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

Asia stocks fell on Tuesday after a jump in Treasury yields as investors priced in the start of Federal Reserve tapering and elevated energy prices. The dollar edged up. MSCI Inc.’s index of Asia Pacific stocks snapped a three-day advance, with Japan and Australia sliding. Hong Kong opened firmer, while China slipped. U.S. futures declined. Earlier, the tech-heavy Nasdaq 100 underperformed. Investors rotated out of growth stocks as the benchmark 10-year U.S. yield briefly topped 1.5% — a level not seen since June. The S&P 500 dipped. The Singapore-traded SGX Nifty, an early indicator of India’s Nifty 50 Index’s performance, rose 0.13% to 17,879.00 as of 8:00 a.m. The U.S. two-year yield hit an 18-month high as traders increasingly priced in the prospect of the Fed trimming its $120 billion in monthly asset purchases soon. The 10-year yield pared gains. The dollar edged higher.

Economic Calender:

  • INR:  Foreign Debt (USD) (Q2) on 30th September, 2021
  • INR:  Infrastructure Output (YoY) (Aug) on 30th September, 2021
  • USD: CB Consumer Confidence (Sept) on 28th September, 2021.
  • USD: Pending Home Sales (MoM) (Aug) on 29th September, 2021.
  • USD: Crude Oil Inventories on 29th September,2021.

Brokerage Radar:

CLSA ON GODREJ CONS: Maintain outperform at the price of Rs 1039 for the target price of Rs 1050. Indonesian business has managed covid-19 pressure relatively well. It is looking to drive sustainable double-digit growth while maintaining margin

UBS ON ICICI PRU: Maintain buy at the price of Rs 664 for the target price of Rs 800. Mgmt maintains its guidance of doubling FY19 VNB by FY23. Expect margin expansion to continue. Average VNB margin seen at 26.2% & VNB CAGR over FY21- 24 at 25.7%. Expect an APE CAGR of 22.7% over FY21-24.

International Markets:

U.S & Europe

Particulars       27th Sept    Chg Chg(%)
Nasdaq 14,969.97 -77.73 -0.52
Dow 34,869.37 71.37 0.21
FTSE 7,063.40 11.92 0.17
CAC 6,650.91 12.45 0.19
DAX 15,573.88 42.13 0.27
Dow Fut.* 34,761.00 17.00 0.05

Asian markets:

Particulars 28th Sept Chg Chg(%)
SGX Nifty 17,879.00 23.50 0.13
Nikkei 30,106.31 -133.75 -0.44
Straits Times 3,097.06 -3.24 -0.10
Hang Seng 24,442.76 233.98 0.97
Shanghai 3,584.50 1.67 0.05

ADR Watch:

Particulars 27th Sept Chg Chg(%)
Dr Reddy 64.66 -0.21 -0.32
HDFC Bank 74.44 0.79 1.07
ICICI Bank 19.85 0.31 1.59
Infosys 22.90 -0.78 -3.29
Tata Motor 22.81 1.01 4.63
Wipro 9.15 -0.44 -4.59

Commodities & Currency

Particulars Current Price Chg(%)
USD/INR 73.85 0.09
Brent 78.94 0.32
Gold 1753.25 0.07
Silver 22.657 0.16

FIIs & DII

Particulars 27th Sept 24th Sept
FIIs -594.63 442.49
DIIs 1397.69 -515.85

News Update:

BPCL: Plans invest Rs 1 lakh crore over next 5 years in raising petrochemical production capacity, gas business, clean fuel, and augmenting marketing infrastructure, Chairman Arun Kumar Singh said during a conference. Company is also looking to create a 1,000 MW portfolio of renewable power generation capacity, mostly through acquisitions while also invest in biofuels & hydrogen. The company plans to shut Bina plant for work next year; expects Mumbai plant to restart in first half of October. Divestment is expected by March.

Allcargo Logistics: The company is considering selling a stake in its container shipping firm ECU Worldwide, according to a Bloomberg report. The company is working with an adviser on the sale of the stake. Allcargo is seeking a deal that would value ECU at about $1 billion.

RIL: The company is in talks to buy a stake in Glance InMobi Pte, according to a Bloomberg report. RIL is considering investing about $300 million in the unicorn backed by Alphabet Inc.’s Google.

Paisalo Digital: State Bank of India has signed a Service Level Agreement with the company, National Corporate Business Correspondent of the Bank, for promoting financial inclusion by providing banking services through kiosks.

RBL Bank: Reserve Bank of India imposes a penalty of Rs 2 crore on RBL Bank for breaching deposit and board composition norms.

Raymond: Approves consolidation of the tools & hardware and auto components businesses into unit JK Files and real estate business wholly-owned unit

Whirlpool of India | The company has entered into a share purchase agreement with Elica S.p.A to acquire an additional stake in Elica PB India. Whirlpool currently owns a 49 percent stake in the Elica PB India and willacquire an additional around 38 percent equity interest for $57 million to bring its total equity ownership to around 87 percent.

Gujarat State Fertilizers and Chemicals: The initiation of anti-dumping duty investigation concerning imports of ‘Caprolactum’ originating in or exported from the EU, Korea RP, Russia and Thailand is seen benefitting the company.

Maruti Suzuki India: The company has told its component suppliers to be ready for the production of 160,000-180,000 cars and SUVs in October, as automaker is making arrangements to secure supply of chipsets through multiple channels, as per reports.

AGMs:  NTPC (10:30 a.m.); Bharat Electronics (10 a.m.); Petronet LNG (3 p.m.); Steel Authority of India (10:30 a.m.); Indraprastha Gas (11:30 a.m.); Mahanagar Gas (11 a.m.); Gujarat State Petronet (3 p.m.); Gujarat Gas (12 p.m.); Mastek (5 p.m.); PVR (11 a.m.); Future Retail (11 a.m.); Vardhman Textiles (3 p.m.); Zensar Technologies (3 p.m.).

Source: Moneycontrol, Livemint,, Bloomberg, Investing

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