Global equity listings up by a third, but below previous peaks

LONDON (Reuters) - Global equity listings rose sharply in the first half of the year, compared with a year earlier, driven by the U.S. market as well as rights issues in Europe, Thomson Reuters data showed, but remained way off 2015's surge. Stronger and calmer markets, a brighter economic outlook in some countries, as well as the avoidance of further political shocks in several European elections helped equity raising markets recover from 2016, when worries about China's economy, the British vote to leave the European Union and commodity prices discouraged potential issuers. Nifty Trading Tips

Companies globally issued $386.8 billion of equity in the first half of this year, up 33 percent from the same period in 2016, which was the worst since 2008. Despite the rebound, issuance remained way off the highest issuance in more than 15 years in 2015 when $519.5 billion was raised. Including some 60 initial public offerings (IPOs) and 355 follow-on offerings, U.S. companies raised $116.8 billion in equity in the first half, 46 percent more than they did in the first half of 2016. Future & Option Trading Tips

Asia share sales on growth path, Hong Kong to reclaim top spot in IPO rankings

HONG KONG (Reuters) - Share sales in Asia ex-Japan have picked up pace this year and are set to rise sharply in the coming months, with $10 billion listings from two Chinese firms expected to reinstate Hong Kong as the world's top IPO destination, bankers and analysts said Deals in India and South Korea will also drive a pick up in the region's equity capital markets (ECM) activity that - according to preliminary Thomson Reuters data - rose 7 percent across Asia-Pacific exchanges in the first half of 2017, versus an almost 50 percent drop in the corresponding year-ago period. Commodity Trading Tips

While IPOs in Shanghai and Shenzhen, both currently ahead of Hong Kong in IPO rankings, are expected to slow down after more than doubling so far this year, volumes will still be strong enough to boost activity, the bankers and analysts said China has curbed the pace of IPO approvals to prevent an oversupply of shares, but it remains the busiest market in the world for new listings. A queue of almost 600 companies waiting to go public indicates there is no shortage of deals. "They've decided to reduce the pipeline of IPOs, but the reality is that the market still needs a lot of money," said Ringo Choi, Asia-Pacific IPO leader at consulting firm EY. Astrology and Numerology Trading Tips

RCF offer: Subscribe only for long-term gains

The government is selling a 5 per cent stake in Rashtriya Chemicals and Fertilisers (RCF), a mini-ratna company, through an offer for sale (OFS), in which retail investors can participate on Friday, June 30. Of the 27.58 million shares of a Rs 10 face value on offer, 20 per cent are reserved for retail investors, who will also get a 5 per cent discount on the cut-off price. The floor price has been set at Rs 74.25, which was around 7 per cent lower than RCF’s closing price of Rs 79.90 on Wednesday. Hence, it is not surprising that the stock corrected by 6 per cent to Rs 75.10.  Financial Astrology Tips

Fast forward; GST set to transform face of Indian logistics industry

MUMBAI (Reuters) - India's greatest tax reform - replacing an array of provincial duties with a nationwide goods and services tax - is transforming the logistics industry in a country where moving stuff around is notoriously difficult to do, executives say. The advent of organised retail and e-commerce began modernising warehouses in India a decade ago, but most firms still rely on musty, dilapidated "godowns", as storehouses are known colloquially. The unified tax system is expected to bring change on a far grander scale, removing distortions created by differential taxes and duty structures imposed across India's 29 states and 7 union territories "When we moved from one state to the other, it felt like moving from one country to another," said Ramesh Agarwal, chairman of New Delhi-based Agarwal Packers and Movers. Nifty Trading Tips

From July 1, the new Goods and Services Tax, or GST, introduced by Prime Minister Narendra Modi's government, will change all that, with the biggest tax reform seen since India won independence from British colonial rule 70 years ago. Companies that have previously based storage models on tax efficiency can move to the much more cost efficient, demand-based hub-and-spoke model used globally. Anticipating the change, Agarwal's firm, for example, has carved India into five regions and is setting up one massive warehouse in each. "There's no tax arbitrage to be gained. So decisions on manufacturing, warehousing and selling will be purely driven by the real costs of manufacturing and going to market, that is the single biggest advantage of GST," said R Subramanian, Managing Director at DHL Express in Mumbai. Future & Option Trading Tips

