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Amazon's results bring down Asian market, will India be affected?

Good Morning Everyone, If you are not aware, the image above is the headquarters of Amazon in the US and we will talk about it in a while.

Today we are not only on the last trading day of the week but also for the month. Let us look at how the markets have fared across the globe yesterday.

Global Markets:

US market rebounded after Asian markets yesterday after the Federal Reserve said that it is in no hurry to raise the interest rates & The number of Americans collecting unemployment benefits slid last week, another sign that the job market continues to recover rapidly from the coronavirus recession. Jobless claims dropped by 24,000 to 400,000 last week, the Labor Department reported Thursday.

All these positive news boosted the Dow Jones Industrial Average to a record high of 35,171.52 points before closing up 0.4%. The S&P 500 also jumped to an all-time high of 4,429.97 points before finishing 0.4% higher, while the Nasdaq Composite added 0.3%.

But after the US markets closed yesterday, Amazon came with its results & it was below the analyst's expectation, after which we could see some profit booking in the Asian market as the US market will react to the news only today evening.

Japan’s Nikkei 225 dipped 1.2% in early trade, while the Topix lost 0.81%

Indian Markets:

Trends on the SGX nifty indicate a negative open after the Asian markets witnessed profit booking in early trades today and may open at around 15750. However, one good news in India is that Chief Economic Advisor K V Subramanian yesterday said, Headline inflation will come down under the 6 percent mark in July itself but will stay at an elevated level of over 5 percent for some time. Such an outcome will get the price rise back into the upper end of the target band given to RBI, he said, adding that consumer price inflation had breached the mark for three consecutive quarters last fiscal because of supply-side issues like challenges in the movement of goods.

"With reasonable probability, I expect this month the (inflation) print to come less than 6 percent," Subramanian told a conference organised by industry lobby FICCI.

And the real estate sector which has been stressed for quite some time now has started showing signs of improvement since the first quarter of the current fiscal and its contribution to the country's GDP is expected to reach 10 percent by 2025 from the current 7 percent, a top government official said on Thursday.

Union Housing and Urban Affairs Ministry Secretary Durga Shanker Mishra also said that the National Urban Digital Mission has taken up steps to connect nearly 2,535 cities across India to improve connectivity.

The real estate sector's contribution to the GDP is 7 percent now and it is expected to reach 10 percent by 2025. The sector in India is set to be valued at USD 1 trillion in the next few years as the country aims at USD 5 trillion economies, he said at an interactive session with the Bharat Chamber of Commerce.

Results Today

Britannia Industries, Sun Pharmaceutical Industries, UPL, Bandhan Bank, Indian Oil Corporation, Aditya Birla Fashion and Retail, Allied Digital Services, Asahi India Glass, Bharat Heavy Electricals, Birla Tyres, Blue Dart Express, Chemfab Alkalis, Cholamandalam Investment and Finance Company, LT Foods, Dalmia Bharat Sugar, Equitas Small Finance Bank, Exide Industries, Fairchem Organics, Finolex Industries, Gravita India, HIL, Hindustan Organic Chemicals, Jindal Saw, JK Paper, JSW Energy, Kansai Nerolac Paints, KEC International, Dr Lal PathLabs, Macrotech Developers, Marico, Nazara Technologies, PI Industries, Rossari Biotech, Shriram Transport Finance, Sundaram-Clayton, Sunteck Realty, V-Guard Industries, and Zydus Wellness will release quarterly earnings on July 30.

FII and DII data

Foreign institutional investors (FIIs) net sold shares worth Rs 866.26 crore, while domestic institutional investors (DIIs) net purchased shares worth Rs 2,046.96 crore in the Indian equity market on July 29.

Stock Specific News:

Tech Mahindra | The company’s Q1FY22 net profit rose 30.8 percent to Rs 1,353.2 crore from Rs 1,081.4 crore, and revenue rose 4.8 percent to Rs 10,197.6 crore from Rs 9,729.9 crore, QoQ. The dollar revenue grew 4.1 percent QoQ to $1,383.6 million, while constant currency revenue growth was at 3.9 percent.

TVS Motor Company | The company reported a profit of Rs 53.1 crore in Q1FY22 against a loss of Rs 139.1 crore in Q1FY21. Revenue jumped to Rs 3,934.4 crore from Rs 1,431.7 crore, YoY.

Indus Towers | The company’s Q1FY22 consolidated net profit rose to Rs 1,415 crore from Rs 1,121 crore and revenue increased to Rs 6,797 crore from Rs 6,086 crore, YoY.

Container Corporation of India | The company reported Q1FY22 net profit at Rs 258.4 crore as against Rs 58.3 crore, YoY. Revenue rose 52.4 percent to Rs 1,819.9 crore from Rs 1,194.2 crore, YoY.

Union Bank of India | The bank reported over three-fold jump in Q1FY22 standalone net profit at Rs 1,181 crore from Rs 333 crore, YoY, helped by higher net interest income and improvement in asset quality. NII grew 9.53 percent to Rs 7,013 crore from Rs 6,403 crore, YoY.

Raymond | The company reported a consolidated loss at Rs 157.1 crore in Q1FY22 against a loss of Rs 247.6 crore in Q1FY21, revenue jumped to Rs 825.7 crore from Rs 163.2 crore, YoY.

Infibeam Avenues | The company, two senior officials and its promoter group firm Infinium Motors (Gujarat) Ltd, have settled an alleged insider trading case with markets regulator Sebi after paying Rs 2.9 crore collectively.

JK Lakshmi Cement | The company reported a higher standalone net profit at Rs 118.7 crore in Q1FY22 against Rs 44.4 crore in Q1FY21, while revenue rose 49.3 percent to Rs 1,231.5 crore from Rs 825 crore YoY.

Welspun Enterprises | The company’s Q1FY22 consolidated net profit rose 28.36 percent to Rs 25.66 crore from Rs 19.99 crore and revenue increased to Rs 413.37 crore from Rs 221.83 crore, YoY.

Oberoi Realty | The company reported an over two-fold jump in consolidated net profit at Rs 80.81 crore for Q1FY22 as against Rs 29.27 crore, YoY. Revenue rose to Rs 294.77 crore from Rs 126.86 crore, YoY.

Ajanta Pharma | The company’s Q1FY22 net profit rose 17.6 percent to Rs 173.7 crore from Rs 147.8 crore, while revenue increased 11.9 percent to Rs 748 crore from Rs 668.2 crore, YoY.

EIH | The company’s Q1FY22 consolidated net loss narrowed to Rs 114.25 crore from Rs 152.06 crore, YoY. Revenue jumped to Rs 95.93 crore from Rs 29.74 crore, YoY.

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