Street signs: Nifty clings to 24K lifeline, bumper listing eyed for Waaree

Market Mayday: Nifty clings to 24K lifeline

 

The benchmark National Stock Exchange Nifty 50 has shed nearly 2,100 points, or 8.6 per cent, from its peak, closing last at 24,181. Technical analysts assert that the trend has shifted from buy-the-dip to sell-on-rally, with 24,000 identified as a crucial support level. “A decisive break below 24,000 could deteriorate the outlook. If a rebound occurs, 24,500 will now act as a strong resistance level. Traders should adopt a sell-on-rise strategy, as most sectors and broader indices remain under pressure,” said Ajit Mishra, senior vice-president of research at Religare Broking. Vinay Rajani, senior technical and derivatives research analyst at HDFC Securities, noted, “The band of 24,600–24,650 should be used to initiate fresh short positions and exit long positions. Any level below 23,900 could drag Nifty towards the next positional target of 23,000.”

 

Mumbai to Shanghai or Mumbai to Toronto? FPIs rethink India

 

Foreign portfolio investors (FPIs) have withdrawn a record $10 billion from domestic stocks this month. The primary driver behind this selloff is the shift of funds from pricier India to more affordable China. However, concerns are rising that hostilities between India and Canada — whose pension funds are a vital source of foreign capital — could amplify selling pressure. Last week, rumours circulated on the Street regarding large sell orders from Canadian pension funds, though daily block deal data reported by exchanges did not support this theory. Above all, Canada’s ranking has dropped to ninth among the top jurisdictions for FPI flows into India, down from eighth in June. The assets under custody of Canada-domiciled funds stood at Rs 1.98 trillion at the end of September, up from Rs 1.52 trillion a year ago. The Canada Pension Plan Investment Board, Caisse de dépôt et placement du Québec, and Ontario Teachers’ Pension Plan are among the big funds with exposure to India.

 

  Waaree Energies’ solar flare: A bright spot in the market storm

 

Notwithstanding market selloff, shares of solar panel maker Waaree Energies are expected to soar close to 90 per cent during their trading debut on Monday. The company’s Rs 4,321 crore initial public offering (IPO) received a staggering 79 times subscription, totalling bids worth Rs 2.41 trillion and achieving a record 9.7 million applications. “Following Hyundai Motor India’s lacklustre listing and the market’s sharp decline, there are concerns that primary market issuance will be affected as well. However, Waaree’s robust listing will help sustain momentum for IPOs, which is crucial as large offerings like Swiggy and NTPC Green Energy are imminent,” said an investment banker. Meanwhile, the grey market premium for Shapoorji Pallonji Group’s construction firm, Afcons Infrastructure, has slipped below 5 per cent. Its Rs 5,430 crore IPO closes on Tuesday.