CRISIL buys 8.9% in CARE for Rs 436 cr

CRISIL, majority owned by S&P Global, bought a 8.9 per cent stake in rival CARE Ratings for Rs436 crore, expanding into the country’s ratings business at a time of surging corporate bond issuance. CRISIL said it bought the stake from Canara Bank. The investment comes as corporate bond issuance done through private placements jumped 42.9 per cent to Rs7 lakh crore in the year ended March 2017, from the previous year. The company said India’s ratings sector would continue to benefit from increased issuances of bonds and loans because of rising capital investments and infrastructure financing. “This stake purchase is an investment in the excellent long-term prospects of the credit rating sector in the country,” CRISIL said in a statement. Commodity Trading Tips

 
CARE is the only of India’s four major ratings agencies to be independently owned, with no affiliation to S&P, Moody’s Investor Service, or Fitch Ratings. Although rating agencies have benefitted from corporate bond issuances, the sector is also facing increased scrutiny from markets regulator Securities and Exchange Board of India (Sebi) over concerns they took belated action in a slew of recent corporate bond defaults. “This investment in the equity of CARE has no special rights and is in compliance with applicable rules and regulations,” said Ashu Suyash, managing director & chief executive officer, CRISIL, in a statement. Shares of CRISIL gained 1.24 per cent, while that of CARE Ratings soared 13 per cent. The benchmark Sensex, in comparison, ended 0.08 per cent up. “The prospects for the sector are driven by the significant demand for capital investments and infrastructure financing in India over the long term, much of which should benefit the sector,” she said. Astrology and Numerology Trading Tips

InterGlobe Aviation falls 7% after IndiGo shows interest in Air India

InterGlobe Aviation, which operates IndiGo airline, was down nearly 5% to Rs 1,179 on BSE in intra-day trade, extending its Thursday’s fall, after the low-cost carrier has expressed unsolicited interest in buying a stake in national carrier Air India. The stock has fallen 7.4% from its 52-week high of Rs 1,273 touched yesterday, June 29, 2017.

The company has submitted a letter to the Government of India, with an unsolicited expression of interest (EOI) in the divestment procedure of Air India. "As the Indian Government embarks on the journey of privatising Air India and given IndioGo track record of having created a consistently profitable airline with a strong balance sheet. Kindly treat this letter as our expression of interest in acquiring the International airline operations of Air India and Air India Express. Alternatively, we are equally interested in acquiring all of the airline operation of Air India and Air India Express," InterGlobe Aviation said in a letter. The Cabinet on Wednesday gave in-principle approval for the divestment of the national carrier. At 9:38 am; the stock was trading 4.3% lower at Rs 1,181 on BSE as compared to 0.46% decline in the S&P BSE Sensex. A combined 454,771 shares changed hands on the counter on BSE and NSE so far. Financial Astrology Tips

CDSL makes stellar debut; stock jumps 68% on NSE listing

Central Depository Services (India) Limited (CDSL) has makes a strong debut by listing at Rs 250, a 68% premium against its initial public offer (IPO) price of Rs 149 on the National Stock Exchange (NSE). CDSL is the first depository to be listed on the country’s stock exchanges. At 10:01 am; the stock was trading at Rs 266, 79% higher against its issue price. Around 11.78 million shares changed hands on the counter, the NSE data shows. The Rs 525-crore IPO of CDSL saw a whopping 170 times more demand than shares on offer. The issue generated demand worth nearly Rs 63,000 crore. The issue was one of the most oversubscribed in recent times. The institutional investor portion of the IPO was subscribed 149 times, high net worth individual (HNI) portion was subscribed 563 times and the retail portion was subscribed 24 times. Nifty Trading Tips




CDSL is one of the two depositories operating in India, which facilitate the holding of securities in electronic form and enable securities to be processed by book entry. It was originally promoted by BSE, which subsequently divested part of its stake to leading banks as its sponsors. Most of the local brokerage houses were upbeat on the CDSL IPO and recommended ‘subscribe’ given its strong fundamentals and clean balance sheet. “CDSL has a unique business model with high entry barriers coupled with decent growth prospects. The average ROE for the last six years has been around 17%, which we believe will sustain going ahead as well. The incremental capital required for doing business in this space is very minimal and this makes it an interesting business model,” Angel Broking said in IPO note. Future & Option Trading Tips

