News You Can Use of 26 April 2024

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

NEWS U CAN USE

April 26, 2024

https://mf.nipponindiaim.com

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

The Week that was…

Apr to 26

Apr

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

Indian Economy

• According to reports, India's net direct tax revenues increased 17.7% YoY to Rs. 19.58 lakh

crore in the fiscal year that concluded in Mar 2024, exceeding the revised forecasts. Net

direct taxes in 2023-24 exceeded the budget estimates by Rs.1.35 lakh crore (7.40%) and

the revised estimates by Rs.13,000 crore, it showed. Higher direct tax collections will give

the Centre headroom to meet its fiscal deficit target for FY24.

• According to reports, the EPFO's preliminary payroll data for Feb 2024 shows a notable

15.48 lakh net member increase, with 56.36% of the new members being in the 18–25 age

range. Together with a favorable trend in female employment, the data also reveals that

2.05 lakh new female members were added in the month of Feb 2024.

• The realisation from asset monetisation and disinvestment, collectively referred to as

"miscellaneous capital receipts" by the government, surpassed the revised estimate of Rs.

30,000 crore for the fiscal year 2024. The proceeds from disinvestment came to a total of

Rs. 16,507 crore, while asset monetisation brought in about Rs 16,000 crore.

• According to a report published by the RBI, real estate investment trusts (REITs) and

infrastructure investment trusts (InvITs) have mobilised Rs. 1.3 lakh crore in between FY20

& FY24. The article noted that the market regulator SEBI has progressively reduced the

minimum investment size and trading lot, allowing more retail investors to participate in

these hybrid instruments.

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

Domestic Equity Market Indices

Indices

26-Apr-24 1 Week Return YTD Return

S&P BSE Sensex

73,730.16 0.88% 2.06%

Nifty 50

22,419.95 1.23% 3.17%

S&P BSE Mid

-Cap 41,587.77 3.96% 12.89%

S&P BSE Small

-Cap 47,239.29 3.97% 10.70%

Source: Refinitiv

Values as on Apr 26, 2024

• Domestic equity markets rose during

the week after witnessing fall in the

previous week as key benchmark

indices S&P BSE Sensex and Nifty 50

rose 0.88% and 1.23%, respectively.

The rally was broad-based as the mid-

cap segment and the small-cap

segment both closed the week in green

with healthy gains.

• Domestic equity markets rose after

witnessing no major signs of escalation

in tensions in West Asia. Investors

became more exposed to domestic

equities due to India's strong growth

prospects and in expectation of

political stability in the upcoming

general election. Sentiments were

further boosted following an ease in

crude oil prices as a result of the Middle

East's conflict abating and weakening

U.S. demand.

Ratios

S&P BSE

Sensex

Nifty 50

S&P BSE

Mid Cap

S&P BSE

Small Cap

P/E

23.87 22.00 29.14 32.97

P/B

3.66 3.93 3.79 3.57

Dividend Yield

1.15 1.19 0.88 0.64

Source: NSE, BSE

Values as on Apr 26, 2024

Indian Equity Market

NSE Advance/Decline Ratio

Date

Advances Declines Advance/Decline Ratio

22-Apr-24 1838 739 2.49

23-Apr-24 1572 997 1.58

24-Apr-24 1564 984 1.59

25-Apr-24 1389 1166 1.19

26-Apr-24 1288 1270 1.01

Source: NSE

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

Sectoral Indices

Indices

Last Returns (in %)

Closing 1-Wk 1-Mth

S&P BSE Auto

50,129.98 2.13% 3.90%

S&P BSE Bankex

54,606.29 1.65% 3.35%

S&P BSE CD

54,995.94 4.99% 7.29%

S&P BSE CG

63,115.05 3.41% 6.21%

S&P BSE FMCG

19,629.80 2.73% 2.04%

S&P BSE HC

35,441.04 2.96% 2.55%

S&P BSE IT

34,420.81 0.82% -3.37%

S&P BSE Metal

31,394.57 3.80% 12.22%

S&P BSE Oil & Gas

28,932.08 2.48% 5.62%

Source:BSE

Values as on Apr 26, 2024

• On the BSE sectoral front, S&P BSE PSU surged

5.41% on expectation of political stability in the

upcoming general election of 2024 which have

bolstered confidence in continued pro-business

policies that fueled optimism and investments

in public sector undertaking companies.

