost hot Indian IPO market on trading debut – Daily Market Update – Equity 30 Nov 2023

India’s busy market for initial public offerings is set to get a boost as shares of Tata Technologies Ltd, the first company from the salt-to-software conglomerate to list since 2004, begin trading in Mumbai on Thursday. Tata Technologies’ IPO raised 30.4 billion rupees ($365 million), with shares being sold at 500 rupees each, the top of the marketed range. Demand exceeded shares on offer by 69 times, as investors piled into the engineering unit of luxury carmaker Jaguar Land Rover’s owner Tata Motors Ltd.

Overview and Outlook

Global Stock Market Today

  • US equity markets ended on a flat note.
  • Barring FTSE, other European equity markets settled higher.
  • Asian equity markets are trading in red.
  • GIFT Nifty is also trading slightly higher, Nifty futures likely to open around 20100 levels (as on 8:30AM)


News highlights from across the globe

  • Japan’s factory output rose 1% on a sequential basis in October beating analysts’ expectation of 0.8% rise for the month. Production rose 0.9% on year.
  • China is expected to release its purchasing manager’s index data for the month of November later in the day. Meanwhile, equity indices fell in Hong Kong and mainland China.
  • Markets in Asia fell ahead of the key economic data release from the China, and as bond prices rose further on expectation of rate cuts by the U.S. Federal reserve.


Important news updates from the domestic front

  • Metro Brands has signed trademark license agreement with Foot Locker Retail, Inc. granting exclusive rights for opening and operating athletic and casual footwear and apparel stores under the brand names “Foot Locker” and “Kids Foot Locker” through brick-and-mortar stores in India.
  • ICICI Bank: The board approved the draft scheme of arrangement for the delisting of equity shares of ICICI Securities, thereby making ICICI Securities a wholly-owned subsidiary of the bank.
  • FSN E-Commerce Ventures announced the signing of a long-term licensing agreement with Metro Brands Ltd. and Nykaa Fashion. Nykaa Fashion will serve as the exclusive e-commerce partner and operate Foot Locker’s India website.
  • Ultratech Cement acquired the 0.54 MTPA cement grinding assets of Burnpur Cement for Rs 170 crore.
  • Dixon Technologies (India): ICRA reaffirmed the company’s ratings and revised the outlook on the long-term rating from stable to positive.
  • Dalmia Bharat Sugar And Industries: The company’s resolution plan for the revival of Baghauli Sugar and Distillery under the corporate insolvency resolution process in terms of the Insolvency and Bankruptcy Code, 2016 was approved by the Allahabad Bench of the Hon’ble National Company Law Tribunal.
  • L&T Finance approved the allotment of 13.07 lakh equity shares under the L&T FHL employee stock option scheme in 2013.


Nifty Overview & Outlook

The benchmark Nifty index opened with a gap on higher side, kept the bullish momentum rolling throughout the session and settled near day’s highs at 20096 levels after adding over 200 points to its previous closing values.

Nifty Midcap underperformed the benchmark as it was up 0.68% while Small Cap index performed in line with the benchmark, up over 1%.

All the sectoral indices, barring Media & Realty indices, tracked at NSE settled in green. Amongst them, Nifty Auto, Bank, Financial Services and IT indices that settled higher over 1.5% each.

Technically, Nifty index settled above the trend-line breakout levels i.e. 19900 levels and achieved 20100 levels in intraday as mentioned in our previous post. Going ahead, we reiterate our bullish view on Nifty index and suggest traders to maintain buy on dips trading approach till it is trading above 19900 levels on a closing basis.


Derivatives Overview & Outlook

Yesterday, long buildup was seen in Nifty, Banknifty and Finnifty futures with increase in open interest by 5.6%, 4.8% and 9.2% respectively.

On sectoral front, long buildup was seen in Banking, Metals and Power stocks whereas short covering was seen in majority of sectors led by Chemicals, Pharma and Cement stocks.

On options front, put writing was seen at multiple strikes and maximum positions are at 20000 PE and 20200 CE.


Institutional Trading Activity

Yesterday, FIIs bought stocks worth Rs 72 Cr in the cash segment, bought stocks futures and index futures worth Rs 3301 Cr and Rs 1334 Cr respectively. DIIs were net buyers in the cash segment to the tune of Rs 2361 Cr.


Nifty Futures, Banknifty Futures and Finnifty Key Levels

Nifty – Resistances 20210-20280 Supports 19880-19780

Banknifty – Resistances 45060-45400 Supports 44180-43780

Finnifty – Resistances 20300-20450 Supports 19770-19590




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