GRAPHIC: Banks are one of the biggest MF distributors in India

Banks, because of their huge network of branches, are one of the biggest mutual fund (MF) distributors in the country. While most banks that distribute MFs are free to sell any schemes offered by the country’s more than 40 fund houses, they have shown a preference towards their own MF subsidiary. Canara Bank, for instance, earned nearly Rs 17 crore in MF commissions in 2016-17; the entire amount came from their arm, Canara MF. Similarly, State Bank of India (SBI) earned Rs 175.46 crore in MF commission, 98 per cent of that by selling SBI MF schemes. The share of commission from their MF arms was high for other banks such as Bank of Baroda, ICICI Bank, IDBI Bank and Axis Bank. Industry experts have raised concerns about the dominance of large distributors in pushing their own products. They say the products of the other fund houses, too, should be advised to investors to create better asset diversification. But, there has not been much impact on distributors. With Sebi’s recent consultation paper on segregation of distributors and advisors, it will be interesting to see how the situation pans out, going forward. Commodity Trading Tips

Nifty opens July F&O series below 9,500; Sensex down 100 points

The benchmark indices opened lower on Friday tracking negative trend seen in Asian markets following dismal performances of European and US markets. At 9:17 am, the S&P BSE Sensex was trading at 30,739, down 118 points, while the broader Nifty50 was ruling at 9,469, down 34 points. In the broader market, the S&P BSE Midcap and the S&P BSE Smallcap indices slipped 0.2% and 0.3% , respectively. "A ‘Buy on dips’ market has now turned into a ‘sell on rise’ market and hence, they are repeatedly advised not to remain aggressively long on the market and in fact, try to use intraday rallies to go short on the market. Going forward, 9,545-9,575 would now be seen as immediate hurdles for the index," said Angel Broking in a technical note. Future & Option Trading Tips

Rollovers 

Rollover of Nifty futures came in at 73%,  which was higher as compared to the average rollover of 69% seen in the last three series. Market-wide rollovers came in at 80%, higher than the average rollovers of 75% seen during the comparable period of last three series. Financial Astrology Tips

Govt all set for GST roll out

The stage is all set for the rollout of the major indirect tax reform measure - Goods and Services Tax (GST) - in Parliament's Central Hall on Friday night amid boycott by the Congress, the Trinamool and other opposition parties even as Finance Minister Arun Jaitley urged them to reconsider their decision. The launch will take place at the stroke of midnight after speeches by President Pranab Mukherjee and Prime Minister Narendra Modi in the presence of Vice President Hamid Ansari, MPs, Chief Ministers and state Finance Ministers besides a host of industralists and legal luminaries.Astrology and Numerology Trading Tips

On-ground check: Is India Inc ready for GST?

With barely a few hours to go before goods and services (GST) tax bill becomes a reality, channel / on-ground checks by two leading research houses – Bank of America Merrill Lynch (BofA-ML) and Edelweiss – suggest that India Inc, at least the small and medium enterprises, are not fully prepared for the transition. Both, however, agree that beyond the short-term pain, there are gains in store over the long run. In the new regime, major Central and State taxes will get subsumed into GST, which will reduce the multiplicity of taxes. “Our interactions with dealers, manufacturers and GST facilitators suggest that the SME segment is not only struggling for preparedness, but also staring at rising manpower and compliance costs which could disrupt their business and impact cash flows,” says a June 27 report by Edelweiss titled GST: Get, Set, Go. Commodity Trading Tips

 

In the run-up towards last leg of GST implementation, Edelweiss' interactions with companies and trade channels suggested four key points: a) there was significant slowdown in past two weeks of June across several sectors; b) inventory liquidation was wider-than-expected and could last beyond Q1FY18; c) most participants suggested normalisation only from Q3FY18; and d) FMCG, auto ancillaries after-market sales, pharmaceuticals, plywood and tiles sectors were most impacted, while auto OEMs and cement seem to be least impacted. However, the brokerage argues that the GST will usher in a much simplified tax structure in the country, bring in cost efficiencies and result in market share shift from unorganised to organised players. Nifty Trading Tips

