Index Trends And Stocks In Action September 18, 2015

The much awaited verdict of the Fed is out and they continued status quo. The Fed has decided not to hike rates and may possibly hike its rates only in its next meeting in December, this year. For Indian Equity market this has two consequences. The fact that rates are not cut will mean that interest rate sensitive stocks like banks, auto and real estate will witness a short-term rally. Secondly, the RBI in its policy meets scheduled on 29^th September, 2015 is likely to cut rates aggressively.  Now going forward its important fort the bulls to sustain above levels of 7930 and they manage to sustain above this resistance expect it to touch levels of 8000. The level of 8000 would be a crucial resistance level to breach, as the zone of 7940-8000 acted as a crucial support in the uptrend of the nifty and it bounced back sharply from this zone. On the downside the level of 7850 will act as a strong support zone.

Power Grid: The State-run utility Power Grid Corporation of India has secured shareholder approval to raise a total sum of Rs 14,000 crore during the financial year 2016-2017. These funds will be raised through issuance of bonds both domestically and foreign. The entire funds will be raised in 8 tranches and each tranche will be up to tune of Rs 2000 crore. These funds will be predominantly used to fund the capital expenditure of Power Grid Corporation and providing loans to wholly-owned projects and special purpose vehicles acquired by the company.

ARSS Infrastructure: A New Delhi based construction company has said it has decided to transfer tis 51 per cent holding in ARSS BUS Terminal to Welspun Enterprise for setting a long standing dispute and litigation.

UltraTech Cement: The Flag Ship Company of Aditya Birla Group UltraTech Cement has got Environment Ministry’s clearance to expand capacity at its Awarpur plant in Maharashtra, which would need an investment of Rs 248 crore.

Suzlon Energy: The Company has approved the allotment of 3.53 crore equity shares worth Rs 54.58 crore to it bond holders.