View on market: Stay Cautious, be with quality business:
Stocks and futures sank and havens including sovereign bonds jumped Friday, on reports that a major nuclear power plant is on fire in Ukraine after shelling by Russian troops. Japan led losses in an Asian equity gauge, S&P 500 and Nasdaq 100 futures shed more than 1% and European contracts dropped about 3%. Singapore-traded SGX Nifty, an early barometer of India’s benchmark Nifty 50 Index, tumble nearly 2% to 16,205.50 points as of 7:10 am. Russian forces are firing on the Zaporizhzhia nuclear plant and a fire has broken out, Ukrainian Foreign Minister Dmytro Kuleba said. The euro retreated. U.S. Treasuries rallied, with the 10-year yield falling below 1.80%. Gold and the dollar rose. Oil hovered around $114 per barrel. Bitcoin fell to $41,400.
Economic Calendar:
- INR: Manufacturing Output on 11th March 2022.
- INR: Service PMI on 4th March 2022.
- USD: Federal Budget Balance on 11th March, 2022.
- USD: Non Payroll on 4th March, 2022.
Brokerage Radar:
MOSL ON METALS: Believe sanctions on Russia will impact prices of aluminum, nickel, steel, thermal coal, & PCI coal +vely In addition, it will lead to cost escalations Raise FY23 EBITDA est for COAL (+34%), NACL (+29%), VED (+13%), HNDL (+9%), HZ (+6%) & TATA (+10%).
MORGAN STANLEY ON INTERGLOBE: OW, TP Rs 2795 IndiGo has used the downturn to improve its relative market position in terms of unit costs, market share and balance sheet. An improved relative position going into an upcycle can help capture the bulk of profits.
MORGAN STANLEY ON BIOCON: OW, TP Rs 465 Expect BBL’s post deal net debt of $1.5bn to continue until F25 BBL targets IPO sometime in 2H23 Based on post deal equity & debt value, EV works out to roughly US$10bn with F24 EBITDA of US$500-550mn, implying 18-20x EV/EBITDA valuation.
NOMURA ON VODAFONE IDEA: Reduce, TP Rs 8 Vi promoters to infuse Rs 45bn, further fund-raise of Rs 100bn yet to be firmed up Promoter infusion at premium +ve for sentiment, but not enough for revival. Note that Vi has nearly INR54-57bn in external debt repayments in FY23-24F Despite full impact of tariff hike & promoter infusion, don’t think any meaningful increase in Vi’s capex would be possible in FY23F, in absence of external fund raise &/or debt recast
International Markets:
U.S & Europe:
| Particulars | 03rd Mar | Chg | Chg(%) |
| Nasdaq | 13,537.94 | -214.08 | -1.56 |
| Dow | 33794.66 | -96.69 | -0.29 |
| FTSE | 7,238.85 | -190.71 | -2.57 |
| CAC | 6,378.37 | -119.65 | -1.84 |
| DAX | 13,698.40 | -301.71 | -2.16 |
| Dow Fut.* | 33555.4 | -240.3 | -0.67 |
Asian markets:
| Particulars | 04th Mar | Chg. | Chg(%) |
| SGX Nifty | 16,287.50 | -224 | -1.36 |
| Nikkei | 26,020.60 | -556.67 | -2.09 |
| Straits Times | 3,239.12 | -14.53 | -0.45 |
| Hang Seng | 22,006.56 | -460.78 | -2.05 |
| Shanghai | 3,471.92 | -9.19 | -0.26 |
ADR Watch:
| Particulars | 03rd Mar | Chg. | Chg.(%) |
| Dr Reddy | 49.25 | -1.98 | -3.86 |
| HDFC Bank | 59.51 | -1.72 | -2.81 |
| ICICI Bank | 18.23 | -0.62 | -3.29 |
| Infosys | 22.52 | -0.07 | -0.31 |
| Tata Motor | 28.08 | -1.81 | -6.06 |
| Wipro | 7.3 | -0.02 | -0.27 |
Commodities & Currency:
| Particulars | Current Price | Chg(%) |
| USD/INR | 75.91 | 0.28 |
| Brent | 112.63 | 1.96 |
| Gold | 1942.10 | 0.32 |
| Silver | 25.358 | 0.58 |
FIIs & DII:
| Particulars | 3rd Mar | 2nd Mar |
| FIIs | -6644.65 | -4338.94 |
| DIIs | 4799.24 | 3061.70 |
News Update:
Vodafone Idea: The telecom firm will raise up to Rs 4,500 crore by issuing 338.35 crore preferential equity shares to entities controlled by promoters Vodafone Group Plc and Aditya Birla Group. The shares will be issued at Rs 13.3 apiece, including a premium of Rs 3.3 per share.
SJVN: The company will receive a loan of Rs 1,537 crore from State Bank of India and Rs 319.04 crore from Punjab National Bank for a hydel project in Himachal Pradesh and solar power project in Uttar Pradesh, respectively.
LT Foods: The company has acquired 51% stake in Golden Star Trading Inc. through its subsidiary LT Foods America Inc. with a call option to acquire 49% stake after three years. It didn’t disclose the consideration for the acquisition.
HDFC Bank: India’s largest private lender has partnered with NSE for “unsponsored depository receipts”, or NSE IFSC Receipts, which will enable Indians to invest in US Stocks.
PTC India: The markets regulator has barred the power trading firm from holding a board meeting without an independent director.
Themis Medicare: The company has received approval for its antiviral drug Viralex for treatment of Covid-19.
IndiaMart Intermesh: The company has entered into an agreement to invest Rs 17.01 crore in Zimyo for 10% stake.
Uttam Sugar Mills: The company has redeemed 132,300 6.5% non-cumulative redeemable preference shares worth Rs 100 each.
EIH: The company approved sale of its press unit located in Manesar, Haryana, for Rs 94.5 crore.
Gujarat Alkalies: The company has received a patent from the US Patent and Trademark Office for process for production of hydrazine hydrate.
KEC International: The company won secured new orders of Rs 1,131 crore across its various businesses.
Source: Moneycontrol, Livemint,, Bloomberg, Investing
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