Chart of #NIFTYREALTY and other construction companies which are not in the index are looking bullish.My pick #DLF
Already long on #NCC and #NBCC
Why did #NIFTYREALTY rally today? 📈
• Today, RBI hiked the repo rate by 50 basis points.Following the recent boost, the repo rate increased by 0.9 percent, which is likely to raise the cost of home loans and vehicle loans.
• Floating-rate loans will become more expensive, and all new loans will most certainly be priced higher. The equivalent monthly instalment (EMI) of a variable rate fluctuates in response to changes in market interest rates.
• Therefore, the home loans are expected to get expensive, reducing the demand for them.
Then why did realty stocks rally today? 📈
• The central bank increased the cap for Tier-I urban cooperative bank individual housing loans to Rs 60 lakh from Rs 30 lakh previously. The maximum for Tier-II urban cooperative banks has been enhanced from Rs 70 lakh to Rs 140 lakh.
• Individual house loan limits for rural cooperative banks have been increased to Rs 50 lakh from Rs 20 lakh previously for banks with assessed net worth less than Rs 100 crore. The maximum for rural cooperative banks with a net value of more than Rs 100 crore has been raised to Rs 75 lakh from Rs 30 lakh previously.
• Furthermore, the central bank has recently authorised state cooperative banks and district cooperative banks to lend up to 5% of their assets to commercial real estate – residential projects.
While a rise in mortgage loan rates may cause a short-term drop in demand, the steps announced on Wednesday will improve liquidity for the sector, and the overall outlook is "strongly" bullish as per Motilal Oswal.
What is your view?
#DLF #LODHA #SOBHA #GODREJPROP
#NIFTYREALTY : Macroeconomic View🏡
• The global and domestic macroeconomic circumstances have shifted dramatically in the last six months.
• The geopolitical issue of Russia-Ukraine, oil price shocks, supply chain disruptions, rising commodity prices, food inflation, and other factors required Central Banks to take early action to tame the inflation monster.
• India faces numerous supply-side issues, and rising inflation is harmful to GDP development. Monetary policy instruments are one strategy to addressing the problem.
• During an unplanned off-cycle Reserve Bank of India (RBI) meeting, RBI announced 40 basis point increases in repo rates and a 50 basis point increase in the cash reserve ratio (CRR). Though the timing of the announcement was unexpected, it was a long-awaited move.
• RBI highlighted that monetary policy will remain supportive while focused on minimising inflation spikes and re-anchoring inflation expectations in order to maintain demand..
• However, developers experienced margin challenges as commodity prices, construction materials, and labour expenses rose. Most developers did not pass on the higher cost to purchasers.
• Because the sector was still attempting to get back on its feet following the pandemic shock, developers had little or no increase in property prices, which was the key reason for margin compression.
• Following the current news, EMIs for consumers will climb. The sector also expects a couple more rate hikes in the coming quarters, resulting in higher EMIs and increasing pressure on homeowners. However, this will not immediately diminish demand.
• In contrast, rising interest rates will result in larger returns on funds stored in fixed deposits, improving consumers' spending power
• Absolute home prices rise throughout time as housing demand rises since it is a necessity rather than a luxury item. Buyers would rather buy now than face the double whammy of rising house prices and interest rates in the future.
• With increasing affordability and disposable income in the hands of new-age investors, the picture for India Inc appears favourable.
The real estate sector is predicted to gain traction from both the demand and supply sides, with increased government and private investment in infrastructure development. What do you think? Drop in your views!
#DLF #GODREJPROP #SOBHA #PRESTIGE
Nifty is opening possible near 16450 and it will try to test 16400 , today 16370 will decide the whole trend of the day, if it will unable to hold then we can see 16180.
Warch carefully if 16465 will able to hold then we can see short covering upto 16510 and 16595
Today is weekly expiry so we will see volatility. Trade safe and less .
