2nd July, 2020 Morning Brief

Market will open with a gap up today in continuation with yesterday's rally.

Asian markets are trading with gains this morning after positive developments over a potential vaccine for Covid-19. The vaccine development took precedence on investor sentiment over rising infections and tensions over Hong Kong.

The S&P 500 and Nasdaq indexes closed higher on Wednesday to kick off the third quarter as increasing optimism for a safe and effective COVID-19 vaccine eased concerns that another round of business lockdowns was likely.

The Dow Jones Industrial Average fell 77.91 points, or 0.3%, to 25,734.97, the S&P 500 gained 15.57 points, or 0.50%, to 3,115.86 and the Nasdaq Composite added 95.86 points, or 0.95%, to 10,154.63.

The U.S. monthly jobs report will be released later today.

🎯 NBFCs : Finance Ministry rejects NBFC industry’s request for longer-term liquidity assistance. Liquidity instruments under the scheme will have a maturity of only three months again 3 years applied for by the NBFC body to FM.                      NBFCs' bad loans to rise to 5-7% in current fiscal: ICRA                  Negative for the stocks. 

🎯 Infra & Conglomerates : Railways invites proposals from private companies to run passenger trains. Positive move. 

🎯 BSE /MCX : Sebi on Wednesday came out with a set of standard operating procedures for stock exchanges, clearing corporations and depositories to deal with possible defaults by trading or clearing members. 

🎯 REITs, InvITs : SEBI relaxes compliance deadline for REITs, InvITs by extending the regulatory due date for filing and compliance for Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InVITs) for the financial year ended March 31. Positive for the stocks. 👍

🎯 ABB Power & Product Systems : Hitachi and ABB announce the formation of Hitachi ABB Power Grids Ltd., after completion of all required procedures as planned. Positive for the stock. 👍 

🎯 Dixon Technologies :            Forays into manufacturing set top boxes. Total investment in the same to be Rs 40-50 lakh. The company expects a revenue of Rs 100-150 crore from the same in FY21. 

🎯 Eveready Industries :                Core categories of batteries and flashlights witnessing healthy demand due to sharp decrease in dumped imports from China and disruptions caused to the unorganised market due to non-availability. 

🎯 Polycab :                      Incorporated a wholly-owned arm in Australia.

🎯 June Auto Sales 

TVS Motor : Overall sales down 33.2% to 1,98,387 units Two-wheeler sales down 32.5% to 1,91,076 units Motorcycle sales down 35.7% to 84,401 units Scooter sales down 33.6% to 84,401 units Exports down 24% to 53,123 units Three-wheeler sales down 46.4% to 7,311 units. Tata Motors : Overall sales down 82% to 25,047 units Domestic sales down 82% to 23,845 units Total Commercial Vehicle sales down 90% to 10,476 units Commercial Vehicle Exports down 78% to 1,202 units M&HCV sales down 92% to 2,117 units Total Passenger Vehicle sales down 61% to 14,571 units.          Ashok Leyland : Overall sales down 81% to 2,394 units M&HCV Truck sales down 90% to 632 units M&HCV Bus sales down 94% to 123 units LCV sales down 63% to 1,639 units. 

🎯 Dish TV : Promoter Direct Media Distribution Ventures invoked pledge of 1.66 crore shares on April 13. Positive for the stock. 👍 

🎯 Eveready Industries : Promoter Williamson Magor invoked pledge of 32 lakh shares on March 6. Positive for the stock. 👍 

🎯 Asian Paints : Promoters released pledge of 27 lakh shares between June 26-29. Positive for the stock. 👍 

🎯 Cyient : Promoters acquired 2.64 lakh shares between June 26-29. Positive for the stock. 👍 

🎯 Adani Ports and SEZ : Promoter Flourishing Trade acquired 7.2 lakh shares on June 30. Positive for the stock. 👍 

🎯 Dr Lal Pathlabs : Promoter Dr Vandana Lal sold 57,584 shares between June 29-30. 

🎯 Quess Corp : Promoter Ajit Isaac acquired 90,000 shares on June 30. Positive for the stock. 👍 

🎯 PSP Projects : Promoter Prahladbhai Patel acquired 60,000 shares between June 26-30. 

Positive for the stock. 👍