..... . VALI disclosures . .....: 14/08/25, Afternoon Market News

Thursday, August 14, 2025

14/08/25, Afternoon Market News

G.R. Infraprojects has emerged as lowest bidder for a renewable energy project in Madhya Pradesh. The project is to set up transmission system for renewable energy projects which is worth Rs 367 crore.

All Time Plastics Ltd. made a notable debut on the stock market on Thursday as shares listed at a premium of 14% over the IPO price. The scrip opened at Rs 311.3 apiece on the NSE and Rs 314.3 on the BSE. The issue price was Rs 275.

Engineers India Ltd. has signed memorandum of understanding with the Nuclear Power Corp for small modular reactor to provide engineering services for development of Bharat Modular Reactor, the company said in the exchange filing.

Suzlon Energy has clarified that there is no event that required disclosure at this juncture. The clarification followed report of Rs 6,000-crore deal with Tata Power for 700 megawatt project in Andhra Pradesh

BSE has launched the BSE India Defence Index to gauge the performance defence companies' stocks.
The constituents of the index will be derived from the BSE 1000 index.
BSE has launched the index amid sustained gains in the defence stocks in past few months.

Source: Media Press Release

PG Electroplast Ltd. share price fell to the lowest level in one year following weak performance in the first quarter. The stock has slumped 40% in August so far.

JSW Cement shares listed at 4% premium over the IPO price. The scrip opened at Rs 153.5 apiece on the NSE and Rs 153 on the BSE.

The issue price was Rs 147.

Shares of Muthoot Finance Ltd., was up over 10% and locked in a circuit on the back of the notable zoom in the profit that company posted in the first quarter.

Muthoot Finance Ltd. reported a robust 73% rise in consolidated net profit in the first quarter of the current financial year. The company reported a bottom line of Rs 2,016 crore against Rs 1,164 crore in the year-ago period. The Net interest income was up 43% to Rs 3,933 crore versus Rs 2,754 crore. While the Impairment was down 11.7% to Rs 331 crore versus Rs 375 crore.

Although local markets have seen a rebound this week, the upside has been capped amid concerns of Trump's tariff hikes on India. Technically, Nifty also continues to trade way below its 21-day moving average (24,803) and 50- day moving average 25,023. While Indian markets will be closed on Friday on account of Independence Day, investors will be watchful of the Trump-Putin summit to take place in Alaska tomorrow," said Prashanth Tapse, a senior vice president research), Mehta Equities.

The NSE Nifty 50 and BSE Sensex opened higher as Infosys Ltd. and Bharti Airtel Ltd. share prices led. The indices were trading 0.02% and 0.01% higher, respectively as of 9:22 a.m.

The yield on the 10-year bond opened flat at 6.47%

Source: Bloomberg

Rupee opened 3 paise weaker at 87.47 a dollar
It closed at 87.44 a dollar on Wednesday.

Source: Cogencis

Gold prices advanced for three days in a row as the hope for rate cuts from the US Federal Reserve increased after expected inflation rise.

Bloomberg spot gold was trading 0.12% higher at $3,359.81 an ounce.

Oil prices consolidated in Asia trade session after it hit a two-month low in previous session. The oil prices declined as the International Energy Agency warned of a over supply next year.

The brent crude was trading 0.55% higher at $65.98 a barrel as of 8:00 a.m.

Bitcoin hit a record high Wednesday, moving in lockstep with a rally in US equities as investors pushed deeper into risk-taking territory across world markets. The crypto currency rose to $1,24,514 today, marking a fresh record high according to Bloomberg data. The previous high of $123,205.12 was hit on on July 14.

Maintain Buy and cut the target price to Rs 110 from Rs 120
Margin Miss in first quarter
In a tough macro, SAMIL is expanding its non-auto business well, especially in electronics
It expects margins to improve sequentially as cost optimization efforts in Europe bear fruit
Start-up costs at new plants to fade with production ramp-up
The brokerage has cut FY26-28E EPS by 10-15%

Maintain Buy and hike a target price to Rs 2,950 from Rs 2,660
First quarter Solid Quarter; Strong AUM Growth; NPA Recoveries Boost Profit
Gold price tailwind, headroom to lift LTV should support healthy loan growth
NIM should expand due to easing rates
With limited loan losses, it stays a defensive play amid rising broader stress
Expect 23% profit CAGR, ROE of 21%+ over FY26-28

Markets in Asia-Pacific region were trading on a mixed note Thursday as traders await fresh set of data from the US to get more cues on rate cut by the US Federal Reserve.

