As exit poll agencies predict a massive majority for the Bharatiya Janata Party-led NDA, the business sector is already celebrating with Sensex and Nifty recording significant increases in pre-open trade. PM Modi's statement about Bharat's development trajectory adding to the positive sentiment. In other business news, Amul has announced a hike in milk prices, NHAI has increased toll tax rates, and Delhi Airport has achieved a remarkable feat by reducing power consumption. Additionally, records show a 10% growth in GST collection in May.
Sensex Soars as Exit Polls Predict NDA Majority, Economic News Buoys Market
Amidst the anticipation of the electoral outcome, India's benchmark stock index, Sensex, witnessed a significant surge in pre-open trade on Monday, May 16, 2022. This rally was driven by positive exit poll predictions indicating a substantial majority for the National Democratic Alliance (NDA) led by the Bharatiya Janata Party (BJP).
According to various exit poll agencies, the NDA is projected to secure a comfortable majority in the recently concluded Lok Sabha elections. This news has instilled confidence in investors and businesses, bolstering optimism about India's economic outlook.
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Current Developments:
FAQs:
1. What factors contributed to the rise in Sensex?
2. How does the NDA's projected majority affect the market?
3. What are the potential implications of a 10% growth in GST collection?
4. What is the significance of Delhi Airport's reduced power consumption?
5. What is the historical performance of Sensex after positive exit poll predictions?
Zee Business Managing Editor Anil Singhvi has shared his thoughts on the support and buy zones for the Nifty50 and Nifty Bank indexes in the upcoming trading session. He expects a support level to emerge for the Nifty50 at 23,675-23,800 and for the Nifty Bank at 50,800-51,000, while a strong buy zone is predicted at 23,500-23,625 for Nifty50 and 50,200-50,375 for Nifty Bank. The sentiment for the market is currently negative, with FII and global trends being negative and DII showing a positive stance. However, the F&O trend remains neutral and the Nifty put-call ratio has decreased. The volatility index, India VIX, has also increased.
ACME Solar Holdings, a leading renewable energy company, is set to launch its Initial Public Offering (IPO) with a mix of fresh issue and offer of sale. However, according to a brokerage firm, the company's reliance on government-owned transmission grids and infrastructure, and its growth depending on winning competitive bids pose significant risks. The company's financial performance has been lacklustre in recent years, with low margins and reported losses. Interested investors can subscribe to the IPO from November 6 to 8 for a price band of Rs 275 to Rs 289 per equity share.
Reliance Industries Ltd. (RIL) is preparing for the highly anticipated IPO of its telecommunications subsidiary, Jio Platforms Ltd., with plans for a listing by 2025. The valuation of Jio is currently estimated at over $100 billion, with analysts predicting a potential IPO valuation of $112 billion. The IPO will allow existing investors to exit, while RIL's chairman Mukesh Ambani aims to list Jio as a subsidiary structure rather than demerging it. In 2020, Jio secured investments from several strategic partners, including Meta and Google, and recently announced a partnership with Nvidia to develop AI data centers in India.
With an initial public offering (IPO) scheduled to open on November 7, Niva Bupa Health Insurance is looking to raise Rs 2,200 crore from the market. The joint venture between Bupa Group and Fettle Tone LLP has set the price band for its shares at Rs 70 to Rs 74 each and aims to use the proceeds to strengthen its capital base and enhance solvency levels. With strong growth reported in revenue and profits, this IPO presents a promising opportunity for investors.
According to sources, Mukesh Ambani, the chairman and managing director of Reliance Industries, has set a target to list the group's telecom business, Jio, next year with a valuation of over USD 100 billion. The conglomerate also plans to launch the IPO of its retail unit at a later time. Ambani had previously announced a timeline of five years for Reliance Jio and Reliance Retail to go public, but the company has now firmed up plans to launch the Jio IPO in 2025, indicating confidence in its stable business and revenue stream as India's top telecom player.
Larsen & Toubro (L&T) continues to see strong growth, with consolidated revenue reaching Rs 61,555 crore in the latest quarter. The company's international revenues accounted for 52% of overall revenues, highlighting its global presence and success. Some big names to watch in the stock market today include L&T, Tata Power, and Biocon, with many expecting significant price movement. L&T also recently announced a new project in India, involving the construction of a 15.09 km elevated viaduct, 14 stations, and a 2.61 km depot, with a targeted completion date of 30 months.
ACME Solar Holdings, a Gurugram-based renewable energy company, has announced the pricing for its initial public offering (IPO) of Rs 2,900 crore, with a price band of Rs 275 to Rs 289 per share. The company plans to use the proceeds from the fresh issuance to pay off debt and for general corporate purposes. With a diversified portfolio and a revenue stream from selling electricity to government-backed entities, ACME Solar has seen a turnaround from loss-making to a profit of Rs 698.23 crore in FY24.
As rental rates continue to rise in Dubai, tenants are seeking more flexibility in payment options. Landlords, facing high demand for rental properties, are becoming more open to multiple cheque payments and issuing fewer eviction notices. This trend is reflected in the latest data from Allsopp & Allsopp, where a majority of tenants are opting to pay their rent in 6-8 cheques. The Dubai Land Department's Rera rental index is also playing a role in promoting transparency and fairness in the rental market.
Indian billionaire Mukesh Ambani plans to launch the IPO for his telecom business Jio in 2025 with a target valuation of over $100 billion. Ambani, who hasn't updated his IPO timelines since 2019, has successfully raised $25 billion from investors for his digital, telecom, and retail ventures in recent years. However, the IPO for his retail unit is not expected until after 2025 as the company needs to address some internal business and operational challenges.
The State of Michigan has made headlines by becoming the first pension fund to publicly disclose its acquisition of spot Ethereum ETFs. In addition to their already disclosed Bitcoin ETF holdings, the fund now holds $10 million worth of Ethereum ETFs, making them a top holder in the market. This move further solidifies the growing interest and adoption of cryptocurrencies by mainstream financial institutions.