- The key Indian equity indices Sensex closed the week with marginal gains of 0.5% despite volatility in the market from events like US Fed rate hikes and the de-nuclearization of North Korea. Pharma stocks gained the most while metals and oil & gas dragged.
- Yields on the 10-year Indian government bond eased initially but rose later in the week due to higher inflation numbers. The RBI kept policy rates unchanged.
- Internationally, the US Federal Reserve raised interest rates as expected while China's industrial production growth slowed slightly. The Trump-Kim summit led to agreements on denuclearization.
Reliance Mutual Fund’s daily market news on which included Indian equity and debt market indices, Currency Market Update,Commodity Market Update, Indian Government announcement, International news etc.
equity trading is the buying and selling of company stock shares. Shares in large publicly traded companies are bought and sold through one of the major stock exchanges, such as the New York Stock Exchange and the London Stock Exchange, which serve as managed auctions for stock trades.
Get update on Reliance Mutual Fund’s market news on 11 December 2014 which includes Indian equity and debt market news, domestic News,currency market update, Indian Government announcement, International news etc
CapitalStars Financial Research Private Limited is an advisory company incepted with a vision of providing fair and accurate trading and investment calls in share and commodity market.we specialize in thorough fundamental and technical research analysis in equity and commodity market to provide best equity and commodity tips to traders and investors.we provide intraday as well as delivery stock tips in NSE and BSEand commodity .
Stock Market Technical Analysis, Stock/Share Trading.Get the latest stock & technical analysis of stock/share trends, BSE/NSE technical chart, live market map and more technical stock information at Capitalheight.
Stock Market Technical Analysis, Stock/Share Trading.Get the latest stock & technical analysis of stock/share trends, BSE/NSE technical chart, live market map and more technical stock information at Capitalheight.
Reliance Mutual Fund’s daily market news on which included Indian equity and debt market indices, Currency Market Update,Commodity Market Update, Indian Government announcement, International news etc.
equity trading is the buying and selling of company stock shares. Shares in large publicly traded companies are bought and sold through one of the major stock exchanges, such as the New York Stock Exchange and the London Stock Exchange, which serve as managed auctions for stock trades.
Get update on Reliance Mutual Fund’s market news on 11 December 2014 which includes Indian equity and debt market news, domestic News,currency market update, Indian Government announcement, International news etc
CapitalStars Financial Research Private Limited is an advisory company incepted with a vision of providing fair and accurate trading and investment calls in share and commodity market.we specialize in thorough fundamental and technical research analysis in equity and commodity market to provide best equity and commodity tips to traders and investors.we provide intraday as well as delivery stock tips in NSE and BSEand commodity .
Stock Market Technical Analysis, Stock/Share Trading.Get the latest stock & technical analysis of stock/share trends, BSE/NSE technical chart, live market map and more technical stock information at Capitalheight.
Stock Market Technical Analysis, Stock/Share Trading.Get the latest stock & technical analysis of stock/share trends, BSE/NSE technical chart, live market map and more technical stock information at Capitalheight.
The World This Week - 03rd Aug to 08th Aug, 2015
As expected rates were kept unchanged in the RBI credit policy last week but the tone of the policy along with macro economic factors suggest that there could be a chance of rate cut in the next credit policy which is due on 29th September or even before that. The only concern is distribution of monsoon which is very uneven so if monsoon plays out properly then the rates may be cut. The change witnessed from previous credit policy to this one is the probability of another rate cut happening in this calendar year has increased from 50% to 75%. There would be certain consequences of a rate cut. Sectors which would benefit are stable businesses like Auto, Private Banks, and NBFC etc. Sectors like infrastructure, manufacturing, high capital intensive business which are facing problems of raising capital, inadequate profitability etc would still struggle despite a rate cut. Know
Equity View:
Markets are moving into earnings season and initial results of few corporate entities seem good enough,
starting with Indusind Bank followed by Infosys. The numbers of these companies were expected to come
out well thus this outcome is not surprising from sectors like Private Sector Banks, IT, FMCG and Pharma
which are expected to perform well. There are few sectors like Capital Goods, Public Sector Banks and old
Infra Companies which can show subdued results. We expect domestic factors like government policies
to drive the market in absence of global cues. IIP data is set to come out today and is expected to be flat;
Inflation is also expected to be higher due to base effect.
