India-US trade talks resume, Pidilite's 1:1 bonus issue, & more - Daily Digest

Tuesday, 16 September 2025

Sep 16, 2025

Markets opened above yesterday’s closing point.

Nifty 50 rose throughout the day and closed in the green. The positive sentiment may have been driven by optimism over resumed India-US trade talks and expectations of a US Fed rate cut on 17 Sept.

All sectors’ stocks rose today except for the FMCG stocks. Auto stocks and realty stocks rose the most.

Global markets: US markets and most Asian markets rose. European markets fell (as of 6 pm IST).

News

India’s passenger vehicle sales fell 8.8% year-on-year to 3.22 lakh units. Two wheeler sales grew by 7.1% while three wheeler sales grew by 8.3%.
Hero Moto received SEBI’s approval for a Rs 1,200 crore IPO.

Stocks Updates

L&T: received a significant order (Rs 1,000 crore to Rs 2,500 crore) from NPCIL for mechanical works at Kudankulam nuclear power project in Tamil Nadu.
Dr Reddy’s: launched Tegoprazan molecule for acid-related gastrointestinal diseases under an exclusive partnership with South Korean company HK inno.N.
Bajaj Housing: raised Rs 1,000 crore by issuing non-convertible debentures at 7.1% coupon rate, maturing in Oct 2028.
Coal India: has been declared as preferred bidder by the government for the Ontillu-Chandragiri Rare Earth Exploration Block in Andhra Pradesh.
Lodha Developers: raised Rs 350 crore by issuing non-convertible debentures on a private placement basis at 7.87% coupon rate, maturing in Sept 2029.
Suzlon Energy: received an order for 838 MW wind projects from Tata Power Renewable across Karnataka, Maharashtra, and Tamil Nadu. It is the company's largest order of FY 2025-26 and 2nd largest order ever.
Bajaj Holdings: board declared an interim dividend of Rs 65 per share for FY 2025-26. Record date: 22 Sept.
Bharat Electronics: received orders worth Rs 712 crore for the supply of IT infra & cyber security solution, ESM systems, block chain solution platform, etc.
Pidilite: fixed 23 Sept as the record date for its 1:1 bonus issue of shares.

Word of the Day

Sovereign Debt

It is the money borrowed by the government of a country

It is raised when the country’s tax revenue is not enough to cover its spending.

Example: the government issuing bonds.

It can be used to fund projects like infrastructure, social welfare, or emergency relief.

Too much sovereign debt can strain a country’s finances and hurt its credit rating, which in turn can affect future borrowing costs.

6 Day Course

Theme: dividend vs buyback
Day 2: Tuesday

Dividends involve giving money directly to shareholders.

In case of buybacks, the money is not given to shareholders directly.

Instead, the money is used to buy shares of the company.

So, the company will go and buy its own shares from the share markets.

To make this more tempting, they usually offer a share price slightly higher than the current share price.

The shares it has bought are destroyed. This results in a reduced number of total shares.

Now, think about it.

The company is the same. The number of shares has reduced. So what will happen?

It will result in the share price increasing.

This is an indirect way of sharing profits/earnings with shareholders (compared to giving dividends).

Featured Question

“On redemption of Equity Mutual Fund, who calculate the STCG or LTCG-the Fund House, the Investor or the IT Department? I think, for a Investor it is very difficult to calculate the tax in case of SIP. Is there any method or online calculator for the purpose or the Investor will have to take help of a Income Tax Professional? Kindly explain.”This is a common doubt.

Actually, this is quite easy on most mutual fund platforms.

At the end of every financial year, you can download a capital gains report.

This report shows your gains in equity and debt.

It accounts for all factors like investment duration, initial NAV value, final NAV value, profit, etc.

The total gains in any financial year are clearly mentioned in it.

You can use the given total gains to calculate the tax rate. It is not at all difficult.

If you still feel you are unable to calculate, you can always take the help of a Chartered Accountant (CA).

Many of them offer to calculate and file tax returns for a fee.