Street Signs: Nifty adrift in choppy waters, IFSCA nets ghost firms, more

Nifty logs third straight weekly drop amid earnings jitters; IFSCA takes action against ghost firms in GIFT City; IPO pipeline swells ahead of July 31 deadline

No wind in sails: Nifty adrift in choppy waters

 

The benchmark Nifty 50 index slipped 0.7 per cent to close at 24,968 last week, weighed down by a tepid start to the first-quarter results season. This marked the third straight weekly decline, pushing the 50-stock index just below its 20-day exponential moving average (25,250) — a sign of fading strength. “Lack of follow-through buying and persistent selling pressure is weighing on sentiment,” said Chandan Taparia, head of derivatives and technicals for wealth management at Motilal Oswal Financial Services. He added that unless the Nifty reclaims 25,300, the near-term bias stays negative, with 25,000 acting as support. Resistance is stacked at 25,250 and then 25,400.

 

Soft touch, hard line: IFSCA nets ghost firms

 

Even with its famously light-touch rules, the International Financial Services Centres Authority (IFSCA) has had to clamp down on errant players. During surprise inspections last month, IFSCA officials found several offices locked and key staff missing. This led to “appropriate action” against nine fund management entities operating out of Gujarat International Finance Tec-City (GIFT City). This isn’t a one-off. Last year, the regulator issued similar warnings. While it hasn’t disclosed the nature of the latest actions, the message is unambiguous: GIFT City’s International Financial Services Centre is not a haven for tax dodgers, and firms are expected to show up — on paper and in person. 

 

Closing bell blitz: IPOs sprint to finish line

 

Companies are rushing to launch initial public offerings before the month ends. Next week, four issues will open: Brigade Hotel Ventures (₹760 crore), IndiQube Spaces (₹700 crore), GNG Electronics (₹460 crore), and Shanti Gold International (a fresh issue of 18 million shares). Sources said the National Securities Depository is also looking to wrap up its ₹4,000 crore offering before July 31. “There’s a rush. If companies fail to launch before July 31, they’ll need to update their financials. Plus, recent listings have gone well, which helps,” said an investment banker.