KEY ECONOMIC INDICATORS
WORLD ECONOMIC INDICATORS
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Stocks
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Change
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|---|---|
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š®š³ Nifty 50
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+ 0.59%
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š®š³ Sensex
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+ 0.42%
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š®š³ India VIX
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+ 1.3%
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šŗšø S&P 500
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- 0.05%
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šŗšø Nasdaq
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- 0.27%
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šŗšø Dow Jones
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- 0.14%
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šŖšŗ Euro Stoxx
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+ 1.17%
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šØš³ China A50
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- 0.21%
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šØš³ DJ Shanghai
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+ 0.22%
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š¬š§ FTSE 100
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+ 0.74%
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šÆšµ Nikkei 225
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+ 0.32%
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š®š© IDX Composite
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+ 1.17%
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šøš¦ Tadawul All Share
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+ 0.32%
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TOP GAINERS ON THE INDIAN STOCK MARKET
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Stocks
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Change
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|---|---|
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State Bank of India
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+ 1.64%
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Bajaj Finserv
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+ 1.47%
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Bharti Airtel
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+ 1.46%
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Tata Motors
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+ 1.43%
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IndusInd Bank
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+ 1.41%
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TOP LOSERS ON INDIAN STOCK MARKET
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Stocks
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Change
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|---|---|
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HCL Technologies
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- 1.87%
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Wipro
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- 1.54%
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Nestle India
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- 1.38%
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Infosys
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- 1.21%
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Hindustan Unilever
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- 1.15%
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NEWS
Zee Media Stock Rides High on Redemption News
Zee Media had the spotlight shining on it Thursday, with shares climbing over 2% in intra-day trade to hit ā¹18.74 on the BSE. Whatās fueling the buzz? The company just announced the full redemption of Non-Convertible Debentures (NCDs) worth a hefty ā¹230 crore. A move like this doesnāt just clear financial obligationsāit signals confidence and stability, two things investors crave. The announcement, made post-market hours on January 15, confirmed the payment had been completed in full. Zee Media clarified that these were unrated, unlisted, secured, redeemable NCDs, each bearing a face value of ā¹10 lakh. With all ā¹230 crore squared away, the company sent a clear message: itās got its financial house in order. But the story doesnāt stop there. Earlier in the week, Zee Mediaās board gave the green light to explore raising up to ā¹400 crore. The strategy? Keep all options on the tableāequity shares, convertible bonds, preference shares, FCCBs, you name it. The idea is to keep the structure flexible, whether through private placements, QIPs, or a mix of approaches. Adding another twist, the board also approved a proposal to increase the shareholding limit for Foreign Portfolio Investors and Foreign Institutional Investors from 24% to 49%, pending shareholder approval. If greenlit, this move could significantly widen Zee Media’s pool of potential investors. With its financial cleanup act and ambitious fundraising plans, Zee Media seems to be laying the groundwork for an aggressive next chapter. Investors appear to be taking note, and if the momentum holds, this could be a stock to watch closely.
Gensol Engineering Surges on EV Deal Buzz
Gensol Engineering caught investorsā attention on Thursday morning, with shares surging over 7% in early trade. The spark? A headline-grabbing tie-up with Refex Green Mobility that signals a big leap in the electric vehicle space. The stock opened strong at ā¹750.05, already up 2.8% from the previous close of ā¹729.70, and quickly gained momentum to hit an intraday high of ā¹782.20. Clearly, the market liked what it heard: Refex Green Mobility is stepping in to take over Gensol’s fleet of 2,997 electric four-wheelers (e4Ws) in a strategic deal that could reshape the EV landscape. Hereās the breakdown: Refex will absorb Gensolās loan facility of ā¹315 crore, streamline operations, and expand e4W deployments in major markets like Chennai, Bengaluru, Hyderabad, Mumbai, and Pune, where it already has a solid presence. As part of the arrangement, the vehicles will be leased to Blu-Smart Mobility, a key player in electric mobility operating in Delhi NCR and Bengaluru. For Gensol, this isnāt just about shedding assets; itās about sharpening focus while strengthening Indiaās shift toward sustainable mobility. Refex, meanwhile, sees this as a stepping stone in its push to scale cleaner transportation solutions, complementing its existing fleet of over 1,000 electric cars. Of course, thereās a caveatāthe transaction hinges on regulatory and financial stakeholder approvals. But if all goes smoothly, this deal could mark a turning point, not just for Gensol and Refex, but for Indiaās broader EV ecosystem. Investors seem to think so too, and with momentum like this, Gensolās stock might just keep charging ahead.
