Editor's views on the capital markets, stock reviews and word on Dalal Street.

I am impressed by your cover story on systematic investment plan. I should tell you it was an eye-opener. I liked the story and hope you will continue writing such stories.

ITI Limited has bagged an Advanced Work Order (AWO) from BSNL. The stock prices surged over 19 per cent intraday.

Timken India Limited, a subsidiary of The Timken Company announced the completion of ABC Bearings Limited's acquisition. The two companies, ABC Bearings Limited and Timken India Limited were merged by way of exchange of shares.

The stocks of airline operators extended their fall on Thursday as crude oil prices further strengthened in the International market. OMCs hiked ATF prices following the continued weakening of the rupee.

Investors are always advised that they should never try to catch a falling knife. Tanay Loya and Yogesh Supekar explain why catching a falling knife deftly can be highly profitable.

Though certain firms (like Natco Pharma, Edelweiss, IOC) reported healthy Q1 earnings, their prices corrected sharply on the day after their results were announced. Many investors, who are retail investors like me, cannot understand this peculiar behavior of the market. Kindly clarify on this.

In the first phase, the company will invest Rs. 77 crore for 67 per cent stake in Ampere Vehicles. Further, in the second phase, the company can acquire another 13 per cent stake at its discretion over the next three years.

The following table lists top-ranked equity funds based on DSIJ's proprietary research methodology. We have evaluated each funds underlying portfolio of stocks and ranked them based on their expected portfolio returns. This way we are also able to rank newly launched funds that are not rated by others due to their short duration of existence.

Numerous academic studies have shown that different categories of stocks perform in different periods. Depending upon the economic cycle and stage of stock market cycle, stocks from different sectors and market caps perform. A common investor neither has the knack to understand these cycles nor does he have the time to analyse these cycles and shift his investment accordingly

Sensing an expected increase in rural inflation due to increase in Minimum Support Prices (MSP) of Kharif crops, the Monetary Policy Committee (MPC) of the Reserve Bank of India (RBI)announced an increase in policy rates once again.

The apex bank of India, RBI, raised the key policy rates recently in its bi-monthly meeting. This is the second time this year that the central bank has raised the policy rates. Earlier, in the month of June, it had raised repo rate by 25 basis points. With these hikes, the repo rate currently stands at 6.5 per cent.

Mutual fund investors choose to invest or reject funds based on a variety of criteria. DSIJ explains why a good portfolio remains the most important one of them.

Following stocks are close to their 52-week low as at 12.53 p.m. on August 30, 2018.

The markets on August 30, 2018 opened up. BSE Sensex is trading at 38,684.03, down by 38.90 points and the Nifty is trading at 11,678.15, down by 13.75 points. 

The normalisation of monetary policy in the global economy that started in the year 2015 has gained strength. The US Federal Reserve has raised rates twice this year and is widely expected to do so again next month and in December.

In an ever-changing financial landscape, investing money judiciously can be quite challenging. Besides, for those investors who have a habit of allowing emotions to influence their investment decisions at different stages of their investment journey, the process becomes even more complex for them. 

The company is engaged in the purchase, manufacture and sale of motor vehicles, its components and spare parts (automobiles). The other activities of the company include facilitation of pre-owned car sales, fleet management and also car financing.

India's largest digital Infrastructure, BSE StAR MF recorded 6000 SIP in single a day by Arihant Capital on August 20, 2018. Mutual funds Distributors leveraging BSE StAR MF have created progressively and frequently creating records for SIP registration in a single day.

In this edition, we have reviewed Esab India and Fairchem Speciality. We suggest our reader-investors to HOLD Esab India and Fairchem Speciality

The recommendations provided in this column are taken from various market sources such as brokers, analysts, dealers and investment strategists, etc. These recommendations may not be backed by strong fundamentals. Therefore we advise readers to use their own discretion before investing in these recommendation

Databank

The 52-week high-low data is among the most tracked by the investors. Shohini Nath and DSIJ Research Team find out whether any strategy can be devised around such interesting market data

Paper stocks have surprised investors in the past one month or so. Amir Shaikh finds out what is brewing in the paper industry and whether paper stocks present an investment opportunity.

The scrips in this column have been recommended with a 15-day investment horizon in mind and carry high risk. Therefore, investors are advised to take into account their risk appetite before investing, as fundamentals may or may not back the recommendations.

Indian stock market bulls are on a shopping spree, buying a select few at a premium with quality assurance, while ignoring the cheaper ones. A handful of frontline index stocks have driven more than 95% of the key benchmark indices' rally to the record levels.

