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

Asian stocks declined early Thursday after a dip in U.S. shares as investors continue to fret over a slowdown in the recovery from the pandemic. Treasuries and the dollar held an advance. Equities fell in Japan, Australia and South Korea. U.S. futures edged down after the S&P 500 retreated for a third day and the Nasdaq 100 posted the biggest drop in two weeks. A U.S. central bank survey signaled a moderation in economic growth due to the delta virus strain. The Singapore-traded SGX Nifty, an early indicator of India’s Nifty 50 Index’s performance fell 0.30% to 17,331.00 as of 8:15 a.m.

Major economic Data:

  • INR: Industrial Production (YoY) (Jul) on 10th September, 2021
  • INR: Deposit Growth and Bank Loan Growth on 10th September, 2021
  • USD: Initial Jobless Claims on 9rd September, 2021
  • USD: Crude Oil Inventories on 9th September, 2021

Brokerage Radar:

MORGAN STANLEY ON ICICI BANK:Maintain overweight at the price of Rs 721.40 for the target price of Rs 900.Co is their top pick amongst Indian banks. See higher ROEs over the medium term. Valuations have re-rated & this reflects improved ESG initiatives.

CREDIT SUISSE ON SBI CARDS:Maintain outperform at the price of Rs 1103 for the target price of Rs 1300.Co stays well positioned in a high-growth segment. Expect growth to recover to 30% over the next 2 years. Expect FY23 RoA of more than 7% & FY 21-24 EPS CAGR of 50%. Lift EPS by 2-3% on higher spends.

International Markets:

U.S & Europe

Particulars 8th Sept Chg Chg(%)
Nasdaq 15,286.64 -87.69 -0.57
Dow 35031.07 -68.93 -0.2
FTSE 7,095.53 -53.84 -0.75
CAC 6,668.89 -57.18 -0.85
DAX 15,610.28 -232.81 -1.47
Dow Fut.* 34,963.00 -49.00 -0.14

Asian markets:

Particulars 9thSept Chg Chg(%)
SGX Nifty 17,331.00 -51.5 -0.3
Nikkei 30,041.33 -139.88 -0.46
Straits Times 3,082.20 13.26 0.43
Hang Seng 26,050.41 -270.52 -1.03
Shanghai 3,677.78 2.59 0.07

ADR Watch:

Particulars 8thSept Chg Chg(%)
Dr Reddy 66.32 -0.2 -0.3
HDFC Bank 76.72 -0.38 -0.49
ICICI Bank 19.61 0.01 0.05
Infosys 23.19 -0.24 -1.02
Tata Motor 19.82 0.06 0.3
Wipro 9.41 -0.23 -2.39

Commodities & Currency

Particulars Current Price Chg(%)
USD/INR 73.67 0.16
Brent 72.86 0.36
Gold 1790.55     -0.16
Silver 23.980 -0.32

FIIs & DII

Particulars 8th Sept         7th Sept
FIIs -802.51 -145.45
DIIs 0.60 -136.57

 

News Update:

Jindal Steel & Power: The company has prepaid $105.66 million loan of Australian unit. The prepayment has helped reduce the unit’s debt by about 50%. The company plans to pay off its overseas debt in coming quarters and aims to be net debt-free by March 2023. Further JSPL will expand steelmaking capacity in Angul to more than 12 million tons a year by 2025 through internal accruals, Managing Director VR Sharma said.

SBI Life Insurance Company: Canada Pension Plan Investment Board is selling 20 million shares in the company in an accelerated bookbuild offering, according to a Bloomberg report. Shares are being offered at Rs 1,159.05 to Rs 1,220.05 each, which is at a discount of 0% to 5% to Wednesday’s close. There is an option to increase the deal size by as many as 3 million shares. The seller will be subject to a 90-day lockup period.

ONGC: Company is exploring a purchase of a significant minority stake in the $4 billion-plus Sangomar oil project off the coast of Senegal from Woodside Petroleum Ltd., according to a Bloomberg report. The company is discussing acquiring an interest of 20% to 40% in the field.

BASF India: The Competition Commission of India searched local offices of BASF and other vegetable seed companies, according to a Reuters report. BASF is aware of a raid in its Nunhems India Gurgaon branch, a spokeswoman told Bloomberg News; adding the company wasn’t aware of the precise reason for the raid and was cooperating with the authorities.

UCO Bank: RBI has freed UCO Bank from its prompt corrective action framework, intended to help weak banks revive. As per UCO Bank’s FY21 results, the lender is no longer in breach of the PCA parameters, RBI said. The bank has provided a written commitment that it would comply with the norms of minimum regulatory capital, net NPA and leverage ratio on an ongoing basis. UCO Bank was put under PCA in May 2017.

Infosys: The company and The Economist Group have announced a new strategic partnership designed to enable and accelerate sustainability solutions and drive world-changing impact through a new business-to-business model. The company has also approved the closure of the buyback on September 8. It has bought back 5.58 crore equity shares, at an average price of Rs 1,648.53 per equity share, for Rs 9,199 Cr.

Tata Consultancy Services: Avianca, one of the leading airlines in South America, has partnered with TCS to accelerate its journey to the cloud. TCS will moderniseAvianca’s IT infrastructure and build a new future-ready cloud-based digital core on Microsoft Azure. It will help the airline migrate 129 core applications to the cloud and will also manage the new cloud estate.

Adani Enterprises: CG Natural Resources, a subsidiary of the company, has emerged as a successful bidder for Jhigador (250 MT) and Khargaon (250 MT) coal blocks in Bisrampur, Chhattisgarh.

Source: Moneycontrol,Livemint,, Bloomberg,Investing

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