Market Dynamics Unveiled
Recent data indicates a strong performance in the Indian stock market. The Sensex experienced a significant rise of 638 points, while the Nifty reached
26,172. This positive trend was fueled by an increase in SMIDs (Small and Mid-cap), metal, and IT shares. Further contributing to this growth, the country's Forex reserves surged by $1.7 billion, reaching $689 billion, with gold holdings up by $758 million. Simultaneously, the RBI's weekly credit update is now in effect, a crucial factor for borrowers.
IPO Market Review
The IPO market has seen noteworthy activity, with several companies making headlines. ICICI Prudential AMC's IPO was listed at Rs 2,600 per share, which was a 20% premium. KV Toys IPO's allotment was finalized, and GMP (Grey Market Premium) indicated robust gains. The ICICI Prudential AMC IPO received a substantial 39.17x subscription. In other news, Groww's share price increased significantly by 72% after its IPO. The Pharma stocks jumped up to 5% after the US Senate passed the Biosecure Act, with Wockhardt leading the gains.
Real Estate Insights
The real estate sector is experiencing considerable growth. India's REIT (Real Estate Investment Trust) market has surpassed Hong Kong, reaching Rs 2.3 lakh crore in just six years. Premium housing sales surged by 85% in the first half of the year, with an expected boost in realty demand due to infrastructure advancements. The luxury housing market is expanding beyond the major cities. In Worli, Mumbai, 30 homes were sold for Rs 5,500 crore over two years, accounting for 40% of India's ultra-luxury market.
Gold and Investments
Gold prices remain a key focus for investors, with various predictions and trends shaping the market. Ed Yardeni foresees gold reaching $10,000 by 2029. Several gold price changes were observed, with fluctuations reported on different dates, impacting 24K and 22K rates in major cities. Investments were evaluated against deposits and the Sensex to offer a comprehensive understanding. The article included the comparison of how Rs 100 invested in 1985 performed over 40 years.
Banking and Finance
Several banking sector updates have emerged. RBI levied a Rs 62-lakh fine on Kotak Mahindra Bank. Standard Chartered expanded its fraud probe after the diversion of Rs 80 crore of HNI (High Net Worth Individual) funds in Bengaluru. Banks, including HDFC and PNB, reduced lending rates following the RBI's repo rate cut of 25 bps. SBI Card announced changes to airport lounge access from January 10. The government addressed concerns regarding the IT department's access to digital data, debunking claims of blanket access under the new act.
Tax and Regulations
Tax-related topics include various deadlines and changes. The due dates for GSTR-9 and GSTR-9C for FY 2024-25 are being reviewed by the BCAS (Bombay Chartered Accountants Society). Taxpayers were reminded of the ITR audit deadline, which was set to December 10. The government is planning revisions to the GDP, CPI (Consumer Price Index), and IIP (Index of Industrial Production) series in 2026. A consultative workshop is scheduled on December 23. Taxpayers should also know about how to avoid TDS by reviewing Form 12BB in January. Finally, the RBI board met in Hyderabad and cleared the risk-based deposit insurance system.
