Trade Setup 3 April 2020

good morning and welcome to tricks that are right here on Bloomberg quinta immediate sha and it's Friday have before long weekend so well these days every day is like weekend only but nevertheless sir let's get straight to it firstly the car no address updates and then uses Grimm so won't really spend too much into the nuances of which region has got what but yes the world tally of number of cases crosses the 1 million mark it shouldn't surprise people because it was well with the pace at which it was going it was probably only matter of time so it shouldn't come as shock like some milestone number of sorts and therefore important to point it out and mind you now be talking about lock downs and extensions there of Russia and for people who don't know about this Vladimir Putin yesterday has extended the Russian lockdown until April 30th he's saying that Russia has not quite managed it well even Moscow hasn't and therefore the lockdown needs to be extended so extensions are happening while there are debates about whether there should be lockdown law in the first place there are extensions that are happening as well in news as result of coronavirus the impact that's having on frontline businesses and jobs well the US the mother market the jobless claims remember we speaking about these last week as well that the number was very high over three million now the jobless claims search the tally is 10 million in two weeks the job number of jobless claims in the England the reported numbers on Thursday went up almost 6 million this is record number of sorts that anybody in the US markets has seen in really really long time it just shows the number of jobs that are getting lost and shouldn't surprise anybody again but the numbers are slightly warning and across the more that's happening we talking about aviation sector seeing impact emirates etcetera etcetera all doing that british airways has followed 30,000 staff and copy of most of them as well so yes there are pinpoints and pressure points throughout the world economy and businesses but what was actually doing completely contrasting move was oil and donald trump seen that saudis and russia are going to have conversation and there will be cut we do not at least the last time that bloomberg reported the story that is not have confirmation of how exactly this will shape up but those comments alone got oil to bounce back so it had anyways bounce back little bit earlier remember earlier last this week and now I'm trading yesterday really showed sharp uptick so crude oil is certainly on its way up and that actually led the US markets and the European markets to do not all that poorly in trade yesterday the futures as of now are showing slight of mild downtick at least the last time that check the US futures that is so you don't have the most negative of cues you don't have the most positive of cues as well share to bit of mixed bag bit of green you would have to say led no doubt by what happened to crude but it was bit of mixed bag again the last time saw and we were shot yesterday so there's Jake's nifty levels actually indicators start which might be tepid for our markets in the session today I'm frankly that shouldn't surprise anybody frankly if you just look at our trade setup well we may have flat start it might be deceptive for what could happen to trade during the course of the day simply because we have long weekend coming up and people might not want to be in excessively large positions so let's wait and watch how it shapes up think most market participants that spoke to and spoke to few fund managers yesterday money managers yesterday they were all disappointed with the pace at which the fiscal reforms are coming out of the country that is India and that is left bit of Sartre's the monetary pace has been excellent the ADI has done much more than what people anticipated but the pace of the fiscal stimulus if any for corporate India seems to be bit lacking and the FI sign continues unabated with the thousand crores that they're sold yesterday if eyes have humility we sold over billion dollars in this week alone so last week the tapering down of the floors was false alarm shorts they've sold billion dollars in three days alone okay what does this do all of these do for stocks there are bunch of companies that you should monitor it the session where readout of you which think are important or open the pharma the deal to acquire the US general order the solids and Dermott business of Sanders has been mutually terminated now without getting in the long and short of it we'll discuss this in Lee in an open but city in Credit Suisse have got the target on the stock on the deal termination some other analysts have actually said that the leverage concerns are easing in therefore they're happy but maybe open the former could have negative reaction today Tata Motors the domestic sales were down 84% at 11,000 units versus an estimate of 27,000 units the country is in fact gone ahead and said that they'll stop reporting the wholesale numbers from next month the monthly wholesale numbers speaking of autos all the other three majors came out with numbers which are below estimates so should Motors you know motor cop DVS motors the two wheeler companies all the numbers the monthly sales numbers or below estimates in the reason this is important because hero and Bajaj were in the green remember in Wednesday's session but here numbers to have disappointed so do watch out for that one the March sales for Hero MotoCorp think were down 42% and 334 the estimates were about three lakh 37 let's better watch how this one reacts Enfield Royal Enfield and an even bigger drop strides would be an interesting stock to monitor because the US FDA issued letters to all manufacturers manufacturers of benedictine this is something that lot of Indian power companies but strides our strength in particular as large production of and if these products are taken off the shelves and therefore they stopped getting supply to the US and maybe the other markets in due course this could be big negative for stripe so do watch out for this one as well lastly RPL Bank and it's an important because they've come out with queue for updates it doesn't seem all that bad compared to what people would have feared because of q4 deposits upon an 8% quarter and quarter which is not small it's 8% some other banks they've even shown more and again this is largely bulk deposits from few state comments and corporates so shouldn't surprise anybody it's happened in this in Bank as well q4 snip inches however they say would be lower quarter on quarter because the asset quality of some of the other corporates were not all that bad and they believe that there will be some increase in slippage is in the SME and the retail segment largely owing to the lockdown so again shouldn't surprise anybody lastly just want to leave you with two updates from the government side one banks will start the cash transfers to Jun then accounts of women starting today so that's an important one and Prime Minister Modi will be talking to all of us at 9 a.m. today we will be there to bring you all that he says at 9 a.m. so you have to stay tuned to Blue Book in life for that as well and then it could be an important message short one but an important one thanks so much for tuning in to the trades are up to date according to recent report women today contribute nearly 74%