In today’s briefing:
- Ohayo Japan | US and Canada Agree to 30-Day Tariff Pause Amid Border Deal
- Economic Survey Highlights Potential Risk for the Indian Stock Market
- Japan Morning Connection: Trump Tariff U-Turn Will Help Markets Start Better
- Thematic Report: Impact of Indian Budget 2025 on Sectors and Companies
- India: Monthly Insider Buying Update – January 2025
- Charted Insights: How Rising Per Capita Incomes Shape Discretionary Consumption in India?
- Singapore Market Roundup (03-Feb-2025): DBS reports Feb 10, Maybank predicts surprises.
- 96# India Insight: Rashmi Saluja Sues Religare, JSW Energy Revises Capex, Budget 2025 Highlights.
- Thematic Report: Indian Shrimp Industry: Changing Fortunes
- Monday Delight: 27/01/25
Ohayo Japan | US and Canada Agree to 30-Day Tariff Pause Amid Border Deal
- US and Canada announced a 30-day pause on planned 25% tariffs late Monday, following a phone call between President Donald Trump and Prime Minister Justin Trudeau.
- Consumer discretionary and tech stocks lagged, with Nvidia, Apple, and Tesla all sliding over 2.5%.
- SoftBank Group and OpenAI have announced a partnership to develop and market “Cristal intelligence,” an Advanced Enterprise AI solution.
Economic Survey Highlights Potential Risk for the Indian Stock Market
- The Economic Survey highlighted potential risks to India’s stock market in 2025 due to high valuations and optimistic sentiments in the US.
- India’s growing retail investor base adds resilience, but many new investors lack experience with market corrections, increasing vulnerability to US market downturns.
- The survey highlights the historical correlation between Indian and US equities, noting that Nifty 50 declined in 21 out of 22 instances when the S&P 500 corrected by over 10%
Japan Morning Connection: Trump Tariff U-Turn Will Help Markets Start Better
- Weak tape for tech over mixed signalling out of White House.
- Kyocera earnings missed but management seem to be pulling the right levers (finally) on the restructuring front.
- Ibiden tarred by the Shinko brush, but what about its NVDA exposure?
Thematic Report: Impact of Indian Budget 2025 on Sectors and Companies
- Budget FY26 treads a fine balance between promoting consumption without compromising on fiscal prudence and maintaining continuity on capex.
- This report highlights the sector and stock-specific impact of announcements
- Nifty50 EPS growth will remain tepid but it could be much better in FY26E. Post the double-digit market correction, Nifty50 large caps seem less expensive (trading at < +1 sd).
India: Monthly Insider Buying Update – January 2025
- Insider buying activity often signals that a positive shift in the business cycle may be approaching for certain businesses.
- As January 2025 was a month of earnings season,very few companies reported insider transactions. However,given the correction in Indian market,we should expect increased buy transactions once the earnings season concludes.
- Cyient Ltd (CYL IN) witnessed significant buying by the company’s promoters
Charted Insights: How Rising Per Capita Incomes Shape Discretionary Consumption in India?
- Economic growth leads to increased discretionary consumption, with higher income levels driving demand for a broader and more sophisticated range of consumer goods.
- This pattern suggests opportunities for businesses to innovate and expand their offerings as economies develop.
- With economic progress and higher incomes (US$ 5,000 and beyond), consumers begin to spend more on mobility and durable goods.
Singapore Market Roundup (03-Feb-2025): DBS reports Feb 10, Maybank predicts surprises.
- DBS to kick off bank results on Feb 10, emphasis on capital management; Maybank anticipates surprises from DBS and UOB.
- DBS maintained ‘buy’, while OCBC downgraded Starhill Global REIT to ‘hold’ after 1HFY2025 results, resulting in a lowered TP.
- DBS raised Yangzijiang Shipbuilding’s TP to $3.80 due to improved margins and robust orderbook, reflecting an upgrade.
96# India Insight: Rashmi Saluja Sues Religare, JSW Energy Revises Capex, Budget 2025 Highlights.
- Rashmi Saluja, CEO and Chairperson of Religare Enterprises (RELG IN) , sues the company to prevent a potential takeover by the Burman family. (promoter family of Dabur India Ltd (DABUR IN))
- JSW Energy Ltd (JSW IN) revises its FY25 capex target to Rs 10,000 crore, down from Rs 15,000 crore, shifting focus to acquisitions due to sectoral constraints.
- The Union Budget 2025 allocates Rs. 6.81 lakh crore to defence, with Rs. 4.88 lakh crore for revenue and Rs. 1.92 lakh crore for capital expenditure.
Thematic Report: Indian Shrimp Industry: Changing Fortunes
- The shrimp industry is recovering from a prolonged slump as Ecuador’s production declines due to power cuts and drought, and India’s adverse weather impacts yield.
- India’s shrimp exports, critical to its seafood trade, are poised to benefit from higher global prices, a recovery in Western demand, and favorable domestic production conditions.
- Rising prices and demand create optimism for India’s shrimp producers, but challenges like competition from Ecuador, cost pressures, and geopolitical risks remain.
Monday Delight: 27/01/25
- Welcome back to Monday Delights!
- This is your Monday morning dose of inspiration. Each week, I’ll share five intriguing investment ideas that recently caught my attention. These ideas are meant to spark your research and help you kickstart the week ahead with fresh insights.
- The ideas will often be concise, with occasional references to valuable work from other practitioners that I encourage you to explore.
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