24th August, 2020 Morning Brief

Market will open with a gap up on positive cues globally.

Asian markets have begun the new trading week on a muted note, amid diverging global virus trends and as investors await a policy speech by Fed Chair Jerome Powell.

The S&P 500 and Nasdaq closed at record highs on Friday, as data pointed to some pockets of strength in the U.S. economy.U.S. business activity snapped back to the highest since early 2019 in August, according to IHS Markit surveys, as companies in both manufacturing and services sectors saw a resurgence in new orders.

The Dow Jones Industrial Average rose 191.05 points, or 0.69%, to 27,930.78, the S&P 500 gained 11.73 points, or 0.35%, to 3,397.24 and the Nasdaq Composite added 46.85 points, or 0.42%, to 11,311.80.

🎯 News & Impact 🎯 

🎯 Union Bank of India Q1FY21 : Net Interest Income up 2.5 times to Rs 6,524.4 crore. Net loss widens to Rs 2,897.8 crore from Rs 2,713 crore. Gross NPA at 14.95% from 14.15% last quarter Net NPA at 4.97% from 5.49% last quarter. Total provisions at Rs 3,590 crore from Rs 1,531.1 crore Merged with Andhra and Corporation Bank on April 1. Positive for the stock. 👍 

🎯 Punjab Chemicals and Crops Protection, Gujarat Alkalies & Chemicals, Tata Chemicals : Government imposed anti-dumping duty of $137 per metric ton on phosphoric acid from Korea for five years. Positive for Punjab Chemicals and Crops Protection, Gujarat Alkalies & Chemicals, Tata Chemicals. 

🎯 Sun Pharma : Gets U.S. FDA approval for Methylphenitdate Hydrochloride. Positive for the stock. 👍 

🎯 Tata Power : NCLT Mumbai approves withdrawal of scheme of transfer of certain renewable energy undertakings from the company to its arms Tata Power Renewable Energy, Supa Windfarm, Nivade Windfarm and Tata Power Green Energy on a slump sale basis. Positive for the stock. 👍 

🎯 ICICI Lombard : Will acquire Bharti AXA General Insurance's non-life insurance operations in a share swap deal for an undisclosed sum. Shareholders of Bharti AXA will receive two shares of ICICI Lombard for every 115 shares held, as per the share swap ratio. 

🎯 A2Z Infra Engineering : Gets work order worth Rs 104 crore for fibre installation from Airtel's group company.

🎯 Reliance Industries : Concludess amalgamation and merger amongst its wholly-owned subsidiaries. Reliance Holdings U.S.A has merged with and into Reliance Energy Generation and Distribution. Merged entity - Reliance Energy Generation and Distribution has further merged into Reliance Industries. Positive for the stock. 

🎯 Granules India : Wholly-owned subsidiary gets U.S. FDA approval for its Abbreviated New Drug Application (ANDA) for Ramelteon Tablets. The drug is used in the treatment of insomnia. The drug had U.S. sales of approximately $33 million for the most recent twelve months ending in June 2020, as per IQVIA. Positive for the stock. 👍 

🎯 Adani Transmission : Promoter SB Adani Family Trust released pledge of 1.26 crore shares between August 17-18. Positive for the stock. 👍 

🎯 Adani Enterprises : Promoter SB Adani Family Trust released pledge of 2.48 crore shares on August 19. Positive for the stock. 👍 

🎯 Zee Learn : Promoter Jayneer Infrapower & Multiventures invoked pledge of 2.1 crore shares on August 12. Positive for the stock. 👍 

🎯 JSW Steel : Promoters released pledge of 93.5 lakh shares between August 17-18. Positive for the stock. 👍 

🎯 Adani Green Energy : Promoter Adani Trading Services created pledge of 75 lakh shares on August 20. Negative for the stock. 

🎯 Zee Learn : 2.09 crore equity shares pledged by Jayneer Infrapower & Multiventures Pvt Ltd invoked on August 12. Negative for the stock. 

🎯 Mindspace Business Parks REIT : BREP Asia SG Pearl Holding (NQ), a public unitholder of Mindspace REIT, created encumbrance on its holding of 5,42,91,425 Units aggregating to around 9.16 percent of the total outstanding units of Mindspace REIT. Negative for the stock. 

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Edited by Sharp.