Jio IPO Sees Overwhelming Demand on Day One Even as Nifty Struggles

Jio IPO Sees Overwhelming Demand on Day One Even as Indian Stocks Struggle Good morning... I’m Rajesh Mascarenhas in Mumbai, where Jio Platforms’ IPO has drawn extraordinary demand for a mega-offering. Billionaire Mukesh Ambani’s digital venture had a dream start to its IPO as institutional investors broke from their usual script to bid heavily on the first day, as we write below. Demand was so strong that it spilled over into the currency market, with foreign inflows helping the rupee outperform most Asian peers on Wednesday. While that also signals a market flush with liquidity, much of it appears to be bypassing listed stocks for now. The benchmark Nifty failed to sustain early gains and closed lower yesterday. Earnings remain a key focus, with Hindustan Petroleum, Adani Energy Solutions, Adani Total Gas and Swiggy among the companies due to report results on Thursday. Asian stocks are off to a tepid start this morning, with oil prices rising after deadly attacks in Saudi Arabia heightened concerns that escalating Middle East hostilities could hit supply. Meanwhile, bonds continue to stay under pressure on bets that inflation risks could push the central bank to hike rates at a faster pace in coming months. RBI minutes released Wednesday showed that policymakers are worried about accelerating inflation, though they differ over how strongly to signal further tightening. In today’s newsletter, we also cover: