Market Update
Stocks Turn Lower, RBI Releases Bank Stress Test Review
Arjun Pandit
29 Dec, 2023
Mumbai
Stocks in Mumbai faced selling pressure after rising for five days in a row amid mixed global market sentiment.
The Sensex and the Nifty indexes declined 0.4%, and investors avoided small and mid-cap stocks in Friday's trading.
The two popular indexes are still up 1.5% for the week and advanced for the eighth week in a row after positive economic growth and weakening inflation supported investor enthusiasm.
Market indexes are set to rise for the eighth week in the last nine weeks as the year 2023 closes, and the Sensex index advanced 18% and the Nifty index gained 19.3% in 2023.
Investors also reviewed the latest financial stability report released by the Reserve Bank of India.
RBI Stress Test Shows Resilient Domestic Banking System
"The Indian economy and the domestic financial system remain resilient after the completion of their stress test ending in September.
"Strong macroeconomic fundamentals, healthy balance sheets of financial institutions, moderating inflation, improving external sector position, and continuing fiscal consolidation" are supporting the resilience of the domestic financial system.
The gross non-performing asset ratio continued to decline to a multi-year low of 3.2%, and the net non-performing asset ratio eased to 0.8% at the end of September.
The capital to risk-weighted assets ratio, or CRAR, and the common equity tier 1 ratio,or CET 1, of commercial banks stood at 16.8% and 13.7%, respectively.
India Indexes and Yields
The Sensex index decreased 302.07 points to 72,108.31, and the Nifty index eased 89.25 points to 21,690.45.
On the Mumbai stock exchange, 152 stocks traded at their 52-week highs and 9 stocks traded at their 52-week lows.
The yield on the 10-year Indian government bonds held firm at 7.20%, and the Indian rupee hovered near ₹83.27 against the U.S. dollar.
The gold price decreased by 0.2% to ₹63,250 per ten grams, and silver fell by 0.98% to ₹74,228 per kilo.
Crude oil decreased by 0.8% to ₹5,999 per barrel, and natural gas fell by 0.3% to ₹211.60 per thermal unit.
India Stock Movers
Tata Coffee Limited, Tata Consumer Products Limited, and its wholly owned subsidiary Tata Consumer Products Beverages and Food are expected to be effective January 1, 2024.
TCPL will exchange one share for every 22 shares held in TCL for the company's plantation business.
For the remaining businesses, TCPL will issue 14 shares for every 55 shares held in TCL.
After the completion of the merger, TCL shareholders will effectively receive 10 shares of TCPL in exchange for every three shares held.
Tata Coffee increased 3.7% to ₹319.70, and Tata Consumer Products advanced 3.5% to ₹1,077.45.
RBL Bank increased 2.5% to ₹274.85 after the Reserve Bank of India granted mutual funds controlled by ICICI Prudential to acquire as much as a 10% stake in the lender.
Oil companies were in focus after crude oil prices dropped as much as 3% in the international markets and on speculation that the central government is looking to lower retail prices at petrol pump stations.
Reliance Industries decreased 0.6% to ₹2,589.10, Indian Oil declined 2.3% to ₹130.10, Bharat Petroleum fell 2.4% to ₹453.75, and Hindustan Petroleum dropped 4% to ₹399.80.
Railtel Corporation jumped 5.5% to ₹309.40 after the company won a 120 crore order from the South Central Railway Company.
S&P 500 Index Trades Near Record High as Mega Cap Tech Stocks Powered Rally Continues
Barry Adams
28 Dec, 2023
New York City
Stock market indexes on Wall Street were little changed in Thursday's trading, and investors reviewed the latest job market and pending home sales data.
The S&P 500 index is trading near its record high, and the Nasdaq Composite is set to register its best annual gain since 2003.
Stocks have been on the upswing for the last eight weeks in a row on the bets that the federal reserve has wider latitude in navigating inflation to its target level of 2% while keeping the economy growing at a healthy annual pace of near 2%.
The tricky maneuver, known as soft landing, is hard to achieve, but the Federal Reserve is more likely to engineer such a feat in 2024 because consumer spending is resilient and labor market conditions are still healthy.
Moreover, the steady economic expansion is also powering corporate earnings growth and supporting the stock market advance.
Initial Weekly Jobless Claims Rise
Initial jobless claims for the week ending on December 23 rose by 12,000 to 218,000, the U.S. Department of Labor reported Thursday.
