..... . VALI disclosures . .....: 12/11/25, Market News

Wednesday, November 12, 2025

12/11/25, Market News

Transformers And Rectifiers India Ltd. share price snapped an eight-day losing streak as the company guidaed for 25% top line growth with a margin of 16%.

The company has reported dismal numbers for July-September quarter. Shortage of key raw materials caused a delay in execution, the management said in concall.

Kirloskar Oil Engines Ltd. share price jumped 14.02% to Rs 1,070 apiece, the highest levels since Dec 19, 2024.

Kirloskar Oil Engine Q2 Earnings Key Highlights (Consolidated, YoY)

Revenue up 30% at Rs 1,948 crore vs Rs 1,499 crore
Ebitda up 28.5% at Rs 382 crore vs Rs 297 crore
Margin at 19.6% vs 19.8%
Net Profit up 27.4% at Rs 162 crore vs Rs 128 crore

The NSE Nifty 50 and BSE Sensex extended gains to a third session as Reliance Industries Ltd. and HDFC Bank Ltd. shares led. Gains in Asian equities on the back hopes for an end to US Government shutdown also supported the risk-on mood.

Moreover, the US and India both expressed confidence to close a trade deal soon, which further lifted sentiment. The indices were trading 0.52% and 0.44% higher, respectively as of 9:23 a.m.

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

Source: Bloomberg

Rupee opened 6 paise weaker at 88.63 against US Dollar
It closed at 88.57 a dollar on Tuesday

Source: Bloomberg

The worst is over for the Indian rupee after the currency remained its position as the worst performer among major economies for the ongoing calendar year, Jefferies said in its India strategy note. The global brokerage sees it staying at around 90 per US dollar for the next 12 months.

The dollar index, which gauges the strength of the greenback against six major currencies, will likely be softer and stay below the 100-mark, according to Jefferies. This is a positive for the Indian unit.

Tata Motors had informed that shareholders would receive shares of the new commercial vehicles entity in a 1:1 ratio, based on holdings as of the record date, Oct. 14, 2025.

So far, shares have already been credited to investors' Demat accounts, though they remained inactive pending the listing. The upcoming listing will enable trading to begin on the exchanges.

Track live updates here.

Gold prices in India declined to Rs 1,24,380 on Wednesday, consolidating after the three days rise.

The metal held gains after it saw its biggest daily jump since May in the previous session, trading around $4,140 an ounce. Gold remains on course for its strongest annual gain since 1979, having reached a series of record highs before retreating last month. US rate cuts have underpinned prices, which have also been buoyed by inflows into bullion-backed exchange-traded funds and sustained central bank buying.

Shares of Bharat Forge Ltd. are in focus on Wednesday's trade, after the company reported strong financials for the September quarter.

The defence major's profit rose 23% to Rs 299.20 crore in the second quarter of this financial year. This is in comparison to profit of Rs 243.59 crore in the previous quarter of this fiscal.

SoftBank Group plunged over 10% early trade on Tuesday as the company exited from Nvidia Corp. The Japanese multinational investment banker's stock touched a one-month low in Tokyo.

SoftBank Group's exit from AI market leaders scared investors about technology sector valuation, Bloomberg said. The investment banker offloaded its entire stake in Nvidia Corp for $5.83 billion.

The GIFT Nifty was trading 0.08% or 19.50 points lower at 25,979 as of 6:37 a.m. The levels indicated nearly 300 points higher open for the NSE Nifty 50 index from the Tuesday's close level.

Traders will monitor Godrej Industries Ltd., Zaggle Prepaid Ocean Services Ltd., Tata Power Ltd., Thermax Ltd., BSE Ltd. shares are likely to react because these companies released their second-quarter earnings.

The NSE Nifty index ended in green, above the important mark of 25,650. Gains in the index were led by InterGlobe Aviation Ltd. and Mahindra & Mahindra Ltd.

source: NSEindia, NDTV

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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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Wednesday, November 12, 2025

12/11/25, Market News

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Today's

12/11/25, Mumbai (Maharashtra) [India], November 12 (ANI): The domestic stock markets opened on a strong note today, gaining over 0.5 per cent, as exit polls indicated a comfortable majority for the ruling coalition in Bihar.

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