• S&P BSE Consumer Durables rose 4.99% as the

market for summer goods is predicted to grow

as the heat wave intensifies which assisted

share prices of companies that produce

consumer durables or white goods to rise.

Indian Derivatives Market Review

• Nifty May 2024 Futures stood at 22,556.00, a premium of 136.05 points above the spot

closing of 22,419.95.

• The total turnover on NSE’s Futures and Options segment for the week stood at Rs.

1555.43 lakh crore as against Rs. 1464.04 lakh crore for the week to Apr 19.

• The Put-Call ratio stood at 0.9 compared with the previous week’s close of 0.78.

• The Nifty Put-Call ratio stood at 0.96 compared with the previous week’s close of 1.03.

Indian Equity Market (contd.)

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

7.10

7.15

7.20

7.25

22-Apr 23-Apr 24-Apr 25-Apr 26-Apr

Yield in %

10 -Yr Benchmark Bond ( % )

Source: CCIL

Debt Indicators

(%)

Current

Value

1-Wk

Ago

1-Mth

Ago

6-Mth

Ago

Call Rate

6.68 6.53 6.65 6.77

91 Day T-Bill

6.96 6.88 6.94 6.93

05.74% 2026, (5 Yr GOI)

7.02 7.02 7.08 7.37

07.18% 2033, (10 Yr GOI)

7.19 7.23 7.09 7.37

Source: Refinitiv Values as on Apr 26, 2024

• Bond yields decreased as crude oil prices

stabilised after concerns about a

potential escalation of the Middle East

conflict subsided. However, gains were

restricted as yields rose ahead of the

release of first quarter GDP data of the

U.S., which will be closely monitored by

the U.S. Federal Reserve for its upcoming

monetary policy decision on May 1, 2024.

• Yield on the 10-year benchmark paper

(7.18% GS 2033) fell by 4 bps to close at

7.19% from the previous week’s close of

7.23%.

• Data from Reserve Bank of India showed

that India's foreign exchange reserves

decreased to $640.33 billion for the

week ended Apr 19, 2024 compared with

$643.16 billion a week earlier.

Domestic Debt Market

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

-10

-5

6.60

6.80

7.00

7.20

7.40

3 Mths 6 Mths 1 Yr 5 Yrs 10 Yrs 20 Yrs 30 Yrs

India Yield Curve Shift (%) (W-o-W)

Change in bps 26-Apr-24 19-Apr-24

Yield in %

Change in bps

Source: Refinitiv

Maturity

G-Sec Yield

(%)

Corporate Yield

(%)

Spread

bps

1 Year 7.18 7.99 81

3 Year 7.32 7.86 54

5 Year 7.33 7.76 43

10 Year 7.33 7.72 39

Source: Refinitiv

Values as on Apr 26, 2024

• Yields on gilt fell up to 5 bps across the maturities,

barring 1 & 19 year papers that increased by 2 bps

each, while 2 & 15 year papers were unchanged.

• Corporate bond yields fell up to 6 bps across the

curve, barring 1 & 15 year papers that increased by 3

& 7 bps respectively, while 2 & 10 year papers were

unchanged.

• Difference in spread between AAA corporate bond

and gilt moved by 1 bps or remained steady across

the segments, barring 10 & 15 year papers that

expanded by 3 & 7 bps respectively.

Domestic Debt Market (Spread Analysis)

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

• According to the media report, the government is formulating action plans for as many as

20 agricultural products including banana, mangoes, potato and baby corn with a view to

further boost export of these commodities, aiming to increase India's global share to 4-5%.

Possible export destinations are Canada, Malaysia, and the United States.

