Weekly Trading Diary: 2nd to 6th May 2022

Tradingqna · May 1, 2022, 12:12pm

A thread for discussing all your trades, strategies, ideas, news, stories, etc.

A look back at the market performance in the previous week:

Markets continued to remain volatile in the previous week, with both Sensex and Nifty ending up in losses for third successive week. Markets around world remained weak as well, US benchmarks being the worst hit.

Here’s how the sectoral indices fared in the week ended April 29:

Things to watch out for in the coming week

All eyes in the coming week will be on the LIC IPO. The much awaited IPO finally opens for subscription on 4th May and closes on 9th May.

	Period	Price Range	Minimum Bid Quantity
LIC	4th to 9th May	Rs. 902 - 949	15 and in multiples thereof

At Rs. 21,000 crore the LIC IPO is the largest ever in India:

You can check out more details on the LIC IPO here:

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Earnings to watch out for:

2nd May	3rd May	4th May	5th May	6th May	7th May
Alembic Pharmaceuticals	Adani Enterprises	ABB India	CEAT	Canara Bank	Navin Fluorine
Britannia Industries	Godrej Properties	Deepak Nitrite	Cholamandalam Investment Finance	Federal Bank
Castrol India	Hero MotoCorp	EIH Ltd.	Dabur	Tata Power
HDFC Ltd.	JSW Energy	Havells India	Exide Industries
IDBI Bank	Tata Steel	Kotak Mahindra Bank	Indus Towers
M&M Financial Services	Titan	OFSS	Marico
Mahindra Holiday and Resorts	Network 18	Tata Consumer Products	Procter & Gamble Health
Devyani International	TV18 Broadcast	Adani Green Energy	TVS Motors
		Adani Total Gas	Voltas
			Adani Transmission
			Happiest Minds
			CAMS

Key Macroeconomic events around the world:

Globally, focus will be on Fed interest rate decision, which is scheduled on Wednesday, 4th May.

	2nd May		3rd May		4th May		5th May		6th May
US	ISM Manufacturing PMI (APR)	Eurozone	Unemployment Rate	Eurozone	Services PMI (APR)	UK	BoE Interest Rate Decision	Japan	CPI Inflation (APR)
Eurozone	Manufacturing PMI (APR)	UK	Manufactuing PMI (APR)		Markit Composite PMI (APR)		Services PMI (APR)	US	Nonfarm Payrolls
				US	Fed Interest Rate Decision		Composite PMI (APR)		Unemployment Rate (APR)
					Nonfarm Employment Change (APR)	US	POMC Press Conference
					Services PMI (APR)		Jobless Claims
					Markit Composite PMI (APR)
					Crude Oil Investories

What are you looking forward to in the coming week? Join the discussion below

Tradingqna · May 2, 2022, 12:47pm

Nifty and Sensex rebounded from early morning lows but closed another day in red. US futures are trading higher, indicating a positive opening for US markets.

Brent Crude: 104.56 -1.81%
USD INR Spot: 76.515 +0.12%
India 10Y Bond yield: 7.118 -0.29%

On the sectoral front, Nifty IT and Auto indexes were the top draggers for the day. IT index was down by 1.53% while Auto, 1.26%. Nifty Metal was the top gainer, up by around half a percent.

Amongst the F&O stocks

Tata Chemicals was the top gainer.

Dixon Technologies was the top loser.

Earnings Update:

HDFC: Net Profit: Rs. 3,700 cr 16.36% YoY; Net Interest Income: Rs. 4,601 cr 14% YoY.

IDBI Bank: Net Profit: Rs 6,90.6 cr 34.8 % YoY; Net Interest Income : Rs. 2,420.5 cr 25.3% YoY.

Britannia: Net Profit: Rs 378 cr 5% YoY; Revenue: Rs. 3,550.5 cr 13.4% YoY.

In the news

The monthly collection under the GST has peaked to an all-time high of Rs. 1.68 lakh crore in April 2022, according to a statement by the Finance Ministry.

ISMC, a joint venture between Abu Dhabi-based Next Orbit Ventures and Israel’s Tower Semiconductor, has announced that it has signed MoU with the Karnataka government to set up a semiconductor chip manufacturing plant and will invest up to $3bn for its chip manufacturing facility.

