Young demographics offers comfort for long-term consumption - Kotak Sec

He has both aptitude and attitude issues.

We see certain innate challenges to India’s demographics story given ‘issues’ with both skillsets and mindsets of India’s youth. We note that public discussions have largely focused on low education levels and skills of India’s young population but a bigger issue may be the mindse

27/04/2017 4:27:33 PM | Posted in Special Event Reports read full news
State budgets: Walking the tight rope - Kotak Sec

State budgets: Walking the tight rope.

Aggregate states’ GFD/GDP at 2.6% in FY2018 indicates consolidation from the FY2017RE levels. But we are cautious on states achieving this as few states seem poised for some slippages. Further, GST implementation could have its own set of challenges on the revenue front. Though most of the UDAY-related expen

25/04/2017 5:43:08 PM | Posted in Special Event Reports read full news
NSE IPO: The most eagerly awaited show after 'Baahubali-2'

While movie lovers are hotly debating as to why Kattappa killed Baahubali, stock market investors appear to be eagerly looking forward to the big ticket Rs 10,000 crore-plus IPO of the National Stock Exchange (NSE).

"An IPO launch is typically much akin to the making of a Bollywood movie, involving story, script, drama, distribution and pre-launch build up," said Arun Kejriw

Tightening the screws - Kotak Sec

Tightening the screws.

The RBI announced (1) additional disclosure requirements for banks that fail to adhere to prudential norms, thus putting the onus on banks to tighten their NPL recognition and provisioning norms and (2) requirement for boards of Indian banks to proactively assess risks across sectors and make provisions above the minimum regulato

21/04/2017 12:31:34 PM | Posted in Special Event Reports read full news
Near-normal monsoon on the cards - Kotak Sec

Near-normal monsoon on the cards.

The IMD forecasts the June-September monsoon at 96% of LPA, which qualifies as ‘normal’ southwest monsoons. The IMD noted that weak El Niño conditions could likely develop in the latter half of the season. We believe it is premature to conclude on effects on growth and prices. But after a normal mons

21/04/2017 12:24:33 PM | Posted in Special Event Reports read full news
Small need not be beautiful - Kotak Sec

Small need not be beautiful.

The sharp rally in stock prices, especially of mid-cap. and small-cap. names without any significant changes in underlying fundamentals, makes us uncomfortable about the nature of the rally. It is perhaps easier to believe the narratives around ‘undiscovered’ stocks rather than well-researched large-cap. names.

21/04/2017 12:16:59 PM | Posted in Special Event Reports read full news
FRBM report: Nub lies in implementation - Kotak Sec

FRBM report: Nub lies in implementation.

Targets fixed by the FRBM report seem achievable for the central government. The escape clause with a cap on slippages is also commendable. We believe that the report’s recommendation of setting up a Fiscal Council which will monitor the government’s fiscal health is crucial for long term setting of

19/04/2017 3:25:18 PM | Posted in Special Event Reports read full news
The Mallya saga up to his arrest in London

Known for his flamboyant lifestyle, liquor baron Vijay Mallya has been one of the most wanted fugitives in India -- accused of defrauding at least 17 banks of over Rs 9,000 crore and siphoning off the money to his children.

The saga, which has been going on for years now, started in November 2015 when the State Bank of India (SBI) tagged Mallya a "wilful defaulter", for

Liquidity surplus remained intact last week - Kotak Sec

* Liquidity surplus remained intact last week.

The weekly average surplus remained intact at ~Rs 4.4 tn for the week ending Apr 15 as against Rs 4.3tn the week prior ending Apr 7. Our calculations suggest that government’s surplus with RBI currently is likely to have reduced by ~400bn to around Rs 550bn, compared to ~Rs 950 bn in the previous we

18/04/2017 5:45:36 PM | Posted in Special Event Reports read full news
What Dolly Kumari learnt and how it could change India`s textiles industry

In 2014, Dolly Kumari, an outspoken 12th class passout, left her home in Jharkhand, journeying about 2,000 km south to a new job as a tailor at a garment factory in Bengaluru. Like most workers in this sector, when she first came, she did not think of staying beyond a few months. Today, over two years later, at 21, Kumari is one of two assistant line supervisors on the factory floor of Shahi Ex

18/04/2017 11:54:03 AM | Posted in Special Event Reports read full news
February IIP slumps, March CPI steady - Note ban hits IIP, stable food prices rein in CPI - RCML

Note ban hits IIP, stable food prices rein in CPI

In a negative surprise, IIP dropped 1.2% YoY in Feb’17 (cons: +1.8%), as manufacturing output tanked 2%. The demonetisationled cash crunch has clearly taken a toll on demand, as reflected in the 1.4%/5.4% dip in manufacturing/consumer non-durable output during the last three months. CPI held stead

14/04/2017 11:42:07 AM | Posted in Special Event Reports read full news
Strategy - The bogus argument of `liquidity` - Kotak Sec

The bogus argument of ‘liquidity’.

