View on market: Stay Cautious, be with quality business:
Asian stocks rose at the open Tuesday after the S&P 500 closed at a record high on the first trading day of 2022. Treasuries maintained most of their losses Equities advanced in Japan and Australia as they traded for the first time this year. U.S. futures wavered after the Nasdaq 100 outperformed. The U.S. gains followed European stocks which hit unprecedented highs even as trading volumes remained light because of holidays. The Singapore-traded SGX Nifty, an early indicator of India’s Nifty 50 Index’s performance, was little changed at 17,685.50, as of 7:15 a.m. The dollar held gains. Elsewhere, crude oil in New York held gains to trade near $76 a barrel following news Libya’s crude output is expected to fall to the lowest in more than a year and ahead of an OPEC+ meeting on Tuesday to discuss production. Bitcoin hovered around $46,000.
Economic Calendar:
- INR: Service PMI on 5th January, 2022.
- INR: Forex Reserve USD on 7th January 2022.
- USD: API Weekly Crude Stock on 5th January, 2022.
- USD: ADP Nonfarm Employment Change on 5th January, 2022.
Brokerage Radar:
CLSA ON IT : Demand strength to continue; margins could surprise positively in 2022, Forecast Indian IT services exports to report a 9.6% CAGR over FY22-24,Believe cloud adoption for core infrastructure is now maturing,Supply-side pressure should ease by mid-2022 & bring down fulfilment costs. While valuations are optically rich, we expect them to remain elevated Estimate the top 5 it cos added 172,000 campus hires over Q3FY21- Q2FY22 Expect top 5 it cos to report 3-4.3% organic, cc revenue growth in Q3 Pecking order remains Infosys > TCS > HCL Tech > Tech Mahindra.
CLSA ON MARICO:Outperform Rating with Target Price of Rs. 600 Low-teen Topline Growth, But Weak Margin To Drive 4% Earnings Growth Co Expects Low-teen Q3 Rev Growth – India In Double Digits & Intl Biz In High-teens Volume In India Is Likely To Be Flat YoY, With Muted Performance In Parachute, See Gross Margin At 45%, Up 250 bps QoQ But Down 200bps YoY See Operating Margin At 17.9%, Up 40 bps QoQ & Down 160bps YOY.
CLSA ON TATA MOTORS: Downgrade Sell From buy Target Price 408 Domestic PV Business Overvalued While JLR Is Behind In Electrification Valn Is Based On Rs 150/Sh For CV Biz, Rs 151/Sh For JLR & Rs 99/Sh For Domestic PV Biz Expect Sharp Improvement In Volume For JLR As Chip Shortage Eases Believe Its Domestic CV Biz Will Post Strong Growth Over The Next 3 Years
International Markets:
U.S & Europe
| Particulars | 3rd Jan | Chg | Chg(%) |
| Nasdaq | 15,832.80 | 187.83 | 1.2 |
| Dow | 36585.06 | 246.76 | 0.68 |
| FTSE | 7,384.54 | -18.47 | -0.25 |
| CAC | 7,217.22 | 64.19 | 0.9 |
| DAX | 16,020.73 | 135.87 | 0.86 |
| Dow Fut.* | 36576.60 | -8.5 | -0.02 |
Asian markets:
| Particulars | 4th Jan | Chg. | Chg(%) |
| SGX Nifty | 17,686.50 | -11 | -0.06 |
| Nikkei | 29,188.16 | 396.45 | 1.38 |
| Straits Times | 3,167.53 | 33.28 | 1.06 |
| Hang Seng | 23,202.96 | -71.79 | -0.31 |
| Shanghai | 3,615.14 | -24.64 | -0.68 |
ADR Watch:
| Particulars | 3rd Jan | Chg. | Chg.(%) |
| Dr Reddy | 65.25 | -0.16 | -0.24 |
| HDFC Bank | 66.52 | 1.45 | 2.23 |
| ICICI Bank | 20.35 | 0.56 | 2.83 |
| Infosys | 25.26 | -0.05 | -0.2 |
| Tata Motor | 33.48 | 1.39 | 4.33 |
| Wipro | 9.75 | -0.01 | -0.1 |
Commodities & Currency:
| Particulars | Current Price | Chg(%) |
| USD/INR | 74.26 | -0.09 |
| Brent | 78.97 | 0.01 |
| Gold | 1804.70 | 0.26 |
| Silver | 22.780 | – 0.13 |
FIIs & DII
| Particulars | 3rd Jan | 31st Dec |
| FIIs | 902.64 | 575.39 |
| DIIs | 803.11 | 1165.62 |
News Update:
Marico : The FMCG player reported double-digit revenue growth in the December quarter. Consumption was seen slowing in the entire sector with inflation impacting disposable incomes
Lemon Tree Hotels : Goldman Sachs (Singapore) Pte has bought 30 lakh shares, representing 0.38 percent stake in Lemon Tree Hotels, from Zaaba Pan Asia Master Fund through a block deal on BSE on Monday.
Granules India : The company’s board has appointed Kandiraju Venkata Sitaram Rao as joint managing director and the chief executive officer from January 5.
Karnataka Bank : The bank’s deposits rose 6.3 percent YoY as of December 31 and gross loans were up 5 percent.
Dilip Buildcon : The company bagged an order worth Rs 2,680 crore from the Coal India subsidiary.
Housing Development Finance Corporation : The company has assigned loans worth Rs 7,470 crore in Oct-Dec against Rs 7,080 crore in the corresponding period last year.
Ajmera Realty : The company secured a residential redevelopment project in Juhu, Mumbai.
Oil and Natural Gas Company : Alka Mittal, the incumbent HR director in ONGC, is announced as the company’s new chairman and managing director.
Shree Rama Newsprint : The company has signed an agreement with the Gujarat Government. The agreement is for venturing into starch and its derivatives and allied products manufacturing.
Pfizer : The US Food and Drug Administration has approved the use of the Pfizer-BioNTech COVID-19 vaccine for those aged 12-15 years, and also allowed a third primary series dose of the vaccine for certain immunocompromised children aged 5-11 years.
Source: Moneycontrol, Livemint,, Bloomberg, Investing
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