10th August, 2020 Morning Brief

Market will open on a flat note as global markets remained cautious as investors eyed US fiscal stimulus and US-China tensions.

Asian markets have opened mixed at the start of the new trading week. Investors are looking forward to this week's expected review of the U.S.-China trade pact. Gold has dipped while oil prices have advanced after Saudi Arabia's state-controlled producer said that it expects energy demand to pick up going forward.

The S&P 500 retreated from a near six-month high in choppy trading on Friday with data showing a sharp slowdown in US employment growth, while US-China tensions escalated with President Donald Trump’s move to ban WeChat and TikTok.

The Dow Jones Industrial Average rose 0.17%, the S&P 500 gained 0.06% and the Nasdaq Composite dropped 0.87%. The declines snapped the Nasdaq's seven-session streak of gains.

Oil prices climbed in early trade on Monday on hopes for a stimulus deal to shore up the U.S. economic recovery as US adds 1.8 million jobs in July making an unemployment rate fall to 10.2% and a pledge from Iraq to deepen its crude oil supply cuts. U.S. West Texas Intermediate (WTI) crude futures rose or 1.2%, to $41.71 a barrel at 0010 GMT.

🎯 News & Impact 🎯

Major Results Today : Bank of Baroda, Powergrid, Shree cement, Titan

🎯 Telecom stocks : Telecom stocks will be in focus in today's session as the Supreme Court is expected to give its final verdict in the AGR case today.

🎯 Defence-related stocks : These stocks may also trade actively today after the government yesterday announced a phased, year-wise embargo on the import of 101 items of defence equipment. The military will be required to buy it from Indian defence manufacturers.

🎯 Divi's Laboratories Q1FY21 : Revenue up 48.8% to Rs 1,730.5 crore. Net profit up 80.6% to Rs 492 crore. Ebitda up 81% to Rs 700 crore Ebitda margin at 40.4% from 33.2%. Positive for the stock. 👍 

🎯 Shilpa Medicare Q1FY21 : Revenue up 38.4% to Rs 222.9 crore. Net profit up over five times to Rs 86.3 crore. Ebitda more than doubles to Rs 65.7 crore. Ebitda margin at 29.5% from 17.9%. 

🎯 REC Q1 : Profit at Rs 1,845.3 crore versus Rs 1,509 crore, revenue at Rs 8,446.7 crore versus Rs 6,815.3 crore YoY. Positive for the stock. 👍 

🎯 Cipla Q1FY21 : Revenue up 9% to Rs 4,346 crore. Net profit up 21% to Rs 578 crore Ebitda up 16% to Rs 1,049 crore. Ebitda margin at 24% from 23% India business revenue up 16% to Rs 1,608 crore. North America business revenue down 9% to Rs 1,021 crore. Positive for the stock. 👍 

🎯 Affle India Q1FY21 : Revenue up 20.3% to Rs 89.8 crore. Net profit up 42.3% to Rs 18.8 crore. Ebitda up 20.3% to Rs 22.5 crore. Ebitda margin flat at 25%. Positive for the stock. 👍 

🎯 Birla Corporation : To increase grinding cement capacity to 1.54 MTPA from 1.3 MTPS at its Durgapur facility for an investment of Rs 72.6 crore.

🎯 Shipping Corporation of India Q1 : Profit at Rs 336.87 crore versus loss Rs 28.9 crore, revenue at Rs 1,143.46 crore versus Rs 918.95 crore YoY.

🎯 Dr Reddy's Labs : Company gets US FDA nod for generic of Cuprimine Capsules and Nicorette Lozenges.

🎯 NBCC : All pending appeals before NCLAT with respect to Jaypee Infratech's resolution plan are to be transferred before the Supreme Court to avoid delay in the execution of the plan.

🎯 Eveready Industries and McLeod Russel : IndusInd Bank has acquired 7.82% stake in Eveready Industries and 7.5% stake in McLeod Russel India after invoking shares pledged by promoter Williamson Magor.

🎯 Max Financial Services : Promoter Max Ventures Investment sold 61 lakh shares on August 5. Negative for the stock. 

🎯 Hatsun Agro Products : Promoter RG Chandramorgan acquired 1.32 lakh shares on August 4. Positive for the stock. 👍

🎯 JSW Steel : Promoter Danta Enterprises released 3 lakh pledged shares. Positive for the stock. 👍

🎯 JSW Energy : Promoter Danta Enterprises released 30 lakh pledged shares. Positive for the stock. 👍

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Edited by Sharp.