I am pleased to attach the Economy / Market Snapshot covering all the major events in January, 2018.
What a beginning to the New Year 2018 ! Markets globally are at peak. Indian markets went up by 5% with Sensex crossing 36,000 and Nifty crossing 11,000 mark; IT index went up by 11% followed by Bank Index up by 7%. Auto and Pharma were losers while FMCG gained marginally. FII’s poured in Rs.14,000 crores in equity market and Domestic funds had put in Rs.6,000 crores. Indian Rupee is at Rs.63.58 against 1 US Dollar. In US, Nasdaq went up by 7% and Dow went up by 6% with both of them at record highs. The Highest gainer of the month was Hong Kong market with an increase of about 10%. Japan is at all time high crossing 23,000. London markets fell by 2%. Gold went up by 3%, while Silver was neutral; Crude went up and Brent Crude crossed the $ 70 mark last month. PM Modi inaugurated the World Economic Forum in Davos and US President, Donald Trump did the Closing. Q 3 results were better than expected especially in the IT Sector. Business sentiment is at all time high across the Globe. Of course, there are always critics who are on the sidelines keep saying that the markets will crash; Certainly the markets are overheated and the pace of gains may not justify valuations. Budget was presented by FM, Arun Jaitely today and the market was volatile in India. Tax at 10% on Long Term Capital Gains on Shares is seen negative by the markets. We have to now see whether the market can continue to go up or ????
- India hosts 10 ASEAN leaders on its 69th Republic Day.
- Winter Session of Parliament concludes; productivity of Lok Sabha 91.58% and Rajya Sabha 56.29%.
- Assembly Elections: Tripura to go to polls on 18 February, Meghalaya and Nagaland on 27 February.
- Israel PM Benjamin Netanyahu makes a six day visit in India; India, Israel ink nine pacts.
- Govt earmarks Rs 10,132 crores for internal security in 3 years from 2017-18 till 2019-20.
- India attends its first Shanghai Cooperation Organisation (SCO) military cooperation meet.
- India joins the 42-member non-proliferation regime, Australia Group.
- India scuttles $500 million missile deal with Israel’s Rafael.
- India successfully launches its 100th satellite ‘Cartosat-2’ series from Sriharikota.
- India test-fires nuclear-capable intercontinental ballistic missile Agni-V from Abdul Kalam island.
- Govt announces recipients of 2018 Padma awards.
- Four SC judges hold unprecedented press conference questioning apex court administration.
- Judge Loya death: SC transfers to itself two cases from Bombay HC, sets Feb 2 for next hearing.
- Supreme Court makes playing of National Anthem optional in cinema halls.
- Rajiv Gandhi assassination: SC asks Centre to decide on Tamil Nadu’s proposal to release 7 convicts.
- Lalu Prasad Yadav convicted in two fodder scam cases.
- Coal scam: HC stays sentence, Rs 25 lakh fine on Madhu Koda.
- Centre withdraws Haj subsidy; SC asks Centre to file an affidavit on its withdrawal.
- Press bodies condemn UIDAI’s FIR against The Tribune, its reporter for exposing Aadhar data breach.
- ‘Padmavat’ releases after SC suspends ban in four states.
- Doctors went on nation-wide strike against the National Medical Commission Bill.
- President accepts EC recommendation to disqualify 20 AAP lawmakers for holding Office of Profit.
- Delhi LG Anil Baijal approves Kejriwal’s doorstep delivery of public services.
- Delhi and Japan sign friendship agreement to tackle air pollution.
- Tamil Nadu Assembly passes bill to raise salary of MLAs by nearly 100%.
- TN govt hikes fares of state-run, private buses after six years; partially reduces hike following protests.
- Tamil Nadu celebrated ‘jallikattu’ after a gap of three years.
- Kamal Haasan to announce party name, begin Tamil Nadu tour on February 21.
- Shiv Sena ends alliance with BJP; to go solo in Lok Sabha, Maharashtra polls in 2019.
- PM Modi lays the foundation stone of the Rs 43,129 crore refinery project in Barmer, Rajasthan.
- UP govt approves metro projects in Agra, Kanpur and Meerut worth Rs 470 billion.
- Assam publishes first draft of National Register of Citizens with 1.9 crore names.
- Anandiben Patel takes oath as Madhya Pradesh Governor.
- Om Prakash Rawat takes charge as the Chief Election Commissioner., Vijay Keshav Gokhale as Foreign
Secretary and Sivan K as chairman of ISRO.
- Shah Rukh Khan receives Crystal award 2018 at WEF for his work towards acid attack survivors.
- US govt shuts down on first anniversary of Trump’s presidency; Senators reach deal to end shutdown.
- US lifts refugee ban on North Korea and 10 other ‘high risk’ Muslim nations.
- US suspends security aid to Pakistan over terror inaction.
- US moves ships, bombers toward Korea ahead of Olympics.
