Reliance Industries, Bharti Airtel, NTPC, PVR, Indian Hotel and M&M among the actions targeted today

Volatility could be higher today due to the monthly futures and options expiration session.

Domestic stock markets ended their two-day gain streak on Wednesday as Sensex and Nifty closed in the red. The S&P BSE Sensex was 57,806, down 90 points or 0.16% while the 50-stock NSE Nifty closed at 17,213, down 19 points or 0.11%. “The expected monthly derivative contract expiration of December would keep volatility high. The banking package is still struggling and its performance would be critical for the next directional move,” said Ajit Mishra, vice president – Research, Religare Broking He added that investors would keep an eye on increasing cases of covid and suggested an “equity-specific trading approach.”

Bank shares: Bank stocks could spring into action today, a day after the Reserve Bank of India (RBI) released its financial stability report. The gross non-performing assets (GNPA) ratio of scheduled commercial banks could reach 8.1% to 9.5% by September 2022, compared to a nearly six-year low of 6.9% in September 2021, according to the report released Wednesday.

NTPC: NTPC is seeking strategic investors for its wholly-owned subsidiary NTPC Renewable Energy. In an effort to meet the goal of monetizing government assets, the state-run NTPC is considering launching initial public offerings (IPOs) of some of its subsidiaries, including the renewable energy arm.

Trusted industries: Mukesh Ambani’s Reliance Industries Ltd announced on Wednesday that the finance committee of the company’s board of directors will meet on January 1, 2022 to consider the issuance of senior unsecured fixed-rate notes denominated in US dollars.

Mahindra & Mahindra: The company has informed the stock exchanges that it has subscribed to 16 07,400 shares of ReNew Sunlight Energy Private Limited (RSEPL) constituting 31.2% of the share capital of RSEPL. The company will acquire an additional 1,44 66,600 RSEPL shares by March 2022.

RVP: Multiplex chain PVR said on Wednesday it had raised prices in Telangana state. The company will now charge Rs 250 + GST ​​for general public seats against Rs 150 + GST ​​earlier.

Telecom actions: The rating agency ICRA on Wednesday raised the outlook for the telecommunications industry from negative to ‘stable’. ICRA said the hike in telecom tariffs along with the recent back-up plan provides enough leeway for the industry to undertake debt relief as well as capital spending on upgrading 5G technology. Telecom sector stocks such as Bharti Airtel, Vodafone Idea and Reliance Industries, the parent company of Reliance Jio, could be in action.

Indian hotels: The large Indian hotelier announced Wednesday that it has completed the acquisition of the remaining 14.28% stake in ELEL Hotels and Investments (ELEL). With this, ELEL (holding the lease rights to the former Sea Rock hotel) became a wholly owned subsidiary of Indian hotels effective December 28, 2021.

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Christina A. Kroll