For entry exit follow following dot to dot level
#NIFTY50 #NIFTYBANK #NIFTYREALTY #NIFTYMETAL
The Union Budget 2022-23 is around the corner. There are many street expectations and speculations about the themes and sectors that could be in focus ahead of the budget.
Read Vinidhan's pre-budget analysis below for more useful insights.
#MacroEconomy #NIFTYREALTY #InvestingUniversity #InvestmentIdeas
Pre Budget Analysis.pdf - 597 KB
Dear #followers thanks taking intrest in my page , hope my analysis work in your favour , select your stock or index for Monday .... Will see how my view on that stock or index ... For more info DM me ....🙏🙏🙏🙏🙏 #NIFTYPHARMA #NIFTYMETAL #NIFTYREALTY #NIFTYAUTO #NIFTYFMCG #NIFTYIT #FINNIFTY #NIFTY50
The National Stock Exchange of India (NSE) and the BSE will remain closed on July 21 on account of Bakri Id.
Wholesale commodity markets, including metal and bullion, will also remain shut. There will be no trading activity in the forex and commodity futures markets either.
On July 20, while the Sensex ended 354.89 points (0.68%) lower at 52,198.51, and the Nifty was down 120.30 points (0.76%) at 15,632.10.
"Markets drifted further lower in continuation to Monday's fall and lost nearly a percent. The benchmark opened on a muted note amid sell-off in global markets, inched gradually lower as the day progressed. On the global front, the concerns over the economic recovery due to the rise in COVID cases due to the new virus variants hit sentiment. In line with the benchmark, most of the sectoral indices turned southward and the broader indices too witnessed a sharp cut of nearly 1.4% each," said Ajit Mishra, VP - Research, Religare Broking.
"We believe concerns over global economic recovery are worrying participants as the third wave of Covid is fast spreading. Besides, domestic cues are also not very encouraging so far. In short, we may see further slide ahead and Nifty may find support around 15,450 i.e. lower band of the prevailing consolidation range."
"Meanwhile, earnings will continue to provide opportunities to the traders however we suggest keeping a check on position sizing and focus on overnight risk management," Mishra added.
On the BSE, all the sectoral indices ended lower with power, realty, metal, healthcare, auto and bank falling 1-2.4 percent.
Hindalco, IndusInd Bank, Tata Steel, NTPC and Bharti Airtel were the top losers on the Nifty. While top gainers included Asian Paints, UltraTech Cement, HUL, Grasim and Maruti Suzuki.
"In the backdrop of weakness in global markets, Indian stock gauges continued to decline. Although, technically the market closed above the 15,600/52,100 level (for Nifty/Sensex), we believe the pain is not over and the Nifty/Sensex would move to the 15450/51600 or 15300/51000 levels in the next few days. On the upside, 15680/52350 and 15750/52500 levels would be major obstacles. India VIX has grown the most since May 2021 at 15%," said Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Securities.
"ACC and Asian Paints recorded the highest gains in the Nifty-50 index, while Bank Nifty broke support at the 34600 level, pushing the index to the 33900 level. Until the market crosses the 15750/52500 level and closes at the 15750/52500, the strategy should be to reduce the weak long positions,” Chouhan added.
BSE Midcap and Smallcap indices fell over 1 percent each.
On July 20, the Indian rupee ended near the day's high at 74.61 per dollar, after opening lower at 74.95 per dollar against Monday's close of 74.87.
“USD/INR spot closed 26 paise lower at 74.61 and July futures on NSE closed 74.71 on the back of recovery in global stock markets and improving risk sentiments. At the same time, lumpy corporate flows may have pushed USDINR lower as tomorrow being a holiday kept large buyers away from the market. Bias continues to be of a range between 74.40 and 75.00 levels on spot,”#NIFTY50 #NIFTYBANK #NIFTYPHARMA #NIFTYMETAL #NIFTYREALTY
News and Impact
Expects market to open on a positive note on account of positive opening in the Asian markets and US market closed on a mixed bag. US stocks ended mixed Thursday after jobless claims rose for the first time in seven weeks. Dow Jones declined 0.6% and the Nasdaq Composite climbed 0.9%. Energy and financials were among the steepest decliners while technology was the strongest sector. The 10-year US Treasury yield fell 1.51% from yesterday closing at 1.58%. SGX Nifty is up 0.3% and Dow Future gained 0.1%.