Eris Lifesciences falls below IPO price after quiet debut

Eris Lifesciences slipped to Rs 592, 2% below its initial public offer (IPO) price of Rs 603, after a subdued listing on BSE. The stock listed at Rs 612, a 1.5% higher against its issue price on BSE.
At 10:13 am; the stock was trading at Rs 602, after hitting high of Rs 628 post its listing. On the National Stock Exchange (NSE), the stock was trading at Rs 604, after opening at Rs 611 levels. It touched high of Rs 628 and a low of Rs 593 so far. A combined 3.59 million shares have changed hands on the counter on BSE and NSE. The Rs 1,741-crore IPO of Eris Lifesciences was subscribed 3.3 times.  The 16-million share offering had received bids for 52.3 million shares, according to stock exchanges’ data. The price band for the IPO was Rs 600-603 per share. The institutional and retail portion of the IPO was subscribed 4.7 times and 3.5 times, respectively. The high net worth individual (HNI) segment garnered only 45% subscription. The IPO entirely comprises of secondary share sale by the promoter group entities. Future & Option Trading Tips

Eris Lifesciences is a developer, manufacturer and commercialiser of branded pharmaceutical products in select therapeutic areas within the chronic and acute categories of the IPM. Analyst at Angel Broking believes that Eris is likely to continue growing faster than its competitors owing to its marketing capability, higher operating leverage and growing market share of its mother brands. While most pharma companies are currently facing issues on several fronts, this business model looks attractive with no USFDA concerns and pricing pressure. The company enjoys tax break (which will continue post GST) till FY24 on its manufacturing facility at Assam, which accounts for 78% of sales. The remaining 22% of sales is outsourced to contract manufacturers. Hence, effective tax rate for company was very low at 8.3% in FY17 and 12.7% in FY16. Financial Astrology Tips

Irdai defers IndAS execution by 2 yrs

The Insurance Regulatory and Development Authority of India (Irdai) has deferred the implementation of Indian Accounting Standards (IndAS) by a period of two years and it will now be implemented by 2020-21. The board of authority, after its meeting on May 31, noted the peculiarities of the insurance sector, particularly the fact that India does not have a standard equivalent to IAS39 on Financial Instruments: Recognition and Measurement. They came to the conclusion that the implementation of the IndAS in the present form will lead to the valuation of assets at fair value or market value, however, liabilities will continue to be valued as per the existing formula based approach. Hence, a mismatch would occur in the asset and liability valuation causing volatility in the financial statements of the insurance companies. Nifty Trading Tips

Sebi proposes to ease foreign investors' compliance burden

The Securities and Exchange Board of India (Sebi) has proposed to ease the compliance burden on foreign portfolio investors (FPI) by reducing documentation and doing away with approvals for merger of schemes. In a consultation paper it has issued, the markets watchdog has proposed to exempt FPIs which have multiple investment managers from taking Sebi approval for free of cost (FOC) transfers. Designated depository participants (DPPs) would clear such applications. Foreign funds will also not need approval from Sebi to change their DPPs, which act as brokers and first-level regulators for FPIs. Commodity Trading Tips

Further, Sebi proposes to also do away with a majority of the conditions prescribed under the 'fit and proper' criteria for category-I and II investors. It says that as these are well-regulated in their home jurisdiction, there is no need for additional paperwork. "Category I and II FPIs are essentially government and regulated entities," explains the discussion paper. In the paper, Sebi has also met a long-standing demand of category-II FPIs by tweaking the definition of 'broad based funds', doing away with the requirement to meet a minimum number of investors' criterion. In the current regulations, an FPI needs at least 20 investors, with none holding more than 49 per cent, to be called a broad based fund. However, as a majority of such funds are open-ended, the number of investors could fall below the prescribed 20 thresholds at any time, losing the label.  Astrology and Numerology Trading Tips

Oil rises for sixth session, buoyed by U.S. output decline

SINGAPORE (Reuters) - Crude oil rose for a sixth straight session on Thursday to its highest since June 19 on a decline in U.S. output, but ongoing worries about global oversupply continued to drag. U.S. West Texas Intermediate (WTI) crude had risen 28 cents, or 0.6 percent, to $44.01 per barrel by 0215 GMT, while benchmark Brent futures gained 28 cents, or 0.6 percent, to $47.59 a barrel. "The fast ramp-up in shale drilling and the unexpectedly large rebound in Libya/Nigeria production are on track to slow the 2017 stock draws," investment bank Goldman Sachs said. Nifty Trading Tips

