- 2 hours ago
US Secretary of State Marco Rubio visited Reliance Industries' Jamnagar refinery complex, where he was hosted by Mukesh Ambani and Anant Ambani. The visit occurred as global crude oil surpassed 110 dollars per barrel and ahead of a planned US visit by Prime Minister Narendra Modi. Meanwhile, Indian markets experienced significant pressure, with the Nifty falling below the 22,600 mark amid broad-based selling across sectoral indices, led by metals and autos, while India VIX gained over 5 percent. In corporate news, HDFC Bank initiated an internal investigation into two senior executives regarding an alleged leak of confidential business strategies, confirming the review via an official statement. Additionally, Jio Platforms' initial public offering saw robust demand, crossing full subscription within 100 minutes of opening. Geojit Investments Senior Vice President Gaurang Shah shared his market outlook, discussing earnings and recommending a subscribe rating on the Jio Platforms IPO for long-term investors.
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NewsTranscript
00:00We'll start off with the rupee check, viewers.
00:03The Indian rupee has opened at 94.47 per dollar vis-a-vis 94.46 per dollar closed.
00:09So just about a one-pese lure start for the Indian rupee at this point in time as well.
00:14But straight away, let's look at tracking the big story.
00:17This is with regards to the US Secretary of State Marco Rubio
00:20visiting Reliance Industries Jamnagar complex yesterday before departing for the US.
00:25He was met by and taken on a tour of the mega refinery by Mukesh Ambani and Anant Ambani.
00:31Also, the visit comes amid America's efforts to bring down its domestic diesel prices.
00:36Rubio has also earlier said that he wanted Reliance Industries to refine
00:39Venezuela crude oil, which is heavy and sour,
00:42making it unsuitable for most of the refineries around the world.
00:45But what does it mean for India-US ties?
00:47Pranay Upadhyay is joining in with more details on the same.
00:50Pranay, good morning to you.
00:51Give us an understanding of what this visit of Marco Rubio to Jamnagar refinery really means for India
00:58and the ties.
00:59We are already awaiting the kind of finalization of the India-US trade deal is concerned.
01:05There are statements pouring in from Donald Trump and Marco Rubio all over the last 48 hours
01:10saying that they are very, very close to signing a deal.
01:12What would this meeting really indicate?
01:17Good morning, Sakshi.
01:18And I think this is a very important visit, which is about to be concluded.
01:22U.S. Secretary of State Marco Rubio was in India for almost three days.
01:26And in fact, he spent meetings and he did meetings in Mumbai.
01:30He went to Jamnagar.
01:31And especially in terms of energy partnership between India and United States.
01:35Also, review of the bilateral relationship with the external affairs minister, Dr. S. Jai Shankar.
01:42And also, to prepare the ground for the upcoming visit of Prime Minister Nareen Modi to the United States.
01:48In this context, this visit was very important.
01:51But the visuals we are showing, the pictures we are showing, these are of particular significance.
01:56Because this is not the visit of U.S. Secretary of State to any private infrastructure or company or any
02:03establishment.
02:04But this is the visit of U.S. Secretary of State to world's largest oil refinery at a time.
02:10The context you highlighted that today the crude oil prices have passed, $110 per barrel.
02:16So, particularly, this is a concern for the global oil markets and especially for the United States at a time
02:22when the midterm elections are approaching in the United States.
02:25There is an effort to bring down the crude oil prices, to reduce the inflationary pressures, to reduce the supply
02:32chain pressures.
02:33And that is the reason, if you have seen the statement put out by the Reliance Industries Limited after this
02:39visit of Secretary Rubio.
02:41This clearly outlines that how Mukesh Ambani and Anand Ambani, the top leadership of the Reliance Industries Limited, outlined that
02:48their future plans, that how they are integrating.
02:51And this is the same company which is about to invest in a major energy refining infrastructure in Texas province
02:58of the United States.
03:00And also, they have showcased their deep tech facilities, their plans to integrate the digitization to digital infrastructure and the
03:09oil refining infrastructure.
03:10And you have already highlighted the importance of the Venezuelan crude oil and its refining facilities in India.
03:17Absolutely, Pranin. Thanks a lot for getting us all of those details.
03:20Another breaking news coming in on your screens, viewers.
03:22This is with regards to the precious metals.
03:24Now trading lower in the early deals, MCX Gold has opened about 1,500 rupees lower and now is trading
03:29at 1.45 lakh rupees per 10 grams.
03:32MCX Silver has fallen about 4,000 rupees to trade at 2.05 lakh rupees per kilogram as well.
03:39So, right ahead of the peak festive season and Diwali and Dhanteris, you're looking at some easing of prices on
03:46the precious metals at this point in time.
