Market View 30th October 2023

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

Asian stocks are expected to open cautiously as traders get ready for the significant central bank announcement. According to a Bloomberg article, oil prices have decreased as Israel’s ground invasion of Gaza has proceeded more slowly than expected. A barrel of Brent crude dropped to $89.51, while West Texas Intermediate was trading at $84.52. The 10-year US bond’s yield was 4.88% at the time of trading.

Economic Calendar:

• USD : CB Consumer Confidence (Oct) on 31^st Oct, 2023
• USD : ISM Manufacturing PMI (Oct) on 01^st Nov, 2023
• INR : Balance of Payments (USD) (Q2) on 30^th Oct, 2023
• INR : RBI Monetary and Credit Information Review on 31^st Oct, 2023

Brokerage Radar:

JEFFERIES ON KFIN TECH: Buy, TP raised to Rs 560; While Asian mkt will be organic, it may explore M&A in western mkt.; Domestic MFs & issuer solutions are growing at steady pace; Raise earnings by 1-2% & see 17% Cagr in profit over FY23-26; cashflows can aid M&A.

GS ON TCS: Buy, TP Rs 4020; Rev growth of -0.1% qoq (constant Fx; +2.8% YoY) below GSe of +1% qoq; 1% qoq decline in headcount suggests weak near term rev outlook; Lower rev est. by up to 1%, with FY24 rev growth of 3.8% (constant Fx; vs 5% earlier)

International Markets

 U.S & Europe:

Asian markets:

ADR Watch:

Commodities & Currency:

FIIs & DIIs:

News Update:

Tata Group: Taiwan-based Wistron Corp., a contract manufacturer for Apple Inc., will sell its India unit to the Tata Group for $125 million. Wistron will sell a 100% stake in its unit, Wistron InfoComm Manufacturing (India) Pvt., to Tata Electronics Pvt., following board approval.

Tata Power: The company’s renewable energy arm inked a power delivery agreement with Mukand Ltd., a Bajaj Group company, for a 43.75 MW AC Group Captive Solar project. The installation will generate 99.82 MUs annually.

Bombay Dyeing: The company’s Global Depository Receipt programme has been terminated, and the GDRs have been delisted from the Luxembourg Stock Exchange. Due to the termination of the GDR programme, Naira Holdings has surrendered their 27.40 lakh GDRs for cancellation and, subsequently, has taken possession of the equivalent corresponding equity shares of the company.

Strides Pharma Science: The company’s Singapore unit, Strides Pharma Global, has entered into a binding agreement to sell its manufacturing facility for a consideration of $15 million to Rxilient Biohub.

IRB Infrastructure Developers: The company has emerged as the preferred bidder for the project of tolling, operation, maintenance and transfer of a 316-kilometre highway stretch in the states of Uttar Pradesh and Madhya Pradesh. The IRB Infrastructure Trust is to pay an upfront concession fee of Rs 4,428 crore to NHAI for a revenue-linked concession period of 20 years.

SJVN: The company’s unit, SJVN Green Energy, inked an MoU with Norway’s Ocean Sun for collaboration in the green and clean energy sector. The unit will develop and finance a pilot membrane-based floating solar project of about 2 MW in India, with Ocean Sun providing patented technological support for the same.

Blue Dart Express: CFO V.N. Lyer resigns w.e.f. Jan. 31, 2024.

Thermax: The company’s subsidiary, Thermax Onsite Energy Solutions Ltd., infused an additional Rs 24.94 crore in its step-down subsidiary, Thermax Energy & Environment Lanka Pvt. The additional capital is being infused to meet the fund requirements for the execution of a project.

Grindwell Norton: The company executed a share sale and purchase agreement with Shinagawa Refractories Co. and SG Shinagawa Refractories India Pvt. for the sale of 49% of the equity shares held by the company in SG Shinagawa Refractories India.

Dr Reddy’s Laboratories: The formulations manufacturing facility in Bachupally Hyderabad has been issued a Form 483 with 10 observations by the U.S. Food and Drug Administration.

Source: Moneycontrol, Bloomberg Quint, Investing 

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