• According to media report, if a ruling by the Gujarat-based Authority for Advance Rulings

sets a precedent, units operating within special economic zones may not be required to pay

the integrated goods and services tax on certain services including hiring buses for staff

transportation, legal assistance from advocates, services from goods transport agencies,

and security services taken from the domestic tariff area through the reverse charge

mechanism. These units must provide a letter of undertaking or provide a bond to be

eligible for this exemption.

• The RBI issued Master Direction to Asset Reconstruction Companies (ARCs), critical for

resolving stressed financial assets and improving the health of the financial system. The

directive outlines requirements for ARCs, including minimum net owned fund, registration,

investment limitations, capital adequacy, leadership tenure, and reporting of irregularities.

According to the directions, an ARC is required to have a minimum net owned fund of Rs.

300 crore and thereafter, on an ongoing basis. Furthermore, ARCs are prohibited from

raising money by way of deposit. They are also mandated to maintain a capital adequacy

ratio of a minimum of 15% of its total risk-weighted assets.

Regulatory Updates in India

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

• India is holding talks with a number of nations to request technical assistance for the

processing of lithium in an effort to support its developing lithium mining and electric

vehicle industries and lessen its reliance on China. The Ministry of Mines initiated talks with

Australia and the United States last year, along with private companies reaching out to

Bolivia, Britain, Japan, and South Korea.

• The income tax department extended the deadline for charitable and religious trusts to

furnish registration application with tax authorities till Jun 30, 2024 with an aim to avoid

genuine hardships to taxpayers, allowing trusts to file Form 10A/Form 10AB for income

tax exemption or renewal of permanent registration by the new deadline.

• According to a notification from Directorate General of Foreign Trade, Indian government

permitted overseas shipments of white onion of an aggregate quantity not exceeding

2,000 metric tonnes through Mundra Port, Pipavav Port and Nhava Sheva Port. the

exporter shall have to get the certificate from the Horticulture Commissioner,

Government of Gujarat, certifying the item and quantity of white onion to be exported.

• AMFI has asked mutual fund houses to facilitate digital KYC or eKYC facility on the

homepage of their respective websites. Through this facility, mutual fund houses will

basically redirect investors to their respective KYC registration agency website based on

their PAN details.

Regulatory Updates in India (contd..)

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

• According to the Commerce Department, U.S. new home sales spiked by 8.8% to an annual

rate of 693,000 in Mar 2024 after plunging by 5.1% to a revised rate of 637,000 in Feb

2024.

• According to the Commerce Department, U.S. gross domestic product increased by 1.6% in

the first quarter of 2024 after surging by 3.4% in the fourth quarter of 2023. Economists

had expected GDP to jump by 2.5%.

• According to Eurostat, eurozone’s government deficit to GDP has come in at 3.6% in 2023,

which was down from 3.7% in 2022. However, it remained above the 3.0% threshold.

• The Bank of Japan left its key interest rate unchanged near zero and the bank's latest

projections showed the underlying inflation staying around 2%, which further damped

expectations for aggressive tightening in the future. The BoJ policy board, decided to hold

the overnight interest rate at around 0 to 0.1%.

• According to reports, Japan’s producer prices climbed 2.3% a year in Mar 2024. That

exceeded expectations for an increase of 2.1% and was up from the upwardly revised 2.2%

gain in Feb 2024 (originally 2.1%).

• China left its benchmark lending rates unchanged as expected after the economy showed

signs of improvement at the start of the year. The People's Bank of China kept the one-

year loan prime rate at 3.45%.

Global News/Economy

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

Global Indices

Indices

26-Apr-24

1-Week

Return

YTD

Return

Russell 3000 2,590.36 3.67% 7.81%

Nasdaq 100 17,718.30 3.99% 5.30%

FTSE 100 8,139.83 3.09% 5.26%

DAX Index 18,161.01 2.39% 8.41%

Nikkei Average 37,934.76 2.34% 13.36%

Straits Times 3,280.10 3.26% 1.23%

Source: Refinitiv Value as on Apr 26, 2024

U.S.

