Broad Strokes, July 12, 2024

📈 Sensex Hits Record High, BSE Tech Glitch

• The Sensex soared to a record high of 80,893, but a technical glitch at BSE caused significant losses for F&O traders.
• Brokers like Zerodha and Groww faced connectivity issues, disrupting orders and leading to trader grievances.
• Despite the glitch, BSE’s F&O turnover rose 15% month-on-month, reflecting increasing market volumes.

🚨 Bank Stocks with High NPAs

• Several bank stocks, including Canara Bank and Punjab & Sind Bank, show high NPAs, cautioning investors during Q1 FY25 results.
• Ten stocks, such as RBL Bank and Bandhan Bank, entered the F&O ban list, impacting market sentiment.
• Retail investors, mutual funds, and FPIs are making notable moves in PSU stocks like Canara Bank and GAIL India.

💰 Jio Financial Services Stock Rises After RBI Approval

• Jio Financial Services stock rose 2.5% to Rs 256.5 on BSE after RBI approved its conversion from NBFC to CIC.
• The stock has surged 50% year-to-date and 38% over the past six months, with mixed technical indicators.
• This strategic shift from NBFC to CIC post-demerger from Reliance Industries reflects significant development in Jio Financial’s business.

🖥️ IT Stocks Surge Led by TCS, Infosys

• Indian markets surged, driven by strong performances from IT giants like TCS and Infosys.
• TCS’s robust June quarter results propelled its stock nearly 3% higher, boosting the IT index by 4.25%.
• Positive US inflation data hinting at a potential Fed rate cut further supported market sentiment.

🚄 RailTel Corporation Stock Surges on Positive Business Updates

• RailTel Corporation’s stock surged 18% to a one-year high of Rs 611.10, driven by positive business updates and dividend recommendations.
• The company saw a 339.01% stock price rally in the past year, with strong financial results and strategic focus on rail infrastructure.
• The broader railway sector, including companies like RVNL and Oriental Rail Infra, is experiencing bullish trends and heightened investor interest.

🔧 Cyient Announces Subsidiary for Semiconductor Business, Stock Rallies

• Cyient’s stock surged 7% after announcing a new subsidiary for its semiconductor business.
• The move aligns with the projected trillion-dollar global semiconductor market by 2030, enhancing Cyient’s capabilities.
• Positive momentum in the broader IT sector, driven by TCS’s strong Q1 results, also boosted stocks like MphasiS, Wipro, and Tech Mahindra.

🌱 IREDA Stock Performance

• IREDA’s stock surged 190% year-to-date, hitting a new high of Rs 304.60 ahead of its Q1 FY25 earnings announcement.
• The company’s loan sanctions and disbursements reflect its focus on financing renewable energy projects, attracting foreign portfolio investors.
• Technical indicators suggest further upside potential, with the stock trading above key moving averages and showing overbought strength.

🚫 F&O Ban List: RBL Bank, Bandhan Bank Trading Restrictions

• Connectivity issues affecting brokers like Zerodha due to a BSE glitch led to F&O orders being stuck in the ‘Open Pending’ state.
• This incident highlights the challenges faced by online trading platforms in maintaining reliable service amidst increasing market volumes.
• Zee Entertainment plans to raise funds through various modes, with shares rising ahead of a board meeting to consider these proposals.