Sensex, Nifty50 open higher amid positive global cues – Paytm, HDFC, TVS Motor among stocks in focus

• India’s benchmark indices opened Wednesday in the green amid positive global cues after the US reported a slowdown in inflation.
• Sensex rose 153 points to open higher at 62,686, while Nifty50 gained 63 points to open higher at 18,671 on Wednesday.
• Paytm, HDFC, TVS Motor and others will be amongst the stocks to watch out for on Wednesday.
  

India’s benchmark indices Sensex and Nifty50 opened higher on Wednesday amid positive global cues. US indices surged on hopes of the Fed delivering a slower rate hike after a cool down in inflation, while Asian equity markets also in the green on Wednesday.

Sensex rose 153 points to open higher at 62,686, while Nifty50 gained 63 points to open higher at 18,671 on Wednesday.

“Indian markets could open higher, in line with largely positive Asian markets today and higher US markets on Tuesday,” said Deepak Jasani, head of retail research at HDFC Securities.

“Nifty closed in the positive on Dec 13 after a flat session on Monday. Nifty closed 0.60% or 110.9 points higher at 18608. Softer CPI numbers in India boosted sentiments while poor IIP numbers restrained the rise. Nifty could now rise towards the 18668-18729 band while 18410 could offer support,” Jasani added.

While the US inflation print came in cooler at 7.1% – the lowest since December 2021 – all eyes will be on US Fed chair Jerome Powell’s interest rate announcement today.

Global markets traded higher on hopes of cool down in rate hikes
Global market cues were positive on Wednesday as data showed US inflation slowed to 7.1% in November from 7.7% in October, raising hopes that the US Fed will go easy on the pace and size of interest rates hikes.

The US markets ended on a higher note on Tuesday with S&P 500 up 0.73%. The tech heavy Nasdaq closed 1.01% higher while Dow Jones ended 0.30% higher.

“U.S. stock indexes ended higher in volatile trade on Tuesday, but ended off their best levels, as investors shifted focus to the Federal Reserve’s next rate decision on Wednesday after inflation data showed more signs of cooling,” said Jasani.

Asian markets were also trading higher on Wednesday with Taiwan SE Weighted Index up 1.24%, Nikkei 225 up 0.67%, Hang Seng 0.22% higher while Shanghai SE Composite Index was up 0.10%.

Rupee opened Wednesday on a positive note at 82.4, gaining 23 paise against the US dollar. Brent crude oil prices hovered around $80.4, edging up from the $76 level at the end of the last week.

Stocks to watch out for
Paytm: The fintech company announced a buyback of 52.46 lakh equity shares at a price not more than ₹810 per share. The ₹850 crore share buyback will happen through the open market route. Shares of Paytm closed ₹538.40.

HDFC: The mortgage lender has received approval from exchanges for the transfer of non-convertible debentures (NCDs) to its subsidiary HDFC Bank.

TVS Motor: The company is planning to expand its presence in Turkey with the launch of the TVS Jupiter, TVS Ntorq Race Edition, TVS Raider, and TVS Apache RTR 200 4V.

Adani Transmission: Incorporated a new wholly-owned subsidiary, Adani Cooling Solutions, which will carry on district cooling system business.

Axis Bank: The private bank received board approval to raise INR 12,000 crore via non-convertible Tier II bonds on a private placement basis.

Stocks under F&O ban
Bharat Heavy Electricals (BHEL), Gujarat Narmada Valley Fertilizers & Chemicals and Delta Corp are stocks banned in the F&O list on Wednesday.

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