Vinati Organics Ltd (VOL) is a specialty chemical company producing aromatics, monomers, polymers and other specialty products. VOL has been able to deal effectively with the cost advantage of Chinese counterparts in the recent past. Technological advance and economies of scale have helped the company to become a key producer of specialty chemicals. VOL is amongst the largest producers of 2-acrylamido 2 methylpropane sulfonic acid (ATBS), IBB (iso butyl benzene) and IB (iso butylene) products in India.

Aditya Birla Capital and Varde plan an exclusive partnership to strategically invest in stressed assets in India, through a joint venture. Varde has invested approximately US$500 million in India across corporate distressed, stressed and special situations and lending assets in the past five years.

This section gives a recommendation of a stock having stock margin padding price below Rs 100 with sound fundamentals and expected to give handsome returns over a one-year time horizon

This column gives you scrip chosen by the research team during the fortnight that is fundamentally strong and expected to give good capital appreciation over a time period of 1 year

With a generous helping from blue-chip companies, BSE Sensex has outclassed its Asia peers this year. The benchmarks gained significantly during the fortnight. Also ushering the broader market’s comeback, the BSE Mid-Cap index surged 2.11 per cent, followed by BSE Small-Cap, which was up by 0.48 per cent.

Overall volumes in futures & options currently stand at 1.13 crore contracts with a turnover of Rs. 10,80,211.83 crore.

I think by now most of us are convinced about the bull market we are in. What is heartening to see is that the mid-caps and the small-caps are catching up with the large-caps. In fact, the mid-caps are outperforming the large-caps, if we consider the previous month’s performance. I am now looking at 42,000 level in the Sensex by March 31, 2019. 

Overall volumes in futures & options currently stand at 1.13 crore contracts with a turnover of Rs. 10,80,211.83 crore.

Going ahead, the zone of 11,600-11,640 is likely to act as an immediate support zone and any cool-off upto these zones may attract fresh buying. Stocks in news: Greaves Cotton, Aditya Birla Capital, Laurus Labs, Reliance Infrastructure, Jain Irrigation and National Fertilizers.

Today, the start of the August series F&O expiry session is likely to be positive; however, we may see lot of volatility as the session progresses as traders balance their positions to the new series. The SGX Nifty suggests that Nifty could open with an uptick of 17 points the around level of 11,720. 

Benchmark plays an important role in evaluating a fund’s performance and you should closely look at it before committing your funds.

Principal Financial Group has completed the full share buy-back of Punjab National Bank’s shares giving Principal full ownership of the Principal Pnb Asset Management Company Private Limited.

The US drug regulator inspected Cadila Healthcare's wholly-owned subsidiary Liva Pharma's injectables manufacturing unit in Vadodara, Gujarat. The inspection was carried on between August 20 to 28.

Vedanta, had proposed entry into the 41 revenue sharing government contracts. Accordingly, the company is bestowed upon 41 exploration blocks in India with a total bid cost of US$ 551 million. The stock of Vedanta opened with a gap-up of nearly Rs. 3 and surged as much as 3.4 per cent in intraday trade.

Following stocks are close to their 52-week low as at 12.55 p.m. on August 29, 2018.

The markets on August 29, 2018 opened gap up. BSE Sensex is trading at 38,876.88, down by 19.75 points and the Nifty is trading at 11,724.20, down by 14.30 points. 

Glenmark Pharmaceuticals Europe has entered into a strategic licensing agreement to market generic Tiotropium Bromide dry powder inhaler (DPI) in Western Europe.

Time Technoplast has tied-up with global specialty chemicals giant Dow for bringing in revolutionary technology-based Smart Cans that enables the transition from large traditional rigid containers to flexible packaging options in the consumer product segment.

The company has been awarded a gas exploration block under the open acreage licensing policy - Round I. The block is located near Hindustan Oil Exploration Company's (HOEC) existing producing field in Dirok, Assam. 

Overall volumes in futures & options currently stand at 1.04 crore contracts with a turnover of Rs. 9,93,882.37 crore.

Overall volumes in futures & options currently stand at 1.04 crore contracts with a turnover of Rs. 9,93,882.37 crore.

Going ahead, the levels of 11,760, followed by 11,800 are likely to act as immediate resistance levels. Stocks in news: Wipro, SBI, Jaiprakash Power Ventures, JMC Projects, Bharat Financial Inclusion and Lakshmi Vilas Bank.

Markets in India are likely to see a soft opening as cues from the global peers are subdued. The SGX Nifty, suggest that Nifty could open with a marginal gain of 4 points around the level of 11,763. 

