Hi there, Good Morning. Welcome to ETMarkets Morning, the show about money, business and markets. I am Nikhil Agarwal. Let’s start with the headlines first.
– RBI weighs priority sector loans for electric vehicles
– Cabinet may discuss crypto bill this week
– Tata, Honda mulling price hike from Jan
Now lemme give you a quick glance on the state of the markets.
Asian stocks traded mostly lower in early morning trade Monday, with lingering worries over a US rate hike partly offset by potentially positive news on the severity of the Omicron coronavirus variant. MSCI’s index of Asia-Pacific shares outside Japan was down by 0.45 per cent.
Elsewhere, the yield on 10-year Treasuries rose three basis points to 1.38%. Riskier currencies fought for a foothold on Monday against a dollar, buoyed by uncertainty around the Omicron variant and the expectation of more hot US inflation data putting upward pressure on interest rates. Bitcoin found support around $49,000 on Monday. Oil prices rose by more than $1 a barrel on Monday after top exporter Saudi Arabia raised prices for its crude sold to Asia and the United States, and as indirect US-Iran talks on reviving a nuclear deal appeared to hit an impasse.
That said, here’s what is making news.
Overseas investors remain in selling mode, but fund managers handling money of the rich are advising investors to deploy cash in select stock market themes after the recent correction. Most of them are bullish on corporate banks, housing and telecom sectors. ET spoke to fund managers of seven Portfolio Management Services (PMS). Within equities, these money managers are more inclined towards large-caps amid the looming uncertainty of the new coronavirus variant, inflation risks and liquidity withdrawal by central banks.
Amid a growing perception that cryptocurrencies could be ‘regulated’ and not banned in India, Kotak has emerged as the first major bank to open its doors to the crypto community. After almost eight months of payment freeze by most high-street banks that continue to shun crypto investors and bourses, Kotak Bank will do business with WazirX, one of the country’s largest crypto exchanges.
The Reserve Bank of India (RBI) will likely keep its key interest rate and monetary stance unchanged when it announces the policy on Wednesday, according to an ET poll of economists and traders. The RBI Monetary Policy Committee is meeting December 6-8. The central bank could also provide commentary aimed at reining in bond yields and signal that it’s moving to normalise monetary conditions to avoid a future price spiral, said the survey’s 23 participants.
RateGain’s IPO price band seems to be significantly higher than the weighted average cost of Rs 106.5 per share for shares acquired in the year prior to the IPO by existing shareholders. RateGain’s exclusive focus on the travel and hospitality sector, which has been hit hard by the pandemic, is a concern. Risk-averse investors, therefore, need to wait for a clear trend in the growth and profitability to emerge after the listing.
NOW Before I go, here is a look at some of the stocks buzzing this morning…
With input costs continuing to rise, automakers like Tata Motors, Honda and Renault are looking to increase vehicle prices from January next year to offset the impact. Already, car market leader Maruti Suzuki and luxury automakers Audi and Mercedes-Benz have announced to hike vehicle prices from next month.
Federal Bank has sold its loan exposure in Chenani Nashri Tunnelway (CNTL) to an Ares SSG Capital-backed asset reconstruction company at a discount of 25%, ET reported.
American Airlines is in the process of getting requisite approvals
from the US government for its codeshare agreement with IndiGo airlines and the partnership is likely to implemented by March 2022, a senior official of the Texasbased carrier has stated.
Indraprastha Gas Limited has hiked CNG prices in Delhi, Haryana and Rajasthan.
Do also check out over two dozen stock recommendations for today’s trade from top analysts on ETMarkets.com.
That’s it for now. Stay with us for all the market news through the day. Happy investing!