European shares ended mixed on Thursday, with investors digesting the more hawkish tone set by the US Federal Reserve following its Federal Open Market Committee meeting Wednesday. Both Germany and France Index gained 0.2% each while UK Index slipped 0.4%.
Asian stocks opened on a mixed footing Friday after U.S. technology shares rallied and Treasuries advanced, with investors unwinding some of this year’s dominant reflation trades. Nikkei and Hong Kong Index gained 0.3% and 0.8% respectively while Taiwan and South Korea Index declined marginally.
Brent Crude declined 2% to $72.4 a barrel after the biggest drop in four weeks as traders weighed prospects for a stronger dollar against rising demand.
Gold slumped declined 2% to $1780/ounce as the Federal Reserve sped up its expected pace of policy tightening amid optimism about the labor market and heightened concerns over inflation.
Expects market will be bounce back after a fall in the last two trading sessions. Positive sentiment in the market on account of fall in pandemic cases and hope of economy will be back on track. domestic FIIs net sellers Rs880cr while DIIs net buyers Rs45cr.
Acxtionable – Tata Power, Coal India, Infosys, HDFC Bank
Events – Kims and Dodla Diary IPO closing, Sensex & FTSE Rejig - Sensex 30, Tata Steel will be included and ONGC will get excluded. HDFC Bank board meeting.
Results - HT Media and PSP Projects
Market Summary - SBI Cards Holder Offers up to $682M in Shares, HDFC Bank Expects Higher IT Spends As It Revamps Technology Platform, Coal India Plans to Take a Call on Raising Prices Soon: Chairman, Nazara to acquire majority stake in Middle Eastern Game publisher Publishme, Lupin receives U.S. FDA Approval for Sevelamer Hydrochloride Tablets.
SBI Cards shareholder CA Rover Holdings is offering up to 48m shares (5.1% stake) at a price range of Rs1,002-Rs1,041.30 in an accelerated book build, Price range is a 1% to 4.7% discount to the latest close – Good opportunity to buy
Coal India has been discussing a price increase for the fuel for some time but a final decision has been delayed due to Covid-19, Chairman Pramod Agrawal said at an analyst call - Positive
HDFC Bank expects IT spending to rise over the next two to three years as India's largest private lender revamps technology platforms and spruces up its digital offerings after facing regulatory ire over multiple glitches . - Positive
Wipro IT Services LLC to raise $750 million through US Dollar denominated notes and Wipro ties with Exaware to accelerate innovation in Communication Networks and 5g upgrades – Positive
Power Grid Corporation of India Ltd board recommends 3:1 bonus issue – positive
Tube Investments board approves fund raising proposal of Rs. 200 crores – positive
Tata Steel becomes the first Indian steel company to receive the GreenPro Certification for Rebars. GreenPro Ecolabel enables the end-users to make an informed choice about buying steel having the lowest environmental impact. – Positive
RBL Bank accelerates Digital Banking – Positive
Nazara Technologies has signed a binding term sheet to acquire a majority stake in Arrakis Tanitim Organizasyon Pazarlama San. Tic. Ltd. Sti. (Publishme) the largest mobile game publishing agency in the Middle East and Turkey approx. amount of Rs. 20 Cr for acquiring 69.82% stake by way of primary and secondary transaction through its subsidiary.- Positive
lndoStar Capital Finance: To issue NCDs worth Rs 5,000 crore on private placement basis in FY22. – Positive
Infosys Finacle announces Digital Banking SaaS offering for Urban Cooperative Banks in India – Positive
IndusInd Bank launches a comprehensive digital lending platform ‘IndusEasyCredit” – Positive