"This creates risks that the normalisation in inventories will not be achieved by the time the OPEC cut ends next March. We expect this will leave prices trading near $45 (a barrel) until there is evidence of a decline in the U.S. horizontal oil rig count, sustained stock draws or additional OPEC production cuts."  Future & Option Trading Tips

The U.S. Energy Information Administration (EIA) said crude stocks rose 118,000 barrels last week, while weekly production declined 100,000 barrels per day (bpd) to 9.3 million bpd. That was the biggest decline in weekly output since July 2016. There was additional support stemming from a decline in U.S. gasoline inventories. "Prices were also supported after data showed another strong drawdown in inventories in the U.S.," ANZ said in a note. Financial Astrology Tips

Dollar upended by rates reversal, stocks unfazed for now

SYDNEY (Reuters) - The dollar shuddered to its lows for the year on Thursday as a drumbeat of hawkish comments from major central banks signalled the era of easy money might be coming to an end for more than just the United States. Support for the dollar eroded as investors realised the U.S. Federal Reserve might not be the only game in town when it came to higher interest rates. In Britain, Bank of England Governor Mark Carney surprised many by conceding a hike was likely to be needed as the economy came closer to running at full capacity. The Bank of Canada went further, with two top policymakers suggesting they might tighten as early as July. That followed comments earlier in the week from European Central Bank President Mario Draghi that stimulus might need to be toned down so it does not become more accommodative as the economy recovers. Financial Astrology Tips

ECB sources tried to hose down the talk but could not stop the euro hitting a one-year high against the U.S. dollar. "If we want to know what the ECB is planning, we will choose a carefully scripted Draghi speech over anonymous sources every time," said Westpac currency strategist Sean Sallow. "Backed by the Eurozone's strong current account surplus and the contrast with a Fed which could pause on rate hikes for a while, the euro looks to be on target for $1.1500-1.1600." On Thursday, the single currency had already pressed on to $1.1409 having climbed three percent in as many days. Astrology and Numerology Trading Tips

Nalco shines after govt plans to expand capacity

National Aluminum Company gained 1.16% to Rs 65.35 at 9:40 IST on BSE after the Ministry of Mines said that the central government is working to expand capacity of the company to make it a major producer of aluminium globally. The Ministry of Mines made the announcement after market hours yesterday, 28 June 2017. Meanwhile, the S&P BSE Sensex was up 186.08 points or 0.6% at 31,024.39. On the BSE, 6,591 shares were traded on the counter so far as against the average daily volumes of 3.3 lakh shares in the past one quarter. The stock had hit a high of Rs 65.45 and a low of Rs 64.60 so far during the day. The stock had hit a 52-week high of Rs 79.85 on 7 March 2017 and a 52-week low of Rs 41.25 on 28 June 2016. Nifty Trading Tips

The stock has gained 6.08% in three sessions to its ruling price from a close of Rs 61.60 on 23 June 2017. The stock had underperformed the market over the past one month till 28 June 2017, falling 5.42% compared with 0.62% fall in the Sensex. The scrip had also underperformed the market in past one quarter, dropping 12.58% as against Sensex's 4.84% gains. The scrip, however, outperformed the market in past one year, gaining 55.29% as against Sensex's 16.25% gains. The large-cap company has equity capital of Rs 966.46 crore. Face value per share is Rs 5. The Ministry of Mines in order to clear any misleading information clarified that National Aluminum Company (Nalco) is a prestigious Navratna Central Public Sector Enterprise and the central government appreciates its role in the progress of the country as well as Odisha. Future & Option Trading Tips

CARE Ratings surges on stake buy by CRISIL

CARE Ratings (formerly Credit Analysis and Research) surged 16% to Rs 1,660 on BSE in intra-day trade after the rating agency CRISIL has acquired nearly 9% stake in the company through open market. “Our Company has acquired 2.62 million equity shares of CARE Ratings ('CARE') (8.90% of the total paid up equity share capital of CARE) at a price of Rs 1659.79 per share, on June 29, 2017,” CRISIL said in a BSE filing. Commodity Trading Tips

