Index Trends And Stocks In Action August 26, 2015

The Indian Benchmark Indices after witnessing a razor sharp correction saw a smart recovery led by buying in the index heavyweights like Yes Bank, Tata Motors, Bharat Petroleum and Coal India. The Indian rupee which was playing a spoil sport saw a whopping recovery and Settled around the level of 66 against the US Dollar.  Now going forward the index has strong resistance in the zone of 7930 and 8020. This range will act as hurdle for the market on the upside; if the index manages to cross this level expect fresh up-move up to levels of 8180. On the downside the level of 7800 is a crucial support and next support around levels of 7550.

Jain Irrigation: India’s largest micro irrigation firm Jain Irrigation systems said its board has approved sale of its food business on “slump sale” basis to its wholly owned subsidiary Jain Farm Fresh Foods. The food business of the company comprises of food manufacturing units at Jalgoan (Maharashtra), Vadodara (Gujarat) and Chittoor (Andhra Pradesh) besides the indirect subsidiaries carrying on food business activities.

Vedanta: Anil Agarwal led Vedanta to initiate the process of shutting down its one-million tonne a year alumina refinery at Lanjigarh in Kalahandi District. The main reason for shutting down is Non-availability of bauxite from Odisha and the prevailing turmoil in global aluminium prices; this amounted to a daily loss of Rs 3 crore.

Edelweiss Financial Services: The Company announced that Edelweiss Tokio Life Insurance, a subsidiary of Edelweiss Financial Services has been granted approval by the Foreign Investment Promotion Board (FIPB) for increase in foreign equity from 26 per cent to 49 per cent of the paid up capital.

Jindal Steel and Power: JSPL will seek shareholders nod for raising up to Rs 15,000 crore through securities for refinancing its old loans and also for capital expenditure. Like many companies in the infrastructure sector, JSPL is also assessing the option of selling its stake in some of its overseas subsidiaries. These funds are largely planned to be raised through direct placements with qualified institutional buyers (QIBs).