Traders: Listen Up: New Retail Traders’ Option Bets Could Backfire
– Bankers decide to refer Future Retail to NCLT
– Gasoline exceeding Rs 100 mark in Delhi
– Sebi asks Ruchi Soya to allow FPO investors to withdraw their offers
Now let me give you a quick overview of the state of the markets.
Asian shares opened higher on Tuesday, extending U.S. gains on hopes of peace talks between Russia and Ukraine, while investors also bought stocks for the right to receive dividends. The MSCI Asia-Pacific ex-Japan equity index rose 0.56%.
Elsewhere, the yield on 10-year Treasury bills was 2.46%. The dollar pared its gain, while the yen hovered around its six-year low against the greenback on the divergence between the hawkish Fed and the dovish Japanese central bank. U.S. crude futures fell on Tuesday, extending losses from the day before as Ukraine and Russia headed for peace talks and on fears of lower fuel demand in China after the shutdown of the Shanghai financial center to curb a rise in COVID-19 cases.
That said, here’s what’s making the news.
Given the market leadership, a return on equity twice that of its peers and an improving margin, Motherson Sumi Wiring India (MSWI) is likely to benefit from a higher valuation compared to the multiple 25-27 industry average price-earnings (P/E) based on FY24 expected results.
Most brokerages retained buy ratings of telecom giant Bharti Airtel, optimistic about the company’s growth opportunities in the digital and mobile segments. Motilal Oswal maintained a buy rating on Bharti Airtel with a target price of ₹910 and Jefferies maintained a buy rating with a target price of ₹860.
With aggressive inorganic focus, acquiring more screens was not easy for PVR, as taking single screens and converting them to multiplex would be an expensive proposition. Instead of acquiring smaller players, a merger with the second largest company therefore makes more sense.
Many unsuspecting retail traders could drift into unaffordable losses in stock options. As March equity derivatives contracts expire on Thursday, stockbrokers are concerned about the likelihood that several options bets will backfire.
NOW Before we go, here’s a look at some of the action buzzing this morning…
Bank of India-led lenders decided last week to refer Future Retail Ltd (FRL) to the National Company Law Tribunal (NCLT) for insolvency proceedings over dues recovery, two people with knowledge of the development said, a move that could further hamper the sale. of commercial assets to a unit of Reliance Industries Ltd (RIL).
Bharti Airtel could monetize its tower, payment bank, data center and fiber assets, among others, the telecom company told analysts.
ONGC Videsh Ltd has sold at least one shipment of Russian Sokol oil to Indian refiners Hindustan Petroleum Corp and Bharat Petroleum Corp after failing to show interest in a tender earlier this month.
Drugmaker Aurobindo Pharma said on Monday it had acquired the domestic formulations business of Veritaz for Rs 171 crore on a debt-free and cash-free basis.
Also, check out over two dozen stock recommendations for today’s trade from top analysts at ETMarkets.com.
That’s all for the moment. Stay with us for all market news throughout the day. Good investment!