The previous week's level was revised up by 1,000 to 206,000 and the 4-week moving average was 212,000, a decrease of 250 from the previous week's revised average.
The previous week's average was revised up by 250 from 212,000 to 212,250.
Continuing claims during the week ending December 16 were 1,875,000, an increase of 14,000 from the previous week's revised level.
The previous week's level was revised down by 4,000 from 1,865,000 to 1,861,000. The 4-week moving average was 1,864,500, a decrease of 12,500 from the previous week's revised average.
The previous week's average was revised down by 1,000 from 1,878,000 to 1,877,000.
Pending Home Sales Declined In November
Pending home sales in November were unchanged from the previous month, the National Association of Realtors reported Thursday.
The pending home sales index declined 1.2% in November, matching the revised rate in October, indicating a weak rebound in demand for homes despite the easing of mortgage rates in the month.
Pending transactions were down 5.2% from a year ago.
The Northeast, Midwest, and West posted monthly gains in transactions, while the South recorded a loss.
All four U.S. regions registered year-over-year declines in transactions.
U.S. Indexes and Yields
Benchmark indexes continued their advance in December, in the fourth quarter, and throughout the year.
In December, the S&P 500 advanced 4.0% and the Nasdaq Composite gained 6%, and in the fourth quarter, the indexes gained 12% and 14%, respectively.
The Nasdaq index is up 44%, its best annual gain since 2003.
In Wednesday's trading, the S&P 500 index gained 0.03% to 4,768.13, and the Nasdaq Composite increased 0.02% to 15,041.07.
The yield on 2-year Treasury notes increased to 4.26%, 10-year Treasury notes inched higher to 3.81%, and 30-year Treasury bonds eased to 3.97%.
WTI crude oil decreased $0.91 to $73.19 a barrel, and natural gas prices increased 2 cents to $2.46 a thermal unit.
Gold decreased $1.03 to $2,076.13 an ounce and extended this year's gains to 14.6%.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 100.83.
U.S. Stock Movers
Apple Inc. increased 0.3% to $193.65 after the popular electronic gadget maker won temporary relief from the U.S. government ban on the sale of some Apple Watch models.
General Motors declined 0.2% to $36.0, and the automaker sued the San Francisco government to recover $108 million paid over the last seven years despite having no presence or employees in the city.
Europe Movers: Banks, Energy Stocks, Mining Stocks, Skanska, Vestas
Inga Muller
28 Dec, 2023
Frankfurt
European markets rested near their recent highs, and investors debated the rate path, the economic outlook in the currency union, and the prospects of global export growth amid a weak economic rebound in China.
The DAX index decreased 0.2% to 16,714.39, the CAC-40 index declined 0.2% to 7,562.36, and the FTSE 100 index inched lower by 0.07% to 7,718.97.
The yield on 10-year German bonds decreased to 1.92%; French bonds inched lower to 2.44%; the UK gilts inched lower to 3.48%; and Italian bonds inched higher to 3.52%.
Banks, financial services, and automakers struggled in the final week of trading.
Renault, Mercedes-Benz, Volkswagen, and Stellantis declined between 0.1% and 0.7%.
UniCredit, Deutsche Bank, Banco Santander, Societe Generale, and Barclays Bank declined between 0.2% and 0.6%.
Energy companies declined after Brent crude oil prices eased below $80 a barrel and leading shipping companies returned to the Red Sea shipping lanes despite the elevated tensions in the Middle East.
BP Plc declined 0.3% to 465.83 pence, Shell Plc decreased 0.3% to 2,548.0 pence, TotalEnergies dropped 1.3% to €61.64, and Repsol SA eased 1.4% to €13.61.
Mining companies lacked direction in thin trading, and base metal prices showed little movement on the persistent demand growth worries in China.
Glencore, Antofagasta, and Anglo American traded sideways in a tight trading range.
Vestas Wind System rose 1.8% to DKK 213.85 and extended gains for the sixth session in a row after the company won an order to supply 1.1 GW of wind turbines in the United States.
Skanska AB jumped 0.4% to SEK 183.40 after the company won a $147 million contract from the U.S. Navy for the National Oceanic and Atmospheric Administration.
European Markets Hover Near Recent Highs, Brent Oil Price Drops Below $80
Bridgette Randall
28 Dec, 2023
Frankfurt
European markets witnessed marginal losses in thin trading, and the euro edged higher against the U.S. dollar.
Benchmark indexes traded near recent highs as investors supported the bets for rate cuts by major central banks in the U.S. and Europe early next year.
