Market View 29th November 2023

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

The Asia Pacific share indices experienced a varied trading session due to investors evaluating differing perspectives regarding U.S. Federal Reserve officials. According to Bloomberg, Fed Governor Christopher Waller expressed confidence in the recent decline in inflation, suggesting that the tightening of the central bank’s policies may be sufficient to contain price pressure. In the meantime, Governor Michelle Bowman stated that in order to lower inflation to the Fed’s target rate of 2%, another rate hike is required. The Australian market increased before to the announcement of the nation’s November inflation report. Hong Kong and Japan saw lesser trading on their share indices during this time. The Nikkei was at 0.69%, while the Hang Seng was at 0.98%.

Economic Calendar:

• USD : GDP (QoQ) (Q3) on 29th November, 2023
• USD : Initial Jobless Claims on 30th November, 2023
• INR : M3 Money Supply on 29th November, 2023
• INR : GDP Quarterly (YoY) (Q2) on 30th November, 2023

Brokerage Radar:

JEFFERIES ON BSE: BSE can leverage macro-tailwinds along with headway into derivatives to deliver 150% earnings jump in FY24E & double it over FY24-26E; Risk is from regulations & competition

BSE’s derivatives mkt share jumped to 14% (from <1%) in last 6 mth led by new launches

MS ON HPCL: OW, TP Rs 364; HPCL’s target by 2027, nearly equals current market ca p and is more than doubling the 2021 level. As US$9bn of investments mature, think path to more than doubling EBITDA is highly under-recognized; “The New HPCL” thesis keeps us OW

International Markets

U.S & Europe:

Asian markets:

ADR Watch:

Commodities & Currency:

FIIs & DIIs:

News Update:

PCBL: The board has approved the acquisition of Aquapharm Chemicals for Rs 3,800 crore.

Tata Power: Unit Tata Power Renewable Energy secured a Letter of Award for the development of a 200 MW firm and dispatchable renewable energy project with SJVN.

Canara Bank: The RBI has cleared the lender’s plans to divest a 70% stake in its subsidiary, Canbank Factors. The lender has also proposed to buy out the stakes of Bank of Baroda and DBS Bank India in its unlisted subsidiary, Canbank Computer Services.

Aster DM Healthcare: The company plans to separate its India and Gulf businesses in a transaction worth $1 billion. The Moopen family-owned healthcare company’s subsidiary, Affinity Holdings, will transfer its shares in Aster DM Healthcare FZC—the Gulf unit—to promoter-owned Alpha GCC Holdings. After the deal, Alpha GCC Holdings will be jointly owned by Aster India and Fajr Capital Advisors in a 35:65 ratio.

Tube Investment of India: The government has approved the scheme of amalgamation of Cellestial E-Mobility and Cellestial E-Trac with Tl Clean Mobility.

Wipro: The technology services and consulting company announced the launch of their ‘Continuous Compliance Solution’ built on Amazon Security Lake in collaboration with Amazon Web Services.

Havells: The company has launched ‘Lloyd’, its leading consumer durable brand in the Middle East market.

Varun Beverages: Incorporated a subsidiary company in Mozambique, i.e., VBL Mozambique, SA, to carry on the business of distribution of beverages.

Bharat Heavy Electricals: The company has signed a Memorandum of Cooperation with a French state-owned company, Electricité de France S.A., France, to explore the opportunity to maximise the local content of the Jaitapur nuclear power project to be established by NPCIL in India. The Ministry of Defence inked a contract with BHEL to procure 16 upgraded Super Rapid Gun Mounts and accessories worth Rs 2,956.89 crore for the Indian Navy.

Zomato: Alibaba Group unit Alipay Singapore plans to sell up to 29.6 crore shares in large deals, according to Bloomberg.

R Systems International: The board of unit Velotio Technologies has approved the acquisition of an additional 60% equity share of Scaleworx Technologies. Post-acquisition, Scaleworx will become a wholly owned subsidiary of Velotio.

Source: Moneycontrol, Bloomberg Quint, Investing 

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