03:48This could actually make way for a lot of viewers, investors who've been looking at some cool off to come
03:54in on gold and silver prices to look at this at this very moment as well.
03:58But let's actually welcome our guest on board.
04:00We are joined by our special guest, Mr. Gaurang Shah, Senior Vice President of Jujit Investments, joining in on the
04:05platform.
04:06Warm welcome to you, sir. Thank you so much for taking the time out.
04:08Always a pleasure.
04:09We'll start off by taking your view on the markets per se.
04:12We've seen some impact in yesterday's trade, you know, yet again of the rising crude oil prices.
04:18Those are again hovering higher as key concerns.
04:21Yet again, $110 per barrel has been passed and that remains as a key overhang for the markets back home.
04:27What's your outlook?
04:29Hi, Sakshi. Thank you so much for having me on your show morning to you and to all the viewers.
04:33There's a small standard disclosure that all recommendations that I'll be sharing with you this morning on the show, Sakshi,
04:39they're part of our fundamental research team recommendation from a long-term point of view.
04:44Our company, Jujit, or myself, we do not have any kind of personal investments, no financial interest, no conflict of
04:49interest,
04:49but we share similar investment ideas with our clients.
04:52They might have their investment interest.
04:53So, I think yesterday's trade was quite pressured by sell-side numbers because we started off the day on a
05:03positive note.
05:05And then the pressure mounted because of the new slows.
05:09And of course, like you were rightly mentioning, the crude oil prices.
05:13And given the attacks that have been happening from the Houthi rebels on the Saudi Aramco facilities,
05:22very difficult to gauge any kind of movement on the crude oil prices as far as the immediate short to
05:28medium term is concerned.
05:29And that, but naturally has an impact on our economy,
05:32given the kind of dependency that we have on the import on crude oil prices.
05:35But on the flip side, Sakshi, I think Q2 numbers have been quite supportive.
05:39And that was one of the reasons why we ran from sub-22,200 to 23,200 or a little
05:45bit above that.
05:46And then a little bit of profit booking.
05:48So, given to the momentum and the recovery that we saw,
05:52I think it was prudent to expect a little bit of profit booking consolidation on the lower side.
05:57That's what we are witnessing.
05:58But yesterday, I think there were certain crucial levels that we broke 22,800, 22,700.
06:07I think today we'll have to just see whether we are able to recoup some of those lost grounds yesterday
06:11and whether we are able to maintain some kind of stability in the market.
06:16That's very important.
06:18Absolutely. Just about three seconds to the open.
06:20We are again looking at starting on the backcourt.
06:2222,690 is the opening level on the Nifty viewers.
06:26135 points lower in trade.
06:28So, yet again, you're looking at some pressure.
06:30Now we are giving up 22,650 on the lower end
06:34and now inching closer to 22,615 at this point in time.
06:37All the sectors, barring just about some green on the Nifty IT index,
06:43but that's also very, very slight shade of green at this point in time.
06:48All the sectors are down in the red
06:49and we are starting off with a broad-based sell-off.
06:53Look at the Metals Index, 1.8% lower, the top loser today.
06:57Auto Index down by 1.8%.
06:59PSU Banks down by over 1%.
07:02At least 10 sectoral indices are starting with over 1% cut viewers.
07:07Look at the mid and the small caps, over 1% cuts
07:10even for the broader market names at this point in time.
07:13The Nifty Bank also starting on the backfoot at this point in time as well.
07:17The Nifty Bank is down by 0.7%.
07:19IT, slight shade of green.
07:20You can see about a 0.1% higher move on the IT names,
07:24but even on the Nifty, very, very, you know, few names are still holding up.
07:29You just have Infosys and Tech Mahindra
07:32among those gainers coming in on your screens and Wipro per se.
07:36Those are the top movers.
07:38Axis Bank is also somehow supporting this initial move on the green side,
07:41but you just have these, you know, few stocks that are higher.
07:46Rest, all of the stocks have slipped into the red.
07:48Now, look at the Metal Counters, Indalko, Tata Steel, both declining over 2%.
07:52M&M is down in the trade as well.
07:54Across the board, you're looking at FMCG names like Nestle,
07:57Sriram Finance, Coal India.
07:59These are the top names that are starting on the back foot.
08:02India Wix is up by 4.7%.
08:04Remember, it's also the day of the Sensex weekly options expiry as well.
08:08Gauranga, how would you look at this again?
08:11You know, slightly back foot kind of an open for the markets, cautious start.
08:16And IT seems to be the only, you know, space that is showing us some strength.
08:22That's purely because of the pleasant surprise on the numbers front, Sakshi.
08:25Because if you remember, before the Q2 earnings season started,
08:29there were a lot of opinion and views on the street, out open,
08:33putting the entire IT sector in the ICO on the ventilator.
