India's credit rating improves, JSW Cement listing gains, Indian Oil profits up 93%, & more — Daily Digest
Thursday, 14 August 2025
Markets opened above yesterday’s closing point.
Nifty 50 stayed in a range. This may have been due to cautious investor sentiments ahead of the upcoming Trump-Putin meeting on 15 Aug.
Consumer durables stocks and IT stocks rose the most today. Metal stocks and oil and gas stocks fell the most.
Global markets: US markets rose and closed in green. Most Asian markets closed in red. Most European markets rose (as of 6 p.m. IST).
News
India’s long term sovereign credit rating was upgraded to BBB from the earlier BBB- by credit ratings agency S&P Global. This is India’s first upgrade in ratings in 18 years.
India’s wholesale inflation fell to -0.58% year-on-year in July (vs -0.13% in June). Wholesale food inflation stood at -2.15%, while fuel and manufacturing inflation stood at -2.43% and 2.05% respectively.
India’s merchandise trade deficit increased to $27.35 billion in July (vs $18.78 billion in June). Imports grew 8.6% year-on-year to $64.59 billion and exports grew 7.3% to $37.24 billion.
The RBI will launch a faster cheque clearing system, starting from 4 Oct. This will process cheques in a few hours, instead of a full day.
JSW Cement was listed on the stock exchanges at a premium of 4.42% over its issue price and closed 0.63% down at the end of the day.
Stocks Updates
Indian Oil: net profit rose 93% year-on-year to Rs 6,814 crore in the April-June quarter.
Shriram Finance: RBI rejected Shriram Overseas Investments’ application for a Primary Dealer licence, and the company plans to appeal the decision. A Primary Dealer is an RBI-authorized institution that buys government securities directly and sells them further.
Vedanta: company subsidiary, BALCO, received a Rs 1.03 crore income tax penalty for AY 2011-12. The company plans to appeal the order.
Bajaj Auto: received an order cancelling a GST demand of Rs 2.32 crore, along with Rs 23.23 lakh interest and penalty for FY 2020-21.
Zydus Lifesciences: the US FDA had 4 observations after its inspection at its formulation manufacturing plant in Baddi, Himachal Pradesh.
Infosys: will acquire a 75% stake in Australia’s Versent Group from Telstra (a telecom company) for AUD 233.25 million to form a joint venture. It aims to deliver AI solutions with this venture.
Word of the Day
Debentures
They are long-term debt instruments used by companies or governments to raise money from the public
They are a type of loan given to the issuer, usually for more than 10 years.
The issuer gives fixed interest payments to the investor and repays the amount at maturity.
They can be secured or unsecured — meaning they can be backed by specific assets or rely solely on the issuer’s promise to repay.
Debentures are used to raise funds without diluting ownership.
6 Day Course
Theme: illiquid shares
Day 4: Thursday
Some companies get delisted from the exchanges. These companies shares become extremely illiquid.
These shares can only be bought and sold OTC (Over the Counter).
In this case, the buyers and sellers have to find each other — it does not happen automatically like in case of the stock exchange.
Once that is done, they need to negotiate and arrive at a price for the transaction.
This transaction needs to be recorded and documented using an agreement and other madatory documents.
Companies can be delisted for various reasons including bankruptcy, merger, voluntary delisting, violation of regulations, etc.
Featured Question
Q. “I invest mostly of my fund i.e 75% in MF (65%) and gold EFT (10%) and want to invest remaining 25% in direct stock but not confident enough to select the stocks, what should I do? Shall I trust my analysis and start with small amount?”
Many investors feel this way.
If you want to start investing in stocks, starting with a small amount is a good idea.
If you are not sure at all, please use an amount you will be comfortable losing.
This can be 25% of your total investment amount or even much lower than that.
Also, it is necessary you give yourself time to determine if you’re succeeding as an investor.
Many investors start investing in stocks, and see very high returns very fast.
That is usually temporary and a phenomenon of the bull phase.
It is best to trust your stock picking skill only after you have proven yourself to be good at it over a long period of time — through bull phase and bear phase.
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