- Senate approves Jerome Powell to follow Yellen as Fed chair.
- Pakistan blacklists Hafiz Saeed’s JuD, warns against terror funding after Trump snub.
- Pakistani Taliban claims Prime Minister Benazir Bhutto’s assassination in new book.
- NASA launches 2 missions to explore nearest space.
- Myanmar, Bangladesh agree to repatriate Rohingya; refugees in Bangladesh protest the move.
- North and South Korea completes first official talks in 2 years.
- IOC, North and South Korea meet to finalise historic Olympic deal.
- Saudi Arabia begins screening films after decades-long ban lifted.
- India vs South Africa: India wins the series 2-1, retain ICC Test Championship mace.
- Eight franchises buy 169 players at VIVO IPL 2018 Player Auction.
- Saina Nehwal bags silver medal at Indonesia Masters.
- India to take on Australia in the final of the Under 19 cricket World Cup.
- Ashes: Australia wins the series 4-0.
- Australian Open: Roger Federer wins men’s title and Caroline Wozniacki the women’s; Bopanna-Babos
pair ends runner-up in mixed doubles.
- Govt announces fresh capital for PSU banks; infuses more than Rs 80,000 crores; unveils reforms.
- Economic Survey 2018: GDP growth to reach 6.75% this fiscal and will rise to 7- 7.5% in 2018-19.
- Govt revises rates on 29 goods and 53 services in its 25th GST Council meet.
- GST Revenue collections for December (upto Jan 24) comes at Rs 86,703 crores.
- Govt mulls increasing FDI limit in banks.
- Cabinet approves 100% FDI in single brand retail, construction development through automatic route.
- UIDAI allows face recognition as new means of Aadhaar authentication.
- Govt cuts its additional market borrowing requirement to Rs 20,000 crores from Rs 50,000 crores.
- November IIP grows at 8.4%; December CPI inflation comes at 5.2%.
- WPI inflation eases to 3.58% in December from 3.93% in November 2017.
- Major stock markets – Indian, US, Japanese hit their highest levels.
- PM Modi delivers keynote speech at World Economic Forum in Davos.
- World Economic Forum launches Global Centre for Cybersecurity, to start operations in March.
- West Bengal CM Mamata Banerjee inaugurates the two-day Bengal Global Business Summit 2018, gets
over Rs 2 lakh crores of investment proposals.
- RBI gives a makeover to Rs 10 note with chocolate brown shade.
- 1,463 bad loan accounts owe PSU banks more than Rs 100 crore or more.
- IDFC Bank, Capital First boards approve merger, V Vaidyanathan to become CMD of merged entity.
- Tokyo-based cryptocurrency exchange hacked, losing $530 million.
- PNB sells mutual fund stake to JV partner Principal Financial Group.
- Air India stake sale: Govt allows 49% foreign ownership in national carrier.
- UDAN-2: Kargil among 325 new air routes announced; SpiceJet, Indigo to offer helicopter services.
- Railways sets Dec 2018 as target to link locomotives via ISRO satellites.
- NHAI constructs 1,600 km of new highways till November; pace touches 7 km/day.
- Govt approves Rs 5,369-crore waterway project on National Waterway-1 (NW-1).
- Mercedes-Benz India becomes first manufacturer to launch BS-VI compatible car in India.
- Nissan, NASA to collaborate on research into future autonomous vehicles.
- Volkswagen reports record global 6.2 million car sales in 2017.
- Apollo Tyres signs MoU with Govt of Andhra Pradesh to set-up a manufacturing unit.
- TRAI issues interconnectivity rules, fixes 30-day deadline for entering agreements.
- Tata Group pays back Rs 17,000 crore of teleservices debt to banks.
- Saudi Arabia and UAE introduce 5% VAT in bid to narrow deficits.
- Pakistan central bank approves Chinese yuan for bilateral trade, investment activities with China.
- Salil Parekh takes over as Infosys CEO and MD.
- TCS launches new digital subscription platform on Microsoft Azure.
- Intel, AMD announce 8th-generation processor with Radeon Graphics.
- Global 3D experience major Dassault Systèmes signs MoU with Andhra govt.
- Qualcomm signs $2 billion sales MOUs with Lenovo, Xiaomi, Vivo and Oppo.
- Microsoft introduces AI to enhance translation in Hindi, Bengali, Tamil.
- Indian pharma companies get record 300 USFDA generic drug nods in 2017.
- SRL becomes first diagnostics firm to record Rs 10 billion in revenue.
- Brent hits $71 for 1st time since 2014.
- ONGC gets govt nod to sell stake in Indian Oil, GAIL to fund Rs 36,915 crore HPCL buyout.
- US slaps ‘America First’ duties on foreign solar goods, washing machines.
- Canada and 10 other countries agree to new Trans-Pacific trade pact, without the US.
- Future Group acquires Snapdeal’s logistics arm Vulcan Express for about Rs 50 crores.