The investment has been made pursuant to the request for quotation dated June 19, 2017 issue by Canara Bank for sale of 8.9% stake in CARE, which is good opportunity to make an investment in the good long term growth prospects of the credit rating sector, it added. At 9:54 am; the stock of CARE Ratings was up 10% at Rs 1,573 on BSE as compared to 0.70% rise in the S&P BSE Sensex. A combined 2.8 million shares changed hands on the counter on BSE and NSE so far.
CRISIL was up 1% at Rs 1,939 after hitting high of Rs 1,950 in intra-day trade on BSE. Canara Bank up 4% to Rs 339 in intra-day trade was trading 3% higher at Rs 335 on BSE. Astrology and Numerology Trading Tips

Bharti Airtel hits four-month high

Bharti Airtel hits four month high of Rs 386, up 2.4%, extending its 3% gains of the last two trading sessions on the BSE. The stock is 4% away from its 52-week high of Rs 401 touched on February 23, 2017 in intra-day trade. Since May 10, 2017, post January-March quarter results, Bharti Airtel outperformed the market by gaining 11% as compared to 3.5% rise in the S&P BSE Sensex.

“Management highlighted its focus on improving the data market share (currently at around 35%), and aims to be the key beneficiary of market disruption. As competitive intensity bottoms out in 3-4 quarters, long-term average revenue per user (ARPU) accretion should bode well for Bharti,” analyst at Motilal Oswal Securities said in Q4FY17 results update. The brokerage firm maintain ‘buy’ rating on the stock with target price of Rs 430 as it believes that as the market bottoms out in next 3-4 quarters, the stock can provide 8-10% FCF (free cash flow) yield on 15% rise in EBITDA and annual capex reduction of 10%. At 09:42 am; the stock was up 1.4% at Rs 383 on BSE, against 0.59% rise in the Sensex. A combined 579,483 shares changed hands on the counter on BSE and NSE so far. Financial Astrology Tips 

L&T Finance Holdings and group to raise Rs 15,000 cr for IPO finance

L&T Finance Holdings (LTFHL) and its subsidiaries will raise a little over Rs 15,000 crore through commercial paper, a short-term money market instrument, and bonds to predominantly finance Initial Public Offers of equity. LTFHL, through its subsidiaries, is into services across rural, housing and wholesale finance businesses. Its group entities also offer fund management and non-fund based services such as insurance and mutual fund distribution. The entities rasing money through commercial paper are — L&T Finance up to Rs 9,000 crore, L&T Infrastructure Finance, Rs 5,000 crore and L&T Housing Finance, Rs 1,000 crore. LTFHL is raising about Rs 250 crore through debentures, according to rating agency Icra. Generally, finance companies raise resources over a period in one or more tranches, based on an assessment of requirements, said a senior official with a merchant banking entity that arranges issues. On a consolidated basis, for 2016-17, LTFHL reported a net profit of Rs 1,042 crore on an asset base of Rs 72,514 crore. It had reported a net profit of Rs 857 crore on an asset base of Rs. 63,746 crore in FY16. Net worth of the consolidated entity was Rs 9,107 crore as on end-March 2017. Future & Option Trading Tips

Markets see a positive start ahead of June F&O expiry; Nifty nears 9,550

Benchmark indices saw a positive start in line with Asian Markets after Wall Street ended higher in overnight trade ahead of the June F&O expiry. Gains were however capped after hawkish comments from major central banks signaled rate hikes and that the era of stimulus might be coming to an end. In Britain, Bank of England Governor Mark Carney surprised many by conceding a hike was likely to be needed as the economy came closer to running at full capacity. Mario Draghi had earlier said that stimulus might need to be toned down so it does not become more accommodative as the economy recovers.  Commodity Trading Tips

 At 9:17 am, the S&P BSE Sensex was trading at 30,976, up 142 points, while the broader Nifty50 was ruling at 9,535, up 46 points. In the broader market, the S&P BSE Midcap and the S&P BSE Smallcap indices gained 0.6% each. "Yesterday’s upwsings were restrained on anticipated lines, but equally significantly, the pull back thereof failed to gain momentum, hinting at the prospects of stronger upsides today. Such a move needs confirmation, and a break above 9540 could be taken as the initial indication. Alternatively, direct fall below 9470 should bring the downside objectives of 9370 or 9280 firmly in play," said Geojit Financial Services in a note. Nifty Trading Tips