08:36And some of them actually written in obituary that IT sector is done and dusted.
08:42But I think we maintain a positive view, Sakshi.
08:45I think you cannot write off IT.
08:46Yes, there are a lot of innovations, changes, new platforms, tools getting introduced.
08:52But my sense and our sense at GeoJet is that Indian IT companies have made very calculated moves
08:59into the AI and, of course, super AI that we'll be talking about as we go into the future.
09:04So, supportive, yes.
09:05But yesterday, what I saw, Sakshi, was the broader market sell-off.
09:10Both the small cap and the mid cap were down and down, absolutely.
09:15I think today also there is a reasonable amount of pressure in the broader markets,
09:19both mid cap and small cap.
09:21So, support from IT is there, but I wonder how long that's going to help the market
09:26because the all-around pressure is going to push the markets down.
09:30And I think if we break, again, 22,500 or 22,300 on the lower side, nifty spot,
09:36then I think we could possibly see a little bit of more pressure.
09:39And, of course, you know, we are nearing a weekend.
09:42So, let's hope there is some stability in the market.
09:44Absolutely.
09:45Another breaking news coming in, viewers, on your screens.
09:48This is with regards to HDFC Bank.
09:50HDFC Bank is now probing alleged information leak.
09:54Two senior executives are under the lens and reports have indicated
09:57that confidential business strategies allegedly shared outside.
10:02Bank also says internal review is underway
10:04and action will follow any kind of review findings at this point in time as well.
10:09HDFC Bank countered it starting on the back foot about 1% lower in trade right after this news.
10:14Remember, HDFC Bank has found some evidence that at least two senior executives have shared confidential business plans
10:22and possibly market-sensitive information with outsiders as per the Bloomberg report.
10:28The probe began after some bank leaders raised concerns about a possible leak.
10:32The two executives who oversee key businesses and functions have been identified during the investigation
10:38and the bank is still checking whether the information was misused at this point in time.
10:43We only have so much of detail coming in from HDFC Bank which says that an internal review is underway
10:49and we'll have to wait to hear from HDFC Bank what sort of confidential business strategy
10:56or key sensitive information has been leaked outside
11:00and what could be the implications of that.
11:03We do not have that at this point in time as well.
11:06But, you know, Gaurang, taking your view, HDFC Bank, one after the other, troubles keep mounting.
11:12We've been waiting by, you know, now probably in October, in November is when we will see, you know,
11:19the change of hands and the top management taking over, you know.
11:23But, you know, we've seen last three, four years constantly there's been pressure one after the other.
11:29What could this news development really indicate?
11:33So, actually, there is very little information in terms of what sensitive information was given out,
11:39to whom it was given out, how it's going to impact the bank performance or business strategy.
11:46This is something that is unknown to us.
11:48So, making a general statement, I don't think it will be appropriate on my part
11:52and they are investigating it.
11:54Still, the investigation is on and they have, as mentioned and as said,
11:58two executives have been held responsible for it.
12:01So, as a disclosure, again, we do have a positive coverage on HDFC Bank.
12:05And I think these are what are the, you know, situation and IT related firewalls.
12:15So, this is what exactly I was referring to, Sakshi, that you cannot write about the sector
12:19because it is IT sector that's going to contribute to reinforce those firewalls
12:24in case if there are any slippages or leakages.
12:26So, and of course, like, unfortunately, the news flow.
12:30I was hoping that bad news are done and dusted, but this is one more.
12:34And I was reading this morning somewhere a flash was there that there are some crucial information
12:40on the dark web of some 3,000 plus SBI customers.
12:46So, I think we will need IT sector's help and support to safeguard these firewalls.
12:52You know, impact on the business will need to wait for the investigation to come out with a detailed report.
12:59But yeah, we do have positive coverage on both HDFC Bank as well as SBI.
13:04Right, in fact, there is some more detail coming in.
13:06The bank has, in fact, sent a reply and I'll just read that out.
13:10The bank is committed to upholding the highest standards of ethics and governance as outlined in our code of conduct.
13:17The court says this is from the bank in an email statement and where they say that we do not,
13:24we take any report of potential violations seriously in line with our policies.
13:29An internal review into the matter is currently underway to gather and evaluate all relevant facts.
13:34To protect the integrity of the process and the privacy of all parties involved,
13:38we do not comment on active internal reviews is what the spokesperson has added.
13:44As far as the action is concerned, the bank has said that they will take appropriate action
13:48based on the findings of the internal review.
13:50They have said in an email reply to informist query as well.
13:55And right now, the stock is seen slipping below the 700 mark as well.
13:59But shifting focus to the earnings space,
14:02Gaurang, how are you looking at the early set of numbers coming in?
14:05What stood out for you so far?