The Manufacturing PMI compiled by S&P Global, improved to 54.7 in April from 54.0 in March as factory activity in India picked up last month, bolstered by increase in demand as pandemic restrictions were eased, but rising energy prices pushed input costs to a five-month high.

Around the World

The dollar rose back towards a 20-year high on Monday as the Euro struggled around the $1.05 mark, with investors preparing for a busy week of central bank meetings including a likely Federal Reserve interest rate hike.

Australian bonds sold off as investors anticipate the nation’s central bank will raise interest rates on Tuesday for the first time since 2010. Yields on benchmark 10-year government notes jumped 14 basis points to 3.26%, the highest since November 2014.

Eurozone manufacturing output growth stalled last month as factories struggled to source raw materials while demand took a knock from steep price increases and fears about the economic outlook, a survey showed.

Prakashsingh · May 4, 2022, 6:12am

What is it going to be about ?

Tradingqna · May 4, 2022, 1:02pm

Benchmark indices plunged more than 2.2% following the surprise repo rate hike by the RBI at an unscheduled meeting. US markets look set for a good start.

Brent Crude: 108.91 2.92%
USD INR Spot: 76.4125 -0.13%
India 10Y Bond yield: 7.378 3.64%

All sectoral indices finished the day in red. Nifty Media index tumbled the most, falling over 4%, followed by the Nifty Realty and Metal indexes, both dropping more than 3%.

Amongst the F&O stocks

Rain Industries was the top gainer.

Alembic Pharma was the top loser.

Earnings Update:

Kotak Mahindra Bank: Net Profit: Rs. 3,892 cr 50% YoY; Net Interest Income: Rs. 4,521 cr 18% YoY.

Tata Steel : Net Profit: Rs 9756 cr 46.8 % YoY; Revenue : Rs. 69323.5 cr 38.6% YoY.

Hero Motocorp: Net Profit: Rs 621 cr 30 % YoY; Total Sales: 11.9 Units 24% YoY.

Titan : Net Profit: Rs. 491 cr 7.18% YoY; Revenue: Rs. 6749 cr 3.46% YoY

In the news

RBI Governor Shaktikanta Das announced a 40-basis-point hike in the key lending rate and raised the cash reserve ratio (CRR) by 50 basis points in an unscheduled announcement on May 4. The revised repo rate now stands at 4.40 percent and the CRR at 4.5%.

India’s merchandise exports in April grew 24.2 % YOY to their 3rd highest level of $38.2 billion on the back of higher commodity prices amid the ongoing Russia-Ukraine war. Imports in April surged 26.6% to $58.3 billion, leading to a trade deficit of $20.1 billion during the month.

UPL announced its acquisition of OptiCHOS, a naturally derived fungicide for its Natural Plant Protection (NPP) business unit, whose NPP portfolio houses natural and biologically derived agricultural inputs and technologies.

Around the World

The European Union’s chief executive on Wednesday proposed a phased oil embargo on Russia, sanctions on its top bank, and a ban on Russian broadcasters from European airwaves in its toughest measures against Moscow.

Iceland’s central bank increased the seven-day term deposit rate by 100 bps to 3.75% delivered. Its biggest hike since the 2008 financial crisis to try to curb inflation and rein in Europe’s fastest house-price rally.

Tradingqna · May 5, 2022, 12:30pm

Nifty and Sensex erased gains and closed flat in a choppy session following the weakness in global markets. Dow and Nasdaq futures indicate a weak opening for US markets.

Brent Crude: 110.98 0.82%
USD INR Spot: 76.255 -0.21%
India 10Y Bond yield: 7.403 0.34%

Nifty IT was the top gainer for the day, up by 2.07%, while Nifty Realty was the top loser, down 1.62%.

Amongst the F&O stocks

ABB was the top gainer.

Intellect Design Arena was the top loser.

Earnings Update:

Dabur: Net Profit: Rs. 294.3 cr 22% YoY; Revenue: Rs. 2,517.8 cr 7.8% YoY.

Marico: Net Profit: Rs. 257 cr 13.2% YoY; Revenue: Rs. 2,161 cr 7.4% YoY.