The Federal Reserve has indicated the possibility of rate cuts in 2024, but the European Central Bank has pushed back, citing elevated and persistent inflation.
Despite policymakers at the European Central Bank indicating the need for higher rates for longer, investors have been bidding up stocks in the hope that the steady decline in inflation over the last nine months may convince central bankers to cut rates earlier than expected.
The euro and the pound continued to edge higher against the U.S. dollar, and both currencies traded at five-month highs.
The DAX index is up 19%, and the CAC 40 index has gained 14.7% in the year so far, despite the sluggish economic outlook and elevated inflation across the currency union and in the U.K.
Europe Indexes and Yields
The DAX index decreased 0.2% to 16,714.39, the CAC-40 index declined 0.2% to 7,562.36, and the FTSE 100 index inched lower by 0.07% to 7,718.97.
The yield on 10-year German bonds decreased to 1.92%; French bonds inched lower to 2.44%; the UK gilts inched lower to 3.48%; and Italian bonds inched higher to 3.52%.
The euro traded higher to $1.11, the British pound inched higher to $1.28, and the U.S. dollar eased to 83.49 Swiss cents.
Crude oil prices declined for the second day in a row and extended the 2-day loss to 2.5% after U.S. oil inventories rose more than expected to 1.84 million barrels last week, the largest increase in five weeks.
Moreover, U.S.-led maritime patrolling also facilitated the return of major oil companies to Red Sea shipping lanes.
Brent crude decreased $0.20 to $79.34 a barrel, and the Dutch TTF natural gas decreased by €1.92 to €33.60 per MWh.
Europe Stock Movers
Banks, financial services, and automakers struggled in the final week of trading.
Renault, Mercedes-Benz, Volkswagen, and Stellantis declined between 0.1% and 0.7%.
UniCredit, Deutsche Bank, Banco Santander, Societe Generale, and Barclays Bank declined between 0.2% and 0.6%.
Energy companies declined after Brent crude oil prices eased below $80 a barrel and leading shipping companies returned to the Red Sea shipping lanes despite the elevated tensions in the Middle East.
BP Plc declined 0.3% to 465.83 pence, Shell Plc decreased 0.3% to 2,548.0 pence, TotalEnergies dropped 1.3% to €61.64, and Repsol SA eased 1.4% to €13.61.
Mining companies lacked direction in thin trading, and base metal prices showed little movement on the persistent demand growth worries in China.
Glencore, Antofagasta, and Anglo American traded sideways in a tight trading range.
Vestas Wind System rose 1.8% to DKK 213.85 and extended gains for the sixth session in a row after the company won an order to supply 1.1 GW of wind turbines in the United States.
Skanska AB jumped 0.4% to SEK 183.40 after the company won a $147 million contract from the U.S. Navy for the National Oceanic and Atmospheric Administration.
Movers: Azad Engineering, HUDCO, KPI Green, RBZ Jewellers, Zomato
Arun Goswami
28 Dec, 2023
Mumbai
Benchmark indexes on Dalal Street traded at new intra-day highs in a broad rally.
The Sensex index increased 137.95 points to 72,176.38, and the Nifty index rose 41.40 points to 21,696.15.
On the Mumbai stock exchange, 266 stocks traded at their 52-week highs and 13 stocks traded at their 52-week lows.
Among the widely held stocks, Asian Paints, Bajaj Auto, and Dr. Reddy's Labs were among the decliners.
Reliance Industries, HDFC Bank, Coal India, Trent, Bajaj FinServ, Mahindra &Mahindra, SBI Life, Hero Motocorp, and NTPC traded higher.
Zomato decreased 3% to ₹123.20 after the delivery company received ₹402 crore demand for unpaid GST from the regulatory authorities.
Housing & Urban Development Corp. soared 17% to ₹134.15 after the company signed an investment agreement worth 14,500 crore with the Gujarat government.
Azad Engineering increased to ₹714.20 after the company priced its initial public offering at ₹524 per share.
KPI Green Energy advanced 4.9% to ₹1,341.45 after the company board is scheduled to meet on December 30 to consider a bonus share issue to shareholders.
RBZ Jewellers Ltd. gained 5% to ₹110.23 after the company listed on Wednesday its initial public offering at ₹100 per share and raised ₹100 crore.
New Intra-day Highs In Sensex and Nifty Indexes
Arjun Pandit
28 Dec, 2023
Mumbai
Stocks in Mumbai traded higher for the third day in a row amid volatile crude oil prices in international markets.
