View on market: Stay Cautious, be with quality business:
Stocks rose in Asia on Friday while U.S. equity futures were volatile amid escalation of the Russia-Ukraine crisis and Western sanctions on Moscow. Shares rose in Japan, South Korea and Australia. U.S. contracts slipped after a choppy Wall Street session Thursday that left the S&P 500 with a 1.5% gain and the tech-heavy Nasdaq 100, which briefly fell into a bear market, up 3.4%. Singapore-traded SGX Nifty, an early indicator of India’s Nifty 50 Index’s performance, rose 2.12% to 16,582 as of 6:30 am. U.S. President Joe Biden imposed stiffer penalties on Russia. The sanctions included action against five major Russian banks to impair their access to foreign currency. Oil advanced, the U.S. dollar was steady. Gold has slipped from a 17-month peak but remains above $1,900 an ounce while bitcoin hovered around $38,300.
Economic Calendar:
- INR: RBI MPC Minutes on 25th February 2022.
- INR: Federal Fiscal Deficit on 28th February 2022.
- USD: Initial Job Claims on 25th February, 2022.
- USD: Goods Trade Balance on 28th February, 2022.
Brokerage Radar:
MORGAN STANLEY ON ONGC: OW, TP Rs 263 Expect domestic gas ASPs to double by Apr-22, due to low inventories, tight supplies & strong global demand Gas a/c for 50% of ONGC’s domestic hydrocarbon production; every $1/mmbtu change in gas prices affects earnings by 5-8%.
MORGAN STANLEY ON BHARAT FORGE: OW, TP Rs 1051 Acquisition of JS Autocast Deal will be EPS accretive from day 1, as per co Co aims to double its non-auto rev (37% of 2021),over next 3 yrs This acquisition expands its non-auto portfolio & gives an entry into high-growth renewable space.
MORGAN STANLEY ON INTERGLOBE: OW, TP Rs 2759 Co’s relative market position, market share & b/s has improved significantly in downturn An improved relative position going into an upcycle can help capture bulk of profits Given strong recovery, expect multiples to revert to pre-Covid levels.
CLSA ON DLF: Upgrade to Buy, TP Cut to Rs 423 from Rs 470 Recent correction (down c.20% in Feb-22), makes risk-reward favourable Stress-case val implies a downside cap of 11% vs upside potential of 32% in base case, Presales are at a 10-year high with strong FCF generation, no leverage concern, a high-quality landbank & strong rental income growth outlook.
International Markets:
U.S & Europe:
| Particulars | 24TH Feb | Chg | Chg(%) |
| Nasdaq | 13,473.58 | 436.09 | 3.34 |
| Dow | 33223.83 | 92.07 | 0.28 |
| FTSE | 7,207.01 | -291.17 | -3.88 |
| CAC | 6,521.05 | -259.62 | -3.83 |
| DAX | 14,052.10 | -579.26 | -3.96 |
| Dow Fut.* | 33061.4 | 160.9 | -0.49 |
Asian markets:
| Particulars | 25th Feb | Chg. | Chg(%) |
| SGX Nifty | 16,507.00 | 270 | 1.66 |
| Nikkei | 26,353.58 | 382.76 | 1.47 |
| Straits Times | 3,323.71 | 47.65 | 1.45 |
| Hang Seng | 22,913.35 | 11.79 | 0.05 |
| Shanghai | 3,472.25 | 42.29 | 1.23 |
ADR Watch:
| Particulars | 24th Feb | Chg. | Chg.(%) |
| Dr Reddy | 56.91 | 0.78 | 1.39 |
| HDFC Bank | 66.95 | 0.99 | 1.5 |
| ICICI Bank | 19.91 | 0.19 | 0.96 |
| Infosys | 22.51 | 0.08 | 0.36 |
| Tata Motor | 32.67 | -0.3 | -0.91 |
| Wipro | 7.33 | -0.03 | -0.41 |
Commodities & Currency:
| Particulars | Current Price | Chg(%) |
| USD/INR | 75.65 | 1.47 |
| Brent | 98.03 | 2.74 |
| Gold | 1914.20 | -0.63 |
| Silver | 24.405 | -1.16 |
FIIs & DII:
| Particulars | 24th Feb | 23rd Feb |
| FIIs | -6448.24 | -3417.16 |
| DIIs | 7667.75 | 3024.37 |
News Update:
Apollo Hospitals: will replace Indian Oil in the benchmark Nifty 50 from March 31, 2022, as part of the semi-annual index review. The changes will also be applicable to Nifty 50 Equal Weight Index. The Nifty 50 is reconstituted twice every year in March and September.
Bharat Electronics: The Ministry of Defence has signed a contract worth Rs 1,075 crore with the company for the retro-modification of commander sight of battle tanks-T-90. The company will supply 957 commander thermal imager cum day sights for T-90 tanks of the Indian Army.
Infosys: The company launched Infosys metaverse foundry to ease and fast track enterprises’ exploration of the metaverse, including virtual and augmented environments, for its customers, workplace, products and operations.
Panacea Biotec: The Coalition for Epidemic Preparedness Innovations will partner with a consortium comprised of the Translational Health Science and Technology Institute and the company to develop vaccine candidates that could provide broad protection against SARS-COV-2 variants and other Betacoronaviruses. CEPI will provide funding of up to $12 million to support the development of multi-epitope, nano particle-based vaccine candidates and advance the manufacturing process.
Hinduja Global: The company bagged a contract worth Rs 2,100 crore (£211 million) by the UK Health Security Agency to provide critical customer support to UK citizens for an initial period of two years, with an option to extend further.
JSW Ispat: The company has completed acquisition of 100% equity share capital of Mivaan Steels Ltd.Minda: The company has acquired stakes in four partnership firms including YA Auto Industries (87.5%), Auto Components (95%), Samaira Engineering (87.5%) and S.M. Auto Industries (87.5%). Wipro: To hire more than 500 employees in Brazil over next fiscal year.
Wipro: To hire more than 500 employees in Brazil over next fiscal year.
Arihant Capital: To consider splitting each share into 5 on March 3.
Source: Moneycontrol, Livemint,, Bloomberg, Investing
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