Market Live: Sensex drops 150 pts; Nifty below 15,400; RIL, PowerGrid drag

Oil falls as investors eye recession risks

Oil prices continued to retreat on Thursday as investors reassessed the risks of recession and the impact of interest rate hikes in major economies on fuel demand.

U.S. West Texas Intermediate (WTI) crude futures fell $1.4, or 1.3%, to $104.78 a barrel by 0643 GMT. Brent crude futures fell $1.3, or 1.2%, to $110.40.

Both benchmarks tumbled by as much as $3 a barrel in early morning Asian trade, after plunging around 3% in the previous session. They are at their lowest levels since mid-May.

Australian shares end higher as banks, tech gain

Australian shares ended higher on Thursday as gains in financial and technology stocks outweighed losses in mining and energy sectors, while investors assessed the risk of a global recession amid a string of rates hikes to stamp out inflation.

The S&P/ASX 200 index ended 0.31% higher at 6,528.4.

Prabhudas Lilladher on P.I. Industries

Rating: BUY | CMP: Rs2,485 | TP: Rs3,340

We interacted with senior management of PI Industries (PI) to take an update on the business and outlook ahead. Key highlights: (a) The company remains confident on achieving growth guidance of 18-20% YoY for FY23 in both exports and domestic segment (supported by lower base of last year); (b) remunerative commodity prices bode well for domestic market; (c) delayed monsoons have an impact on placements; however, remains hopeful of monsoon revival; (d) to launch 5-6 products in domestic market in FY23; (e) CSM business continues to be the shop stopper with mix changing to 80:20 for Agri and non-agri, going forward; (f) Pharma acquisition still in evaluation stages; likely to be done in next couple of quarters.

Going forward, PI remains confident on the core business and its growth guidance with margins likely to improve from current levels, primarily led by strong enquiries in CSM business and new launches in domestic segment. We believe, the stock has corrected ~35% from its recent highs, thus providing a good entry point with strong earnings visibility in its core business. We broadly maintain FY23/FY24 EPS. We expect PI to report revenue/PAT CAGR of 18%/ 23% (FY11-22, 20%/26%) over FY22-24E. Maintain ‘BUY’ with unchanged TP of INR3,340 based on 40xFY24 EPS.

India aims to keep FY2023 fiscal deficit at last year’s level – sources

India’s government will not be able to cut its budget deficit this fiscal year as previously projected, officials said, but will seek to cap the shortfall at last year’s level to prevent a major deterioration in public finances.

Efforts to maintain some fiscal discipline reflect New Delhi’s concern around risks to its sovereign credit rating but will likely limit the government’s firepower to contain inflation and provide relief to households and businesses.

In February, Prime Minister Narendra Modi’s government set a fiscal deficit target of 6.4% of gross domestic output (GDP) for the year that started on April 1, compared with a deficit of 6.7% last year.

The sources said that while increased spending to provide relief from inflation meant the government would miss this year’s target, policymakers would seek to limit the deviation to 30 basis points.

European stocks fall as oil, metal prices extend losses

European shares fell on Thursday, dragged down by energy and mining stocks due to sliding commodity prices on worries about slowing economic growth, with several broker calls also spurring big moves in stocks.

The continent-wide STOXX 600 index dropped 1.1% by 0724 GMT, with oil & gas stocks slipping 1.8% as crude prices fell almost 2%.

Miners shed 2.2% as copper and other metals extended recent declines on growing fears about a recession.

Gold dips after US Fed chief pledges to keep up inflation fight

Gold prices eased on Thursday, pressured by expectations of aggressive interest rate increases after the U.S. Federal Reserve chief doubled down on the central bank’s fight against inflation.

Spot gold fell 0.2% to $1,834.33 per ounce by 0733 GMT. U.S. gold futures eased 0.1% to $1,835.60.

Cryptocurrency Polygon’s price rallies 27% in 24 hours. Here’s why

Cryptocurrency Polygon (Matic) price today rallied over 27% to $0.50 in the last 24 hours, as per CoinGecko, with the digital token up 15% in the past seven days. Polygon, which had hit an all time high of $2.92 on Dec 27, 2021, has fallen about 80% in 2022 (YTD) so far.

Sectoral indices at 1:00 pm: Auto, pharma rally, oil & gas, metals, banks drag

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Sensex gives up nearly 700 points, trades marginally in the red; PowerGrid, Reliance, Bajaj Finance drag

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GST Council to consider rate change on only a handful of items in meet next week

The GST Council, which is scheduled to meet next week, will take up changes in tax rates on only a handful of items where the fitment panel has recommended a revision, as per the agenda document reviewed by Mint.

Edelweiss sees 30% upside in this healthcare stock. Should you buy?

Max Healthcare shares have been under sell-off heat for near 6 months. After climbing to 52-week high in December 2021, Max Healthcare share price has remained a bears’ favourite ‘sell on rise’ stock. In YTD time, this healthcare stock has shed near 15 per cent. However, in last one week, this healthcare stock has shown some upside swing that has attracted attention of Dalal Street observers.

Rakesh Jhunjhunwala stock retraces 35% from 52-week high. Should you buy?

Rakesh Jhunjhunwala portfolio: Canara Bank share price has been under sell-off heat throughout this month. The state-owned banking stock is currently quoting around ₹180 per share, which is ₹92.50 down from its 52-week high of ₹272.80 levels. So, Canara Bank share price today is available at around 35 per cent discount that may attract positional investors looking for quality stocks available at discounted price.

Day trading guide for Thursday

7 stocks to buy or sell today — 23rd June

BSE auto index rises over 3%; Hero MotoCorp, Eicher Motor surge

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Bajaj Auto…