Lupin Limited has announced that it has received final approval for its Gabapentin Tablets USP, 600 mg and 800 mg from the USFDA to market a generic version of Pfizer Inc.’s Neurontin Tablets, 600 mg and 800 mg.

The company has received Letter of Intent (LoI) from Bharat Net project in Maharashtra. ITI Limited has be selected as the Project Implementation Agency (PIA) for implementation of BharatNet Phase II for two packages, A and C.

Our study shows that there is no direct relation between the AUM and the expense ratio.

Jet Airways reported second consecutive net loss of Rs. 1,323 crore in first quarter of fiscal year 2019. Besides, the company’s net revenue for the quarter was at Rs. 6,010.5 crore as against Rs. 5,648.9 crore in Q1FY18.

Vipul Limited received letter of award (LoA) from Uttar Pradesh Expressway Industrial Development Authority (UPEIDA), Lucknow, Uttar Pradesh for wayside facilities. The stock climbed up 15 per cent intraday on Tuesday.

Tata Power's wholly-owned subsidiary Coastal Gujarat Power (CGPL) has raised Rs. 2,700 crore via issuance of non-convertible debentures (NCD) on private placement basis.

Following stocks are close to their 52-week low as at 12.31 p.m. on August 28, 2018.

Banking stocks dipped as Allahabad High Court refused to give interim relief to private power companies trying to delay insolvency proceeding as directed by RBI.

The markets on August 28, 2018 opened gap up. BSE Sensex is trading at 38,843.38, up by 149.27 points and the Nifty is trading at 11,732.55, up by 40.60 points. 

Parag Milk Foods has launched fresh milk made from 100 per cent pure cow’s milk under the brand Gowardhan in the Delhi NCR region. Together with Delhi NCR, the company is targeting to expand its footprints to the nearby regions within 250-300 km area of the Sonipat plant.

C&C Construction on Tuesday gained over 4 per cent intraday as the BSC-C&C joint venture won orders worth Rs. 266.22 crore.

Overall volumes in futures & options currently stand at 83.61 lakh contracts with a turnover of Rs. 7,83,115.45 crore.

Overall volumes in futures & options currently stand at 83.61 lakh contracts with a turnover of Rs. 7,83,115.45 crore.

The levels of 11,760, followed by 11,800, are likely to act as a resistances. On the way down, the level of 11,620 is likely to act as a support level. Stocks in news:  Karnataka Bank, Tata Power, Punj Lloyd, GAIL, JBF Industries, Oriental Bank of Commerce, Colgate Palmolive and Jet Airways.

Indian markets are likely to continue their record run on Tuesday following bullish sentiments prevailing in Asian markets and overnight gains on the Wall Street.  The SGX Nifty suggests that Nifty could open up by 31 points around levels of 11,754. 

Amrutanjan Heath Care has signed up with Amazon to offer its range of products under 'Prime' from August 18, 2018. This will help the company’s brands to reach out consumers in new geographies.

Panacea Biotec Ltd. announced that it has entered into a tripartite agreement with Natco Pharma Ltd. and Breckenridge Pharmaceutical Inc. for the manufacture and supply of Azacitidine injection for the US market under Breckenridge's already-Approved New Drugs Application (ANDA).

India INX has announced the launch of a Special Purpose Vehicle (SPV) and 100% wholly owned subsidiary, India INX Global Access IFSC Limited (Global Access) to facilitate access to global exchange markets through a single centralized platform.

Bharti Airtel has expanded its partnership with Netflix in India through which subscribers of select Airtel Postpaid and V-Fiber Home Broadband plans will receive a three month Netflix subscription. 

PSU Bank sector is leading with 2.9 per cent gains which has lifted the markets to trade in green.  Downward sloping trendline breakout with rising volumes and 14-period RSI positive crossover at 60 suggest some more upside in near term.

With global retail players eyeing every opportunity to participate in the Indian consumption story, the stocks of Future Group companies were buzzing on Monday as news reports suggested interests from Amazon, Google and Paytm.

These advanced cranes are used in different sectors like Railways, Oil & Gas sector, Mining, Power, Road & Bridges. This JV would enhance Escort’s presence in the material handling equipment segment.

Following stocks are close to their 52-week low as at 12.55 p.m. on August 27, 2018.

Anil Ambani led debt-laden telco, Reliance Communication has informed bourses that it has completed the sale of its fibre assets and related infrastructure assets, worth Rs. 3,000 crore.

The markets on August 27, 2018 opened gap up. BSE Sensex is trading at 38,687.89, up by 436.09 points and the Nifty is trading at 11,682.65, up by 125.55 points. 