HDFC Life Rises After Q3 Numbers Beat Expectations
HDFC Life had the market buzzing on Thursday morning, with shares rocketing 9.6% to touch a six-week high of ā¹651. The catalyst? A blockbuster Q3 performance that left analysts reaffirming their bullish stance. The insurance giant reported a 15% jump in consolidated net profit for the December quarter, clocking in at ā¹421.31 crore compared to ā¹367.54 crore last year. Net premium income also rose by 10%, hitting ā¹16,832 crore, while individual annual premium equivalent (APE) soared by an impressive 24%. Assets under management surged 18% year-over-year to ā¹3.3 lakh crore, and persistency ratios saw solid gains, with the 13th-month ratio reaching 87%. It wasnāt just the numbers that caught the eye. HDFC Life showcased a well-diversified product mix, with unit-linked policies making up 37%, non-par savings 35%, and protection products 6% of individual APE. Plus, its solvency ratio stood strong at 188%, comfortably clearing regulatory requirements. Analysts across the board seem upbeat but cautious. CLSA kept its ‘Outperform’ rating, albeit with a slightly lowered target of ā¹690, citing regulatory uncertainty and softer premium growth. Jefferies, meanwhile, stuck to a ā¹750 target, praising the product mix but highlighting the need for clarity on banca norms. Investec and HSBC both pointed to margin surprises, maintaining buy calls with targets of ā¹850 and ā¹750, respectively. They see the margins stabilizing, bolstered by credit protection sales and potential rate cuts. On the other hand, Macquarie took a more tempered stance with a ā¹570 target, flagging muted VNB growth despite expecting HDFC Life to hit its full-year guidance. While regulatory challenges and slower premium growth might cast a shadow, thereās no denying that HDFC Lifeās solid fundamentals and diversified approach are keeping it firmly in the game. For now, the stock looks poised to ride this wave of optimism.
Kalyan Jewellers Faces Derivatives Ban Amid Stock Slump
Kalyan Jewellers finds itself in a tight spot as stock exchanges slapped a ban on fresh trading of its futures and options (F&O) contracts. The trigger? Open interest (OI) on these derivatives hit a staggering 95% of the marketwide position limit, as traders scrambled to manage their positions. This isnāt just about numbers, though. Kalyanās market cap has taken a nosedive, losing a third of its value since January. From a record high of ā¹795.4, the stock is now trading at ā¹539āa massive 32% drop. Even as the management held an hour-long call to dispel rumors of pledges, tax raids, or, bizarrely, a private jet purchase, the stock couldnāt shake off the bearish sentiment, tumbling further by nearly 3% on Thursday. Whatās the escape plan for this F&O ban? Traders need to unwind enough positions to bring OI below 80% of the marketwide limit. Until then, itās a no-entry zone for new trades, with only existing positions allowed to be squared off. Analyst sentiment offers a mixed bag of hope and caution. Bloombergās consensus sets a 12-month target of ā¹763.14, with multiple ābuyā and āaddā ratings still on the table. Citi and Motilal Oswal remain optimistic, projecting price targets of ā¹810 and ā¹875, respectively. Meanwhile, Ventura Securities sticks to a lone āsellā call, foreseeing ā¹692 per share. Despite the turbulence, Kalyan Jewellers remains a heavyweight, standing as Indiaās second-largest listed jewellery maker behind Titan. With a history tracing back to 1993, 303 stores under its belt (including 36 in the Middle East), and ā¹6,065.5 crore in September quarter revenue, the companyās fundamentals still shine. But whether the market believes in the same sparkle is the million-dollarāor rather, ā¹55,486 croreāquestion.