Adani Power: Net Profit: Rs. 4,645 cr against 13 cr profit YoY; Revenue : 13,308 cr 93% YoY.

Exide: Net Profit: Rs. 271.1cr 17.8% YoY; Revenue: Rs. 3,408.6 cr 16% YoY

TVS Motor: Net Profit: Rs 274.5 cr 5.1% YoY; Revenue: Rs. 5,530.3 cr 3.9% YoY.

In the news

Activity in India’s services sector grew at its fastest pace in five months in April on strong demand. The S&P Global India Services PMI rose to 57.9 in April from 53.6 in March, its highest since November.

Automobile retail sales in India increased by 37% in April on a low base of COVID-hit April last year, as per automobile dealers body FADA. Total sales across categories rose to 16,27,975 units in April, as compared to 11,87,771 units in the year-ago period.

L&T’s railways business bags bullet train project in the range of ₹2,500-5,000 cr from National High-speed Rail Corporation.

Around the World

The Federal Reserve delivered the biggest interest-rate increase since 2000 and signaled it would keep hiking at that pace over the next couple of meetings, unleashing the most aggressive policy action in decades to combat soaring inflation.

Global steel giant ArcelorMittal on Thursday posted 80.52% growth in net income at $4,125mn for the first quarter ended March 31, 2022. It had posted a net income of $2,285mn for the year-ago quarter.

The Bank of England hiked interest rates to 1%, the highest since the financial crisis and warned the economy is on course to shrink under pressure from double-digit inflation.

Hong Kong’s retail sales plummeted 13.8% in March, the first back-to-back contraction in more than a year.

Turkey’s inflation accelerates to 70% in April driven by a rally in global energy prices and domestic food costs.

Tradingqna · May 6, 2022, 12:42pm

Benchmark indices tanked by over 1.5% amid a sell-off in markets around the world. US markets are staring at another negative opening, extending on yesterday’s brutal sell-off.

Brent Crude: 113.24 +2.05%
USD INR Spot: 76.915 +0.87%
India 10Y Bond yield: 7.451 +0.65%

Apart from Nifty Energy index closing marginally in gains, all other sectoral indices ended the day lower. Nifty Realty was the top loser, down by 3.56% followed by IT and Metals, each down by over 2%.

Amongst the F&O stocks

Tata Communications was the top gainer.

Cholamandalam Investment Finance was the top loser.

Earnings Update:

Canara Bank: Net Profit: Rs. 1,666.2 cr 64.9% YoY; Net Interest Income: Rs. 7,005 cr 24.84% YoY.

Federal Bank: Net Profit: Rs. 540.54 cr 13.13% YoY; Net Interest Income: Rs. 1,525.21 cr 7.38% YoY.

In the news

Larsen & Toubro L&T announced the merger of its two software companies, L&T Infotech and Mindtree.The name of the combined entity will be “LTIMindtree”.

Gross revenue of telecom service providers declined by 2.64% to Rs 69,695 cr in Dec 21 quarter as per latest TRAI data. AGR, on which the govt. charges various levies, increased by 15.81% to Rs 55,151 cr in the Dec 21 quarter from Rs 47,623 cr in the corresponding quarter of 2020

ONGC has won 18 out of the 21 areas offered for finding and producing oil and gas in the sixth bid round under Open Acreage Licensing Policy, according to the upstream regulator DGH.

Around the World

The U.S. dollar hit 20-year highs and world stocks fell towards their lowest in over a year on Friday as markets anticipated more U.S. interest rate rises, while Asian stocks fell on worries about the hit to growth from China’s zero-COVID policy.

ECB Governing Council member Francois Villeroy de Galhau said interest rates may be raised back above zero this year if the euro-zone economy doesn’t suffer another setback.

brokenbull · May 8, 2022, 4:53am

usa bond armaggedon

brokenbull · May 8, 2022, 4:59am

usa online retail massacre

brokenbull · May 8, 2022, 5:08am

indian govt 10 year bond securities reached highest yield
FII dont believe govt tax defecits ,corp profits under infaltion .
they are selling rupee, govt bonds and stocks. Domestic investment can not match outgo.