Angel Broking, continues its client addition stride in June 2021, following record monthly gross client acquisition in the previous month. It has successfully crossed the ‘5 Million Clients’ milestone with an accelerated monthly client addition rate. – Positive
Shree Cement - CRISIL Ratings has reaffirmed its 'CRISIL AAA/Stable/CRISIL A1+' ratings on the bank facilities – Positive
ICRA reaffirms AA-/Stable rating on fund and non-fund based limits of KEC International – Positive
CRISIL reaffirms 'AA-/Stable' rating on TCI Express' long term bank facilities - Positive
AB Capital board principle approval for the striking-off of the name of ABCAP Trustee Company Private Limited (ABCAP), a wholly-owned subsidiary of the Company. – Positive
Lupin announced that it has received US FDA approval for its Sevelamer Hydrochloride Tablets- Positive
Mangalam Organics - CRISIL has reaffirmed long term rating for various credit facilities of the company at 'A-' and upgraded outlook to Positive from Stable.- Positive
Page Industries Karnataka Operation resumed with 30% staff – Positive
PharmEasy is likely in talks for a stake purchase in Thyrocare, CNBC-TV18 reports – Avoid
MEP Infra to execute NHAI road project in Maharashtra – Positive
Tata Motors board approves allotment of Rs500cr securities on private placement – Positive
LTI awarded Snowflake Global Innovation Partner of the Year – Positive
Ashiana Housing Ltd acquires 22.1 acres in Gurgaon for group housing project – Positive
Sequent Scientific - India Ratings and Research has upgraded Sequent Scientific's Long-Term Issuer Rating to "IND A+" from "IND A" with outlook being "Positive" – Positive
IDFC First Bank Ltd board approves reappointment of Mr. V Vaidyanathan as MD and CEO – Positive
Power Mech Q4 Net profit Rs36cr (up 16% YoY) and Income Rs755cr (up 27% YoY) – Avoid
Power Grid announced impressive Q4 results. Company reported consolidated net profit rose 6 percent to Rs 3,526.23 crore (expectation Rs3063cr) from Rs 3,313.47 crore, revenue increased to Rs 10,816.33 crore from Rs 10,507.65 crore, YoY.
DB Corp announced strong Q4 results. Company reported Q4 Net profit Rs62 (up 158% YoY), Ebitda Rs102cr (up 54.5% YoY), Ebitda margin 22.3 vs 13.6% and Income Rs457cr (down 6% YoY)
Tube Investments consolidated profit at Rs160.4cr in Q4FY21 against Rs59.76cr in Q4FY20, revenue jumped to Rs2,732.82cr from Rs1,031.01cr yoy. – Impressive results
Jammu & Kashmir Bank reported profit at Rs315.75cr in Q4FY21 against loss of Rs294.1cr in Q4FY20, net interest income fell to Rs917.42cr from Rs987.24cr yoy. - Avoid
Khadim India reported profit at Rs11.52cr in Q4FY21 against loss of Rs19.87cr in Q4FY20, revenue rose to Rs269.95cr from Rs158.2cr yoy.- Impressive reults
HealthCare Global Enterprises reported higher consolidated profit at Rs113.76cr in Q4FY21 against Rs50.44cr in Q4FY20, revenue rose to Rs297.04cr from Rs269.5cr yoy. – Margin reported on higher side #NIFTY50 #NIFTYBANK #NIFTYIT #NIFTYREALTY #NIFTYPHARMA
#Market Musings | Week 2, Jun Series
In our weekly NPM poll, on Nifty Profit Makers Telegram channel, About 44% of the respondents think the weekly expiry for #Nifty50 will be between 15800 to 16000 and the next highest bunch (37%) picking 16000 plus range.
Last week Nifty50 moved between 15374 and 15733. That's a 359 points range, Compared to 324 and 465 points in the prior 2 weeks. It looked strong throughout the week gaining about 234 points on weekly basis. India VIX is at low levels indicating less volatility, directional strength and lower premiums. Lot of action is seen in mid cap while large cap witnessed consolidation.