Real estate markets have a cycle of around 5 – 7 years thus an off-take seems distant, however buying
could initiate after 2 – 3 years. A rate cut acts as a catalyst but it cannot help in a sudden pick-up of
demand.
There is always a trend and a counter trend in the movement of an asset class. We need to see the long
term trend. In commodities there is bearish long term trend so counter trend is bullish and thus,
currently we are seeing a counter trend in this asset. Similarly, if we have a bullish long term trend for
equity markets then from time to time there would be correction which is also happening now and this is
known as counter trend. The incremental savings of the government can either be used in the form of an
investment, subsidies or 7th Pay commission arrears. This definitely leads to correction in equity markets
but it doesn’t lead to bearish phase. If everyone is hopeful about the turnaround of Indian story and
economic revival then no one exits completely from the stock markets. Larger expectations are that
investments will certainly pick up and we all are hopeful about it.
News:
DOMESTIC MACRO:
Indirect tax collection rose 35.8% to over Rs. 3.24 lakh crore in the first half of the current fiscal.
Indirect tax collection in the period from April to September in the last fiscal stood at about Rs.
2.38 lakh crore.
The International Monetary Fund (IMF) in its latest World Economic Outlook has lowered India’s
growth forecast for FY16 to 7.3% from its July forecast of 7.5%. Growth is expected to bounce back
to 7.5% in 2016-17 on the back of reforms, pick-up in investments and lower commodity prices.
The Reserve Bank of India (RBI) will be increasing the investment limit for Foreign Portfolio
Investors (FPIs) in Government Securities to Rs. 1,79,500 crore by January 1 from the existing Rs.
1,53,500 crore.
The Cabinet approves a Railway Ministry proposal to pay bonus equivalent to 78 days’ pay, with a wage
ceiling of Rs 3500 a month.
This week RBI policy will be announced expectation for the same has been muted; mostly RBI would maintain the
status quo right before onset of the monsoon. RBI would not cut rate primarily because CPI has started inching up
both ways in absolute terms and in its contribution to WPI, RBI’s decision will be impending until how monsoon
and CPI panes out . So the policy would remain flat.
Earnings have been marginally better than expectation, Certain quarters people expected good results from PSU
banks but it did not happen, apart from this results specially from IT, FMCG, Consumer durable and Auto was
surprising and expectations are that this trend would continue for some time.
The markets have started on a somber note. As discussed in the past that markets were at tiring levels of 8600, a 3% correction was expected in last one month. it would be an approximate fall of 7% after today’s correction which is in line with developed markets. The US markets fall of ~7.5% in last one month has impacted Y-O-Y returns from 17% to 3%. India on the other hand, is considered to be an outperformer as compared to other emerging markets like Brazil, Australia, Indonesia, etc however a further correction of 3% - 4% cannot be ruled out. The mid cap index is fairly resilient but people should stay away from low quality high beta mid cap stocks and if investments are existing then profit booking followed by exiting these stocks is suggested.
Introduction of GST in the Rajya Sabha has significance because it could have been passed in the Lok Sabha also. However, Rajya Sabha is where the government does not have majority and since it’s a constitutional amendment that requires two thirds majority, convincing all the parties is a key milestone and to that extent, introduction and subsequent passage of the bill in the Rajya Sabha will be important.
•Earnings Data for 8 core industries including mining, infrastructure and electricity was received which indicated a growth by 5.2% which augers well. However, one needs to see if this is a onetime occurrence or will it continue. Also, since rainfall was moderate, by the end of July, rural consumption is expected to be strong. To that extent, GDP is likely to grow anywhere between 7.5-8% this year. The government’s earlier projections in the budget carry an upward bias.
Dear Investors,
The month of July has seen the heavens literally open their doors and shower their blessings on us. After a late start in June, the monsoon picked up
smartly and the country as a whole received abundant rainfall, bringing cheer to one and all and definitely a sense of relief. The same good cheer
seems to have percolated to the global equity markets as well. Having brushed off the Brexit issue, markets have continued their upward move
relentlessly through the month of July. The US benchmark index, the S&P 500 hit a new lifetime high earlier in the month on the back of good jobs
data and an optimistic view of growth in the US economy. Not wanting to be left out in any way, the Nifty set a new 52-week high and the Sensex
scaled 28,000.