The Sensex and the Nifty indexes advanced and extended their weekly gains amid positive market sentiment and steady investment flows from domestic and international investors.
Crude oil prices remained volatile amid worries about the prospect of a wider conflict in the Middle East after the U.S. military targeted several installations in Iraq controlled by Iran-backed rebels.
Market indexes in Hong Kong and Shanghai advanced after foreign investors purchased stocks worth $790 million on Wednesday, according to Stock Connect data available from exchanges.
In broader Asian trading, benchmark indexes in South Korea and Australia advanced around 0.4% but declined 0.3% in Tokyo.
India Indexes and Yields
The Sensex index increased 137.95 points to 72,176.38, and the Nifty index rose 41.40 points to 21,696.15.
On the Mumbai stock exchange, 266 stocks traded at their 52-week highs and 13 stocks traded at their 52-week lows.
The yield on the 10-year Indian government bonds held firm at 7.20%, and the Indian rupee hovered near ₹83.27 against the U.S. dollar.
The gold price increased by 0.2% to ₹63,821 per ten grams, and silver edged up by 0.08% to ₹75,707 per kilo.
Crude oil decreased by 0.5% to ₹6,181 per barrel, and natural gas fell by 1.0% to ₹205.30 per thermal unit.
India Stock Movers
Among the widely held stocks, Asian Paints, Bajaj Auto, and Dr. Reddy's Labs were among the decliners.
Reliance Industries, HDFC Bank, Coal India, Trent, Bajaj FinServ, Mahindra &Mahindra, SBI Life, Hero Motocorp, and NTPC traded higher.
Zomato decreased 3% to ₹123.20 after the delivery company received ₹402 crore demand for unpaid GST from the regulatory authorities.
Housing & Urban Development Corp. soared 17% to ₹134.15 after the company signed an investment agreement worth 14,500 crore with the Gujarat government.
Azad Engineering increased to ₹714.20 after the company priced its initial public offering at ₹524 per share.
KPI Green Energy advanced 4.9% to ₹1,341.45 after the company board is scheduled to meet on December 30 to consider a bonus share issue to shareholders.
Prospects of Wider Conflict In the Middle East Keep Oil Volatile, U.S. Stocks Retain Upward Bias
Barry Adams
27 Dec, 2023
New York City
Stocks rested in Wednesday's trading, and benchmark indexes hovered near recent highs.
The S&P 500 index traded less than 0.5% from its peak, and the Nasdaq 100 index closed at a new high in the previous session.
Crude oil was in focus amid rising tensions in the Middle East, and traders grappled with a wider fallout in the region after the U.S. military targeted Iran-backed rebels' installations in Iraq.
Iran-backed Houthi rebels continued their attacks on ships traveling in the Red Sea as the conflict between Hamas and Israel showed no sign of ebbing.
Benchmark indexes are likely to close higher in the final week of 2023 and extend their rally to the ninth week in a row as tech stocks lead market gainers.
Market indexes in the U.S. advanced 0.5% in Tuesday's trading, and investors bid up stocks in the hopes of a rate cut as early as March.
The Federal Reserve is widely anticipated to leave rates steady after the first policy meeting in 2024 at the end of January, but investors are hoping that the policymakers may begin to ease in March.
The rate-cut optimism is largely driven by the steady decline in overall inflation, powered by the fall in energy prices from higher base prices.
Moreover, the Federal Reserve is signaling that the lagging effect of the 500 basis point rate increase since March 2022 has still not been felt by the wider economy.
Investors are hoping that the Federal Reserve will be able to bring down inflation to its target rate of 2% while keeping the economy growing at 2% without significantly increasing unemployment.
U.S. Indexes and Yields
Benchmark indexes continued their advance in December and in the fourth quarter.
In December, the S&P 500 advanced 4.5% and the Nasdaq Composite gained 6%, and in the fourth quarter, the indexes gained 11.4% and 14%, respectively.
In Wednesday's trading, the S&P 500 index gained 0.03% to 4,768.13, and the Nasdaq Composite increased 0.02% to 15,041.07.
The yield on 2-year Treasury notes increased to 4.29%, 10-year Treasury notes inched higher to 3.86%, and 30-year Treasury bonds eased to 4.01%.
WTI crude oil decreased $1.41 to $74.20 a barrel, and natural gas prices increased 6 cents to $2.48 a thermal unit.
