Weekly Capsule

weekly cap 1 Weekly Capsule

Trigger for the Week

How will it impact?

  • SC verdict on EMI moratorium on October 05 will be key for banks
  • While waiver of interest on interest looks likely, banks will gain if government foots the bill of Rs.7000 crore
  • Higher fiscal deficit at 109% in 5 months will be a challenge
  • It could imply further pressure on bond yields and debt costs; negative for banks and for credit growth
  • IPO listing of Angel and IPO closure of Likhitha to be watched
  • While Angel IPO will list on 05 Oct, the Likhitha IPO will close late on 07 Oct; impacting IPO sentiments
  • US and India stimulus package details will be closely observed
  • While the US expects $2.4 trillion, India is expecting a fiscal stimulus of 2% of GDP during the week
  • Current account surplus at $19.8 bn to be positive for the Indian Rupee
  • The surplus promises strength in the INR this week and that could favour sentiments for FPI inflows into India
  • IT sector to gain from H1-B rule and TCS results will be watched
  • While the H1-B is at best a sentimental positive, TCS results on 07 Oct will set the tone for IT sector in Q2
  • PMI manufacturing at 56 shows good momentum in output
  • That should benefit the capital goods space and promises that GDP contraction may be less severe
  • Trump illness adds to the global uncertainty across markets
  • As US elections loom, this uncertainty could sharply benefit gold at the cost of US dollar strength
  • Auto number for four-wheelers shows good bounce in Sep-20
  • Auto stocks did better in Sep-20 but dealer sales, more than factory dispatches, will be the key in festive season
  • As usual RIL will again be in the lime light on fund raising hopes
  • In 2 weeks, RIL has monetized Reliance Retail to the tune of Rs.32,200 crore and could drive the stock higher
  • Markets may display range bound action till Bihar Elections
  • Being the first major state election after COVID, markets may want to gauge the impact on economic policy
  • Reddy Labs could reflect pharma readiness for COVID vaccine
  • It would be positive for pharma if Reddy Labs is allowed to start Phase-3 trials of Russian Sputnik-V vaccine
  • Tata group to be watched for Mistry stake and digital monetization
  • Markets will specifically look for cues on whether Tatas can rope in Wal-Mart to buy stake in Tata Digital
  • Markets will look for global data triggers from US, EU and Japan
  • US PMI, CBETI, US Trade, US Redbook, FOMC Minutes, EU PMI, EU Retail Sales, JPN M3, China trade are key

Related Post

Add a Comment

Your email address will not be published.