Morning Update for 31 August 2021

Indices at previous closing

Nifty50: 16,931 ▲ +225 (+1.3%)
Sensex: 56,889 ▲ +765 (+1.3%)
Nifty Bank: 36,347 ▲719 (+2.0%)

In the news

Man Infra wins housing development project 

The Mumbai-based infrastructure company has won the development contract for a nine-acre housing project in Chembur, Mumbai. The project is expected to be completed in 3.5 years, and is projected to generate ₹3,000 crore in revenue. 

In the June quarter, the company has shown a sharp bounce back in the business albeit over the lower base of Q1FY21. Its revenue from operations jumped nearly 6 times to ₹153 crores and profit stood at ₹33 crores versus ₹2 crore reported during the year-ago period. The shares of Man Infraconstruction closed 3.3% higher yesterday. 

Anti-dumping duty boosts paper stocks

Paper stocks witnessed a surge on account of the continued anti-dumping duty on uncoated paper. Domestic companies had called for an investigation into dumping of imported paper by counties such as Thailand and Indonesia. That is how the anti-dumping duty was announced in 2018. Its extension bodes well for domestic producers.  

Further, interest was seen in paper stocks after the government’s ban on single-use plastic from 1 July 2022.  Stocks such as JK Paper, Pudumjee Paper, Emami Paper and West Coast Paper gained around 5% intraday, while Orient Paper surged as much as 8%.

Indian auto comp makers likely to supply to Tesla

According to reports, three Indian auto component manufacturers are in talks with global electric vehicle maker Tesla to supply critical components. In the wake of this, shares of Bharat Forge, Sona BLW and Sandhar Technologies were up in the range of 3% to 10%, yesterday.

Tesla is reportedly planning to set up a factory in India if its imported vehicles receive a good response. Hence, the global auto player is holding early talks with Indian companies for sourcing components such as instrument panels, windshields, differential gears, brakes and power seats.

Sectoral indices (August 30)

Global markets (at 8:00 am)

Fact of the day

Allen Solly, the clothing brand, was introduced by William Holin in 1774 in England. In 1990, Madura Garments bought over the brand, and was in turn acquired by the Aditya Birla Group in 2001.

Source: Business Standard

Yay 👍 or Nay 👎?
We'd love your thoughts on this morning update.

If you haven't already, open your Upstox account to get IPO-ready today! Click here to sign up.

To catch our latest educational videos, join our Telegram channel here.

Disclosures and Disclaimer

Investment in securities markets is subject to market risks; please read all the related documents carefully before investing. The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results. Details provided in the above newsletter are for educational purposes and should not be construed as investment advice by RKSV group. Investors should consult their investment advisor before making any investment decision.