Morning Update for 3 March 2022

Indices at previous closing

Nifty50: 16,605 ▼187 (-1.1%)

Sensex: 55,468 ▼778 (-1.3%)

Nifty Bank: 35,372 ▼832 (-2.3%)

For more updates on F&O, click here.

Coal India surges on strong numbers 

Shares of India’s largest coal mining company rose 8.5% on Wednesday after it reported a strong set of production and offtake (supplied from pitheads) numbers. In February, the company’s total production rose around 4% and its offtake increased by 12%. 

Similarly, between April 2021 and February 2022, the company’s production and offtake rose 5.3% and 16.6%, respectively. This comes at a time when the demand for electricity is rising in India.

US central bank to hike rates  

The US Federal Reserve has said that it will start raising interest rates this month in a bid to tame the rising inflation. It is expected to raise key interest rates several times this year. 

However, it also expects the inflation to gradually subside as supply-chain issues are resolved and spending drops. Meanwhile, it also warned that the financial consequences of the Russia-Ukraine conflict are highly uncertain and said that there is need to be nimble.

Bankers push to delay the LIC IPO 

According to reports, bankers working on the LIC IPO have suggested the government to defer the state-owned life insurer’s IPO. They told the government that market conditions were not conducive due to the volatility triggered by the Russia-Ukraine conflict. 

They believe that it would make sense to launch the LIC IPO in the coming months when investors are confident. On Tuesday, India’s finance minister reportedly said that the government was open to reviewing LIC IPO plans in the wake of prevailing market conditions.

Sectoral indices (March 2)

Global markets (at 8:00 am today)

Fact of the day

SIP inflows in India hit a record high of ₹5.8 lakh crore in January 2022.

Source: Economic Times

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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.