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

Asian stocks were steady early Monday after their U.S. peers climbed toward a record, aided by an American jobs report that eased some fears about the economy running too hot and stoking troublesome inflation.Shares fluctuated in Japan and edged up in South Korea and Australia. U.S. equity contracts were slightly lower. The Singapore-traded SGX Nifty, an early indicator of India’s Nifty 50 Index’s performance, rose 0.21% to 15,742.50 as of 7:56 a.m. The U.S. employment report showed an uptick in workers’ pay, adding to the debate about price pressures that has dominated markets. Speculation continues that the U.S. recovery from the pandemic may be strong enough to prompt Federal Reserve discussions in the weeks ahead on tapering asset purchases.

Key Data/ Action, Result, and Board meeting to watch

Major economic Data:

  • INR: Industrial Production YoY APR on 11th June, 2021
  • INR: Foreign Exchange Reserves on 11th June, 2021
  • USD: Trade Balance (Apr) on 8th June, 2021
  • USD: JOLTs Job Openings (Apr) on 8th June, 2021

International Markets:

U.S & Europe

Particulars    4th June. Chg Chg(%)
Nasdaq 13,814.49 199.98 1.47
Dow 34756.39 179.35 0.52
FTSE** 7,069.04 4.69 0.07
CAC** 6,515.66 7.74 0.12
DAX 15,692.90 60.23 0.39
Dow Fut.* 34,700.50 -41.5 -0.12

Asian markets:

Particulars    7th June. Chg Chg(%)
SGX Nifty 15,742.50 33.5 0.21
Nikkei 28,988.46 46.94 0.16
Straits Times 3,168.73 17.69 0.56
Hang Seng 28,654.87 -263.23 -0.91
Shanghai 3,592.72 0.88 0.02

ADR Watch:

Particulars       4th June. Chg Chg(%)
Dr Reddy 72.27 0.3 0.42
HDFC Bank 76.84 0.07 0.09
ICICI Bank 17.93 0.08 0.45
Infosys 19.29 0.15 0.78
Tata Motor 23.6 1.36 6.12
Wipro 8.09 0.08 1

Commodities & Currency

Particulars Current Price Chg(%)
USD/INR         73.00 0.12
Brent 71.67 -0.31
Gold 1888.75      -0.17
Silver 27.747 -0.53

FIIs & DII

Particulars       4th June.     3rd June.
FIIs  1499.37      1079.20
DIIs -1175.01   -278.97

Earnings to Watch:

Earnings: MRF, Central Bank Of India, Union Bank Of India, Mrs. Bectors Food Specialities, The New India Assurance Company, Dynamatic Technologies, Fairchem Organics, Jubilant Ingrevia, Seamec, SMC Global Securities, Yuken India

Results:

Punjab National Bank:The bank’s Q4FY21 standalone profit rose 15.9 percent to Rs 586.33 crore from Rs 506.03 crore, while net interest income fell 16.5 percent to Rs 6,937.55 crore from Rs 8,312.98 crore, QoQ.

MOIL Q4FY21 (Standalone, QoQ) Revenue up 68% at Rs 450.13 crore Vs Rs 267.70 crore Net profit up 1.26 times at Rs 116.03 crore Vs Rs 51.38 crore Ebitda up 1.05 times at Rs 155.88 crore Vs Rs 76.03 crore Ebitda margin at 34.6% Vs 28.4% Recommended final dividend of Rs 4.90 per share

Brokerage Radar;

JEFFERIES ON BHARAT FORGE: Maintain Buy at the price of Rs.750 for the Target Price of Rs.925 See a Big Turnaround over FY22-23.Rebound in US/India Trucks & Industrial Exports will lead turnaround. Raise FY22-23 EPS Estimates by 27-32%.

CLSA ON BHARAT FORGE: Maintain Buy at the price of Rs.750 for the target price of Rs.900 underlying Revenue recovery should continue in H2&FY23 Global Subsidiaries continued to turn around. Global Subsidiaries reporting positive PBT After 2 years.

News Update:

Bajaj Finance: Bounce rate in the April-June quarter is 1.08x of the rate in January-March due to the severity of the second wave, the company said. Expects gross and net NPAs to be higher in Q1 and Q2 due to collections constraints. The company expects incremental credit cost of Rs 1,100-1,300 crore than planned credit costs in FY22.

Tata Steel:The company’s subsidiary Tata Steel Mining Ltd has been declared as the successful resolution applicant by the Committee of Creditors for the acquisition of Rohit Ferro-Tech Ltd.

PowerGrid Corporation of India: The company acquired Fatehgarh Bhadla Transco (FBTL) and Sikar New Transmission Limited (SNTL), the project SPVs to establish transmission system strengthening for evacuation of power from solar energy zones in Rajasthan (8.1 GW) on build, own, operate and maintain (BOOM) basis from the bid process coordinator – REC Power Distribution.

Reliance Infrastructure: Approved fundraising of Rs 550.56 crore via preferential allotment to promoter group and Varde Investment Partners

Punjab National Bank: To exit shareholding in Canara-HSBC-OBC life insurance venture in 12-18 months, said MD & CEO, CH Mallikarjuna Rao.

NHPC: Incorporated a joint venture company with Jammu and Kashmir State Power Development Corporation called Ratle Hydroelectric Power Corporation on June 1. The JV will implement Ratle Hydro-electric Project (850 MW) in the Chenab River Basin. NHPC will hold a 51% stake in the JV.

Shalby Ltd: The company has inaugurated a new hospital with an infrastructure facility with 150 beds capacity at Zynova-Shalby, Ghatkopar, West Mumbai.

Source: Moneycontrol, Livemint,, Bloomberg, Investing

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