Market View 26th Aug, 2024

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

Most markets in Asia-Pacific region were trading higher on Monday, taking cues from the last week gains on Wall Street as the US Federal Reserve Chair Jerome Powell’s remarks assured traders of monetary easing from next month. Stocks went up and bond yields dropped after Powell suggested that the central bank is likely to cut interest rates in September. He also hinted that there might be more rate cuts in the future, according to Bloomberg.

On Friday, the NSE Nifty 50 and BSE Sensex ended the muted session little changed, and posted a two-week winning streak. Market participants awaited Powell’s speech at the Jackson Hole gathering, Wyoming.

Economic Calendar:

• USD: Durable goods order announcement on 26August2024
• IND: GDP Quarterly (YoY) Session on 30th August

IPO Watch:

Brokerage Radar:

HSBC INDIA STRATEGY:

Indian equities are hot; however, after 13 out of 15 years of gains and trading at lofty valuations, Stay overweight as, India has the strongest growth story in emerging markets, identify 10 risks; on their own, none pose an immediate threat, but in sou aggregate they could derail the rally, Stress for banks is increasing, Banks are struggling to grow deposits.

BERNSTEIN ON RELIANCE:

Retail focus has been on operational efficiency as capex moderated & stores were rationalized, Oil-to-chemicals earnings growth to remain steady, Expect AGM to focus on potential listing of Jio & Reliance retail, Timelines for commencement of new energy project will be another focus.

MORGAN STANLEY ON OIL:

Crude oil markets remain in deficit, but are likely as tight as they will be for some time, By Q4, the balance will likely return to equilibrium, and estimate a surplus in 2025, In the short term, Brent prices so appear oversold, but stick to estimate of Brent in the mid-$70s this time next year.

International Markets:

U.S & Europe:

*As per 26^th August.

Asian markets:

Stocks strong on Chart:

Commodities & Currency:

FIIs & DIIs:

News Update:

Company

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