Gold advanced $0.56 to $2,067.18 an ounce and extended this year's gains to 14.6%.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 101.37.
U.S. Stock Movers
Ascent Industries soared 10% to $8.92 after the company said it agreed to sell its carbon steel pipe and tubing business for $55 million.
The company plans to use some of the proceeds to pay down debt.
Coherus Biosciences soared 34.7% to $2.94 after the company won approval from the Food and Drug Administration for its UDENYCA ONBODY injection system for patients using chemotherapy to prevent infection.
China-based online gaming companies were in focus after a Chinese regulator said it plans to "further modify and improve" a recently released proposal to curb excessive gaming.
NetEase declined 4% to $88.68, and Tencent Holdings ADR decreased 2.7% to $36.71.
The New York Times traded at $46.11, and the publishing company sued Microsoft and the parent company of ChatGPT operator Open AI for infringing on its copyright and using its intellectual property without its permission.
Rate Cut Hopes Dominate European Stock Markets Sentiment
Bridgette Randall
27 Dec, 2023
Frankfurt
Stock market indexes in Europe struggled to gain traction, and investors debated the rate path and economic outlook for the next year.
Market indexes in Frankfurt, Paris, and London edged up after investors returned from a four-day holiday, and in the absence of domestic news, focus shifted to international markets.
Despite the weakening economic backdrop, stock market indexes in Germany are up nearly 19% and in France are up 15% in the year so far.
Stocks powered ahead in the last seven weeks after the European Central Bank held its rates for the first time after the policy meeting on October 26 and extended the rate pause again on December 14.
The European Central Bank is also expected to leave its policy rates on hold on January 25, but investors are hoping that policymakers will lower rates at the end of the subsequent meeting on March 7.
Market indexes in the U.S. advanced 0.5% in Tuesday's trading, and investors bid up stocks in the hopes of a rate cut as early as March.
The Federal Reserve is widely anticipated to leave rates steady after the first policy meeting in 2024 at the end of January.
Europe Indexes and Yields
The DAX index increased 0.04% to 16,714.72, the CAC-40 index advanced 0.2% to 7,582.97, and the FTSE 100 index inched higher by 0.4% to 7,731.84.
The yield on 10-year German bonds decreased to 1.93%; French bonds inched lower to 2.44%; the UK gilts inched lower to 3.47%; and Italian bonds inched lower to 3.50%.
The euro traded higher to $1.10, the British pound inched higher to $1.27, and the U.S. dollar eased to 85.26 Swiss cents.
Brent crude decreased $0.27 to $80.81 a barrel, and the Dutch TTF natural gas increased by €2.65 to €36.85 per MWh.
Europe Stock Movers
Banks traded mixed, and investors debated a possible rate cut as early as 2024.
Deutsche Bank edged down 0.2% to €12.35, Societe Generale advanced 0.7% to €24.25, UniCredit declined 0.1% to €24.39, and Barclays jumped 1.4% to 153.86 pence.
Energy companies were in focus after uncertainties rose in the Red Sea and tensions remained high between the U.S., Iran, and Israel.
The U.S. military targeted strikes at installations operated by Iran-backed non-state groups following the Houthi rebel attack on ships in the Red Sea.
The prospect of a wider war involving Iran-backed Hamas-controlled groups and U.S.-backed Israel also kept investors on edge.
BP plc increased 0.4% to 468.92 pence, Shell plc added 0.2% to 2,572.50 pence, and TotalEnergies advanced 0.7% to €62.73.
Automakers traded generally higher in the hopes that lower interest rates in 2024 will spur higher demand for vehicles.
Mercedes Benz decreased 0.1% to €62.78, Volkswagen dropped 0.6% to €111.96, Renault Group declined 0.4% to €37.55, but Stellantis advanced 0.1% to €21.26.
Movers: Adani Energy Solutions, AGEL, Power Grid, Power Finance, SJVN, Tata Motor, Vishnu Prakash
Arun Goswami
27 Dec, 2023
Mumbai
Stocks in Mumbai advanced, and benchmark indexes extended their gains in the final week of 2023.
The Sensex index increased 366.83 points to 71,703.68, and the Nifty index rose 110.40 points to 21,551.75.
On the Mumbai stock exchange, 233 stocks traded at their 52-week highs and 12 stocks traded at their 52-week lows.
Adani Green Energy increased 1.8% to ₹1,630.0, and the company said it completed the transfer of assets to a joint venture with the France-based TotalEnergies.
