Markets On Steady Upward Trot For 9 Straight Sessions | Zee & Sony Split | The Core Report

On Episode 373 of The Core Report, financial journalist Govindraj Ethiraj talks to Karan Taurani, senior vice president of Elara Capital as well as Pranav Haldea, managing director of PRIME Database Group.

SHOW NOTES

• (00:00) The Take: Why Indian investors need to be reined in
• (05:29) Markets on steady upward trot for 9 straight sessions
• (06:40) Maruti says no inventory problem but the problem is larger
• (09:04) Zee and Sony say all claims on each other are off following a failed merger, what this means for industry
• (16:31) Primary markets are overheated, what can be done?

The Take: Why Indian investors need to be reined in.

A small Delhi Yamaha dealership raised Rs 12 crore in an IPO oversubscribed by 400 times, reflecting a frenzy driven by post-COVID investor enthusiasm. Quick returns lure new investors, but many are chasing short-term gains without understanding the fundamentals. With high inflation and unmet aspirations, people are flocking to the markets, often making risky bets. The disconnect between impulsive investing and the market’s role in mobilising productive capital calls for more barriers to quick investments and a push for long-term thinking.

Markets & More:

It was yet another flat day, which could set the tone since there are no major triggers on the horizon. The BSE Sensex closed at 81,711.76, up 13.65 points, while the Nifty50 was up 7.15 points, 0.03% higher at 25,017.75. Despite the flat run, the Nifty50 has risen for 9 straight sessions and is close to a record high. Energy and consumer stocks fell, while financials did well. Domestic institutional investors have been buyers for 16 straight sessions, purchasing Indian stocks worth Rs 48,614 crore ($5.8 billion). Asian stocks were weak even as Brent Crude held steady, rising over $80 a barrel. Zee Entertainment stock was up 12% after settling a merger dispute with Sony.

Maruti Says No Inventory Problem:

Maruti Suzuki said its dealers held about 38 days of inventory, expected to reduce to 10 days by year-end, according to chairman R C Bhargava in a Business Standard report. However, dealers claim they are holding over 60 days of inventory. The issue is whether demand is slowing and by how much or if car makers have misjudged demand projections. The chairman expects demand for small cars to revive by March 2026. Maruti is betting on small cars, believing they are necessary in India’s economic and social conditions. Meanwhile, Maruti plans to launch its first electric car in the coming months, exporting to Japan and Europe before bringing it to India.

Zee And Sony Split Is Done:

Karan Taurani, Senior VP of Elara Capital, explained that Zee and Sony have resolved their disputes after the $10 billion merger fell through earlier this year. The merger would have created a network with 90 channels, competing with Disney and Reliance. Taurani noted that without the merger, both companies may struggle to gain market share and might need new partners. However, with major players like Reliance and Disney already in talks, options are limited. The market welcomed the news, with Zee’s stock up 10%, but both companies face challenges ahead.

Primary Market Goes Haywire:

Foreign investors have bought $1.47 billion of issuances in the primary market, despite selling $3.5 billion of equities in the secondary market. The stock markets are booming, with primary markets reaching stratospheric levels. Pranav Haldea of Prime Database says this financial year could be the best ever for IPOs. The SME space, however, is a mixed bag. Regulatory action has been taken against some SME companies, and new guidelines have been introduced. Despite this, SME IPOs continue to attract retail investors with high listing gains, but caution is advised. Many investors are driven by short-term gains, but the market requires more regulatory scrutiny.

#stockmarketnews #financialinsights #investmentstrategy #ZeeSonyMerger #indianeconomy #ipoupdates #markettrends #businessnews #nifty50 #sensex #businessnews #businesspodcast #financialnews #govindrajethiraj #thecorereport #thecore

Listeners! We await your feedback: (https://tinyurl.com/TCR-Listener-Survey)

To collaborate with our Core Brand Studio contact [email protected]

For more of our coverage check out thecore.in (https://www.thecore.in/)

Support the Core Report (https://tinyurl.com/Support-the-Core-...)

Join & Interact anonymously on our whatsapp channel (https://tinyurl.com/The-Core-WhatsApp...)

Subscribe to our Newsletter (https://www.thecore.in/category/podca...)

Follow us on:
Twitter (  / the_core_in  )
Instagram (  / the.core.in  )
Facebook (  / thecore.biz  )
Linkedin (  / thecore-in  )
Youtube (   / @thecore_in  )