As of 7:18 a.m., the Nikkei 225 was trading 1.29% down as the Japanese yen gained against the US dollar. US Treasury Secretary Scott Bessent said that the Japan's central bank is falling behind the curve to maintain inflation. The Bank of Japan may start to raise rates.

US stock futures were trading lower as market participants brace themselves for more economic data from the US. On Thursday, there's jobless claims data, and retail sales data on is due on Friday.

The Dow Jones Industrial Average and S&P 500 futures were trading 0.04% and 0.08% lower, respectively as of 7:10 a.m. The Nasdaq 100 futures was trading 0.08% down.

On Wednesday, the Nasdaq 100 and S&P 500 indices hit fresh highs on hope of rate cuts in next month.

Good morning! welcome to NDTV Profit's blog for real-time stock market coverage.

The GIFT Nifty was trading 0.10% or 24 points lower at 24,686 as of 6:38 a.m. The implied open for the benchmark NSE Nifty 50 is expected to 25 points lower than Wednesday's close.

HDFC Bank Ltd., Infosys Ltd., Muthoot Finance Ltd., Rail Vikas Nigam Ltd., and Wipro India Ltd. share prices are in focus.

The benchmark equity indices closed the day in the green, snapping their two-day losing streak on Wednesday. Shares of Apollo Hospitals, Hindalco contributed positively to the index.

The NSE Nifty 50 ended 131.9 points or 0.54% higher at 24,614.3 and the BSE Sensex ended 304.3 points or 0.38% up at 80,539.9.

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Trade Cycles

The four important features of Trade Cycle are (i) Recovery, (ii) Boom, (iii) Recession, and (iv) Depression!

The trades cycle or business cycle are cyclical fluctuations of an economy. A full trade cycle has got four phases: (i) Recovery, (ii) Boom, (iii) Recession, and (iv) depression. The upward phase of a trade cycle or prosperity is divided into two stages—recovery and boom, and the downward phase of a trade cycle is also divided into two stages—recession and depression.

Phases of Trade Cycle:

The phases of trade cycle are explained with a diagram:

(1) Recovery:

In the early period of recovery, entrepreneurs increase the level of investment which in turn increases employment and income. Employment increases purchasing power and this leads to an increase in demand for consumer goods.

As a result, demand for goods will press upon their supply and it shall, thereby, lead to a rise in prices. The demand for consumer’s goods shall encourage the demand for producer’s goods.

The rise in prices shall depend upon the gestation period of investment. The longer the period of investment, the higher shall be the price rise. The rise of prices shall bring about a change in the distribution of income. Rent, wages, interest do not rise in the same proportion as prices.

Consequently, the margin of profit improves. The wholesale prices rise more than retail prices. The prices of raw materials rise more than the prices of semi-finished goods and the prices of semi-finished goods use more than the prices of finished goods.

(2) Boom:

The rate of investment increases still further. Owing to the spread of a wave of optimism in business, the level of production increases and the boom gathers momentum. More investment is possible only through credit creation. During a period of boom, the economy surpasses the level of full employment and enters a stage of over full employment.

(3) Recession:

The orders for raw materials are reduced on the onset of a recession. The rate of investment in producers’ goods industries and housing construction declines. Liquidity preference rises in society and owing to a contraction of money supply, the prices falls. A wave of pessimism spreads in business and those markets which were sometime before sellers markets become buyer’s markets now.

(4) Depression:

The main feature of a depression is a general fall in economic activity. Production, employment and income decline. The prices fall and the main factor responsible for it is, a fall in the purchasing power.

The distribution of national income changes. As the costs are rigid in nature, the margin of profit declines. Machines are not used to their full capacity in factories, because effective demand is much less. The prices of finished goods fall less than the prices of raw materials.

✳Reality Tips to Traders

1)Trading in the stock market is a marathon. 2)Protecting your capital is key. (Learn to protect first) 3)Making 0 on the day is better than losing 50k 4)Losses happen; they are part of this business. 5)It’s not you vs. the market. It’s you VS you. 6)You are your biggest enemy; learn to be mentally disciplined. 7)Don’t follow the majority; follow the correct path. 8)Traders without a stop loss end up not being traders for long. 9)There is always another trade. 10)The big money is made waiting for the right set-ups. 11)Waiting for the right trade is the most powerful strategy. 12)It is better to cut a loss than to wait to be proven right. 13)Position sizing can make or break you. 14)Worry about the downside before you even think about the upside. 15)Don’t listen to headlines

