The US-China trade war, sluggish global economy and a prolonged subdued demand took the sheen of steel in recent times but brokerages and experts are now seeing a glint of revival in the sector.In a report on December 6, Edelweiss Securities said that the US-China trade war had not curbed steel trade in Asia. Besides, China’s production rate had likely peaked and the construction demand in the first half of the calendar year 2020 could even surpass the estimates.Also, low raw material prices are helping maintain the margins in China. All these factors augur well for steel manufacturers, as a stable market balance in China is critical for them.Close "Apprehensions of China upsetting the steel applecart are overdone due to limited capacity increase (38mt) through to calendar year 2023 and steady growth in construction and infrastructure segments, which is 52 percent of demand," said Edelweiss Securities. related news 'Investors with long-term horizon can look at … [Read more...] about Signs of recovery and hope; are steel manufacturers finally ready to shine?
Share prices of insurance companies rallied 2-8 percent in the morning trade on December 10 after a media report said that the government may raise the foreign direct investment (FDI) limit in the sector.HDFC Life Insurance Company, SBI Life Insurance Company and ICICI Prudential Life Insurance Company gained more than 2 percent each, while General Insurance Corporation of India climbed 4 percent and New India Assurance Company rose 7.8 percent."The government may raise the overseas investment limit in insurance to 74 percent in the February budget, up from 49 percent now, possibly paving the way for foreign control of companies," The Economic Times quoted people with knowledge of the matter as saying.Close The Insurance Regulatory and Development Authority of India (IRDAI) sought the views of stakeholders in a December 2 letter on the direction of the government. The letter, to insurance companies and others, has called for suggestions on raising the FDI … [Read more...] about Insurance stocks gain 2-8% on report of likely increase in FDI limit
Shares of RBL Bank fell 2.8 percent intraday on December 10 as global brokerage house Morgan Stanley remained bearish on the stock citing asset quality concerns.The brokerage has an underweight rating on the stock with a target price of Rs 240 per share, implying 28.4 percent potential downside from current levels. Valuations at 1.5x FY21 appear unattractive, it feels.The stock has already lost 50 percent of its value in last six months, especially due to volatility over asset quality of the bank and weak guidance for second half of FY20.Close At the time of publishing this copy, RBL was quoting at Rs 330, down Rs 4.95, or 1.48 percent on the BSE. related news 'Investors with long-term horizon can look at increasing allocation in small & midcaps' Signs of recovery and hope; are steel manufacturers finally ready to shine? Morgan Stanley believes RBL Bank has strong longer term growth potential."The bank is in the early stages of growth; it remains one of the smallest in … [Read more...] about Morgan Stanley bearish on this private lender, expects 28% downside
The market always has stock opportunities whether it is a bull, bear or consolidative phase, say experts. It is for the investor to pick the right stock at the right time and the right price.Ever since the government took a raft of measures, including a cut in the corporate tax rate, experts have turned more bullish, though the market seems to have already priced in expected earnings growth. The benchmark indices have rallied 13 percent since September 20, the day the corporate tax was lowered.Most experts expect earnings and economic growth to pick up in the next financial year, though Q2 GDP pointed to a deepening slow down in the economy. The third quarter is unlikely to be better, considering the weakness across major sectors.Close Experts do not see a major improvement in earnings this year and GDP growth could be well below 5 percent. They, however, do expect double-digit earnings growth next year, with around 6 percent growth in GDP though on a low base of last year. … [Read more...] about Brokerages bullish on these 10 multi-cap stocks; expect 14-121% return in 8-15 months
The rupee pared initial losses and settled 16 paise up at 71.04 against the US dollar on December 9 amid softening crude oil prices and weakening of the greenback vis-a-vis other currencies overseas.Fresh foreign fund inflows and positive developments on the US-China trade front also propped up the local unit, forex traders said.At the interbank foreign exchange market, the rupee opened at 71.24 against the US dollar. During the day, the domestic unit fluctuated between a high of 71.02 and a low of 71.27 and finally ended the day at 71.04 against the US dollar.Close On Friday, the rupee had settled at 71.20. related news Sterlite Technologies, IIT Madras sign pact for 5G advancement Issue of non-payment of salaries to HPCL employees raised in Rajya Sabha AGR imbroglio | DoT asks telcos to pay dues on time, clear doubts by Dec 13: Report "The strength in Asian peers also supported rupee gains. Asian currencies rose as concern about trade tensions eased, with President Donald … [Read more...] about Rupee darts up 16 paise to 71.04 against USD