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Amid concerns over PSU valuations, both MFs and FIIs reduced their stakes in at least 13 PSU stocks in the June quarter, while small retail investors bought these stocks. Q1 data shows MFs sold stakes in 28 PSU stocks and FIIs in 30. Notably, retail investors increased their stake in HAL, a favorite defense PSU, despite MFs and FIIs reducing theirs.

Piramal Enterprises experienced a 64% drop in its June quarter net profit, down to ₹181 crore from ₹509 crore a year earlier due to a prior one-off benefit. Core net interest income increased by 18% to ₹807 crore, although the net interest margin shrank. CEO Jairam Sridharan remains confident about meeting the FY25 target.

Bhargav Buddhadev of Ambit Asset Management identified potential selling pressure in capex-oriented sectors like roads, railways, and defense due to budget cuts. He highlighted optimism in sectors like rural recovery and chemicals. Investors were advised on market strategies, and the resilience of the Indian market amid global challenges was emphasized.

U.S. producer prices increased less than expected in July as the cost of services fell by the most in nearly 1-1/2 years amid signs of diminishing pricing power for businesses, evidence of waning inflation pressures that reinforced hopes of an interest rate cut next month.

Gold October futures on the MCX opened flat at Rs 70,533 per 10 grams, down by 0.23% (Rs 166). Silver September futures traded at Rs 81,000 per kilogram, down by 0.06% (Rs 49). Over the past 2 days, gold prices have fallen by Rs 200 per 10 grams and silver by Rs 600 per kilogram.

Venugopal Garre of Bernstein remarked that PSU stock valuations were excessively high relative to long-term growth expectations. He advised that this might be a good time for government divestment but noted a lack of such signals. Garre further commented on the uncertain sustainability of economic recovery despite some positive trends in current indicators.

The Australian stock market extended its gains for the fourth straight session on Wednesday, buoyed by lower-than-expected U.S. producer prices, which increased hopes of a Federal Reserve interest rate cut in September. Significant movements included strong corporate earnings from CBA and AGL Energy, alongside gains in gold and real estate stocks.

The 200-day DMA is used as a key indicator by traders to determine the overall trend of a stock.

A 5-year swing high represents the highest price a stock has achieved within five years