Indian Market Outlook
The Key benchmark indices rose over two percent over the week however fell 1.83 percent in last two consecutive days due to rising 10 Year US bond yields. The 10-year U.S. bond yield hit a new one-year high of 1.626%. Another factor weighing on investor sentiment is the rise in crude oil prices. Brent crude touched $69 a barrel this week rose 5.15% over the week. Nifty ended the week 2.81 percent higher at 14938 points while Sensex ended 2.66 percent higher at 50405 points. Broader market outperformed the key benchmark indices. BSE Midcap index ended 3.05 percent higher, while the BSE Small cap index rose 3.87 percent, during the course of the week. Foreign Institutional Investors were the net buyers during the week; bought equities worth Rs.2199 crore while the DIIs were the net sellers of Rs.2635 crore. Bank Nifty underperformaed the key benchmark indices during the week. A rise in bond yields brings market losses for banks on their bond holdings. Auto sales numbers for February 2021 have been fairly positive with passenger vehicle makers posted impressive double-digit YoY growth. GDP grew 0.4% YoY in 3QFY21, primarily because of downward revision from 4.1% to 3.3% in 3QFY20. Without base revision, there was a decline of 0.6% YoY in the quarter.Going forward In the coming week, the market will be mainly focusing on the expectations on whether the Fed, in its upcoming meeting on (March 16-17), will maintain its accommodative stance in a rising bond yield market. On Macro Front CPI Inflation for February 2021 and Industrial Production for January 2021 would be announced on 12th March, 2021.
Trade AnyTime AnyWhere With Elite Empower Mobile App
Latest Spot Price (in US $)
|Precious Metal||Current Price||Change (%)||3 Month||6 Month||1 Year|
Get All Your Mutual Fund Portfolio Retuns on Your Mobile by Elite Kuber App
Global Weekly Events
|Mar 10,2021||USD||Core CPI (MoM) (Feb)||0.2%||0.1%|
|Mar 10,2021||USD||Crude Oil Inventories||–||21.563M|
|Mar 12,2021||GBP||GDP (QoQ)||–||1.0%|
|Mar 12,2021||INR||Industrial Production (YoY) (Jan)||-0.2%||1.0%|
|Mar 12,2021||INR||CPI (YoY) (Feb)||4.45%||4.06%|
|Mar 13,2021||USD||US Federal Budget||–||-430.0B|
Domestic Economy Indicators
|RBI Policy Rate||Policy Repo Rate||4.00%||4.00%|
|Reverse Repo Rate||3.25%||3.25%|
|Inflation Rate||Wholesale Price Index||2.03%||1.22%|
|Consumer Price Index||4.06%||4.59%|
|Trade Data||Export ($ Million)||27450||27240|
Source: Financial Express, Investing, NDTV, BSE, Livemint,Economic Times
Get Stock Market Recommendation By Our Research Analysts
|Domestic Indices||Closing(5th March)||Change||%Change|
|Net Inflow (Cr)||FII||DII|
|Top Gainers||Closing Price||Prev Close||Chg (%)|
|Kotak Mahindra Bank||1922.50||1780.35||7.98|
|Top Losers||Closing Price||Prev Close||Chg (%)|
Only 40% of government bonds auctioned by the Reserve Bank of India since the Union Budget and the monetary policy review that followed have been bought by investors as part of primary auctions. The rest have either devolved on primary dealers or the sales have been partially cancelled. This, as the expectation on interest rates between the central bank and the markets continue to diverge. Data compiled by BloombergQuint showed that 43% of the bonds auctioned have devolved on primary dealers. Including auctions that were partly cancelled without being devolved, and securities where an additional amount was retained, the total amount raised is just 40.8% of what was up for auction.
The Indian central bank’s conventional as well as unconventional policy responses to support the economy through the pandemic failed to reduce the government’s borrowing costs by a lot, says a new study. Policy actions by the Reserve Bank of India have had only a modest impact on the ‘term premium’ –- an indicator of the market’s expectations of future interest rates, according to the research authored by Rajeswari Sengupta of the RBI-funded Indira Gandhi Institute of Development Research in Mumbai, and Harsh Vardhan of the SP Jain Institute of Management and Research. There were limits to which monetary policy alone could provide an economic stimulus during a crisis, they wrote in the ‘Ideas for India’ portal.