The bulls are taking control, deriving strength from global cues and improvement in Covid (of Chinese origin) situation back home.
#Nifty50 may move between 15450 and 15866. #NiftyBank may see a range between 34900 and 36100 with 35480 acting as a good pivot.
#NiftyAuto, #NiftyBank, and #NiftyRealty stocks seem poised for good upside.
Wish you a profitable week ahead...
*Why the Real Estate sector looks weak*
Very good macro analysis.
1) Prices have corrected by 30%
2) Property purchased 12 to 14 years back is now being sold at loss if one takes indexation into account
3) Many may think NOW is the time to invest because prices are at an all time low
4) The lure of the glorious past keeps coming to haunt us; after all who wouldn't like to be on that ride to wealth creation by property purchase as it was in the not too distant past
5) However there are several reasons why this may not play out. To begin with we are witnessing a transformation of the social and economical ecosystem and cannot afford to dig our heads in the ground like an ostrich and say all is well
6) Work from home culture, GIG economy (where you get paid for skill rather than time) means the pressure to stay in a particular location has significantly reduced causing demand to drop and this may not be a temporary blip
7) People are aware that their jobs are nowhere close to permanent. In fact one is coming to realise that not only one may have to change jobs but perhaps one may even have to change several professions over one's life time
8) So if we are hoping to work just for a few years in one organization and then change to another, where is the motivation to buy a house once we understand that we need to relocate
9) Let us understand without deluding ourselves that house purchase is a long term proposition and this Goal becomes viable with the help of long term loans of 20 years and more. So if one does not have the confidence to keep the job for 20 years, how can one take on the liability of a heavy EMI for 20 years
10) There is just too much change happening around us and it is getting harder and harder for us to reconcile with these changes and make sense of the way forward. Hence staying liquid in wealth is the best option and locked up wealth perhaps the worst
11) COVID 19 and the ensuing lockdowns have made the theory of change leapfrog several decades and will go down as a watershed moment in the evolution of society
12) A home is not as much an asset as we often see it as. It is the area/location which lends value to the house.
13) Demand to stay in a particular location / area initially sees a huge accelerated growth but then over the long term this demand drops at a rapid rate
14) Look at locations like Nariman Point which use to be the Manhattan of India now reduced into a concrete graveyard with no takers
15) As new businesses emerge, better communication systems emerge and as better quality of life is desired at a lower cost, the principle of arbitrage steps in
16) At such times one trades the erstwhile posh locations for upcoming developing areas with quality facilities and low prices. The rise of Parel, Sewri, Thane, Powai and the entire New Mumbai stretch of Vashi, Kharghar, Nerul etc is an outcome of this evolution
17) Besides as people get prosperous, aware and demanding the desire to "trade up" to better and modern quality homes also adds to the selling pressure
19) Black money which was a huge support factor for this sector has disappeared after demonetization &the rise of the digital economy
20) The sector which erstwhile prospered in a unregulated environment is now brought under the new real estate regulator RERA. As new regulations take roots they will shape a more reasonable future where the purpose of a house will be clearly articulated as a PLACE TO LIVE rather than BE TREATED as an INVESTMENT ASSET
20) *Too much of uncertainty will thus become the main reason for transforming an erstwhile ASSET INTO A LIABILITY*
Nifty Realty rallies 2%; Sunteck skyrockets 14%, Godrej Properties, Indiabulls Real Estate add to gains
Sunteck Realty was the major gainer by yards and other Mumbai based realestate companies Godrej Properties (up 3.19%) Indiabulls Real Estate (up 2.33%), and Oberoi Realty (up 2.34%) also advanced Realty stocks gained momentum in the afternoon trade. At around 2.40 pm, Nifty Realty index was trading at 259.40 up 5.65 points or 2.23%. The index opened at 255.45 and touched a high of 260.90 and low of 254.60.
