August 1, 2022
The rally in global equities will be tested as traders expect more volatility until there is more clarity on the omicron variant’s threat to the economy, and ahead of the inflation numbers at US consumption this week and a Federal Reserve meeting next week that could provide clues on the pace of tapering and rising interest rates
Dilip Buildcon plans to float InvIT, could raise 4,000 crore: report
Dilip Buildcon, a private infrastructure construction company, plans to launch an infrastructure investment trust (InvIT) by the start of next fiscal year, the Economic Times reported Thursday.
DBL is likely to lift approximately ??4,000 crore via the proposed InvIT, where the net worth of assets in the course of the business would come ??4,500 to 5,000 crore, one of the people said. Assets can reach an enterprise value of ??15,000 crores.
Market View: Nagaraj Shetti, Technical Research Analyst, HDFC Securities
The bulls have gained some bullish momentum over the past two sessions and the market is now placed at the important junction. A decisive move above 17,550 to 17,600 levels on NSE Nifty could open a further sharp rise to 18,000 levels in a short period of time. Failure to hold above this area is likely to trigger weakness from the highs to the lows of 17,250-17,200 levels on NSE Nifty in the near term.
SGX Nifty Futures Trade Up 0.46% at 17,565
India’s GDP to grow 8.4% in FY 22: Fitch
Fitch Ratings slightly reduced its FY22 growth projection for India to 8.4% from previous forecast of 8.7%, after second wave of covid-19 slowed economic recovery from the country.
The rating company, however, remains bullish on India’s growth outlook for the next fiscal year (FY23), raising its projection to 10.3% from the previous forecast of 10%.
âWe have reduced our GDP growth forecast for fiscal 22 (fiscal year ending March 2022) to 8.4% (-0.3 pp). GDP growth momentum is expected to peak in FY23, at 10.3% (+0.2pp), driven by a consumption-led recovery and the mitigation of supply disruptions, âsaid Fitch said in his World Economic Outlook.
Pulled down by epidemics and lockdowns, India’s GDP contracted by 7.3% in FY21. In the second quarter of FY22, GDP grew by 8.4% %, against a contraction of 7.4% a year earlier. Fitch said despite the strong recovery, the rebound was more moderate than expected, with the services sector continuing to show weakness. Fitch said he expects the performance of the service sector to improve with the lifting of the remaining restrictions.
Asian stocks are broadly higher as traders bet on global recovery amid new strain of virus
Most Asian stocks rose on Thursday, with traders betting the global recovery will resist the new strain of the virus. Treasury bills remained stable after falling.
MSCI Inc.’s Asia-Pacific equities gauge rose for a third day, led by Hong Kong. US contracts remained stable after the tech-rich S&P 500 and Nasdaq 100 prolonged a rally.
China’s central bank set its benchmark rate for the yuan lower than expected against the dollar after the currency rose to its highest since 2018. The pound fell to its lowest this year after further restrictions as the omicron strain spreads. The dollar and crude rose slightly, while the 10-year Treasury yield held above 1.50%.
Japan’s Topix index fell 0.3%, the Australian S & P / ASX 200 index fell 0.1%, South Korea’s Kospi index rose 0.7%, the index Hang Seng rose 1.1%, and the Shanghai Composite Index rose 0.1%.
Overnight, Wall Street closed higher for the third consecutive session amid positive sentiment about the effectiveness of three-dose vaccinations against the latest strain of Covid-19. Major US indices were in the red for much of the trading session, but recovered late to close higher.
The Dow Jones Industrial Average added 0.1% to close at 35,754.75. The broad-based S&P 500 gained 0.3% to close at 4,701.21, while the tech-rich Nasdaq Composite surged 0.6%, closing more than 100 points higher at 15,786.99 .
Never miss a story! Stay connected and informed with Mint. Download our app now !!