Market View 9th March 2023

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

Asian markets look poised to rise after a choppy U.S. session saw major benchmarks post modest gains. A late-day rally in the U.S. lifted the S&P into the green with the tech-heavy Nasdaq 100 leading the bounce higher. An index of Chinese companies traded in the US pared losses into the close. Equities on Wall Street struggled to gain traction for much of the day as traders assessed Jerome Powell’s latest comments and prospects for higher interest rates. Powell reiterated that an acceleration in the pace of hikes is still on the table and rates may go higher than anticipated should economic data warrant. Meanwhile, the yield on 10-year Treasuries advanced to 3.97%. Crude prices were trading around $82-mark, while Bitcoin was trading below 22,000-level. At 6:16 a.m., the Singapore-traded SGX Nifty, an early indicator of India’s benchmark Nifty 50, was up 0.02% at 17,803.5. Indian benchmark indices ended higher on Wednesday after rebounding in late trade, led by gains in auto, energy, and bank stocks. The Indian rupee ended its two-day rally against the U.S. dollar as the greenback strengthened.

Economic Calendar:

• USD : JOLTs Job Openings (Jan) on 08th March, 2023
• USD : Initial Jobless Claims on 09^th March, 2023
• INR : Industrial Production (YoY) (Jan) on 10th March, 2023
• INR : Deposit Growth on 10^th March, 2023

Brokerage Radar:

CLSA ON BHARTI AIRTEL: Buy, TP Rs 1015; Co has been leading sector tariff hikes & latest increase comes 14 months before India’s general elections; Est. hefty 57% hike for its entry plans now in 19 of 22 circles can boost Arpu by 3%; CEO Sunil Mittal expects more hikes by mid-2023; Bharti is on track for nationwide 5G rollout by March 2024; Forecast 15/23% consol./India mobile Ebitda Cagr to FY25CL.

MS ON LIFE INSURANCE: Feb RWRP growth 10% YoY for industry (10% in Jan) & 18% (vs 14%) for prvt sector; HDFC Life (incl. Exide) reported strong growth at 27% (vs 17%); IPru Life sustained growth at 7% (vs1%); SBI Life reported flat RWRP YoY(vs8%) lagging prvt sector after a strong 3Q

JEFFERIES ON MAX HEALTH: Buy, TP Rs 530; Takeaways from Singapore investor meetings 1) Addition of 500 new beds by 1HFY24 &1500 by FY25; As most addition is brownfield, breakeven will be faster; 2) Improved payor mix should allow gradual margin expansion; 3) Will not leverage b/s

International Markets:

U.S & Europe

Asian markets

ADR Watch:

Commodities & Currency

FIIs & DIIs:

News Update:

State Bank of India: The bank raised Rs 3,717 crore through its third AT-1 bond issuance during the current financial year at coupon rate of 8.25%.

Bharat Forge: The company through its subsidiary Kalyani Powertrain inaugurated its first e-bike manufacturing facility at MIDC, Chakan with annual production capacity of 60,000 units and scalable to 1 lakh units.

Aptus Value Housing Finance India: The company denied being part of any negotiation to handover management control to Cholamandalam.

Sequent Scientific: The transaction contemplated under the agreement to acquire 100% stake in Tineta Pharma has not been materialised, and the acquisition will not happen.

Ramkrishna Forgings: The company incorporated a subsidiary—RKFL Engineering Industry—to implement the resolution plan under corporate insolvency resolution process for JMT Auto.

ISMT: R Poornalingam resigned as an independent director of the company, with effect from March 8, 2023.

Kirloskar Oil Engines: Ten investors have picked up 13.65% stake in the engineering, power generation and solutions company through open market transactions, at an average price of Rs 322 per share, amounting to Rs 636 crore. Three promoters have offloaded 17.7% stake in the company.

Jindal Stainless: iShares Core MSCI Emerging Markets ETF has picked up 33.69 lakh equity shares (0.64% stake) in the stainless steel company through open market transactions, at an average price of Rs 309.42 per share. These shares are worth Rs 104.3 crore.

Source: Moneycontrol, Bloomberg Quint, Investing

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