The quarterly results have been a mixed bag so far. While there have been more hits than misses, the IT sector as a whole and some pharma
companies have been the major pockets of underperformance. Most of the private sector retail banks and NBFCs have shown a stellar performance,
while growth in public sector banks was stagnant due to liquidity and NPA issues. In the consumer space, lower costs have added to the profits of
several companies, but revenue growth and volume growth were disappointing. There is hope that these will see a significant pick up in the second
half of the financial year once the benefits of the 7th Pay Commission and a good monsoon kick in.
New Tax Regime User Guide Flexi Plan Revised (1).pptx
The world this week 15th june From Karvy Wealth
1. The World This Week
8th June – 15th June, 2018
Policy Rates
Policy Repo Rates 6.25%
Reverse Repo Rate 6.00%
Marginal Standing Facility Rate 6.50%
Bank Rate 6.50%
CRR 4.00%
SLR 19.50%
Indian Equity Summary
The benchmark equity indices Sensex , closed with a marginal gain of 0.50% on WoW basis. The market remained volatile with key
events like , de-nuclearisation of the Korean peninsula, U.S. Fed. hiking rates by 0.25% and ECB announcing end of quantitative
easing. The Pharma Indices was a clear winner gaining by 6.53% on a WoW basis followed by the IT indices , though Metals and
O&G were a drag on the indices.
Going ahead, we expect the market to trade in a range ,and volatility to persist .The downward movement of crude prices, and the
strengthening of rupee will provide the necessary tailwinds.
Indian Debt Market Summary
The on the run, 7.17% Gsec 2028, yield eased by 6bps to close at 7.89% v/s the previous close of 7.95% .
A rebound in food inflation and a jump in fuel prices in May led to wholesale inflation in the country rising to 4.43 per cent, from
3.18 per cent in April, its fastest uptick in 14 months , which subsequently pushed the yields higher. IIP for the month of April
expanded to 4.9% yoy, higher than the 4.6% when compared to previous month.
We expect the 10-year G-sec yield to trade in a range of 7.60%-7.90% in near term.
Key announcements in the month Release Date
Foreign Exchange Reserves16/JUN 22 June 2018
Government Budget Value MAY 29 June 2018
External Debt Q1 29 June 2018
BSE Sectoral -Indices
Date Sensex Auto Bankex CD FMCG HC IT Metals O&G Power Realty
08-Jun-18
35444 24960 29593 20413 11204 13425 13556 13854 14647 2053 2216
11-Jun-18
35483 24989 29609 20624 11245 13493 13583 13806 14616 2053 2200
12-Jun-18
35693 25000 29813 20697 11328 13756 13663 13729 14657 2057 2207
13-Jun-18
35739 24995 29895 20814 11280 13835 13839 13676 14656 2052 2212
14-Jun-18
35600 25007 29751 20628 11260 14038 13645 13615 14555 2039 2208
15-Jun-18
35622 24850 29558 20518 11217 14301 13951 13406 14397 2017 2183
Change 0.50% -0.44% -0.12% 0.51% 0.12% 6.53% 2.91% -3.23% -1.71% -1.76% -1.50%
Net Investments ( INR Cr)
Date FII DII
08-Jun-18 -223
459
11-Jun-18 -1157
1063
12-Jun-18 -1169
1327
13-Jun-18 -71
487
14-Jun-18 -1373
576
15-Jun-18 -1525
561
Total -5517 4474
Key Indicators
GDP (Q4 FY'18) 7.70%
Manufacturing PMI (Apr'18) 51.20
Current Account Deficit (Q3 of FY18, in $ Billion) 13
Fiscal Deficit (FY 2018, as a % of GDP) 3.53%
Credit Growth (May 11,2018) 13.10%
Deposit Growth (May 11,2018) 8.50%
Parrallel Shift of the yield curve YoY
FBIL CD Rates
0
1
2
3
4
5
6
7
8
9
15-06-2018
15-06-2017
0
1
2
3
4
5
6
7
8
9
15-06-2018
08-06-2018
2. Domestic News
20 states have signed memorandums of understanding with the Centre to implement the National Health Protection Scheme
TCS board approves proposal to buy back up to 76 mn shares worth Rs 160 bn
Dr Reddy’s Lab has received USFDA's final approval and has launched buprenorphine and naloxone sublingual film in US market.
