Market View 9th November 2022

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

Stocks edged higher in Asia as investors awaited midterm election results from the U.S., with potential for government gridlock seen as positive for equities.  The dollar held declines against most Group-of-10 currencies as trading got underway in Asia. Treasuries were steady, while bond yields fell in Australia and New Zealand, tracking moves in the US overnight. Oil steadied after a two-day decline as traders weighed the support from a weaker dollar and gold fell. Trading in India’s stock benchmarks will resume after a day’s gap. The indices had advanced on Monday, aided by gains in energy, auto, realty stocks. At 6:20 a.m., the Singapore-traded SGX Nifty — an early barometer of India’s benchmark Nifty 50 — rose 0.24% to 18,392.

Economic Calendar:

• USD : CPI (MoM) (Oct) on 10th November, 2022
• USD : Initial Jobless Claims on 10th November, 2022
• INR : CPI (YoY) (Oct) on 11th November, 2022
• INR : Industrial Production (YoY) (Sep) on 11th November, 2022

Q2FY23 Result Today: Tata Motors, Lupin, NALCO, Bajaj Consumer Care, Balrampur Chini Mills, Barbeque-Nation Hospitality, Deepak Nitrite, Edelweiss Financial Services, Engineers India, Godrej Properties, Nuvoco Vistas Corporation, Petronet LNG, Pidilite Industries, Prestige Estates Projects, Quess Corp, Star Health, and Tracxn Technologies

Brokerage Radar:

UBS ON BOSCH: Sell, TP Rs 15500; Q2 EBITDA declined 4% QoQ & missed UBS-e/consensus by 13%/16%; Sharp miss led by weak margins, while rev (+3% QoQ) broadly in line; EBITDA margin 11.8% vs UBS-e/consensus of 13.5%/13.9%

CLSA ON BPCL: Buy, TP cut to Rs 405; Weak Qrt; Net loss; rebound in integrated margins should allow improvement in 2H; 1-off compensation from govt limits losses; Market share gains in auto fuels, mixed blessing due to marketing losses

MS ON DR LAL PATHLABS: EW, TP Rs 2214; Volume growth for core business has returned to mid-teens, but near-term pricing should stay capped due to high competitive intensity; Full valuations keep us EW

International Markets:

U.S & Europe:

Asian markets

ADR Watch:

Commodities & Currency

FIIs & DIIs:

News Update:

Coal India: The country’s largest coal mining company clocked a massive 106% year-on-year increase in consolidated profit at Rs 6,044 crore for the quarter ended September FY23. Revenue from operations jumped 28% YoY to Rs 29,838 crore for the quarter with raw coal production rising 10.6% YoY to 139.2 million tonnes, and raw coal off take increasing 4.8% to 154.53 million tonnes.

One 97 Communications (Paytm): Posted consolidated loss at Rs 571.5 crore for Q2FY23, widening from loss of Rs 473.5 crore in same period last year. Revenue from operations increased by 76% on-year to Rs 1,914 crore for the quarter.

Punjab & Sind Bank: The lender appointed Charan Singh as non-executive chairman and non-official director for a period of two years from the date of notification of his appointment or until further orders.

Punjab National Bank: The government-run bank appointed KG Ananthakrishnan as non-executive chairman and part-time non-official director for three years from the date of notification of his appointment or until further orders.

Bharat Electronics: Signed an MoU with Delhi Metro Rail Corporation for jointly developing the Indigenous Communication-based Train Control System. The company also confirmed, n response to a clarification sought by exchanges, that it has signed an MoU with Motorola Solutions India for cooperation in the field of broadband, push-to-talk service.

Life Insurance Corporation of India: The insurer has increased its sharing in Voltas to 8.88% from 6.86%.

Hindustan Aeronatics: CB Ananthakrishnan, Director (Finance) of the company, will hold the additional post of Chairman and Managing Director up to Nov. 30, 2022, or till further orders.

Canara Bank: The central government appointed Vijay Srirangan as non-executive chairman and part-time non-official director for a term of three years from the date of notification or until further orders.

Source: Moneycontrol, Bloomberg Quint, Investing

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