The government is considering launching a production linked incentive (PLI) scheme in the chemical sector to boost domestic manufacturing and exports. Addressing a webinar on ‘Implementation Strategy of Budget Announcement 2021-22’, Chemicals and Fertilisers Minister D V Sadananda Gowda on Friday said the government is working on a consultative approach in forming the policies for India’s chemicals and petrochemicals sector.
New models of all cars will have to provide airbags for the front passenger seat from April 1 while all existing models can be sold after August 31 this year, only after being fitted with this safety gear. This mandatory provision was notified by the road transport ministry on Tuesday. “This has been mandated as an important safety feature, and is also based on the suggestions of the Supreme Court Committee on Road Safety,” the ministry said.
Lenders to Bhushan Power & Steel Ltd. have agreed to terms set by JSW Steel Ltd. for purchasing the assets of the insolvent steelmaker, according to two people with direct knowledge of the matter. A majority of the financial creditors on March 5 voted in favour of accepting JSW Steel’s Rs 19,350-crore offer for the sale, on a provisional basis, the people cited above told BloombergQuint on the condition of anonymity. A proposal needs at least 66% votes to be cleared by the committee of creditors.
Investment trust IndiGrid on Friday inked an agreement to acquire 100 per cent equity stake in NER II Transmission from Sterlite Power for about Rs 4,625 crore. The completion of acquisition would depend upon receipt of unitholders’ consent, regulatory and other relevant approvals, it said. “India Grid Trust (IndiGrid) signed share purchase agreement on March 5, 2021 for acquisition of 100 per cent shareholding and economic interest, in one or more tranches, in NER II Transmission Ltd from Sterlite Grid 4 Ltd,” a company statement said.
Multiplex major PVR on Friday announced the launch of a new six-screen property in Mysuru, Karnataka. “PVR Cinemas with this launch strengthens its presence in Karnataka with 109 screens in 16 properties and 292 screens across 47 properties in South. Located in the heart of India’s silk city, the new PVR Cinemas spreads across an area of 32,240 sq feet and can accommodate a total of 1,078 audiences,” the company said in a statement.
S. employers added more jobs than forecast in February and the unemployment rate declined, suggesting the labor market is clawing its way forward again following several disappointing months. Payrolls increased 379,000 after an upwardly revised 166,000 January increase, according to a Labor Department report Friday. Economists in a Bloomberg survey projected a 200,000 February gain.
(Source:Bloomberg Quint, Economic Times, BusinessToday, Business Standard, Financial Express,Investing, Moneycontrol, livemint)
Forthcoming Corporate Actions
|Security Name||Ex-Date||Purpose||Security Name||Ex-Date||Purpose|
|POWERGRID||08-Mar-21||Interim Dividend – Rs. – 4.00||TRIOMERC||09-Mar-21||Stock Split From Rs.10/- to Rs.2/-|
|SACHEMT||08-Mar-21||Bonus issue 1:10||DICIND||10-Mar-21||Final Dividend – Rs. – 6.00|
|TELESYS||08-Mar-21||E.G.M.||KIRLFER||10-Mar-21||Interim Dividend – Rs. – 2.00|
|KEI||09-Mar-21||Interim Dividend – Rs. – 2.00||MARICO||10-Mar-21||Interim Dividend – Rs. – 4.50|
|SELMCL||09-Mar-21||Resolution Plan -Suspension||WANBURY||10-Mar-21||E.G.M.|
|THANGAMAYL||09-Mar-21||Interim Dividend – Rs. – 6.00||WEPSOLN||10-Mar-21||Right Issue of Equity Shares|
|TRIOMERC||09-Mar-21||Bonus issue 1:6|
Source:BSE, Elite wealth Research
Upcoming Board Meetings
|Symbol||Purpose||BM Date||Symbol||Purpose||BM Date|
|MOLDTEK||Interim Dividend||08-Mar-21||VISIONCO||Quarterly Results||10-Mar-21|
|AUTOLITIND||Preferential Issue;Quarterly Results||09-Mar-21||RGL||Interim Dividend||11-Mar-21|
|MCDHOLDING||Quarterly Results||09-Mar-21||CHROMATIC||Quarterly Results||12-Mar-21|
|QUICKHEAL||ESOP Plan;Buy Back of Shares||10-Mar-21||RATHIST||General||12-Mar-21|
Source: BSE, Elite wealth Research
Major Economy Indicators
Disclosure in pursuance of Section 19 of SEBI (RA) Regulation 2014
Elite Wealth Limited does/does not do business with companies covered in its research reports. Investors should be aware that the Elite Wealth Limited may/may not have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only information in making their investment decision and must exercise their own judgment before making any investment decision.