ICICI Bank has filed a case against Punj Lloyd in NCLT, New Delhi for insolvency and bankruptcy proceedings for recovery of
outstanding dues of Rs852 crore but was opposed by State Bank of India
Taiwan co, Adani may join hands to set up INR400 bn petrochemical project
International News
The Federal Reserve raised its key interest rate by a quarter point to 2%, as expected.
Industrial production in China was up 6.8 percent on year in May. That was shy of expectations for 7.0 percent,
Trump-Kim summit marked the de-nuclearisation of the Korean peninsula
The European Central Bank plans to start exiting its massive quantitative easing by the end of this year, despite strong headwinds
clouding the outlook for the single currency economy
Source:
Reuters, NSDL, FIMMDA, CARE,RBI, MCX SX, BSE, NSE, Bloomberg, Business Standard, Economic Times
Abbreviations:
FII (Foreign Institution Investors), PMI Purchasing Manager index WPI (Wholesale Price Index), P/E (Price/Earnings ratio), CP (Commercial Papers), G-
sec (Government Securities), MTD – Month to Date, YTD – Year to Date
Disclaimer
The information and views presented here are prepared by Karvy Private Wealth (a division of Karvy Stock Broking Limited) or other Karvy Group companies.
The information contained herein is based upon sources that we consider reliable. We, however, do not vouch for the accuracy or the completeness thereof. This
material is for personal information and we are not responsible for any loss incurred based upon it. Karvy Private Wealth is only a distributor of securities and
financial market products
Investment in securities market are subject to market risks, read all the related documents carefully before investing. The investments discussed or
recommended here may not be suitable for all investors. Investors must make their own investment decisions based on their specific investment objectives and
financial position and using such independent advice, as they believe necessary. The securities quoted are exemplary and are not recommendatory While acting
upon any information or analysis mentioned here, investors may please note that neither Karvy nor any person connected with any associated companies of
Karvy accepts any liability arising from the use of this information and views mentioned here.
The author, directors and other employees of Karvy and its affiliates may hold long or short positions in the above-mentioned companies from time to time.
Every employee of Karvy and its associated companies are required to disclose their individual stock holdings and details of trades, if any, that they undertake.
The team rendering corporate analysis and investment recommendations are restricted in purchasing/selling of shares or other securities till such a time this
recommendation has either been displayed or has been forwarded to clients of Karvy. All employees are further restricted to place orders only through Karvy
Stock Broking Ltd
Representations made about the performance or activities are not indicative of future results. The information given in this video on tax is for guidance only,
and should not be construed as tax advice. Investors are advised to consult their respective tax advisers to understand the specific tax incidence applicable to
them. We also expect significant changes in the tax laws once the new Direct Tax Code is in force – this could change the applicability and incidence of tax on
investments
Karvy Private Wealth (A division of Karvy Stock Broking Limited) operates from within India and is subject to Indian regulations.
Karvy Stock Broking Ltd. is a SEBI registered stock broker, depository participant having its offices at:
702, Hallmark Business plaza, Sant Dnyaneshwar Marg, Bandra (East), off Bandra Kurla Complex, Mumbai 400 051 .
(Registered office Address: KARVY CENTRE, 8-2-609/K, AVENUE 4, STREET NO.1, BANJARA HILLS, HYDERABAD-500034)
SEBI registration No’s:”NSE(CM):INB230770138, NSE(F&O): INF230770138, BSE: INB010770130, BSE(F&O): INF010770131,NCDEX(00236,
NSE(CDS):INE230770138, MSEI: Registration number INE 260770138NSDL and CDSL – SEBI Registration No: IN-DP-175-2015PMS Registration No.:
INP000001512,
Commodities and Currency
Date USD /INR GBP /INR EURO /INR YEN/INR
Crude Gold
(USD/ BBL) (USD/ozt)
08-Jun-18 67.51 90.45 79.28 0.620 76.46 1298.17
11-Jun-18 67.43 90.02 79.46 0.613 76.46 1300.49
12-Jun-18 67.49 90.32 79.51 0.612 75.88 1295.97
13-Jun-18 67.64 90.16 79.52 0.612 76.74 1299.31
14-Jun-18 67.63 90.80 79.97 0.615 75.94 1302.25
15-Jun-18 68.02 90.34 78.84 0.615 73.44 1278.94
Change 0.75% -0.12% -0.56% -0.71% -3.95% -1.48%