..BANKING TERMINOLOGY

There are various types of Banks: PSU Banks, Private Banks, Co-operative/Regional Banks, Small Finance Banks and Foreign Banks. When you deposit money in a bank, let's say the bank gives you an interest rate of 4%. But when the bank lends out this money, they lend it out at say, 12%. The difference of 8% in the above scenario is effectively the profit of the bank! The loans that do not pay interest for 90 days are known as Non-performing Assets. Banks have to provide for such bad loans. Structure of a Bank Asset for a Bank: The asset portion of a bank's capital includes cash, government securities, and interest-earning loans (e.g., mortgages, letters of credit, and inter-bank loans). Liabilities for a Bank: The bank's main liabilities are its capital (including cash reserves and, often, subordinated debt) and deposits. The latter may be from domestic or foreign sources (corporations and firms, private individuals, other banks, and even governments). Banks are required to maintain Liquidity with the Reserve Bank of India: SLR (Statutory Liquidity Ratio): It is the money a bank needs to preserve in the form of cash, gold or government Bonds before providing credit customers. This limitation is added by RBI on banks to make funds available to customers on-demand at your earliest convenience. Banks are required to maintain SLR at 18%. CRR (Cash Reserve Ratio): Banks are required to hold a certain proportion of their deposits in the form of cash. Banks don’t hold these as cash with themselves, but deposit such amounts with RBI / currency chests. CRR rate is at 4.5% currently. Repo Rate: The rate at which the RBI lends short-term money to the banks. The RBI through its Monetary Policy committee changes the repo rate to balance growth and Inflation. Reverse Repo rate: The rate at which banks park their short-term excess liquidity with the RBI. Now let us understand various terminologies for Banks Net Interest Income (NII): This is the spread the bank makes on its lending. It is calculated as Interest Income – Interest Expended Net Interest Margin (NIM): This is the spread the bank makes on its lending. It is the earning which is left after deducting the cost paid to depositors from its yields on Loans. This is denoted in % terms. The formula is Yield on Loans – Cost of funds Capital Adequacy Ratio (CAR): The capital adequacy ratio (CAR) is a measure of a bank's available capital expressed as a percentage of a bank's risk-weighted credit exposures. Essentially, it is the Capital that is available to lend. Tier I Capital – In simple words this capital is freely available with the bank to lend out. Tier II Capital- This is the capital tied up somewhere and is less freely available to lend. In case of an adverse event, the bank can use this capital to lend. Under Basel III norms, a bank’s tier 1+tier 2 capital must be a minimum of 8% of its risk-weighted holdings. The minimum capital adequacy ratio, also including the capital conservation buffer, is 10.5%. Current Account Saving Account (CASA)- There is no interest paid on the Current Account and a small interest rate is paid on a savings account. The combination of both is called CASA which shows the liabilities of the bank on which it pays relatively less interest. Deposits: Bank deposits are a savings product that customers can use to hold an amount of money at a bank for a specified length of time. In return, the financial institution will pay the customer the relevant amount of interest, based on how much they choose to deposit and for how long. Now let us come to NPA. Gross NPA (GNPA): It is the total loans on which no payment has been paid for 90 days or more. GNPA % is usually shown in each Bank’s quarterly results. The percentage is basically the GNPA amount as a % of the total advances. Slippages: Slippages denote the fresh amount of loans that have turned bad in a year. The slippage ratio of a bank is calculated as Fresh accretion of NPAs during the year /Total standard assets at the beginning of the year multiplied by 100. Provisioning Coverage Ratio (PCR): This is the ratio of provisioning to GNPA and indicates the extent of funds a bank has kept aside to cover loan losses. For Instance, a company has GNPAs of Rs 100 and they have set aside 50 Rs, then the PCR is 50%. Net NPA (NNPA): The total figure left after deducting provisions made for bad loans from GNPA. (GNPA – Provisions+upgrades/writeoffs = NNPA) Special Mention Account (SMA) SMA-0 is a category in which stress with respect to the principal and interest has remained overdue for a period of 0 to 30 days. SMA-1 is a category in which stress with respect to the principal and interest has remained overdue for a period of 30-60 days. SMA-2 is a category in which stress with respect to the principal and interest has remained overdue for a period of 60-90 days

..... . VALI disclosures . .....

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Thursday, August 14, 2025

14/08/25, Afternoon Market News

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14/08/25, The Reserve Bank of India (RBI) has rolled out a game-changing set of guidelines to help customers easily reactivate dormant bank accounts and claim long-forgotten deposits.

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