TotalEnergies contributed $300 million, and Adani Green transferred a portfolio of renewable power generation assets with a capacity to produce 1.05 GW of power.
Adani Energy Solutions soared 2.1% to ₹1,062.0, and the company said it received a letter of intent from PFC Consulting to acquire the Halvad Transmission project.
The Halvad project is expected to be completed by the end of 2026.
SJVN Ltd. gained 2.9% to ₹94.25 after the company was awarded a 100 MW solar power project from Gujarat Urja Vikas Nigam for an estimated value of ₹550 crore.
Power Grid Corporation increased 2% to ₹235.35 after the company said it launched operations at its 500 MW wind energy zone in Tamil Nadu.
Power Finance declined 1.1% to ₹387.85, and the company sold Vataman Transmission for ₹18.20 crore and the Koppal-Gadag transmission SPV in Karnataka for ₹18.40 crore to Power Grid.
Tata Motors rose 2.2% to ₹735.55 after the company struck a deal to supply 1,350 units of the LPO version of the diesel bus chassis to Uttar Pradesh State Road Transportation Corporation.
Zee Learn was unchanged at ₹6.50, and the company said it will review the claims filed by Axis Bank in its recent petition with the National Company Law Tribunal seeking insolvency proceedings against the company.
Vishnu Prakash R. Punglia advanced 5% to ₹230.10 after the company won an 899 crore contract from the Uttarakhand government for several development projects.
India Stocks Advance In the Final Week of 2023
Arjun Pandit
27 Dec, 2023
Mumbai
Stocks opened higher, and positive sentiment prevailed in trading on Dalal Street.
The Sensex and the Nifty indexes advanced and extended their gains for the second day this week in a broad rally that lifted stocks across all market caps.
Current Account Gap Narrows In September Quarter
The current account deficit in the September quarter narrowed to $8.3 billion from $30.9 billion a year ago, the Reserve Bank of India reported late Tuesday.
The decline in the international trade deficit supported the current account gap improvement.
The merchandise goods deficit in the quarter shrank to $61.0 billion from $78.3 billion, and the service surplus rose to $40.0 billion from $34.4 billion.
Meanwhile, the primary income gap increased to $12.2 billion from $11.8 billion, and the secondary income edged higher to $25 billion from $24.8 billion a year ago.
There was an accretion of foreign exchange reserves by $2.5 billion compared to a depletion of $30.4 billion in the quarter a year ago.
In the first half of fiscal 2024, the current account gap shrank to $17.5 billion from $48.8 billion a year ago, largely reflecting lower energy costs.
India Indexes and Yields
The Sensex index increased 366.83 points to 71,703.68, and the Nifty index rose 110.40 points to 21,551.75.
On the Mumbai stock exchange, 233 stocks traded at their 52-week highs and 12 stocks traded at their 52-week lows.
The yield on the 10-year Indian government bonds held firm at 7.18%, and the Indian rupee hovered near ₹83.21 against the U.S. dollar.
The gold price increased by 0.03% to ₹62,740 per ten grams, and silver edged up by 0.01% to ₹75,025 per kilo.
Crude oil increased by 2.3% to ₹6,306 per barrel, and natural gas fell by 0.2% to ₹201.80 per thermal unit.
India Stock Movers
Adani Green Energy increased 1.8% to ₹1,630.0, and the company said it completed the transfer of assets to a joint venture with the France-based TotalEnergies.
TotalEnergies contributed $300 million, and Adani Green transferred a portfolio of renewable power generation assets with a capacity to produce 1.05 GW of power.
Adani Energy Solutions soared 2.1% to ₹1,062.0, and the company said it received a letter of intent from PFC Consulting to acquire the Halvad Transmission project.
The Halvad project is expected to be completed by the end of 2026.
SJVN Ltd. gained 2.9% to ₹94.25 after the company was awarded a 100 MW solar power project from Gujarat Urja Vikas Nigam for an estimated value of ₹550 crore.
U.S. Stock Indexes Trade Higher and Treasury Yields Hold Steady
Barry Adams
26 Dec, 2023
New York City
Stocks on Wall Street advanced in a holiday-shortened week of thin trading.
The S&P 500 index and the Nasdaq Composite extended their eight-week rally as trading for the final week began.
Stocks have been rallying for the last eight weeks in a row after inflation continued to drift lower over the last nine months and economic growth stayed above 2%, giving room to the Federal Reserve to engineer a soft landing.
