Free Stock Tips for Today (12th September) - Money Maker Research

Key indices were hovering in positive territory after hitting fresh intraday high in early trade. The BSE Sensex was trading at 32,050 up 168 points, while Nifty hit at 10,052 up 46 points.

Stocks of Future Consumer lost 1.12% to Rs 66.10 late morning hours on BSE, with the stock sliding on profit booking after recent strong rally. The stock had hit a high and low of Rs 67.95 and Rs 63.70, respectively during the day. 

L&T hits 52-week high after winning order, Stocks of L&T rose 0.42% to Rs 1,222 on BSE after the company said that its construction division won orders of Rs 2525 crore. The stock had hit a high of Rs 1231.95 and a low of Rs 1,219 so far during the day.

Stocks of Strides Shasun Ltd is trading higher Rs. 27.30, at Rs. 968.60 on BSE after the company announced it has obtained approval from the US Food & Drug Administration for its Potassium Citrate extended-release tablets for treatment of certain types of kidney stones.

Stocks of Godrej Industries Ltd rose 3.2%, Godrej Properties Ltd surged 5%, Godrej Consumer Products Ltd rose 1.3%. Godrej Agrovet unit of Godrej Industries Limited received approval from Sebi to raise Rs 1200 crore via IPO.

SEBI Introduces Physical Settlement in Derivative Segment - Money Maker Research

The market regulator SEBI is on the lookout of introducing physical-based settlement in the equity derivatives sector, which aims to reduce the disproportionate market speculation in the F&O market and to boost govt taxes by encouraging cash market trade, as per news.

In physical settlement, a buyer or seller of Future & Option contracts has the option to seek delivery of shares if the speculator tries to artificially enhance or suppress derivative prices. Presently, stock markets follow cash settlement, in which the Future & Option contract is settled by paying the difference between strike price and the value of underlying security, which is tend to manipulation.

In stock market trading, generally, there are two kinds of derivative contracts viz. futures and options. A futures contract implies a legally binding agreement to buy or sell the underlying security on a future date, whereas options contract offers the buyer or holder of the contract the right, but not the obligation, to buy or sell the underlying asset at a pre-determined price within or at end of a specified period. The buyers of a stock futures is not buying an underlying stock but merely an option to buy at a future date, which they seldom exercises, therefore the ‘cash settled’ futures transaction is necessitates no ownership obligation. 

India has come out as the second most speculative markets worldwide after South Korea. This has made the govt and SEBI to step on a path of caution. Moreover, it is expected that any surge in cash volumes in the derivative segment is possibly to give remarkable thrust to STT collection.

Things to Watch Out; What to expect in the market week ahead - Money Maker Research

The 21st GST Council meet, headed by FM Arun Jaitley, will be held today, 9 Sept 2017 in Hyderabad. In the meeting, the govt of Telangana will show up the demands on reduction of tax slabs on certain products and services.

The IPO of Matrimony.com opens on Monday, 11 Sept 2017 and will close on Wednesday, 13 Sept 2017. Further, the IPO of ICICI Lombard will be opened on September 15 and will close on September 19. Matrimony.com is looking to raise Rs 501 Cr from its proposed IPO with a price Band of Rs 983 – 985 which will Open Sept 11 and will close-Sept 13.

Capacit'e Infra projects is coming up with an IPO with issue size up to Rs 400 crore, with a price band of Rs 245 to Rs 250 per share, which will open on Wednesday, 13 Sept 2017 and will close on Friday, 15 Sept 2017.

Health insurer Cigna TTK has filed an application with Insurance Regulatory & Development Authority to replace its J.V partner, the TTK Group, with the Manipal Group which has a brand presence in health care and education.