What changed in the Stock Market over this weekend? Top 10 Trending Stock Market News you must know

Let us take a recap of the events that took place in the stock markets in the last week and over the weekend.

Sep 14, 2020 07:09 IST India Infoline News Service

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As we step into the new week, border tensions and inflation numbers will be on investors minds. China is willing to discuss reduction of forces at the border provided India does the same, and therein lies an issue.  The progress will be loosely watched by investors. Meanwhile, the inflation numbers for August is set to be released on Monday. These numbers may provide an inkling of Reserve Bank of India’s stance in its policy review next week. In inflation spikes, RBI may not have enough room to cut rates. Let us look at the stocks that will be in focus as markets open on Monday:
  1. Realty companies: Maharashtra government has increased ready reckoner rates in the state by an average of 1.74%. The new rates will be applicable on 12th September and have been raised for the first time in two and a half years. Ready reckoner rates are assessments of property value by the state government on the basis of which stamp duty and registration charges are paid to the government, which usually revises these rates every year.
  2. Yes Bank: ICRA has upgraded securities issued by the lender after the fund raise and general improvement in the bank's financial profile. Infrastructure bond program worth Rs7,030cr has been upgraded to BBB from BB+. The bank's Basel-III compliant lower Tier-II bonds worth Rs10,900cr upgraded to BBB- from BB+. The rating upgrade factors in the sizeable capital raise of Rs15,000cr, improvement in the bank's liquidity position and subsequent increase in its deposit base. ICRA say that the Covid-19 stress on the residual corporate book as on 30th June is likely to keep credit costs elevated in the near-term.
  3. Tata Motors Ltd: The company is all set to begin the process of stake sale in Tata Technologies and Tata Hitachi Construction Machinery. The aim is to monetize its assets in a bid to reduce its debt. The consolidated debt of Tata Motors stood at Rs68,000cr as of 31st July ,2020, media reports suggested. Tata Motors aims to reduce its total automotive debt to ''near-zero levels'' in three years and generate free cash flows from FY22 onwards, company chairman N Chandrasekaran had recently said at company's AGM. 
  4. Piramal Enterprises Ltd: The Competition Commission of India (CCI) has given its nod to the Ajay Piramal-led company to sell 20% stake in Piramal Pharma to US-based global investment firm Carlyle group. In June, Piramal group in a regulatory filing had said Carlyle picked up a 20% stake in Piramal Pharma for $490mn or nearly Rs3,700cr. The transaction valued Piramal's pharma business at an enterprise value (EV) of $2,775mn, with an upside component of up to $360mn depending on the company's FY21 performance.
  5. Bharti Airtel Ltd: Moody's Investors Service affirmed Bharti Airtel's Ba1 corporate family rating (CFR) and senior unsecured rating and changed outlook to 'stable' from 'negative', citing improvement in profitability at telco's Indian mobile business and staggered payment resolution related to adjusted gross revenue (AGR) dues. The US-based rating agency said that Bharti Airtel's profitability has increased due to moderation in industry competition, rise in its 4G customer base, and a tariff hike from December 2019.
  6. Deepak Fertilizers & Petrochemicals LtdThe company’s board said that it has approved an issue price of Rs 133/share for the company's proposed sale of shares through a rights issue. The full amount of issue price will be payable on application. September 17 will be the record date for the purpose of determining the shareholders who will be eligible to apply in the rights issue. The issue price is a 17.6% discount to Friday's closing price. The issue opens on September 28 and closes on October 12.
  7. Adani Enterprises Ltd: A subsidiary of the company Adani Land Defence Systems & Technologies has bought 51% stake in the small arms business of Gwalior-based PLR Systems in an all-cash transaction. PLR Systems produces machine guns, carbines and other weapons for domestic and export markets. It was incorporated in 2013 and supplies indigenously manufactured defence equipment to armed forces. Israeli defence manufacturer IWI holds 49% stake in the company. The deal will help the Adani group company acquire capabilities ranging from unmanned aerial vehicles (UAVs) to helicopter systems and major aero structures.
  8. Mahindra & Mahindra Ltd: The automaker said that it has terminated its share purchase agreement with CLP India to sell the entire stake held by its step-down arm Mahindra Renewables in Neo Solren Pvt Ltd (NSPL) for Rs104.67cr. Given that the closing had not occurred within the agreed timeframes, the share purchase agreement which was entered into for sale of 93,15,000 equity shares of Rs 10 each of NSPL held by MRPL to CLP India stands terminated on 10th September 2020, M&M said in a filing to the stock exchanges post market hours Friday.
  9. Persistent Systems Ltd: The company has announced an alliance with Actifio, the pioneer of multi-cloud copy data management software, to help enterprises with data stack modernization and acceleration of digital transformation initiatives. The agility of Actifio's multi-cloud copy data management platform will help Persistent deliver modern data protection and instant data access that reduces time to market for new applications while improving security, compliance and governance.
  10. Heritage Foods Ltd:  The company’s board has approved selling 1.78cr shares of Future Retail and 8.92 lakh shares of Praxis Home Retail in one or more tranches.
Let us look at the developments which took place on the global front

U.S. stocks closed mixed on Friday as investors put a brake to software companies uninterrupted run over the past few weeks in a spate of profit booking.  The Dow Jones Industrial Average rose 131.06 points, or 0.5%, ending at 27,665.64; while the S&P 500 tacked on 1.78 points, or 0.1%, to close at 3,340.97. The Nasdaq Composite Index shed 66.05 points, or 0.6%, finishing at 10,853.55.
 
Investors are also worried about all the uncertainty that elections bring generally, which can result in big changes for tax laws and regulations that affect corporate profits. Concerns are likewise high about trade tensions between the United States and China, among other major economies, and whether the expectations building for an early COVID-19 vaccine prove to be too optimistic.

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