TCS is expected to report muted earnings, Utkarsh Small Finance Bank IPO begins today

Opening Bell:

Gift Nifty is down by 11.0 points in the early morning trade, indicating a negative opening for Indian stock market.

Asia-Pacific markets were mostly higher ahead of key inflation data out of India and the US on Wednesday. The S&P 500 fell 0.3% on Friday, Nasdaq 100 futures were little changed. In Japan, the Nikkei 225 extended its Tuesday gains and climbed 0.14 percent, while the Topix was up 0.6 percent.

US stocks gained on Tuesday, helped by optimism ahead of key inflation reports and as JPMorgan and other financial shares gained before earnings later this week. The Dow Jones Industrial Average rose 317.02 points, or 0.93 percent, to 34,261.42, the S&P 500 gained 29.73 points, or 0.67 percent, to 4,439.26 and the Nasdaq Composite added 75.22 points, or 0.55 percent, to 13,760.70.

Stocks News:

👉The initial public offer of Utkarsh Small Finance Bank is set to open on July 12 and bidding will close on July 14. The anchor book, the part of qualified institutional buyers, was opened on July 11. The small finance bank has set the price band for its issue at Rs 23-25 per share. The bank plans to raise Rs 500 crore from its offering that comprises only fresh issue portion.

👉IT services major Tata Consultancy Services (TCS) is once again expected to report a muted quarter, in line with the predictions of several analysts. The company is all set to detail its April-June earnings after market hours today. According to an average of the estimates by Motilal Oswal, Kotak Institutional Equities, Jefferies and ICICI Securities, the company is expected to report a revenue of Rs 59,480 crore in Q1FY24. This is supposed to be a mere 0.5 percent increase QoQ (quarter-on-quarter) but a 12.7 percent increase YoY (year-on-year).

👉Lupin has received the establishment inspection report (EIR) from the United States Food and Drug Administration (USFDA) for its Pithampur Unit-2 manufacturing facility that manufactures oral solids and ophthalmic dosage forms. The EIR was issued post the last inspection of the facility conducted from March 21 to March 29, 2023. The USFDA has determined that the inspection classification of the facility is Voluntary Action Indicated (VAI).

👉Prataap Snacks has informed that July 27, 2023 shall be the record date for the purpose of determining the name of members of the Company eligible for payment of dividend and holding the 14th Annual General Meeting of the Company on Thursday, 3rd August, 2023.

👉Foreign institutional investors (FII) bought shares worth Rs 1,197.38 crore, whereas domestic institutional investors (DII) sold shares worth Rs 7.25 crore on July 11, provisional data from the National Stock Exchange (NSE) shows.

Domestic and International Events

• The dollar sank to a two-month low against its major peers on Wednesday in the lead-up to a key US inflation reading, while sterling scaled a 15-month top on expectations the Bank of England (BoE) has further to go in raising rates.
• Oil prices were largely unchanged in early Asian trade on Wednesday as hopes for higher demand in the developing world and supply cuts by the world’s biggest oil exporters offset fears of an economic downturn driving up US crude stockpiles.
• After a weak 2022, the pace of initial public offerings (IPOs) in India has picked up dramatically since June, starting the second half of 2023. Markets are at all-time highs with almost all sectors as well as broader markets also hitting new peaks. Further, demat account additions have also surged to record levels, and foreign investors’ inflows have been on the rise.
• Spot gold prices in the Delhi markets traded at ₹59,505/10 gram, unchanged from its previous day close as the strength of the rupee nullified the gains of overseas gold prices.

Key Equity Indices