Market Ahead, March 25: Top factors that could guide markets today

Wall Street indices closed lower in the overnight session as optimism about the economic recovery by Federal Reserve Chair Jerome Powell and Treasury Secretary Janet Yellen was unable to halt a decline in stocks, with technology shares as the worst hit.

The Dow Jones Industrial Average fell 0.01%, the S&P 500 lost 0.55% and the Nasdaq Composite dropped 2.01%.

Meanwhile, in Asia, stocks seesawed as investors weighed the benefit of economies reopening against concerns about inflation. Concerns about extended economic lockdowns in Europe and potential U.S. tax hikes also weighed on investor sentiment.

Japan’s Topix Index rose 1.1%, Australia’s S&P/ASX 200 Index added 0.2% while South Korea’s Kospi Index edged down 0.2%.

Tracking a mixed global setup and plagued by the worries around rising Covid-19 cases, Indian looked set to extend the slide to the second day today. Around 7.25 am, Nifty futures on the Singapore Exchange traded 0.40 per cent lower at 14,530. Besides, the session could be marked by high volatility on account of March F&O expiry today.

That apart, in other news, Fitch Ratings has revised India’s GDP growth estimate to 12.8 per cent for the fiscal year beginning April 1 from its previous estimate of 11 per cent, saying its recovery from the depths of the lockdown-induced recession has been swifter than expected.

Now, a look at the stock-specific triggers that are likely to guide the market today:

Shares of Laxmi Organics and Craftsman Automation will list on the bourses today. The IPO of Laxmi Organics was subscribed 107 times while that of Craftsman Automation had received 4 times bids.

IndiGrid is launching its first rights issue to raise Rs 1,200 crore. The company recently also raised Rs 2,500 crore via non-convertible debentures.

Bank of India said it will raise up to Rs 750 crore by issuing Basel III compliant bonds.

TVS Motor Company on Wednesday announced the appointment of auto industry veteran and former JLR CEO Ralf Speth to its board of directors.

Jubilant FoodWorks on Wednesday announced to introduce American multinational chain of fried chicken fast-food restaurants ‘Popeyes’, to India. The company announced to enter into an exclusive master franchise and development agreement with PLK APAC, a subsidiary of Restaurant Brands International Inc (RBI), said a joint statement.

Lastly, in an update on the primary market, the initial public offer (IPO) of Barbeque Nation was subscribed 1.33 times on Wednesday, the first day of subscription. The portion meant for qualified institutional buyers (QIBs) was subscribed 37 per cent, non-institutional investors 7 per cent and retail individual investors (RIIs) 6.14 times.

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