Index trend and stocks in action September 26, 2016

The Indian benchmark indices got off to a soft start as the indices showed signs of consolidating in early trade. Thereafter, Nifty failed to show any kind of enthusiasm due to lack of encouraging leads and suffered a setback in the afternoon trade as sudden bouts of profit booking emerged. Now going forward the level of 8750 will act as an immediate support for Nifty and a decisive breach of this level will open up for correction up to levels of 8640-8680. Nifty has been progressing well within the channel pattern. The on-going bullish trending sequence could deteriorate in case of breach below 8640-8680. On the upside, the level of 8900 will act as an immediate resistance for Nifty and a decisive move above level of 8900 will open for up-move up to levels of 9000 and 9100.

Puravankara Projects: Realty firm Puravankara Projects Ltd., plans to raise up to Rs. 1,500 crore by issuing non-convertible debentures (NCDs) for execution of its projects.

GNA Axles: The rear axle shafts manufacturer will make its stock market debut today. The issue price is fixed at Rs 207 per share. The 63 lakh equity shares public issue was oversubscribed 54.88 times.

ONGC: ONGC has signed a memorandum of understanding to take a stake in the KG Basin block owned by Gujarat State Petronet (GSPC), a company owned by the Gujarat Government. GSPC has been trying hard to sell off its stake in the Deendayal block in the KG Basin to avoid defaulting on its debt.

Vardhman Textiles: The Board of Directors of Vardhman Textiles at its meeting held on September 24, 2016, has approved the proposal to buy-back the fully paid-up equity shares of face value of Rs 10 each of the company.

Gayatri Projects: Gayatri Projects has announced that it has secured Rs 1,255 crore highway contract in a joint venture with Russian construction firm PTPS from National Highway Authority of India (NHAI).

Coal India: State-run Coal India has asked for alternative coal blocks from the Mozambique Government since it did not find any commercially viable reserves in the block it was allotted a few years ago.