NDPMS Wealth Management

Nik's Diary The Indian market opened flat with a negative bias, mirroring SGX Nifty which is trading marginally lower in the opening trade. Major Asian indices - Hang Seng and Shanghai are flat, while Nikkei is trading lower by 1.3%. Meanwhile in the US, key benchmark indices ended lower on Thursday, although they staged a strong recovery from the lows of the day. The weakness in US markets was partly due to uncertainty about the financial situation in Europe following comments by European Central Bank President Mario Draghi. Major European indices such as FTSE 100 and CAC 40 too ended the day lower by 1.06% and 1.15% respectively. The Indian markets continued to slide due to macro-economic concerns, with the Central Statistics Office (CSO) projecting India’s growth rate for 2012-13 to be at a decade low of 5% (vs 6.2% in 2011-12). The CSO’s estimates are much lower than even the RBI’s estimates of 5.5%.   Govt. Pegs real GDP for FY3013 at 5.0% Belying hopes of recove...

Nik's Diary The Indian market opened flat with a negative bias, mirroring SGX Nifty which is trading lower by ~0.2%. Major Asian indices such as Hang Seng, Shanghai and Nikkei are trading in the negative zone losing 0.4%-1%. US markets closed flat on Wednesday as uncertainty about the financial situation in Europe kept traders on the sidelines ahead of monetary policy announcement from the European Central Bank on Thursday. European markets posted a mix performance with CAC 40 and DAX losing 1.4% and 1.1% respectively, while FTSE 100 and Swiss market posting gains of 0.2% and 0.4% respectively. Meanwhile Indian markets closed flat on Wednesday. The markets keenly await the batch of economic data relating to EXIM, IIP and Inflation expected to be released next week. NTPC Offer for Sale at floor price of Rs.145 The government has set a floor price of R145 per share to sell 9.5% of its holding in NTPC, a discount of 4.79% to the current market price. The offer for sale (O...

Nik's Diary The Indian market opened in the green today, mirroring SGX Nifty which is trading higher by ~0.4%. Most of the Asian markets are trading in the positive zone with gains in the range of 0.2% to 3.0%. US markets staged a strong recovery on Tuesday after sliding on Monday’s trade. Stocks rebounded as traders saw the sharp pullback on Monday as a good buying opportunity. Markets were also buoyed by a private survey which showed that growth  in  China's  services  sector  hit  a  four-month  high  in  January. A  separate report from the Institute for Supply Management showed that activity in the US service sector continued to expand in the month of January. European markets too rose on Tuesday with key benchmark indices gaining 0.4%-1%.  Meanwhile India’s Key benchmark indices closed lower on Tuesday for the fourth consecutive session in a row. Going ahead, the market will keenly follow the statements by the govern...

Bharti Airtel For 3QFY2013, Bharti Airtel (Bharti)’s revenue as well as operating margins came in-line with our estimates, however its bottom-line disappointed because of higher interest charges, forex loss and higher tax. The company is now hopeful regarding its domestic operations as mobile operators have increased tariffs and cut freebies after a bruising three-year price war. Africa operations are expected to continue to weigh upon the company’s performance. The company’s board has elevated its international operations head Manoj Kohli to the post of managing director. On the domestic business front, despite the festival season, telecom operators did not resort to discounts and promotions to drive subscriber additions. Recently, telecom operators have reduced discounts and promotional vouchers, which would lead to improvement in realized tariffs and in turn average revenue per minute (ARPM). The company  has been consistently adding above 2.0mn s...

Automakers registered sluggish sales for January 2013 on continued weakness indomestic demand led by high interest rates, inflation and slowdown in economicactivity. The medium and heavy commercial vehicle (MHCV) segment continues to remain the most impacted with sales witnessing a significant decline. However, utility vehicles (UV) and light commercial vehicles (LCV) defied the general slowdown and sustained their growth momentum. Among auto majors, while Hero MotoCorp (HMCL) and Maruti Suzuki (MSIL) posted better-than-expected volumes; Tata Motors (TTMT) registered a sharply lower-than-expected performance. Going ahead, we expect the demand scenario to remain challenging in 4QFY2013 as slowdown in economic growth coupled with higher interest rates and fuel expenses continue to dampen consumer sentiments.  Tata Motors  registered a substantial decline of 29.5% yoy (6% mom) in its total volumes led by continued weakness in the passenger vehicle (PV, down 55.6% yoy)...

Nik's Diary The Indian market opened in the red today, mirroring SGX Nifty which is trading lower by ~0.4%. Most of the Asian markets are trading in the negative zone with losses in the range of 0.1% to 1.6%.  US markets fell on Monday as traders booked profit post the impressive rally over the past few weeks. Dow Jones had closed above 14,000 for the first time since October 2007. Uncertainty about the political situation in Europe also weighed on stocks after opposition leaders called on Spanish Prime Minister Mariano Rajoy to resign amid allegations of corruption. European markets too fell on Monday due to concerns about the political situation in Spain and Italy. India’s Key benchmark indices closed lower on Monday for the third consecutive session in a row. The markets reversed intra-day gains in late trade as European stocks fell. Nestle acquires minority stake in Indocon Agro and Allied Activities Private Limited  FMCG major  Nestle India  on Mo...

Ashok Leyland Ashok Leyland (AL) reported in-line volumes in January 2013 as  Dost sales recovered after an unexpected fall in December 2012. The Dost volumes surged 79.2% sequentially to 3,698 units. The medium and heavy commercial vehicle (MHCV) segment however, continued its downward momentum and witnessed a significant decline of 25.4% yoy. Nonetheless, on a sequential basis, MHCV volumes grew by 31.2%.   Source: Angel Broking Tata Motors Tata Motors (TTMT) reported lower-than-expected  sales for January 2013 with total volumes registering a decline of 29.5% yoy (-6% mom) to 61,660 units led by sharp decline of 28.1% yoy (-6.4% mom) in domestic sales. Light commercial vehicle sales continued momentum posting a strong growth of 14.7% yoy (down 9.2% mom). However, MHCV sales witnessed a considerable decline of 53.6% yoy leading to a 11.8% yoy (9.8% mom) decline in commercial vehicle sales. The MHCV segment continues to be impacted by the slowdown in industr...

Nik's Diary The Indian market is expected to open flat today with a positive bias, mirroring SGX Nifty which is trading marginally in the grain. Most of the Asian markets are trading in the positive zone with gains in the range of 0.3% to 1.3%.  US markets rose higher on Friday buoyed by expectations of a mild recovery in the economy and hopes that the Federal Reserve would continue with loose monetary policy to support the growth. European  markets too rose on Friday, tracking positive news from US and improvement in PMI for non manufacturing sector reported by China for January. Key benchmark indices in India dropped in choppy trade after the results of a private survey showed that manufacturing output expanded at its slowest pace in three months in January 2013 as new orders grew at a weak pace and as power outages continued to hurt industrial activity. Sensex and Nifty sliding to the three week closing low. Cigarette packs may show nicotine levels In what...