• U.S. equity markets rose as concerns are

easing about tensions in the Middle

East. Further, the market rose as

investors cheered a wave of excellent

earnings releases from U.S. big

companies. However, gains were

restricted after the Commerce

Department showed that U.S. gross

domestic product increased by 1.6% in

the first quarter of 2024, below than

expectation of economists of 2.5%.

Europe

• European markets rose as upbeat eurozone business activity data coupled with hope for a

rate cut in the upcoming monetary policy review helped to boost the market's sentiments.

Further, ease in geopolitical worries also added to the gains.

Asia

• Asian equity markets mostly rose during the week. The Chinese market rose after a

Chinese artificial intelligence (AI) software developer soared 31.2% after the company

announced its latest generative AI model. Further, the Japanese market rose after the

Bank of Japan left its key interest rate unchanged near zero.

Global Equity Markets

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

4.50

4.55

4.60

4.65

4.70

4.75

22-Apr 23-Apr 24-Apr 25-Apr 26-Apr

Yield in %

US 10-Year Treasury Yield Movement

Source: Refinitiv

• Yields on the 10-year U.S. Treasury rose

by 5 bps to close at 4.67% from the

previous week’s close of 4.62%.

• U.S. Treasury prices fell despite data

showing that inflation gains in Mar 2024

were largely in line with economists’

expectations, easing concerns about the

closely watched report showing a much

higher than expected price jump.

• Meanwhile, investors' concerns about

U.S. gross domestic product increased

at a 1.6% annualized rate first quarter of

2024, below economists’ expectations

for a 2.4% gain.

Global Debt (U.S.)

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

9.00

10.00

11.00

12.00

13.00

26-Mar-24 11-Apr-24

Global Commodity Movement

Gold Spot ($/Oz) Silver Spot ($/Oz) Brent ($/bbl)

Global Commodity Prices

Rebased to 10

Source: Refinitiv

Performance of various commodities

Commodities

Last Closing* 1-Week Ago

Brent Crude($/Barrel)

91.05 89.06

Gold ($/Oz)

2,337.72 2,390.45

Gold (Rs/10 gm)

72,301 73,262

Silver ($/Oz)

27.17 28.65

Silver (Rs/Kg)

81,204 82,807

Source: Refinitiv *Value as on Apr 26, 2024

Gold

• Gold prices fell as the demand for safe-

haven bullion decreased as worries of an

ongoing war in the Middle East subsided.

However, losses were limited following

data showing that U.S. inflation rose in line

with expectations.

Brent Crude

• Brent crude oil prices rose after preliminary

data showing a slowdown in U.S.

manufacturing activity in the month of Apr

2024.

Baltic Dry Index

• The index fell over the week due to

sluggish capesize and panamax activities.

Commodities Market

26-Apr-24

2.23%

-2.21%

-5.19%

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

9.50

9.60

9.70

9.80

9.90

10.00

10.10

26-Mar-24 11-Apr-24

USD GBP Euro JPY

Source: Refinitiv

Currency Prices ( in terms of INR)

Rebased to 10

Currency Movement

Movement of Rupee vs Other Currencies

Currency

Last Closing* 1-Wk Ago

US Dollar

83.34 83.52

Pound Sterling

104.26 103.80

EURO

89.43 88.89

100 Yen

53.43 54.09

Source: Refinitiv Figures in INR , *

Value as on Apr 26, 2024

Rupee

• The Indian rupee in the spot rate rose against

the U.S. dollar following positive trend in the

domestic equity market.

Euro

• The euro edged up against the greenback after

data showed an unexpected slowing in U.S.

economic growth.

Pound

• Pound rose against the U.S. dollar following the

Commerce Department's announcement that

the annualized growth rate of the U.S. gross

domestic product during the Jan-Mar 2024

quarter was 1.6%, lower than the 2.4% pace

predicted by economists.

• Yen fell against the U.S. dollar as the Bank of

Japan keeps its key rate unchanged.