SBI on a Roll as Investors Eye Upcoming Quarterly Results
State Bank of India (SBI) shares climbed close to 2% in Thursday’s trading session, riding the wave of anticipation after the bank announced the date for unveiling its December quarter results. Mark February 6, 2025, on your calendars, as the Central Board convenes in Mumbai to reveal the numbers for Q3FY25. Investors are clearly optimistic, with the stock gaining for the third straight session and clocking a 2.15% rally over five days. Over the past year, SBI has been a star performer, delivering a 22.28% gain and handily outpacing the Nifty’s 8.08% rise and Nifty Bank’s 7.12% uptick. The bullish sentiment is grounded in solid fundamentals. In Q2FY25, SBI blew past expectations with a 27.92% year-on-year jump in net profit, hitting ā¹18,331 crore. This was powered by a surge in non-interest income, including treasury and forex gains. For FY24, the bank’s operating profit soared to ā¹93,797 crore, while its net profit stood at ā¹61,076 crore. That ā¹1 trillion net profit milestone? Still in the works, but the trajectory looks promising. On the lending side, net interest income (NII) edged up 5.37% year-on-year to ā¹41,620 crore, though the quarter-on-quarter growth was a modest 1.2%. Deposit costs for domestic operations ticked up to 5.03% in Q2FY25, while the yield on advances held steady at 8.87%, reflecting a tight but manageable margin game. As the countdown to February 6 begins, SBIās recent performance has already set the stage for high expectations. Whether the numbers can deliver another surprise remains to be seen, but for now, investors seem happy to keep the rally going.
Infosys ADR Takes a Hit Despite Revenue Growth Outlook
Infosys’ American Depositary Receipts (ADR) took a sharp 6% nosedive on the NYSE, closing at $21.515 after the tech giant unveiled its Q3FY25 results. The irony? This steep drop came even as Infosys raised its full-year revenue growth guidance for the third time, now projecting a 4.5-5% increase for FY25. On the surface, the numbers look solid. Net profit for the October-December quarter grew by 11.4% year-on-year, reaching ā¹6,806 crore, while revenue rose 7.6% to ā¹41,764 crore. In constant currency terms, revenue showed a 6.1% year-on-year rise, though it slipped 1.7% sequentially. Large deal bookings also remained robust at $2.5 billion for the quarter, slightly up from $2.4 billion in the previous quarter. Infosys CEO Sahil Parekh highlighted the companyās focus on enterprise AI, particularly generative AI, as a key growth driver. āBroad-based growth across segments and strong large deal wins reflect our differentiated digital offerings and strategic focus,ā Parekh remarked. Despite this, the ADR slide suggests investors might be wary of softer sequential growth and declining large deal volumes compared to the same quarter last year ($3.2 billion). While demand from U.S. clients supported growth in all eight business segments, Infosys’ flagship financial services division posted a modest 6.1% revenue rise. The company also added 5,591 employees during the quarter, bringing its workforce to a staggering 3,23,379. Back home, Infosys shares closed at ā¹1,926.20 on the BSE, down 1.21% from the previous close. The mixed market response underscores the tension between strong long-term positioning and short-term investor skepticism, particularly on Wall Street. With Infosys doubling down on generative AI and enterprise solutions, the road ahead may still offer significant opportunitiesāif it can translate those into sustained revenue and margin growth.
LTTS Shares Soar on Record Deals and Promising Outlook
L&T Technology Services (LTTS) enjoyed a remarkable 9% stock rally on January 16, fueled by its Q3FY25 financial results and optimistic guidance. While net profit dropped 4.1% year-on-year to ā¹322.4 crore due to currency headwinds, investors were more focused on the company’s record-breaking deal wins and robust revenue growth. Revenue climbed 9.5% YoY to ā¹2,653 crore, with sequential growth of 3.1%, and dollar revenue rose 8.7% in constant currency terms to $312 million. CEO Amit Chadha credited the performance to strong momentum in Medtech, communications, hi-tech, and media verticals. He highlighted the Tech segmentās impressive 11% growth and reiterated LTTS’s ambitious target of achieving $2 billion in revenue by FY25, with EBIT margins in the 17ā18% range. Deal activity was the star of the show. LTTS secured eight large contracts, including a $50 million deal and multiple deals valued at $25ā35 million. Chadha emphasized the companyās growing pipeline, which now boasts multiple $50 million and $100 million opportunities. Operationally, the companyās EBITDA margin improved by 110 basis points sequentially, reaching 16.2%, excluding one-time M&A expenses. EBIT margins are also expected to accelerate in the latter half of FY25. The recent acquisition of Intelliswift is expected to further bolster growth, contributing to LTTSās 10% constant currency revenue growth target for the fiscal year. With shares surging to ā¹5,336.45 on Thursdayājust 11% shy of their August 2024 peak of ā¹5,990āthe stock has also rebounded 26% from its 52-week low of ā¹4,228. Despite shedding 9% over the past year, LTTS has already added over 11% in January alone, signaling renewed investor confidence after a challenging December. Bolstered by strong large-deal wins and a solid outlook, LTTS appears poised for a promising year ahead, with the momentum to push past previous highs.