- Patanjali enters into an agreement with e-commerce Websites.
- Nestle sells its US confectionery business to Italy’s Ferrero for $2.8 billion.
- WhatsApp launches ‘WhatsApp Business app’ for SMEs.
- Xiaomi partners with Smartbox to offer deliveries through automated parcel terminals across India.
- Samsung pips Intel to become top semiconductor player globally.
- Xiaomi outpaces Samsung to become top smartphone seller in India in Q4 2017.
- India ranks 2nd only to South Africa as the cheapest country to live or retire: GoBankingRates Survey
- ICICI Bank reports 32.42% fall in Q3 net profit at Rs 1,650.24 crores, reports 10% growth in loan book.
- HDFC Bank Q3 net profit jumps 20% to Rs 4,642.6 crores, GNPA stood at 1.29%, NNPA eases to 0.44%.
- Axis Bank reports 25% jump in Q3 profit at Rs 726 crores; GNPA declines to 5.28%.
- Kotak Mahindra Bank’s Q3 consolidated net profit up at Rs 1,624.24 crores, GNPA eases to 2.01%.
- Yes Bank Q3 profit rises 22% to Rs 1,076.87 crores, asset quality improves, gross NPA at 1.72%.
- IDBI Bank Q3 net loss narrows to Rs 1,524 crores, GNPA stood at 24.72%.
- Federal Bank Q3 net rises 26.1% to Rs 260.01 crores, NNPA stood at 1.36%, GNPA declines to 2.52%.
- Vijaya Bank reports 65.45% decline in net profit at Rs 79.56 crores.
- TCS reported Q3 Net profit at ₹ 6,531 crore up 1.3%, Revenue at ₹ 30,904 crore up 3.9% YoY.
- IndusInd Bank reported Q3 Net profit at ₹ 936.2 crore up 24.7%,NII increased 20% to ₹ 1,895 crore.
- HDFC Q3 profit jumps 233.3% to Rs 5,670.2 crores on stake sale in life insurance business.
- Infosys Q3 profit jumps 38% to Rs 5,129 crores; maintains FY18 revenue, EBIT margin guidance.
- HCL Tech profit ups 0.3% to Rs 2,194 crores, revenue up 3% to Rs 12,808 crores, dollar revenue up 3.1%.
- Wipro’s Q3 profit drops 11.85% to Rs 1,930 crores, revenue up 1.83% YoY to Rs 13,669 crores.
- Tech Mahindra Q3 profit grew by 12.8% to Rs 943 crores, revenue rises 2.2% to Rs 7,776 crores.
- HUL Q3 profit jumps 28% YoY to Rs 1,326 crore, volume growth comes at 11%.
- ITC net profit rises 16.75% to Rs 3,090.20 crores, total income declined 35.86% to Rs 10,579.11 crores.
- L&T reports 53% jump in Q3 profit at Rs 1,490 crores, wins Rs 48,130 crore orders during the quarter.
- UltraTech Cement Q3 profit falls 2% to Rs 422 crores QoQ, domestic sales volume increase 37% YoY.
- Airtel’s Q3 net profit drops 11% to Rs 306 crores, revenue declined 6.7% to Rs 20,320 crores.
- Idea Cellular Q3 net loss widens to RS 1,284 crores; revenue stood at Rs 6,510 crores.
- United Spirits Q3 net profit slips 8.8% to Rs 134.7 crores, revenue declines 7.8% to Rs 2,263 crores.
- Maruti Suzuki Q3 profit up 3% to Rs 1,799 crores, revenue grew by 14.2% to Rs 19,283 crores.
- TVS Motor reports 16.3% jump in Q3 net profit at Rs 154.35 crores, revenue rises 23.5%.
- Biocon’s Q3 net profit drops 46% to Rs 92 crores, net sales rose 1.3% to Rs 1,057.9 crores.
- Dr Reddy’s Labs Q3 net profit drops 28.86% to Rs 334 crores, revenue rises 7% to Rs 3,806 crores.
- IOC Q3 net profit jumps 97.3% to Rs 7,883.32 crores, approves bonus issue 1:1.
|Indices||31-Jan||29-Dec||% 1M||01-Jan||% since Jan|
|Crude Brent $||68.67||66.87||2.69%||67.13||2.29%|
|Crude Nymex $||64.79||60.42||7.23%||60.62||6.88%|
|NIFTY SECTORAL INDICES|
|Sectors||BANK NIFTY||CNX IT||CNX AUTO||CNX FMCG||CNX PHARMA|
|% since Jan||8.14%||12.28%||-2.34%||1.65%||-2.43%|
|INDIAN TRADE( USD MILLION)|
|Government Bond 10Y||7.43%|
|Forex Reserves $ M||414780|
|INSTITUTIONAL TRADING ACTIVITY|
|Particulars||FII (Rs.crore)||MF (Rs.crore)|
|Total 1 M||21663||25932|
|Total Since Jan||21663||25932|