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GLOBAL MARKETS

* Major global markets end higher in Nov’22; India continues to outperform YTD’22

* Indian sectoral indices outperform the US counterparts by a wide margin

MARKETS

* Banks, Metals, Tech among top gainers; Autos and Healthcare – laggards in Nov’22

* Among Nifty constituents, 36 close higher in Nov’22. Around 50% of Nifty constituents outperform the benchmark

* On CY22YTD basis, 64% of Nifty constituents trading higher

FLOWS AND VOLUMES

* FIIs continue to be net buyers for the second consecutive month in Nov’22 at USD4.7b after an inflow of USD1b in Oct’22

* DIIs turn sellers of USD0.8b in Nov’22

* Average daily cash volumes accelerate in Nov’22 at INR616b – up 17% MoM and 30% below its Oct’21 high

MACROS

* Real GDP/GVA rise 6.3%/5.6% YoY in 2QFY23, in line with consensus

* Central government spending grows at a 19- month high of 59.5% YoY to INR3.2t

* The 10-year yield spread between India and the US at the lowest since Jun’09

EARNINGS

* Corporate earnings for 2QFY23 above MOFSL expectations, driven by continued strong performance of Financials and lesser-thanestimated losses in OMCs.

* Earnings growth of the MOFSL Universe declines 5% YoY while for Nifty, it stands at 9% YoY (v/s expectations of flattish earnings)

VALUATIONS

* Nifty’s 12-month forward P/E, of 19.9x, at an 8% premium to its LPA of 18.5x

* The 12-month trailing P/E for the Nifty stands at 23.4x, 17% higher than its LPA

* Market capitalization-to-GDP ratio near its FY22 highs

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