Investors are hoping that the Fed will pause a rate hike at the end of its first policy meeting on January 31, 2024.
However, central bankers have pushed back against the rate-cut scenario over the last two weeks, but market indexes have continued to advance.
U.S. Indexes and Yields
The S&P 500 index gained 0.1% to 4,762.36, and the Nasdaq Composite increased 0.3% to 15,037.67.
The yield on 2-year Treasury notes increased to 4.37%, 10-year Treasury notes inched higher to 3.90%, and 30-year Treasury bonds eased to 4.05%.
WTI crude oil increased $1.70 to $75.25 a barrel, and natural gas prices increased 1 cent to $2.53 a thermal unit.
Gold advanced $5.96 to $2,058.98 an ounce and extended this year's gains to 13.5%.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 101.67.
U.S. Stock Movers
RayzBio Inc. jumped 100% to $61.30 after Bristol Myers Squibb said it agreed to acquire the radiopharmaceutical therapeutics for $62.50 a share, or $4.1 billion.
Gracell Biotechnology Inc. soared 60% to $9.92 after Astra Zeneca said it would acquire the China-based cell therapy company for $10 per share, or $1.2 billion.
Intel Corporation gained 2.2% to $49.05 after the advanced semiconductor chipmaker received $3.2 billion from the Israeli government to build a $25 billion plant in southern Israel.
Manchester United PLC increased 1.3% to $20.10 after UK investor Jim Ratcliffe finalized his agreement to acquire a 25% stake in the football club for $33 a share.
Movers: Adani Green, Adani Wilmar, Anupam Rasayan, Infosys, Motisons, Muthoot Microfin, Suraj Estates
Arun Goswami
26 Dec, 2023
Mumbai
Stocks in Mumbai opened higher in the final week of 2023, and three companies listed their shares after completing their initial public offerings.
The Sensex index increased 16.98 points to 71,123.94, and the Nifty index rose 26.80 points to 21,376.20.
In the previous week, the Sensex eased 0.2% and the Nifty decreased 0.4%.
On the Mumbai stock exchange, 185 stocks traded at their 52-week highs and 16 stocks traded at their 52-week lows.
Banks, financial services providers, and vehicle makers were among the leading gainers in Tuesday's trading.
The State Bank of India, HDFC Bank, Kotak Mahindra, ICICI Bank, and Axis Bank gained between 0.4% and 0.7%.
Bajaj Auto, Mahindra & Mahindra, Maruti Suzuki, Hero Motocorp, Eicher Motors, Tata Motors, and Ashok Leyland gained between 0.1% and 3.5%.
One 97 Communications Ltd., parent of Paytm, decreased 1.3% to ₹633.50 after the company laid off 1,000 employees.
The company blamed the layoff on the recent tightening of rules by the Reserve Bank of India and the adoption of AI-driven technology tools.
Muthoot Microfin and Suraj Estates traded down compared to their initial public issue prices.
Suraj Estates traded ₹346.15 after pricing its initial public offering at ₹360 per share.
Muthoot Microfin declined to ₹273.14, and the company priced its initial public offering at ₹291 per share.
Motisons Jewellers opened at ₹103.90 and eased to ₹99.25 after the company priced its initial public offering at ₹55 per share.
Infosys declined 1.3% to ₹1,542.50 after the company said it lost a contract with a global client worth $1.3 billion over several years.
Anupam Rasayan Limited declined 0.5% to ₹1,004.0 after the company signed a ₹507 crore contract with a Japanese firm to supply a polymer intermediate for the next nine years.
Adani Green Energy increased 1.6% to ₹1,558.0 after the company signed an agreement to supply 1.8 GW of solar power to the Solar Energy Corporation of India.
With the latest agreement, the company has signed a total of 19.8 GW of power supply agreements.
Adani Wilmar declined 0.5% to ₹363.45, and the promoters plan to sell a 1.24% stake in the company before January 31 to comply with the SEBI requirements.
ONGC increased 1.6% to ₹207.30 after the company's wholly owned subsidiary, ONGC Videsh, plans to raise ₹5,000 crore through the sale of non-convertible bonds and finance its capital expenditure and debt refinancing.
India Stocks Advanced In Volatile Trading, Coronavirus and Crude Oil In Focus
Arjun Pandit
26 Dec, 2023
Mumbai
Stocks opened higher in Mumbai trading in the final week of 2023, and crude oil prices were in focus.
