Insight Online News
From Advisory Desk : Vikash Sahay
3rd April 2023 : Market Outlook: US futures were trading flat to negative following a surprise move by OPEC+ countries, which pushed Brent crude oil prices above $85. Despite the recovery in prices from 15-month lows, OPEC+ countries announced over the weekend an oil production cut exceeding 1.5 million barrels per day, which will curtail supply from May. Asian markets have started on a positive note with SGX Nifty indicating a flat opening. On the domestic front, GST collections remained strong at Rs.1.61 lakh cr in March, signifying robust economic growth. In the past two sessions, we have witnessed a strong broader participation in our markets, which is a positive sign. As we approach the truncated trading week and the RBI policy decision on April 6th, we anticipate a slight uptick in volatility. We expect that the next rate hike by the RBI should be the last before a pause in further rate increases.
Actionable: Buy ICICI Bank, Trent, BEL.
DOW: + 415
SGX NIFTY: + 30 (prev.close 17418)
NIFTY 50 : 17359
Sensex : 58991
FII: + 358 Cr
DII: + 2480 Cr
Advances: 2382 / Declines: 1189
Dollar: $ 82.16
Dollar Index: 102.80
Gold: $ 1978 per ounce
Crude: $ 83.90 per barrel
10 year US bond rate: 3.50
10 year Indian Bond rate: 7.32
Godrej Properties – Company has acquired a 4-acre land parcel near Koregaon Park, Pune, where it plans to build a luxury group housing project with a revenue potential of ₹1,000 crore.
BHEL – The company has been awarded a Letter of Intent (LOI) worth Rs.3,700 crore for the supply of critical and strategic equipment to the defence sector, with a delivery timeline of 12 years.
NCC – March Update – Company has five new orders worth Rs.1,919 crore for the month of March from the Central and state governments.
Rail Vikas Nigam Ltd – Tracks & Towers Infratech and RVNL consortium was awarded the construction of the six-lane greenfield Varanasi-Ranchi-Kolkata highway for Rs.1,271.99 crore, RVNL also received the elevated Kona Expressway project for Rs.720.67 crore, as well as the Ministry of Railways’ letter of award for the manufacturing and maintenance of 120 Vande Bharat trainsets at a cost of Rs.120 crore per train set.
Karur Vysya Bank – Q3 Business Update – Total deposits increased 12% YoY to Rs.76,637 crore. CASA increased 6.5% YoY to Rs.25,449 crore.
PNC Infratech – The company has received Letters of Award for three projects worth Rs.3,264.43 crore from National Highways Authority of India (NHAI) as 6-lane Greenfield Varanasi – Ranchi – Kolkata highway construction in Bihar on Hybrid Annuity Mode.
Power Sector – Electricity in Maharashtra will get expensive as the Maharashtra Electricity Regulatory Commission (MERC) has permitted power distribution companies, including BEST, Tata Power, MSEDCL, and Adani, to raise the power tariff. Tata Power – 11.9% increase in 2023-24, 12.2% in 2024-25 and Adani 2.2% increase in 2023-24, 2.1% in 2024-25.
CSB Bank – Q4 Business Update – The Bank witnessed 21% YoY growth in deposits at Rs.24505.8 cr while advances up significant to Rs.20841.7 cr – 30.3% YoY with gold loans being the primary contributor, up 47.7% and accounting for 46.5% of the company’s share while the CASA ratio remained stable at 32.18%.
Karnataka Bank – Q4 Business Update – Total Deposits up 8.7% YoY at Rs.87,362.6 cr. Gross advances up 6.2% YoY at Rs.61,326.4 cr. CASA up 8.7% YoY at Rs.28,807 cr.
Securities in Ban: NIL.
Derivative View: On option front, weekly Maximum Call OI is at 17000 then 17500 strike while Maximum Put OI is at 17000 then 17200 strike. Option data suggests an immediate trading range in between 17100 to 17550 zones.