The trading activity in the domestic equity markets is expected to remain volatile this week as investors will focus on global cues for further direction, analysts said. F&O expiry, FII activity, and movement in the rupee and crude will also be watched by traders along with global bank stocks.
Five Nykaa executives quit; firm calls it ‘voluntary and involuntary exits’
Five senior executives of Nykaa, including SuperStore CEO, chief business officer and chief commercial officer, have resigned from the company, according to two people aware of the development.
Those who have resigned include Nykaa SuperStore CEO Vikas Gupta, Nykaa Fashion chief business officer Gopal Asthana, chief commercial operations officer Manoj Gandhi, business head Shuchi Pandya and finance head Lalit Pruthi.
While the reason for the resignation of the four executives could not be ascertained, Pruthi has now joined edtech firm UNIVO as chief financial officer.
Pruthi worked with Nykaa for about a year.
When contacted, Nykaa termed it as “voluntary and involuntary exits”.
“Voluntary and involuntary exits are expected in a fast-paced, growth-focused, consumer tech organisation with over 3,000 on-roll employees, like Nykaa,” the company said in a statement. (PTI)
Paytm gets 15-day extension to apply for online payment aggregator permit
Digital financial services firm One97 Communications, which operates the Paytm brand, has 15 days more to apply for the online payment aggregator licence for its subsidiary PPSL, a regulatory filing said on Sunday.
The Reserve Bank of India in November rejected its application for a payment aggregator (PA) licence for Paytm Payments Services Limited (PPSL) and asked to resubmit the application for the same within 120 days.
One97 Communications (OCL) in the regulatory filing said that it has received a letter from the RBI, which says PPSL can continue with the Online Payment Aggregation business, while it awaits approval from the central government for past investment from OCL into PPSL as per FDI Guidelines.
“As per RBI’s letter, on receipt of approval from GoI, PPSL will have fifteen days to submit the application, seeking authorisation for PPSL to operate as an online PA,” the filing said.
Paytm requires a permit to operate its payment gateway business through which it facilitates payments to various merchants. (PTI)
LIC plans record ₹2.4 tn investments next fiscal
Life Insurance Corp. of India (LIC), the country’s largest investor, plans to invest a record ₹2.4 trillion across markets, including shares of locally traded companies, in the year starting 1 April, according to two people directly familiar with the state-run insurer’s plans.
“Apart from supporting markets, this will not only be the largest ever investment by LIC but also may help it in maximizing returns for policyholders and profits for shareholders but also may work as a vital support system for Indian markets in FY2024,” one of the two people said, requesting anonymity.
“Around 35% of the total investment or ₹80,000 crore – ₹85,000 crore could be allocated in shares of listed companies in India in the fiscal year 2024,” the person added. (Read More)
Banking crisis, F&O expiry, FII flows to drive Indian equity markets this week
The trading activity in the domestic equity markets is expected to remain volatile this week as investors will focus on global cues for further direction, analysts said. F&O expiry, FII activity, and movement in the rupee and crude will also be watched by traders as global trends have been dictating the direction of the local stock markets currently.
Equity benchmark indices Sensex and Nifty buckled under selling pressure in metal, energy and realty stocks for the second straight session to settle nearly 1 per cent lower on Friday.
“Nifty slipped below the crucial level of 16950 as the bears gained control of the market. Furthermore, the Nifty fell after a few days of consolidation, indicating an increase in bearish bets. The momentum indicator RSI is in bearish crossover,” said Rupak De, Senior Technical Analyst at LKP Securities. (Read More)
Wall Street ends volatile week higher on Friday as Fed officials ease bank fears
U.S. stocks closed higher on Friday, marking the end of a tumultuous week as Federal Reserve officials calmed investor fears over a potential liquidity crisis in the banking sector.
While all three major U.S. stock indexes started the session sharply lower on the heels of a sell-off among European banks, those losses reversed by closing bell, repeating the intraday roller coaster ride of recent sessions.
At the conclusion of an up-and-down week, marked by a Fed interest rate hike and mounting worries over the health of the banking system, all three indexes notched weekly gains.
“Equity markets drifted higher as concerns lingered about another banking flare up in the U.S. or abroad,” said David Carter, managing director at JPMorgan Private Bank in New York. “Wall Street is taking its cues from Washington and other capitals as it relates to interest rates and banking regulations.”
In separate appearances, three regional Fed bank presidents said that their confidence that the banking system was not facing a liquidity crisis is what led to the decision to implement a 25 basis point policy rate hike on Wednesday.
But while Fed officials continue to see additional rate hikes as a strong possibility, financial markets are now favouring the likelihood of a no hike at all at the conclusion of its next policy meeting in May.
“The Fed may be jaw-boning a bit as it says more rate increases may be coming this year,” JPMorgan’s Carter added. “It helps both their inflation goal and suggests confidence in our economic system.”
Worries over potential contagion beyond regional banks threatening to spread to their larger peers was sparked by a sell-off of European bank shares. (Reuters)
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