Banks and metal stocks help benchmark indices scale new highs. The BSE Sensex touched a high of 38676.33, while Nifty hit a high of 11,677.15 points. The boarder market also participated in the rally. 

The water and effluent treatment business of L&T construction has won EPC orders worth Rs. 1,394 crore from the Water Resource Department, Government of Madhya Pradesh.  

Overall volumes in futures & options currently stand at 76.06 lakh contracts with a turnover of Rs. 7,19,822.91 crore.

Overall volumes in futures & options currently stand at 76.06 lakh contracts with a turnover of Rs. 7,19,822.91 crore.

Going forward, the zone of 11,486-11,500 is likely to act as a strong support zone as it is a gap area which was created as on August 20, 2018 and the lower end of a rising channel is placed near about the same level. While, on the way up, immediate resistance is seen around the level of 11,600, followed by 11,620.  Stock in news: Reliance Industries, Punjab Chemicals & Crop protection, Fortis Healthcare, Karda Constructions, JK Paper, DHFL, Reliance Naval and Engineering, V2 Retail and Bodal Chemicals.

A firm start is in the offing for the Indian markets as leads from the Asian peers are supportive. The bullish trend in SGX Nifty suggests that Nifty could open higher by 40 points around the level of 11,614. 

The investment horizon is a crucial factor that determines the returns on the investment. This factor is often overlooked by investors who expect to make a quick buck on the stock market within a matter of a few days or weeks. 

Banks and financial institutions nowadays consider the credit score of a person applying for a loan to determine the creditworthiness of the person and, depending on the credit score, they decide whether to approve the loan application or reject it.

Mutual fund houses offer two options for investing in a mutual fund scheme, namely, Regular and Direct. But most of the mutual fund investors are unaware about these options, and even if they are aware, they do not know the difference between the two.

The different categories of assets classes have varying degrees of risks, while the level of risk appetite or risk tolerance of an individual depends on several factors. Some of the important factors that determine the risk-taking ability of an individual are the level of income, age of the investor, expectations of returns and the financial needs and liabilities.

Most of the investors are very well conversant with Systematic Investment Plan (SIP), but not many investors are aware of the Systematic Transfer Plan (STP) and Systematic Withdrawal Plan (SWP) of mutual funds. Let us understand what these plans are how investors can benefit from them.

Since last many years investors were aware of three key categories in equity funds, i.e Large-cap funds, Mid-cap funds and small-cap funds. However, SEBI has came up with a circular in October 2017 which changed the structure of the mutual fund industry.

Country’s second largest AMC reported strong performance in its quarterly performance for the quarter ended June 2018. The bottom-line grew substantially to Rs. 204 crore.

Different sectors perform differently during different stages of the business cycle. Read on to find how to use them for your investment decision.

The company has bagged an export order of 76,000 truck wheels from the US truck and trailer aftermarket.

EBITDA for the quarter rose by 26.3 per cent yoy to Rs. 26.34 crore with a corresponding margin expansion of 282 bps. EBITDA margin for the quarter stood at 85.1 per cent. TICL functions on an invest and hold business model that has hardly any operating expenses and thus exceptional margins. The PAT for the quarter came in at Rs. 22.48 crore, yoy increase of 25 per cent.

Force Motors, the maker of light and heavy commercial vehicles, has entered into an agreement to acquire manufacturing plant of the German automaker Volkswagen Group's MAN Trucks.

Indian benchmark indices opened flat to negative on weak global cues and lower rupee. The Indian rupee down all-time low at Rs. 70.17 per dollar.

Following stocks are close to their 52-week low as at 12.45 p.m. on August 24, 2018.

The markets on August 24, 2018 opened down. BSE Sensex is trading at 38,231.29, down by 105.47 points and the Nifty is trading at 11,552.15, down by 30.60 points. 

Overall volumes in futures & options currently stand at 1.68 crore contracts with a turnover of Rs. 17,81,185.26 crore.

Overall volumes in futures & options currently stand at 1.68 crore contracts with a turnover of Rs. 17,81,185.26 crore.

Ashok Leyland announced yet another tender win for Defence Tracked Combat Vehicle. This tender is for developmental work and marks Ashok Leyland's foray into tracked vehicle business after bagging many other defence deals.

The US drug regulator has issued Establishment Inspection Report to Dr. Reddy's Laboratories' active pharmaceutical ingredient (API) plant in Srikakulam (SEZ), Andhra Pradesh.

On the last trading session of the week, the levels of 11,621 and 11,645 are likely to act as immediate resistances for the Nifty, while supports are seen around levels of 11,530 followed by 11,480. Stocks in news: Britannia Industries, Aban Offshore, SREI Infrastructure Finance and TVS Motor.