View on market: Stay Cautious, be with quality business:
Asian stocks followed their U.S. peers lower as traders weighed the economic threat of virus restrictions against optimism about the efficacy of vaccines. Treasuries gained. Equities slipped in Korea, Australia and Japan. U.S. futures fluctuated after benchmarks ended a three-day rally on Thursday amid losses in the consumer discretionary and real estate sectors. The Singapore-traded SGX Nifty, an early indicator of India’s Nifty 50 Index’s performance, was little changed at 17,533.50, as of 8:05 a.m.
Economic Calendar:
- INR: Manufacturing Output (MoM) (Oct) on 10th December, 2021.
- INR: FX Reserves, USD on 10th December, 2021.
- USD: Core CPI (MoM) (Nov) on 10th December, 2021.
- USD: Federal Budget Balance (Nov) on 11th December, 2021.
Brokerage Radar:
UBS ON PVR: Maintain buy at the price of Rs 1488 for the target price of Rs 2000. Market missing early indicators & big wave of movie releases. Expect a street earnings upgrade in the next few months. Nov box office at 90% of its pre-covid level despite restricted occupancy. 4Q may be the biggest ever net box office colln for Indian film ind. Co trading at a 30% discount to its pre COVID Level.
JEFFERIES ON DIXON: Maintain buy at the price of Rs 5389 for the target price of Rs 6450. Raise FY24 EPS by 3%, factoring in telecom PLI upside. Over FY21-24, they estimate sales/profit CAGR of +56%/+67%. Growth prospects appear superior to most peers.
CREDIT SUISSE ON CONSUMER STAPLES: Many FMCG Cos may see double-digit price increases at company levels in Q4. This would be the highest price increases by the industry after FY09. FMCG volumes have slowed down in pervious instances of broad-based price hike. HUL saw very low single-digit volume growth in FY 09 with double-digit price hike. Nestle saw low single-digit volume growth in cy12-14 with double-digit price hike. Expect 2-3% moderation in the two-year volume CAGR for most cos in H2. 2-yr volume CAGR for Dabur & Marico would still be healthy at high single digit. 2-yr volume CAGR for Hul & Britannia could slip into low single digit.
International Markets:
U.S & Europe
| Particulars | 9th Dec | Chg | Chg(%) |
| Nasdaq | 15,517.37 | -269.62 | -1.71 |
| Dow | 35,754.69 | -0.06 | 0.00 |
| FTSE | 7,321.26 | -15.79 | -0.22 |
| CAC | 7,008.23 | -6.34 | -0.09 |
| DAX | 15,639.26 | -47.83 | -0.30 |
| Dow Fut.* | 35,763.00 | 10.00 | 0.03 |
Asian markets:
| Particulars | 10th Dec | Chg | Chg(%) |
| SGX Nifty | 17,533.50 | -12.00 | -0.07 |
| Nikkei | 28,599.51 | -125.96 | -0.44 |
| Straits Times | 3,140.12 | -2.33 | -0.07 |
| Hang Seng | 24,183.89 | -70.97 | -0.29 |
| Shanghai | 3,660.08 | -12.96 | -0.35 |
ADR Watch:
| Particulars | 9th Dec | Chg | Chg(%) |
| Dr Reddy | 60.59 | -0.08 | -0.13 |
| HDFC Bank | 65.67 | -1.80 | -2.67 |
| ICICI Bank | 20.00 | 0.28 | 1.42 |
| Infosys | 23.25 | -0.19 | -0.81 |
| Tata Motor | 32.14 | -0.47 | -1.44 |
| Wipro | 8.71 | -0.05 | -0.57 |
Commodities & Currency
| Particulars | Current Price | Chg(%) |
| USD/INR | 75.52 | 0.09 |
| Brent | 74.44 | 0.64 |
| Gold | 1779.65 | 0.17 |
| Silver | 22.032 | 0.09 |
FIIs & DII
| Particulars | 9thDec | 8thDec |
| FIIs | -1585.55 | -579.27 |
| DIIs | 782.84 | 1735.50 |
News Update:
Bajaj Electricals: To review its corporate structure to unlock growth and consider demergers, subsidiarization and strategic partnerships. Board has authorised management to consider housing power transmission and power distribution business verticals as a standalone legal entity.
Karnataka Bank: Conferred with two DigiDhan awards instituted by the government for achieving the target with highest percentage in BHIM UPI transactions.
HFCL: The company closed the qualified institutional placement issue and raised Rs 600 crore by allocating 8,72,72,727 equity shares at an issue price of Rs 68.75 per share.
Dr Reddy’s Laboratories: Has sought permission from India’s drug regulator to conduct a phase-3 clinical trial to evaluate the efficacy and safety of Sputnik Light vaccine as a booster dose against COVID-19 in India.
Vodafone Idea: The telco has managed to raise funds for the payment of bondholders’ interest on time, according to a media report. Vodafone Idea is expected to pay ₹6,000 crore beginning 13 December to March 2022. It has been in talks with lenders and investors to raise funds for repayment of bonds.
One97 Communications: The fintech major’s subsidiary, Paytm Payments Bank Ltd, has been included in the second schedule of the Reserve Bank of India Act and is now a scheduled payments bank. Accordingly, it can now participate in government and other large corporations issued Request for Proposals (RFP), primary auctions, fixed-rate and variable rate repos, and reverse repos, along with participation in the marginal standing facility.
Marksans Pharma: UK health regulator has granted market authorisation to the company’s wholly owned subsidiary Relonchem for Loperamide 2mg hard capsules. Marksans will manufacture the products at its UK MHRA-approved state-of-the-art oral dosage facility located in Goa, India.
Aviation stocks: India has extended the ban on scheduled international flights till 31 January. This will not be applicable to any international all-cargo operation and flight specifically approved by Director-General of Civil Aviation.
Go Fashion: SBI Mutual Fund has bought 1.5 million shares of Go Fashion at ₹1,172 apiece through a bulk deal on the National Stock Exchange. In another transaction, India Advantage Fund sold 1.5 million shares of Go Fashion at ₹1,172 apiece through a bulk deal on the NSE.
Source: Moneycontrol, Livemint,, Bloomberg, Investing
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