14:06We also did have numbers from say Eternal, you know, from the new age tech space as well.
14:12How did you assess that?
14:14Anything else that stood out for you so far?
14:17So, I think again, you know, the start has been good and IT has outperformed
14:22because the expectation was down and out.
14:24Yesterday's number from Eternal, known as Zomato earlier, I think they did fairly well.
14:31Again, a disclosure amongst the new age tech Qcom companies, we are positive on Eternal
14:37from a long-term point of view.
14:39And I think the driving force is going to be the number of dark stores that they're going
14:43to open up and the penetration into near geographies will help them build a larger market share
14:49and cater to a larger audience, subscriber-based, customer-based.
14:53And of course, you know, the ticket size is also going to increase as we go forward.
14:58One thing that I want to point out is this sector is going to see elevated level of competition
15:02as new entrants come and step into this sector.
15:04So, finding yourself relevant and making yourself strong enough to coexist with that kind of
15:11stiff competition, Sakshi, it's going to be something to watch out for.
15:15And as we all know, this sector offers loads and loads of discounts to attract customers.
15:21So, that is the near-term challenge that these companies need to face.
15:24But overall, on the Q2 season, the good part is that there is no bad part.
15:29Sakshi, let me put it that way.
15:34And if there were misses, one or two, I think it is, you can digest those small misses here
15:40and there.
15:41And I hope what remains to be seen is also in line with what we have seen so far.
15:46Right.
15:47Let's also shift your focus and attention, Gauranga, on the Jio Platform's IPO.
15:51We've discussed so much ahead of the IPO.
15:53The IPO kick started yesterday and started with a lot of records on day one itself with the
15:59subscription crossing, you know, sharply over about nine odd times now for the QIP portion
16:07as well.
16:07And it shot past three times just within the first half an hour of trade itself.
16:12Overall, you know, Jio IPO has got subscribed three times over.
16:16And we are also looking at how in the first hundred minutes of trade, it just got completely
16:22subscribed itself.
16:23What is your understanding now?
16:25You know, you must have now advised all of your clients what exactly to be doing on this
16:30IPO.
16:31And, you know, whether this makes for listing gain or a long-term story, what exactly are
16:37you advising?
16:39Listing gain is something that I will never comment, Sakshi.
16:42I have always recommended, Sakshi, to investors that, you know, markets and IPOs like this
16:49give you seldom opportunities to create wealth and be a part of that growth story by investing
16:55for that IPO or investing in the shares post-listing.
16:59Telecom sector, Sakshi, is one of those sectors which is relatively insulated from the external
17:05shocks like crude oil prices and rupee-dollar situation.
17:09You and me are going to consume as much data as we want to consume.
17:12And we are going to speak on the cell phone and get connected as much as we want to do
17:16it.
17:18Tariffs are absolutely, I'm quite convinced, Sakshi are going to up north.
17:22We saw a small increase from Bajdi Airtel for post-paid.
17:26I think by the time we say goodbye to this year, December 2026, you are going to see a
17:31small hike and then after that another hike.
17:33So the ARPUs are going to up north.
17:36So that revenues are going to increase.
17:38And 55 crore subscriber-based Sakshi, it's equivalent to a population of a small country.
17:45That's the kind of subscriber base that Jio platform or Jio mobility has.
17:50And 10 years, I think they have created history and made the company worthy enough to get this
17:57kind of valuation and attract investors from a long-term point of view.
18:01So one humble request that I want to make to all your viewers through your channel and this
18:06show is, Sakshi, don't look at all the paper or IPOs that come into the market from a single
18:11point of view of listing gates.
18:13Many of them can create wealth from a long-term point of view.
18:16As a disclosure, we have come out with a subscriber recommendation for Jio platforms.
18:20So if you're not invested in the IPO, please go ahead and do it.
18:24Alright, so there's confidence in subscription as far as the Jio IPO is concerned for viewers
18:30coming in from Gorang right there.
18:33Very few IPOs does he really come out and talk about that, yes, this is an opportunity
18:37you must go for.
18:38And Jio IPO is something that he's clearly advising you to subscribe to at the moment as
18:42well.
18:43The markets don't lose sight of viewers.
18:45The Nifty has now slipped below 22,600 mark as well.
18:47There is a 215 point of a downtick.
18:49And now you have all the sectors that have slipped into the reds.
18:52Let's see how things really pan out.
18:54Gorang, thanks a lot for sharing your views today.
18:56India Wix is up by 5.5% so there is a sharp rally on the volatility factor right there.
19:02But it's a time to wrap up the Business Today show right here, viewers.
19:05But do stay tuned on to India today.
19:07I'll be back for all the closing action on the Lyle Street at 3.05pm.
19:10Stay tuned.
19:12Presented by National Stock Exchange.