Benchmark indexes edged up about 0.1% in early trading, and markets in Tokyo and Shanghai traded lower in thin trading amid a lack of market-moving events.
Volatility is expected to be higher than normal this week because of the expiry of derivative contracts and the lack of international investor participation in Mumbai trading.
Stocks in Mumbai were under pressure after 628 new coronavirus cases were registered and total active cases rose to 4,054, according to India's health ministry.
Crude oil prices were volatile in international trading after prices rose 3% in the previous week amid rising tensions in the Red Sea.
Supply chain worries were in focus after more shipping companies announced their plans to divert cargo from the Red Sea to sea lanes along southern Africa.
Financial markets in Hong Kong, Australia, and New Zealand were closed to celebrate the Christmas holiday.
The jobless rate in Japan in November was 2.5%, unchanged from the previous month, the Ministry of Internal Affairs and Communications said Monday.
The jobless rate declined to the lowest since January after the number of employed persons increased by 560,000 to 67.8 million, surpassing the increase in the number of unemployed people by 40,000 to 1.69 million.
India Indexes and Yields
The Sensex index increased 16.98 points to 71,123.94, and the Nifty index rose 26.80 points to 21,376.20.
In the previous week, the Sensex eased 0.2% and the Nifty decreased 0.4%.
On the Mumbai stock exchange, 185 stocks traded at their 52-week highs and 16 stocks traded at their 52-week lows.
The yield on the 10-year Indian government bonds held firm at 7.18%, and the Indian rupee hovered near ₹83.15 against the U.S. dollar.
The gold price increased by 0.3% to ₹63,165 per ten grams, and silver edged up by 0.3% to ₹75,626 per kilo.
Crude oil decreased by 0.4% to ₹6,140 per barrel, and natural gas fell by 3.4% to ₹200.40 per thermal unit.
India Stock Movers
One 97 Communications Ltd. decreased 1.3% to ₹633.50 after the company laid off 1,000 employees.
The company blamed the layoff on the recent tightening of rules by the Reserve Bank of India and the adoption of AI-driven technology tools.
Banks, financial services providers, and vehicle makers were among the leading gainers in Tuesday's trading.
The State Bank of India, HDFC Bank, Kotak Mahindra, ICICI Bank, and Axis Bank gained between 0.4% and 0.7%.
Bajaj Auto, Mahindra & Mahindra, Maruti Suzuki, Hero Motocorp, Eicher Motors, Tata Motors, and Ashok Leyland gained between 0.1% and 3.5%.
New Home Sales Plunged to a One-year Low In November
Brian Turner
22 Dec, 2023
New York City
Sales of new single-family houses in November declined to a seasonally adjusted annual rate of 590,000, the U.S. Census Bureau and the Department of Housing and Urban Development estimated in a report released on Friday.
New home sales declined 12.2% from the revised October rate of 672,000, but were 1.4% higher than the 582,000 estimate in the month a year ago.
The media price of new homes sold in November was $434,700, and the average price was $488,900.
The seasonally adjusted estimate of new houses for sale at the end of November was 451,000. This represents a supply of 9.2 months at the current sales rate.
Seasonally adjusted private home sales peaked in July at an annual pace of 728,000 and dropped below 600,000 for the first time in 2023.
The monthly supply of available homes for sale jumped above 9 months for the first time in 2023 after dropping to a low of 7.1 in July.
The percentage of all homes sold above $750,000 dropped below 7% from 10% in October and from 15% in the month a year ago.
Meanwhile, housing starts and completions continued to rise at a healthy pace in November, according to a separate report released by the government agency on Tuesday.
Seasonally adjusted single-family housing starts in November increased 18% from the previous month to a rate of 1.14 million.
Seasonally adjusted single-family housing completion declined 3.2% from the previous month to a rate of 960,000.
Newly built homes have become an increasingly attractive option for home buyers after existing home sales are hovering at a 30-year low and new home sales are estimated to jump at least 9% this year.
New home sales, which account for about 14% of all home sales, are generally priced higher than existing homes, and about 76% of all new home sales were priced between $300,000 and $749,00 in November.
New homes are generally priced higher than existing ones.
Despite the median home price declining 6% from a year ago to $434,700, the new homes are still priced higher than the $391,800 median home price of existing homes in November.
The popular 30-year fixed-rate mortgage rate has edged slightly lower after peaking at a 23-year high of 7.79% in late October to just below 7%, according to the data available from the government-owned mortgage lender Freddie Mac.