For analyst certification and other important disclosures, see the Disclosure Appendix, or go to www.elitewealth.in. Analysts employed by Elite Wealth Limited are registered/qualified as research analysts with SEBI in India.( SEBI Registration No.: INH100002300)
Analyst Certification (For Reports)
Israil Khan, Elite Wealth Limited, email@example.com
The analyst(s) certify that all of the views expressed in this report accurately reflect my/our personal views about the subject company or companies and its or their securities. I/We also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report. Unless otherwise stated, the individuals listed on the cover page of this report are analysts in Elite Wealth Limited.
As to each individual report referenced herein, the primary research analyst(s) named within the report individually certify, with respect to each security or issuer that the analyst covered in the report, that:
(1) all of the views expressed in the report accurately reflect his or her personal views about any and all of the subject securities or issuers; and
(2) no part of any of the research analyst’s compensation was, is, or will be directly or indirectly related to the specific recommendations or views expressed in the report.
For individual analyst certifications, please refer to the disclosure section at the end of the attached individual notes.
This note may include excerpts from previously published research. For access to the full reports, including analyst certification and important disclosures, investment thesis, valuation methodology, and risks to rating and price targets, please visit www.elitewealth.in.
Important disclosures, including price charts, are available and all Elite Wealth Limited covered companies by visiting https://www.elitewealth.in, or emailing firstname.lastname@example.org with your request. Elite Wealth Limited may screen companies based on Strategy, Technical, and Quantitative Research. For important disclosures for these companies, please e-mail email@example.com.
Options related research:
If the information contained herein regards options related research, such information is available only to persons who have received the proper option risk disclosure documents. For a copy of the risk disclosure documents, please contact your Broker’s Representative or visit the OCC’s website at https://www.elitewealth.in
All research reports made available to clients are simultaneously available on our client websites. Not all research content is redistributed, e-mailed or made available to third-party aggregators. For all research reports available on a particular stock, please contact your respective broker’s sales person.
Ownership and material conflicts of interest Disclosure
Elite Wealth Limited policy prohibits its analysts, professionals reporting to analysts from owning securities of any company in the analyst’s area of coverage. Analyst compensation: Analysts are salary based permanent employees of Elite Wealth Limited. Analyst as officer or director: Elite Wealth Limited policy prohibits its analysts, persons reporting to analysts from serving as an officer, director, advisory board member or employee of any company in the analyst’s area of coverage.
Country Specific Disclosures
India – For private circulation only, not for sale.
Legal Entities Disclosures
Mr. RavinderParkash Seth is the Managing Director of Elite Wealth Ltd (EWL, henceforth), having its registered office at Casa Picasso, Golf Course Extension, Near Rajesh Pilot Chowk, Radha Swami, Sector-61, Gurgaon-122001 Haryana, is a SEBI registered Research Analyst and is regulated by Securities and Exchange Board of India. Telephone:011-43035555, Facsimile: 011-22795783 and Website: www.elitewealth.in
EWL Advisory discloses all material information about itself including its business activity, disciplinary history, the terms and conditions on which it offers research report, details of associates and such other information as is necessary to take an investment decision, including the following:
a) EWL Advisory or his associate or his relative has no financial interest in the subject company and the nature of such financial interest;
(b) EWL Advisory or its associates or relatives, have no actual/beneficial ownership of one %. or more in the securities of the subject company, at the end of the month immediately preceding the date of publication of the research report or date of the public appearance;
(c) EWL Advisory or its associate or his relative, has no other material conflict of interest at the time of publication of the research report or at the time of publicappearance;
(a) EWL Advisory or its associates have not received any compensation from the subject company in the past twelve months;
(b) EWL Advisory or its associates have not managed or co-managed public offering of securities for the subject company in the past twelve months;
(c) EWL Advisory or its associates have not received any compensation for investment banking or merchant banking or brokerage services from the subject companyin the past twelve months;
(d) EWL Advisory or its associates have not received any compensation for products or services other than investment banking or merchant banking or brokerageservices from the subject company in the past twelve months;
(e) EWL Advisory or its associates have not received any compensation or other benefits from the subject company or third party in connection with the research report.
3 In respect of Public Appearances
(a) EWL Advisory or its associates have not received any compensation from the subject company in the past twelve months;
(b) The subject company is not now or never a client during twelve months preceding the date of distribution of the research report and the types of services provided by EWL Advisory