View on market: Stay Cautious, be with quality business:

A global stocks selloff continued in Asia early Tuesday as the spread of the delta coronavirus variant stokes concerns about the resilience of the economic recovery and bolsters haven assets.Equities fell in Japan, Australia and South Korea but the drops were orderly. U.S. contracts edged up after the S&P 500 fell the most in two months on a reversal of the reopening trade as cyclicals like energy and financial shares slid.The Singapore-traded SGX Nifty, an early indicator of India’s Nifty 50 Index’s performance, fell 0.16% at 15,717 as of 8:00a.m.Long-term Treasury rates ticked up, after spiraling Monday to their lowest since February and flattening the yield curve. Ten-year yields climbed back above 1.2%. The dollar held gains while the yen steadied.Oil stabilized after sinking on an OPEC+ deal to boost supply into 2022. Bitcoin traded just above the closely watched $30,000 level.

Key Data/ Action, Result, and Board meeting to watch

Major economic Data:

  • INR: FX Reserves, USDon 23rdJuly, 2021
  • USD: Crude oil Inventories 21stJuly,2021
  • USD:  Initial Job claims on 22nd July,2021

Earnings:Asian Paints, Bajaj Finance, Syngene International, Crisil, DCM Shriram, ICICI Prudential Life Insurance Company, ICICI Securities, India Tourism Development Corporation, JSW Ispat Special Products, Jubilant Ingrevia, Mangalam Organics, Moschip Technologies, Network18 Media & Investments, Newgen Software Technologies, Reliance Industrial Infrastructure, ShyamMetalics and Energy, SVP Global Ventures, thirumalai chemicals.

International Markets:

U.S & Europe

Particulars 19thJuly. Chg Chg(%)
Nasdaq 14,274.98 -152.26 -1.06
Dow 33962.04 -725.81 -2.09
FTSE 6,844.39 -163.7 -2.34
CAC 6,295.97 -164.11 -2.54
DAX 15,133.20 -407.11 -2.62
Dow Fut.* 34,017.00 178 0.53

Asian markets:

Particulars 20thJuly. Chg Chg(%)
SGX Nifty 15,717.00 -24.5 -0.16
Nikkei 27,529.36 -123.38 -0.45
Straits Times 3,111.20 -41.1 -1.3
Hang Seng 27,397.31 -92.47 -0.34
Shanghai 3,519.02 -20.1 -0.57

ADR Watch:

Particulars 19thJuly. Chg Chg(%)
Dr Reddy 72.39 -0.08 -0.11
HDFC Bank 69.22 -5.37 -7.2
ICICI Bank 17.23 -0.4 -2.27
Infosys 20.64 -0.22 -1.05
Tata Motor 20.09 -0.29 -1.42
Wipro 8.07 -0.08 -0.98

Commodities & Currency

Particulars Current Price Chg(%)
USD/INR  74.87 0.42
Brent 68.74    0.17
Gold 1818 0.49
Silver 25.253 0.43


Particulars 19th July. 16th July.
FIIs -2198.71 -264.77
DIIs 1047.66 439.41

Brokerage Radar:

CLSAONHCL TECH: Maintain Buy at the price of Rs.1001.90 for the target price of Rs.1180. Revenue miss due to transient factors. Expect momentum to come back strongly in Q2. Deal wins in Q1 were healthy with an All-time High Pipeline. Trim FY22/FY23 EPS Estimates by 2%/1%. Risk-reward attractive at current levels.

JEFFERIES ON HDFCLIFE: Maintain Buy at the price of Rs.678.85 for the target price of Rs.800. Front Ended spike in mortality reserves. Reserves should be adequate to meet 2nd wave claims. VNB grew 40% Y-o-Y, largely in-line with estimates. We see a 19% VNB CAGR over FY21-24. Persistency was stable/better across buckets over Q4.


HCL Technologies Q1FY22 (Consolidated, QoQ): Revenue up 2% at Rs 20,068 crore Vs Rs 19,641 crore (Bloomberg Estimate: Rs 20,346 crore) Net profit up 1.91 times at Rs 3,205 crore Vs Rs 1,102 crore (Bloomberg Estimate: Rs 3,245.2 crore) Ebit up 20% at Rs 3,934 crore Vs Rs 3,282 crore (Bloomberg Estimate: Rs 4,132 crore) Ebit margin at 19.6% Vs 16.7% (Bloomberg Estimate: 20.30%).

ACC Q2 (Standalone, QoQ) Revenue down 9.5% at Rs 3,884.8 crore Vs Rs 4,291.9 crore (Bloomberg Estimate: Rs 3,705.3 crore) Net profit down 4.2% at Rs 533.8 crore Vs Rs 557.4 crore (Bloomberg Estimate: Rs 453.2 crore) Ebitda up 1.8% at Rs 874.7 crore Vs Rs 859.4 crore (Bloomberg Estimate: Rs 726.4 crore) Margins at 22.5% Vs 20.02%

News Update:

BPCL: Government’s plan to sell a majority stake in the country’s second-biggest state refiner has slowed down amid the coronavirus pandemic, according to a Bloomberg report. The discussion with investors on the stake sale of BPCL, from which the government could fetch about $6.9 billion, haven’t progressed much recently, according to the report. The disposal may take place as soon as early next year.

Jindal Stainless and Tata Steel: Mining signed a MoU on July 16 to jointly unearth the Chrome Ore locked up in the boundary between their mines located in Sukinda of Jajpur district, Odisha.

LIC Housing Finance: The company has approached the Securities Appellate Tribunal (SAT) with regard to its proposal of allotting over 4.5 crore preferential shares to the parent company LIC.

ZuariAgro Chemicals: The company’s NPK B plant in Goa has resumed its operations.

Zen Technologies: Secured export order of Rs 120 crore. The simulators are the main focus of the order. The order will be carried out in roughly a year, the company said.

Reliance Infrastructure: The company has raised Rs 550.56 crore through the issuance of securities on a preferential basis to promoter group and Varde Investment Partners, LP. Post allotment, the holding of the promoter group in Reliance Infra would increase to 22.06 percent upon full conversion of warrants.

City Union Bank: Approved raising capital through QIP of Rs 500 crore.

Source: Moneycontrol,Livemint,, Bloomberg,Investing

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