MarketBuzz
1246: Marketbuzz Podcast with Kanishka Sarkar: Sensex, Nifty to start in green; phase 3 voter turnout key to watch
Good morning, everyone. Welcome back to CNBC TV 18's Market Pass podcast. This is your host, Kanishka Sarkar bringing you all the important updates ahead of today's training session. With first step, a look at some global cues. Asian markets are rising on the back of a subdue dollar, lower U.S. bond yields and lows of financial conditions and the more benign outlook for U.S. interest rates lately is delivered. Now Tuesday looks like being another positive day for risk assets. Buying momentum should be strong after another day of solid gains on Wall Street and the bullishness across local markets is palpable. China opens strongly after last week's holiday. Volatility in Japan's currency market has subsided and Hong Kong stocks are on their best run in 6 years. The hank saying has now been up 10 days on the chart, gaining a remarkable 15% in the process. The May event though is the Reserve Bank of Australia's policy decision are more accurately the guidance offered by Governor Michelle Bullock in her press conference after the bank keeps its cash rate on hold again at 4.35%. Overnight in the U.S. an announcement from Hamas on Monday that it had accepted an Egyptian Qatari ceasefire proposal to end the war with Israel also gave stocks boost with Dow Jones notching a 4th consecutive winning session up half a percent. The S&P 500 advanced a percent while the NASDAQ composite gained more than a percent. Meanwhile, oil prices ticked up early today after Israel struck Rafa in Gaza while negotiations for a ceasefire with Hamas continued without resolution. Brent crude futures were up half a percent at $83.79 a parallel. Prices had etched upward on Monday, partially reversing the declines of last week in which both contracts posted their steepest weekly loss in three months with the focus on weak U.S jobs data and the possible timing of Federal Reserve interest rate cut. Now some important cues on the domestic front. Eleven Indian states and territories including Prime Minister Modi's home state of Gujarat have begun voting this morning in the third phase of Lok Sabha elections. Today's polling covers 94 seats in 11 states and territories with Gujarat and Maharashtra in the West and Karnataka in the South. The markets will closely watch the turnout after it fell short in the first two phases. The slow burning idea is that BJP's prospects in the election may not be as clear-cut as the opinion polls have showed earlier. About the market, the NFTAs struggling to sustain at intraday highs, this is a trend witness through most of the last 10 trading sessions, particularly four out of the last five sessions. Even after opening with steady gains and building on them during Monday's session, the index began to turn downwards within 15 minutes of trade starting. Eventually, the NFT ended 150 points of the day's high. Multiple factors contributed to the sour sentiment on Monday, despite global cues being very positive. The Reserve Bank of India's draft guidelines on project financing sent PSU banks tumbling down with the index falling nearly 4% in its biggest single-day drop in two months. The other sector impacted due to RBI draft guidelines were power financiers. RE, CE, PFC and IRADA fell anywhere between 4 to 9% yesterday. Losses seen in the small caps, metals and media stocks offset the gains reported by FMCG, IT and real estate. Foreign investors remain net sellers in the cash market while domestic institutions were net buyers. However, this morning as well, the Gif NFT was trading higher at a premium of more than 40 points from NFT's future Monday close, indicating a start in the green for the Indian market. The stocks to track today include Godreich consumer products. The company reported its March quarter result yesterday. Revenue of 3,385 crore rupees was slightly higher than the CVNBC TV18 pole projection. It posted a net loss of 1,890 crorepees compared to a net profit of 450 crores last year. Hindalco will also be in focus as its US subsidiary, Nobelus, has reported a net profit which went up 6% to $166 million whereas revenue was down 7% to $4.1 billion. Lupin's revenue and profit meanwhile missed estimates while margins met expectations. Margin sustained above 20% for the second quarter in a row. Lupin has also got US FT approval for travel across Optimalic Solution USP which is a drug used to treat increased pressure in the eye caused by open angle glaucoma or hypertension in the eye. Meanwhile, HPCL board is due to meet on May 9th to consider bonus issue of shares. Gujarat gas will also be tracked on the back of earnings report. The net profit of 409 crore rupees was higher than the pole projection of 326 crore rupees whereas the profit went up 86% year on year. DCM Sri Ram's net profit slipped 37% from last year to 117 crore rupees whereas the revenue was down 12% to 2,399 crore rupees. Meanwhile, Tamil land mercantile bank has hiked lending rates by 10 to 15 basis points across 10 hours. So this stock will also be tracked. Well, those are the few cues to watch out for today. This is Kanushka Saka signing off. Have a good training session. Stay tuned to CNBC TV80 for more. [MUSIC]