Sunteck Realty skyrocketted to ~14%, followed by Godrej Properties (up 3.19%) Indiabulls Real Estate (up 2.33%), and Oberoi Realty (up 2.34%) also advanced. Sobha Realty was also 3.53% higher.
The overall sentiment was bullish as global cues were positive due to Covid-19 vaccine progress boosted sentiment and US President-elect Joe Biden was given the go-ahead to begin his White House transition.
BSE Sensex was trading at 44,512.17 up 435.02
Apple is negotiating with builders for a 350,000 sq ft office space in Bengaluru which will serve its global markets, and plans to open a large retail centre in the city, people in the know told ET.
There’s another big deal in the works — US-based financial services firm Wells Fargo is in talks for 1.4 million sq ft of office space in Hyderabad to expand operations. “Both the deals are expected to be signed in the next few days and in both cases the companies are expanding their footprint in India,” the people cited earlier said. “These facilities will be up by 2021.”
Apple’s new Bengaluru office is expected to come up at Prestige Mink Square. The company is also looking to step up manufacturing in the country.
🔆Good Morning All🔆
💥 BSC Exclusive Morning Market News & Update
Stocks To Watch
🔹Yes Bank: State Bank of India’s stake falls to 30% from 48.21%, post the follow-on-public offer.
🔹Indian Oil Corporation: Indian Oil Corporation: Announces formation of 50:50 JV with Total (France) to manufacture and market high-quality bitumen derivatives and specialty products for India's road-building industry. The two companies already have a business relationship in India in LPG and fuel additives business. The JV will set-up manufacturing units across the country with cost-effective logistics solutions.
🔹InterGlobe Aviation: Announces another round of steeper pay cuts starting September. CEO Ronojoy Dutta in an email to employees said that the company is taking deeper pay cuts to adjust the cost structure down in-line with the reduced revenue. Ronojoy Dutta will take a 35% paycut. All executives at the level of Senior Vice President and above to take a pay cut of 30%. Vice Presidents and Associate Vice Presidents to face a 15% cut in their salary. Dutta said it intends to gradually reduce the number of days without pay as it adds back more flights.
🔹Adani Enterprises: Signed a non-binding Memorandum of Understanding with the Government of Tamil Nadu for exploring possibilities of setting up hyperscale data center facility.
🔹NBCC: Received projects work in Seychelles worth Rs 204.5 crore.
🔹Bharti Airtel: Hughes Network Systems, led by the U.K. Government and Bharti Enterprises, will acquire OneWeb out of bankruptcy. Hughes has agreed in-principle to invest $50 million in the consortium. Additionally, Hughes will continue as a trusted technology and distribution partner to OneWeb, the Low Earth Orbit satellite operator.
🔹HDFC: To consider raising funds on July 30.
🔹KPI Global Infra: Commissioned additional 615 KW solar power project under captive power producer category with two industrial customers.
🔹Eclerx Services: Post buyback offer, SBI Mutual Funds has increased its stake to 4.99% from 4.72% in the company.
🔹United Spirits: To subscribe 19.5 lakh compulsory convertible preference share in Hip Bar for Rs 1.95 crore. Revised shareholding in Hip Bar is expected to be 26%.
🔹Mindspace Business Parks REIT IPO subscribed 38% on Day 1.Institutional subscription at 0.37 times.Retail subscription at 0.40 times. Institutional category doesn’t include anchor portion.
🔹Nifty Earnings Today: Nestle India, UltraTech Cement, IndusInd Bank
🔹Non-Nifty Earnings Today: Yes Bank, Coforge, Castrol India, Sanofi India, Tata Coffee, Orient Cement, Quess Corp, Sunteck Realty, RBL Bank, Hexaware Tech, IDBI Bank, IDFC First Bank#NIFTYBANK #NIFTY50 #NIFTYIT #NIFTYMETAL #NIFTYREALTY