Market View 8th December 2022

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

Asian stocks opened lower following the flat closing in the U.S, markets after a volatile trading session. The Japanese Nikkei 225 fell nearly 0.82%, while the Australian S&P/ASX 200 was down 0.60% as of 6:17 am, local time. U.S. stocks were caught in a volatile session as traders were worried by the prospects of an impending recession amid tight Federal Reserve policy. The added danger of Russia’s refusal to promise not to use nuclear weapons has also spooked markets. The Dow closed flat after swinging between gains and losses on Wednesday. The Nasdaq Composite fell 0.5%, and the S&P 500 fell 0.2%. The 2-10 Treasury yield curve inverted by 83 basis points, the biggest inversion in about four decades, signaling increasing concerns about a potential recession. Oil fell 2.8%, while gold futures rose 0.9%. Bitcoin fell 1% to trade around $16,800-level. The Indian benchmark indices closed lower during trade on Wednesday, after the RBI Monetary Policy Committee’s decision to hike interest rates by 35 basis points to 6.25%. Rupee snapped its losing streak against the U.S. dollar as the RBI hiked interest rates by 35 basis points. At 6:41 a.m., the Singapore-traded SGX Nifty — an early barometer of India’s benchmark Nifty 50 — fell 0.06% to 18,683.5.

Economic Calendar:

• USD : Initial Jobless Claims on 8th December, 2022
• USD : PPI (MoM) (Nov) on 9th December, 2022
• INR : FX Reserves, USD on 9th December, 2022
• INR : CPI (YoY) (Nov) on 12th December, 2022

Brokerage Radar:

CLSA ON PHOENIX MILLS: Maintain O-P, TP Rs 1688; 27% Higher Same-store Consumption At Its Malls In Nov-22 Vs Pre-COVID Levels; Expect Consumption Momentum To Continue; Expect Strong Rental Growth In Medium Term; Co Remains Strong Play On Discretionary Consumption

MS ON BANKS(2023 Outlook): Expect Another Strong Yr Given Sustained Growth &Benign Credit Cycle; ICICI Bank & Axis Will Gain Strong Traction As 2nd Leg Of Re-rating Plays Out; In PSU Space, Prefer BoI & BoB To Play Continued Strong Cyclical Tailwinds

NOMURA ON AUTOS: Small Car Discounts On The Rise; Signs Of Weak Demand For Small Cars Become Prominent; For Maruti, Blended Impact Of Discounts Will Be Still Lower Compared With Past; Prefer M&M Given Its Strong SUV Model Cycle, Healthy Order Book As

International Markets:

U.S & Europe

Asian markets

ADR Watch:

Commodities & Currency

FIIs & DIIs:

News Update:

Macrotech Developers: Launches QIP consisting of ‘offer for sale’ to meet minimum public shareholding. The promoter shareholding currently stands at 82.2%. Floor price has been set at Rs 1,022.75 per share, 4.17% lower than the current market price.

HCL Tech: Tied up with Intel and Mavenir to develop and deliver private 5G enterprise network solutions for communication service providers and broader cross-vertical enterprises.

Axis Bank: Will raise Rs 12,000 crore via unsecured, rated, listed, subordinated, taxable, non-convertible, Basel III compliant Tier II bonds with a green shoe option of Rs 11,000 crore.

VA Tech Wabag: Appointed Pankaj Malhan as Deputy Managing Director and Group CEO, with effect from Dec. 7.

Eveready Industries India: Appointed Bibek Agarwala as the CFO, with effect from Feb. 14, 2023.

Inox Wind: Promoters infused Rs 623 crore in the company, which was used to repay Gujarat Fluorochemicals.

Lumax Industries: The board approved setting up of new greenfield project at Chakan, Maharashtra, and availing long term credit facilities to fund this project.

ONGC: The petroleum ministry appointed Arun Kumar Singh as chairman of the company for three years, with effect from Dec. 7. The company also signed an MoU with Shell for carbon capture, utilisation and storage.

Tata Consultancy Services: Entered a partnership with BT Group to transform the latter’s legacy IT estate.

Source: Moneycontrol, Bloomberg Quint, Investing

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