View on market: Stay Cautious, be with quality business:
Stocks in Asia declined after a selloff in U.S. technology shares and Treasuries intensified after Federal Reserve minutes signaled interest-rate hikes may be more aggressive than expected. Equities retreated in Japan, Australia and South Korea. U.S. contracts fluctuated after the Nasdaq 100 tumbled the most since March. The Singapore-traded SGX Nifty, an early indicator of India’s Nifty 50 Index’s performance, fell 1.01% to 17,792.50, as of 8:30 a.m Elsewhere, Oil fell for the first time in four days and Bitcoin tumbled to below $44,000, the lowest since its early-December weekend flash crash.
Economic Calendar:
- INR: CPI December on 12th January, 2022.
- INR: Forex Reserve USD on 7th January 2022.
- USD: Non Payroll Dec on 7th January, 2022.
- USD: Consumer Credit on 8th January, 2022.
Brokerage Radar:
JEFFERIES ON REAL ESTATE: Indian residential property cycle will enter its 2nd positive year in 2022, and should kick up a gear. 8-year low inventories and cycle-best affordability imply 10% industry vol. and 5-10% price hikes. Office occupancy should also rise as WFH reverses, but rental uptick could be lagged Any rate hike driven scare in property stocks would be a buying opportunity, given strong demand Aggressive developers viz. GPL, Lodha & Prestige are preferred picks.
MORGAN STANLEY ON TECHNOLOGY STOCKS: Expect revenue growth to be strong and potentially surprise on the upside. Margin performance is turning out to be slightly more resilient than our initial expectations. Prefer large caps (Tech M/TCS) over mid caps (MphasiS top pick in midcaps).
JEFFERIES ON THERMAX: Upgrade to buy, TP Rs 2575 Believe management is focused on taking a step forward in 1) Leveraging its brand to deepen existing relations through new products 2) Improving capital allocation 3) Margin improvement 4) Seeking new RE growth avenues.
strong>CLSA ON UPL : Buy, Target Price raised to Rs 1100 Raise FY22-24 EPS est by 2-3% Co aiming for 25% Ebitda margins by FY26 vs 20.6% in 1HFY22 A transition towards high-value products should drive a PE rerating.
International Markets:
U.S & Europe
| Particulars | 5th Jan | Chg | Chg(%) |
| Nasdaq | 15,100.17 | -522.55 | -3.34 |
| Dow | 36407.11 | -392.54 | -1.07 |
| FTSE | 7,516.87 | 11.72 | 0.16 |
| CAC | 7,376.37 | 58.96 | 0.81 |
| DAX | 16,271.75 | 119.14 | 0.74 |
| Dow Fut.* | 36416.0 | 8.9 | 0.02 |
Asian markets:
| Particulars | 6th Jan | Chg. | Chg(%) |
| SGX Nifty | 17,792.00 | -181.5 | -1.01 |
| Nikkei | 28,721.49 | -610.67 | -2.08 |
| Straits Times | 3,173.56 | 10.12 | 0.32 |
| Hang Seng | 22,778.41 | -128.84 | -0.56 |
| Shanghai | 3,571.81 | -23.37 | -0.65 |
ADR Watch:
| Particulars | 5th Jan | Chg. | Chg.(%) |
| Dr Reddy | 63.94 | -0.78 | -1.21 |
| HDFC Bank | 67.24 | -0.07 | -0.1 |
| ICICI Bank | 20.88 | 0.35 | 1.7 |
| Infosys | 24.3 | -0.81 | -3.23 |
| Tata Motor | 31.95 | -0.28 | -0.87 |
| Wipro | 9.51 | -0.26 | -2.66 |
Commodities & Currency:
| Particulars | Current Price | Chg(%) |
| USD/INR | 74.36 | 0.25 |
| Brent | 79.94 | -1.06 |
| Gold | 1809.00 | -0.88 |
| Silver | 22.720 | – 1.94 |
FIIs & DII
| Particulars | 5th Jan | 4th Jan |
| FIIs | 336.83 | 902.64 |
| DIIs | 1271.95 | 803.11 |
News Update:
Bharti Airtel : The company’s subsidiary Airtel Africa Plc has received $159 million out of $176.1 million from the sale of its tower assets in Tanzania. The company will receive the remaining amount upon the completion of the transfer of towers to the purchaser. Separately, Hughes Communications India and Bharti Airtel have announced the formation of a joint venture to provide satellite broadband services in India.
Hero Motocorp : Naveen Munjal-led Hero Electric Vehicles moved the Delhi High Court seeking an injunction against Hero MotoCorp using the word ‘Hero’ for its upcoming electric vehicle in March 2021.
NHPC : Promoters Agreement has been signed between NHPC and Green Energy Development Corporation of Odisha for the formation of a joint venture company for the development of 500 MW floating solar power projects in various water reservoirs in Odisha.
HDFC Bank: The private sector lender has sold Rs 2,188 crore of distressed retail loans to asset reconstruction companies in the last three quarters with the aim of cleaning its book, reports said.
Vodafone Idea: The Delhi High Court has stayed an appellate tribunal’s order that prevented TRAI from taking any coercive action against Vodafone Idea for allowing only subscribers with certain tariff plans to port out, as per reports.
Mahanagar Gas : Life Insurance Corporation of India acquired a 2 percent stake in the company through open market transactions. With this, LIC’s shareholding increased to 7.01 percent from 5 percent earlier.
Gautam Gems : On January 13, the company will consider the rights issue of equity shares, along with unaudited financial results for the quarter ended on December 31, 2021.
Future Group companies : The Delhi High Court has stayed the Amazon-Future arbitration which is going on before a three-member arbitral tribunal over the latter’s Rs 24,500-crore deal with Reliance Industries Ltd. The high court also stayed a single judge’s January 4 order that had dismissed the Future Group’s two pleas seeking a direction to the arbitration tribunal, adjudicating Amazon’s objections against the former’s deal with RIL, to take a decision on its application for terminating the arbitration proceedings before moving further.
Source: Moneycontrol, Livemint,, Bloomberg, Investing
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