Market View 21st Oct, 2024

View on market: Volatility Prevails, Market is searching for better value

Stocks in the Asia-Pacific zone started trading in the week mixed on Wall Street gaining the most in the week to date on the back of impressive earnings. Chinese policy makers are a focus for the plans that intend to lower key policy rates in a bid to counter disinflation and boost the economic expansion. The governor of People’s Bank of China, Pan Gongsheng, also hinted that the Loan Prime Rate could be cut by between 20/25 basis points on Monday. The Indian NSE Nifty 50 and BSE Sensex snapped a three-day losing streak on Friday, up with a boost in stakes in ICICI Bank Ltd. and Axis Bank Ltd. This is still a conservative expectation as markets respond to policy missions and earnings calls. So in total what investors are monitoring events in china and India when evaluating economic situation in this area.

Economic Calendar:

• USD: IMF Meeting on 21st October 2024.
• IND: HSBC Manufacturing PMI on 24th October 2024.
• USD: S&P Global US Manufacturing PMI (Oct) on 24th October 2024.
• IND: Foreign Exchange Reserves (USD) on 25th October 2024.

IPO Watch:

Brokerage Radar:

INVESTEC ON HDFC BANK:

Maintain Hold; Hike target price to Rs 1650 from Rs 1625,  Walking the tough road on balance sheet repair,  Miss on NII, beat on Core PPOP/RoAs, Credit growth slows to rein in CD ratio, CASA growth is the key for profitability.

INVESTEC ON KOTAK MAHINDRA BANK:

Maintain Buy; Cut target price to Rs 2185 from Rs 2300, Consol strong, Bank misses – cyclical than structural,  Lower growth/PPoP miss vs. our est, Increase in slippages impacted asset quality, Downgrading our EPS est by 6% for FY25/26 to factor the near-term weakness on NIMs and higher credit costs.

INVESTEC ON TECH MAHINDRA:

Maintain Buy; Hike target price to Rs 1726 from Rs 1610,  Trending well operationally,  Appears well positioned to achieve its EBIT% target of 15% by FY27, Increase valuation multiples to factor ea in potential surprises on margins, Net new deal wins are better at US$603m and is up 13.7% YoY.

International Markets:

U.S & Europe:

*As per 21^th October.

Asian markets:

Stocks strong on Chart:

Commodities & Currency:

FIIs & DIIs:

News Update:

Company

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