NSE signs pact with Andhra Pradesh to help small businesses get listed

Top stock exchange NSE on Tuesday inked a pact with Andhra Pradesh government to help micro, small and medium enterprises (MSMEs) in the state to raise capital through listing on the bourse's platform. As per the memorandum of understanding (MoU), the AP government would facilitate MSMEs to get listed on NSE Emerge, the platform for small and medium enterprises, by supporting such firms financially or otherwise, in bearing the expenses related to listing. "A fund is also being created by the Andhra Pradesh government to encourage investors to invest in the fast growing SMEs in the state, on the exchange platform," NSE said in a statement. Financial Astrology Tips

The MoU was signed between AP government's industries, commerce & export promotion Commissioner Siddhartha Jain and NSE's Chief Business Development Officer Ravi Varanasi, at Vijaywada in AP. The pact was signed on the occasion of the International Day for MSMEs being celebrated today. The NSE will be hand-holding small and medium through the process of listing, thereby facilitating capacity building for the MSMEs, the exchange said. The listing helps companies to get better access to capital for their expansion and growth, provides visibility to local companies at the national level, gives them high credibility and unlocks valuation. Astrology and Numerology Trading Tips

Oil prices up on weaker dollar, but supply glut caps gain

Oil prices rose for a fourth consecutive session on Tuesday, boosted by a weaker dollar, but worries over persistent oversupply capped gains. Brent crude futures, the international benchmark for oil prices, gained 46 cents to $46.29 per barrel by 1356 GMT. US West Texas Intermediate (WTI) crude futures were up 39 cents at $43.76 per barrel. The gains mean the market is up slightly so far this week, after spending much of the last month in negative territory. US crude inventory figures due out later on Tuesday could help determine if the market extends its gains. The dollar fell 0.1 per cent against a basket of six major currencies, before a speech by US Federal Reserve Chair Janet Yellen in London.  Nifty Trading Tips

“Short-term financial investors also significantly scaled back their net long positions in Brent on the ICE last week... and find themselves at their lowest level in a year and a half,” Commerzbank said. “Short positions have soared to a new record high, having increased more than four-fold since the beginning of the year.” The Organization of the Petroleum Exporting Countries (Opec) and its partners have tried to reduce a global crude glut with production cuts. Opec nations and 11 other exporters agreed in May to extend cuts of 1.8 million barrels per day (bpd) until March. Future & Option Trading Tips 

Banking stocks take a hit on provisioning worries

The Reserve Bank of India’s (RBI’s) mandate instructing banks to make higher provisions for accounts referred to the National Company Law Tribunal (NCLT) for resolution under the Insolvency and Bankruptcy Code (IBC) came as a jolt for banking stocks on Tuesday. While the overall trading condition was also weak, the news was particularly negative for public sector banks (PSBs). Syndicate Bank, Punjab National Bank, Canara Bank and Andhra Bank took 4-5 per cent hits in their stock prices, while that of State Bank of India, Bank of Baroda, and Union Bank corrected by 2.8-3.7 per cent on Tuesday. Even private banks with relatively high corporate exposure, such as ICICI Bank and Axis Bank, saw their share price fall 1.2 per cent and 2.3 per cent, respectively. According to the RBI’s latest directive, banks have to provide 50 per cent for secured loans and 100 per cent for unsecured loans referred to the NCLT, clearly suggesting that provisioning towards bad loans may remain elevated for corporate banks and PSBs in FY18. Given that the Street was expecting moderation in loan loss provisioning in FY18 going by the trend in FY17, the RBI’s latest mandate is clearly negative. Commodity Trading Tips

Sebi tweaks OFS norms to encourage employees' participation

Relaxing its offer-for-sale (OFS) norms, markets regulator Sebi today allowed companies' promoters to sell shares within two weeks from the OFS transaction to their employees. Currently, promoters cannot buy or sell the company's shares for 12 weeks after the OFS. In order to streamline the process of OFS with an objective to encourage greater participation by employees, Sebi has modified the existing provision with respect to restriction on sale of shares by promoters post-OFS "Promoters of eligible companies shall be permitted to sell shares within a period of two weeks from the OFS transaction to the employees of such companies. The offer to employee shall be considered as a part of the said OFS transaction," Sebi said in a circular. At their discretion, promoters can offer shares to employees at the price discovered in the OFS transaction or at a discount to the price discovered. Astrology and Numerology Trading Tips