Jioās Stellar Quarter Highlights 5G Dominance and AI Ambitions
HDFC Life Insurance has delivered a robust performance in Q3FY25, reporting a 15% year-on-year rise in consolidated net profit to ā¹421.31 crore, up from ā¹367.54 crore in the same period last year. The insurerās net premium income also climbed 10% to ā¹16,832 crore, compared to ā¹15,273 crore in Q3FY24, driven by an impressive 24% jump in individual annual premium equivalent (APE). On a sequential basis, however, profit after tax (PAT) dipped slightly by 3.2% from ā¹435.18 crore reported in the previous quarter. Net premium income, in contrast, saw a 13% quarter-on-quarter growth, reflecting solid underlying business momentum. Assets under management (AUM) surged 18% year-over-year to ā¹3.3 lakh crore, while persistency ratios improved markedly, with the 13th-month ratio at 87% and the 61st-month ratio at 61%. The solvency ratio remained healthy at 188%, comfortably above the regulatory benchmark of 150%. HDFC Life also highlighted its extensive distribution network, which includes over 240,000 agents, making it one of the top three private insurers by agency strength. The companyās bancassurance partnershipsāspanning 90 banksāalong with ties to NBFCs and digital ecosystems, further extend its market reach. With a diversified product portfolio, HDFC Lifeās offerings are well-balanced: unit-linked products comprise 37% of individual APE, non-par savings 35%, and protection products 6%. This strategic mix positions the insurer to cater to a broad spectrum of customer needs, sustaining its market leadership in the competitive private insurance sector.
OVERVIEW
Indian markets extended their winning streak for a third straight session on January 16, fueled by a mix of global and domestic catalysts. Softer-than-expected U.S. inflation data for December boosted hopes of an earlier-than-anticipated rate cut by the Federal Reserve. Adding to the optimism were robust earnings reports from major U.S. banks like JP Morgan and Citibank and news of a ceasefire agreement between Israel and Hamas. Domestically, a strong Q3 showing from HDFC Life Insurance energized the life insurance sector, while PSU banking stocks led the charge across broader indices.
The Nifty 50 gained 0.42%, closing at 23,311, and the Sensex mirrored the sentiment with a 0.42% rise to settle at 76,042. Midcap and small-cap stocks outshined the blue-chip indices, with the Nifty Smallcap 100 and Nifty Midcap 100 climbing 1.67% and 1.08%, respectively.
U.S. inflation figures showed a monthly increase of 2.9%, while core CPI came in lower than expected at 0.2%. These numbers lent support to riskier assets, even as some Fed officials voiced concerns about economic policy impacts.
Global markets also found encouragement in Chinaās stronger-than-expected growth data, driving gains in European indices like Germanyās DAX (+1.1%) and Franceās CAC 40 (+1%). Meanwhile, oil prices posted their fourth consecutive weekly gain, with Brent crude rising 0.3% to $81.50 per barrel amid continued U.S. sanctions on Russian crude trade.
In precious metals, gold prices in India edged higher, with 24-carat gold at ā¹8,025.3 per gram and silver reaching ā¹96,700 per kilogram, marking notable gains on the day.
With both global and domestic factors aligning positively, the market sentiment remains bullish as investors eye the next moves from central banks and earnings reports in the coming weeks.