We dismiss the oft-repeated argument about ‘liquidity’ as a key driver of the market as completely spurious, which has no relevance for market returns. As an extreme example, we note that any unexpected positive or negative event can lead to the ‘market’ being marked up or down sign

14/04/2017 11:28:41 AM | Posted in Special Event Reports read full news
IIP and CPI Review - IIP declines on domestic woes even as inflation rises - Emkay

IIP declines on domestic woes even as inflation rises

Feb’17 IIP declined by 1.2% YoY, lower than our expectation of -0.2% and consensus expectation of 1.3% growth. Despite sharp improvement in India’s exports (average 7.9% in Sep-Feb’17) and high government revenue spending of 15% during the same period, manufacturing index has decli

14/04/2017 9:29:33 AM | Posted in Special Event Reports read full news
World Bank forecasts China growth rate of 6.5%

The World Bank on Thursday said it estimates a 6.5 percent growth rate for China in 2017, and a moderate slowdown over the next two years amid changes in the country's economic model.

During the presentation of the report "East Asia Pacific Economic Update", World Bank's chief economist for the region, Sudhir Shetty, said Beijing will address the significant ris

13/04/2017 2:33:01 PM | Posted in Special Event Reports read full news
Q4FY2017 results preview - Anemic results expected in Q4FY2017; hopes pinned on a strong revival in FY2018 - Sharekhan

Headwinds persist; hopes of reforms and potential revival in earnings growth buoy market sentiments:

FY2017 has drawn to a close, but certain nagging unresolved macro issues like large NPAs, after-effects of demonetisation and stillborn private capex still hover over the horizon. Our channel checks indicate that the inclination for capex on the part of

13/04/2017 2:26:09 PM | Posted in Special Event Reports read full news
Caught off guard on FPI flows - Kotak Sec

INR: Appreciate, for now, but be cautious.

The recent INR strength has been due to a confluence of favorable domestic and global conditions. While the appreciation is likely to continue in the short term, we need to be cautious on the medium term. Tightening global financial conditions, political and policy uncertainties and geopolitical risks would c

13/04/2017 11:56:28 AM | Posted in Special Event Reports read full news
Drop in price of pulses reveals flaws in agriculture policy

A good monsoon that led to record sowing and production of pulses -- especially tur dal (pigeon pea) -- has almost halved their wholesale and retail prices in 2017, a year after dal prices skyrocketed to Rs 200 per kg in some cities at the end of 2015.

In many state-regulated agricultural markets of major tur-producing states such as Maharashtra and Karnataka, prices have fallen to Rs

RBI maintains status quo with mild hawkish tone - Emkay

RBI maintains status quo with mild hawkish tone

RBI maintains status quo on policy rates, in line with its neutral stance adopted in the previous policy. In our view, the policy statement is mildly hawkish with RBI expecting inflation to move up gradually to an average of 5.0% in H2FY18. Risks to inflation outlook is on the upside due to host of domest

7/04/2017 5:27:02 PM | Posted in Special Event Reports read full news
Lower country risk premium to keep valuations elevated - ICICI Sec

Lower country risk premium to keep valuations elevated

Indian equity valuations are above average as earning outlook remains optimistic…:

On a forward P/E basis, Nifty50 is trading marginally above + 0.5 s.d. of long term average. There is a justified optimism around Nifty50 earnings (I-Sec EPS growth is ~ 17% for the

6/04/2017 1:41:40 PM | Posted in Special Event Reports read full news
55% Americans approve of Obamacare now: Poll

Former US President Barack Obama's Affordable Care Act is more popular now than it was on Election Day, despite President Trump and the GOP's efforts to dismantle it, a poll said.

Nearly 55 per cent of Americans now support Obamacare or the Affordable Care Act, up from 42 per cent in November, a new Gallup Poll found. This is the first time that a majority of Americans have ap

6/04/2017 10:53:07 AM | Posted in Special Event Reports read full news
Rs 2 lakh cash transaction limit not applicable on bank withdrawals: I-T

The Income Tax Department on Wednesday clarified that the Rs 2 lakh cash transaction limit, as announced in the Finance Bill, 2017, will not be applicable on withdrawals from bank, cooperative bank or a post office savings account.

"Restriction on cash transaction shall not apply to withdrawal of cash from a bank/co-operative bank or a post office savings bank," the departme

China`s announcement of new economic zone boosts met - Angel Broking

Below is the views on China’s announcement of new economic zone boosts met By Ms. Kaynat Chainwala (Research Analyst- Base Metals, Angel Commodities Broking)

“The entire base metals pack, got a shot in the arm as the Chinese government announced last Saturday that it would create the Xiongan area in Hebei province modeled in

5/04/2017 5:23:33 PM | Posted in Special Event Reports read full news
Technology 4QFY17 preview: Can growth recover next fiscal - Motilal Oswal

Technology 4QFY17 preview: Can growth recover next fiscal?

Amid some H-1B reprieve and BFSI hopes, INR appreciates

*  The usual seasonality of the fourth quarter, compounded with

(a) sporadic citation of concerns around budget and decision-making delays, and

(b) problems in some key accounts, keeps u

5/04/2017 5:04:15 PM | Posted in Special Event Reports read full news
2Ws recover gradually Pre buying impact on CV not significant - Emkay

In March 17, most OEMs including Royal Enfield, Ashok Leyland and M&M (FES) reported better than expected numbers while Tata Motors CV and M&M PV posted a muted performance. We believe the impact of demonetization on 2Ws is gradually subsiding with MoM improvement in sales. Growth in 4W segment for the month was resilient and players like Maruti Suzuki/TAMO/VW reported strong volumes bu

5/04/2017 3:34:48 PM | Posted in Special Event Reports read full news