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

Asia markets opened on a cautious open, with post-market forecast from Microsoft Corp. damping sentiment further and pushing down US equity futures. Hong Kong and mainland China markets remain closed for the Lunar New Year holiday. The S&P 500 closed 0.1% lower to snap a two-day advance. The Nasdaq 100 shed 0.2%. In early Asian trading, Nasdaq 100 futures slid around 0.6% after Microsoft said revenue growth in its Azure cloud-computing business would decelerate, tarnishing what had been an encouraging profit report. At 6:15 a.m., the Singapore-traded SGX Nifty, an early indicator of India’s benchmark Nifty 50, was down 0.02% to 18,130. Crude price fell 2% and Bitcoin fell nearly 1% around the $22,000-level. Domestic benchmark indices ended flat after a volatile session even as auto, technology and banking stocks gained. Rupee again closed lower against the U.S. dollar in the face of continued FII outflows.

Economic Calendar:

  • USD : GDP (QoQ) (Q4) on 26th January, 2023
  • USD : Initial Jobless Claims on 26th January, 2023
  • INR : Infrastructure Output (YoY) (Dec) on 31st January, 2023
  • INR : Nikkei S&P Global Manufacturing PMI (Jan) on 31st January, 2023

Q3FY23 Results Today: Tata Motors, Bajaj Auto, Dr Reddy’s Laboratories, Cipla, Amara Raja Batteries, Arvind, Ceat, Chennai Petroleum Corporation, Dixon Technologies, DLF, Embassy Office Parks REIT, Equitas Holdings, Go Fashion, Indraprastha Gas, Indian Bank, Jyothy Labs, Olectra Greentech, Patanjali Foods, Tata Elxsi, TeamLease Services, Torrent Pharmaceuticals, VIP Industries

Brokerage Radar:

GS ON MARUTI: Buy, TP Rs 11000; Credibility increasing on SUV mix improvement thesis; Management clarified that 4Q vol should be higher than 3Q; Jimny & Fronx SUVs (expect +5% vol tailwinds from these models); Management does not expect any major commodity/ JPY headwinds in 4Q

MS ON PNB HSG: OW, TP Rs 700; PAT beat of 25% came from both income on assigned loans (more one-off in nature) & underlying expansion in loan spreads; offset partially by higher provisions & one-time impairment; Overall Stage 3 ratio declined QoQ, driven by write-offs & recoveries

NOMURA ON COLGATE: Neutral, TP Rs 1550; Anemic growth; execution of new strategy is key; 3Q: Below est.; vol decline c.2.5% y-y; GPM +210bp q-q; A&P spending resumes; Higher investments & execution will be key to Co’s 4-pillar growth strategy

Trades @34x Mar-25F EPS

International Markets:

U.S & Europe

Particulars 24th January Chg. Chg.(%)
Nasdaq 11334.27 -30.14 -0.27
Dow 33733.96 104.40 0.31
FTSE 7757.36 -27.31 -0.35
CAC 7050.48 18.46 0.26
DAX 15093.11 -9.84 -0.07
Dow Fut.* 33652.00 -82.00 -0.24

Asian markets

Particulars 25th January Chg. Chg.(%)
SGX Nifty 18074.50 -60.00 -0.33
Nikkei 27329.36 30.17 0.11
Straits Times 3347.37 53.66 1.63
Hang Seng 22044.65 393.67 1.79
Shanghai 3264.81 24.53 0.75

ADR Watch:

Particulars 24th January  Chg.       Chg.(%)
Dr. Reddy 51.90 -1.28 -2.41
HDFC Bank 71.44 0.69 0.98
ICICI Bank 21.63 -0.14 -0.64
Infosys 18.90 -0.15 -0.79
Tata Motor 25.14 0.00 0.00
Wipro 4.98 -0.01 -0.20

Commodities & Currency

Particulars Current Price Chg.(%)
USD/INR 81.71 0.38
Brent 86.44 0.36
Gold 1933.45 -0.10
Silver 23.688 -0.26

FIIs & DIIs:

Particulars 24th January 23rd January
FIIs                           -760.51 -219.87
DIIs 1144.75 434.96

News Update:

Tata Steel/TCS/Tata Power: Tata Trusts, the majority stakeholder in Tata Sons, appointed Siddharth Sharma as the CEO and Aparna Uppaluri as COO, effective April 1, 2023.

New Delhi Television: The company appointed Mumbai based education consultant Viral Jagdish Doshi as additional director.

Barbeque -Nation Hospitality: Anurag Mittal resigned from the office of chief financial officer of the company, effective Feb. 6, 2023.

Axiscades Technologies: The board decided to not go ahead with the the acquisition of Germany-based Add Solution after due diligence.

Rail Vikas Nigam: The company received a contract with project cost of Rs 38.4 crore for provision of automatic block signalling in Arakkonam Junction-Nagari Section of Chennai division under Southern Railway.

Coffee Day Enterprises: SEBI imposed a fine of Rs 26 crore against the company for diversion of funds by seven subsidiaries to a company related to promoters.

Sonata Software: The company appointed Samir Dhir, the current whole-time director and CEO of the company as MD and CEO, and the current MD Srikant Reddy as executive vice chairman.

State Bank of India: United Forum of Bank Unions has called for a two-day nationwide bank strike on Jan. 30 and 31.

Source: Moneycontrol, Bloomberg Quint, Investing  

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