Stocks to look out for this Week
Last week continued to be volatile. Friday saw the loss of all gains built up during the first four days. BSE SENSEX closed at 37877.34 points after losing 163.23 points or 0.43% while NIFTY closed at 11,178.40 points after losing 35.65 points or 0.32%.
The broader indices saw BSE100 lose 0.03% while BSE200 gained 0.03% and BSE500 gained 0.18%. BSE SMALLCAP was up 1.36% and BSE MIDCAP 1.51%. After a long time, this difference of benchmark indices in the red and broader indices in the positive was seen. Usually, all indices are either positive or negative.
Closing at Rs 74.90 to the US $, INR gained 3 paise. Closing at 27,931.02 points, Dow Jones gained 497.54 points or 1.81%. Upon gaining for 2 days, the Indian indices lost on three days. Friday was the sharp loser as NIFTY lost 122 points while BSE SENSEX 467 points. Till Friday, the markets were gaining.
RS 57,128 crores are to be paid by RBI to the government as dividend for 2019-2020.
At a price of Rs 358, ICICI has successfully completed its QIP for Rs 15,000 crores. With a weekly gain of Rs 3.60 or 1.01 per cent, Th share had closed at Rs 361.45 on Friday.
After hearing the AGR matter of telecom companies, Supreme court has come to the issue of Reliance Industries and Reliance Communications. The spectrum was allotted to Reliance Communications when it was a part of Reliance Industries. When it exited the telecom business, a spectrum deal was signed with Jio. Rs 31,000 crores dues towards the spectrum dues are being asked by the court. Jio had taken over both assets and liabilities of Reliance Communications. When trading begins on Monday, this could affect the shares. At a loss of Rs 33, shares of Reliance Industries closed at Rs 2,114.
After hitting a high of Rs 17.16, shares of Yes Bank saw the fall closing at Rs 15.07 with a weekly gain of 7.39%. It would now move between 13.5-16 in the next 2 weeks as it has entered a trading zone until news about the performance of the bank after fundraising are known.
The Malaysian based company, IHH, has proposed a name change to ‘Parkway’ and also disassociating itself from the Singh Brothers. They had acquired Fortis Healthcare. The name change is subject to regulatory approvals and the Supreme Court. After resolving this issue, they would rename themselves with a brand operating in more than 10 countries. Down Rs 2.15, the shares closed at Rs 135.80.
The world saw 216,17,987 COVID-19 patients, 7,69,006 deaths and 143,34,222 recoveries. 25,90,501 patients, 50,099 deaths and 18,62,665 recoveries was seen in India. 18,06,240 new patients, 39,345 deaths and 16,08,074 recoveries took place as compared to the previous week. This translates to 89.02% of patients being added this week recovering. At a recovery rate of 87.77%, India saw 4,34,058 new patients, 6,611 deaths and 3,80,99 recoveries.
Markets would open on a weak note this week. The pressure is likely to remain over Reliance Industries due to the AGR News. At a previous week’s high of 38,556 points and 11,366 on NIFTY, markets would face resistance. While NIFTY cross its recent high of 38,617 points, BSE SENSEX failed to cross its 38,617 points. It would be difficult to cross these. Support would be found at 37,000 on BSE SENSEX and at 10,900 points on NIFTY if not earlier. To buy on sharp dips or waiting for the fall would be strategy now.