View on market: Volatility Prevails, Market is searching for better value
Most benchmarks in Asia-Pacific declined on Wednesday, not tracking overnight gains on Wall Street as traders await the US Federal Reserve’s policy decision and inflation print. The Nikkei 225 was 253.22 points 0.65% down at 38,881.57, and the S&P ASX 200 was 46.80 points or 0.60% down at 7,708.60 as of 06:45 a.m. The KOSPI index was 11.20 points or 0.41% higher at 2,716.52. After climbing to fresh highs, the S&P 500 Index settled 0.27% higher at 5,375.32. The Nasdaq Composite index rose 0.88%, while the Dow Jones Industrial Average index declined 0.31%. Brent crude was trading 0.22% higher at $82.10 a barrel. Gold fell 0.22% to $2,311.92 an ounce. The GIFT Nifty was trading 15.5 points or 0.1% down at 23,307.00 as of 06:48 a.m.
Economic Calendar:
- USD: CPI (MoM) (May) on 12th June, 2024
- USD: Fed Interest Rate Decision on 12th June, 2024
- INR: CPI (YoY) (May) on 12th June, 2024
- INR: Manufacturing Output (MoM) (Apr) on 12th June, 2024
Brokerage Radar:
JEFFERIES ON HINDALCO: Buy, TP raised to Rs 810; Novelis’ 4Q EBITDA rose 28% YoY(+13% QoQ) & inline; Vol grew 2% YoY while EBITDA/t rose 8% QoQ to $540, Raise FY25-26E EPS by 2-3%; Vals reasonable at 6.1x FY25E EV/EBITDA
CITI ON MARICO: Buy, TP raised to Rs 610; 4Q In-line; Pricing Action to Drive Growth Expect trajectory to improve in FY25E:
a)vol growth acceleration
b)pricing-led growth
NOMURA ON LUPIN: Buy, TP Rs 1949; 4Q: EBITDA 8% higher than est. Co expects stronger FY25 (vs FY24) driven by growth across key geographies & improvement in EBITDA margins; Think US product launches & a tight leash on costs could present upside potential to current earnings est.
International Markets:
U.S & Europe:
Particulars | 11th June | Chg. | Chg.(%) |
Nasdaq | 17343.55 | 151.02 | 0.88 |
Dow | 38747.42 | -120.62 | -0.31 |
FTSE | 8147.81 | -80.67 | -0.99 |
CAC | 7789.21 | -104.77 | -1.35 |
DAX | 18369.94 | -124.95 | -0.68 |
Dow Fut.* | 38737.69 | -9.73 | -0.03 |
Asian markets:
Particulars | 12th June | Chg. | Chg.(%) |
GIFT Nifty | 23301.50 | -47.50 | -0.20 |
Nikkei | 38826.33 | -308.46 | -0.79 |
Straits Times | 3314.26 | 5.05 | 0.15 |
Hang Seng | 17938.86 | -237.48 | -1.31 |
Shanghai | 3026.46 | -1.59 | -0.05 |
ADR Watch:
Particulars | 11th June | Chg. | Chg.(%) |
Dr. Reddy | 72.02 | -0.56 | -0.77 |
HDFC Bank | 59.05 | -0.05 | -0.08 |
ICICI Bank | 26.40 | -0.28 | -1.07 |
Infosys | 17.79 | -0.05 | -0.28 |
Wipro | 5.58 | 0.02 | 0.36 |
Commodities & Currency:
Particulars | Current Price | Chg.(%) |
USD/INR | 83.55 | -0.05 |
Brent | 82.25 | 0.40 |
Gold | 2332.85 | 0.27 |
Silver | 29.57 | 1.17 |
FIIs & DIIs:
Particulars | 11th June | 10th June |
FIIs | -111.04 | 2572.38 |
DIIs | 3193.29 | 2764.46 |
News Update:
HCL Technologies: The company signed a $278 million deal with Germany’s largest cooperative primary bank, apoBank for 7.5 years.
TCS: The company launched a new IoT engineering lab in Ohio for manufacturing, energy, and consumer solutions.
B.L. Kashyap and Sons: The company secured two new orders aggregating to Rs 1,021 crore, approx. These include a construction order worth Rs 924 crore from DLF City and a civil construction order worth Rs 97 crore from Sattva Homes. The total order book as of date stands at Rs 3,545 crore.
Cipla: Patna Tax Office rules against the company on input tax credit. The company is to appeal to a higher authority on the input tax credit ruling.
Dollar Industries: The company recorded the highest-ever revenue in 2023–24. To open 50 exclusive brand outlets across South India by 2027. Aim for 50% sales growth in South India in 2024–25.
NHPC: The National High Power Test Laboratory approved the transfer of 1 crore shares from the company to Power Grid Corp. The company’s stake in NHPTL now stands at 12.5%, up from 20% earlier. NHPTL ceased to be an associate company of the company.
TVS Supply Chain Solutions: The company received a five-year contract with Daimler Truck AG for integrated supply chain solutions services in Singapore.
Castrol India: The board appointed Kedar Lele as MD for 5 years, effective Nov 1.
LTIMindtree: The company announced the inauguration of its regional headquarters in Saudi Arabia’s capital, Riyadh, as part of the expansion in KSA and the Middle East.
Patanjali Foods: The company has clarified that the Board has evaluated the initial proposal by Patanjali Ayurved for the sale of non-food businesses on April 26. A committee comprising an independent director, CEO and CFO is in the process of evaluating the proposal.
Wipro: The company introduced the Lab45 AI Platform, designed to increase efficiencies and transform business functions.
Source: Moneycontrol, Bloomberg Quint, Investing
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