Market View 30th December 2022

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

Asian markets headed towards early gains on Friday aided by positive momentum in the U.S. stocks. The U.S. shares snapped their two-day decline as easing in jobs data indicated a less likely scenario for growing inflationary pressures. Australian shares advanced and futures contracts for benchmarks in Japan Singapore and Taiwan rose. The S&P 500 was up 1.9%, while the tech-heavy Nasdaq 100 increased 2.6%. The yield on 10-year Treasuries declined five basis points to 3.83%. Meanwhile, crude fell 1.5%, whereas gold futures rose 0.5%. Bitcoin increased 0.6% to trade around $16,600-level. India benchmark indices reversed their intraday lows to close in the green, boosted by advances in banking and metal stocks. The rupee closed marginally higher against the U.S. dollar on the back of a weaker greenback and moderating crude prices. At 6:05 a.m., the Singapore-traded SGX Nifty, an early indicator of India’s benchmark Nifty 50, rose 0.52% to 18,374.5.

Economic Calendar:

• USD : Initial Jobless Claims on 29th December, 2022
• USD : ISM Manufacturing PMI (Dec) on 04th January, 2023
• INR : Infrastructure Output (YoY) (Nov) on 30th December, 2022
• INR : Foreign Debt (USD) (Q3) on 30th December, 2022
• INR : Bank Loan Growth on 30th December, 2022

Brokerage Radar:

MOSL ON IPCA LABS: Buy, TP Rs 1000; Progressing steadily to reclaim growth path

Domestic formulation is key driver of its sales growth, fueled by market outperformance in pain/dermatology/urology and supported by higher MR base; Exports likely to revive from FY24

EQUIRUS ON GOFASHION: Initiate Long, TP Rs 1493; Expect avg. ROE/RoCE to touch 20%/25% in FY25E led by; a) 39% CAGR in EBO rev; b) an improved margin profile driven by operating leverage & channel mix shift, c) robust FCF generation

ANTIQUE ON GARDEN REACH: Buy, TP Rs 619; STK corrected 16% in last 15 days; Remain confident that co can top its rev growth guidance of 20%-25% in FY23 with peak execution of <Rs 50 bn before FY25E; Immediate addressable opportunities remains at <Rs 400 bn

International Markets:

U.S & Europe

Asian markets

ADR Watch:

Commodities & Currency

FIIs & DIIs:

News Update:

Reliance Industries: Reliance Retail Ventures, the retail unit of the company, will acquire 51% stake in Lotus Chocolate Co. for Rs 74 crore, and make an open offer to acquire up to 26%.

Eicher Motors: The company will acquire 10.35% stake in Spain-based Stark Future for €50 million (Rs 441.74 crore) and explore collaboration opportunities in electric mobility space.

Cipla: Cipla EU, a subsidiary of the company, will acquire 10.35% in Germany-based R&D company Ethris for €15 million (Rs 132.60 crore).

Tata Power: The company raised Rs 1,000 crore via issue of 10,000 non-convertible debentures.

Kalpataru Power Transmission: The company appointed Shailendra Kumar Tripathi as deputy managing director till Oct. 21, 2025.

Swan Energy: The NCLT approved the resolution plan for Reliance Naval submitted by Hazel Mercantile. The company is a strategic partner in the Hazel Mercantile through SPV Hazel Infra.

Craftsman Automation: The company will acquire 76% stake in auto component maker DR Axion India for Rs 375 crore.

Supreme Petrochem: The company increased effective EPS production capacity at Manali New Town plant in Chennai, Tamil Nadu to 33,000 TPA from 24,000 TPA. HG Infra Engineering: The company received a project worth Rs 743.74 crore for construction of 6-lane Karnal ring road in Haryana.

Welspun India: The company acquired 26% in Clean Max Thanos for Rs 3.80 crore for supply of renewable energy under captive structure.

SBI Cards and Payment Services: The company has collaborated with Punjab & Sind Bank to roll out three co-brand credit cards.

Source: Moneycontrol, Bloomberg Quint, Investing

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