Currencies Markets

26-Apr-24

-0.22%

-1.22%

0.61%

0.44%

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

The Week that was…

Apr to 26

Apr

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

The Week that was (Apr 22 – Apr 26)

Date Events

Present

Value

Monday,

April 22, 2024

• Peoples's Bank of China Interest Rate Decision 3.45% 3.45%

• Eurozone Consumer Confidence(Apr) PREL -14.7 -14.9

Tuesday,

April 23, 2024

• Germany HCOB Composite PMI(Apr) PREL 50.5 47.7

• Eurozone HCOB Manufacturing PMI(Apr) PREL 45.6 46.1

• U.K. S&P Global/CIPS Manufacturing PMI(Apr) PREL 48.7 50.3

• U.S. S&P Global Services PMI(Apr) PREL 50.9 51.7

Wednesday,

April 24, 2024

• Germany IFO – Expectations(Apr) 89.9 87.7

• U.S. Durable Goods Orders ex Defense(Mar) 2.30% 1.50%

• U.S. EIA Crude Oil Stocks Change(Apr 19) -6.368M 2.735M

Thursday,

April 25, 2024

• Germany GfK Consumer Confidence Survey(May) -24.2 -27.3

• U.S. Gross Domestic Product Annualized(Q1) PREL 1.60% 3.40%

• U.S. Initial Jobless Claims(Apr 19) 207K 212K

• U.S. Pending Home Sales (MoM)(Mar) 3.40% 1.60%

Friday,

April 26, 2024

• Bank of Japan Interest Rate Decision 0% 0%

• U.S. Core Personal Consumption Expenditures - Price Index (MoM)(Mar) 0.30% 0.30%

• U.S. Michigan Consumer Sentiment Index(Apr) 77.2 77.9

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

The Week Ahead

Apr to 03

May

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

The Week Ahead

Day Event

Monday,

Apr 29, 2024

• Eurozone Consumer Confidence (Apr)

• Germany Consumer Price Index (YoY)(Apr) PREL

• Japan Unemployment Rate (Mar)

Tuesday,

Apr 30, 2024

• India Infrastructure Output (YoY) (Mar)

• China NBS Manufacturing PMI(Apr)

• Germany Retail Sales (YoY)(Mar)

• Germany Gross Domestic Product (QoQ)(Q1) PREL

• Eurozone Gross Domestic Product (YoY)(Q1) PREL

Wednesday,

May 01, 2024

• U.S. ADP Employment Change (Apr)

• U.S. ISM Manufacturing PMI(Apr)

• U.S. Fed Interest Rate Decision

Thursday,

May 02, 2024

• Germany HCOB Manufacturing PMI(Apr)

• U.S. Initial Jobless Claims (Apr 26)

• U.S. Nonfarm Productivity(Q1) PREL

Friday,

May 03, 2024

• U.S. Nonfarm Payrolls (Apr)

• U.S. ISM Services New Orders Index (Apr)

• Eurozone Unemployment Rate (Mar)

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

The information herein is meant only for general reading purposes and contains all factual and statistical information pertaining to Industry and

markets which have been obtained from independent third party sources and which are deemed to be reliable. The information provided cannot be

considered as guidelines, recommendations or as a professional guide for the readers. It may be noted that since Nippon Life India Asset

Management Limited (NAM India) has not independently verified the accuracy or authenticity of such information or data, or for that matter the

reasonableness of the assumptions upon which such data and information has been processed or arrive data; NAM India does not in any manner

assures the accuracy or authenticity of such data and information. Some of the statements & assertions contained in these materials may reflect NAM

India’s views or opinions, which in turn may have been formed on the basis of such data or information. The Sponsor(s), the Investment Manager, the

Trustee or any of their respective directors, employees, associates or representatives do not assume any responsibility for, or warrant the accuracy,

completeness, adequacy and reliability of such data or information. Whilst no action has been solicited based upon the

information provided herein,

due care has been taken to ensure that the facts are accurate and opinions given are fair and reasonable, to the extent possible. This information is

not intended to be an offer or solicitation for the purchase or sale of any financial product or instrument. Recipients of this information should rely

on information/data arising out of their own investigations. Before making any investments, the readers are advised to seek independent

professional advice, verify the contents in order to arrive at an informed investment decision. None of the Sponsor(s), the Investment Manager, the

Trustee, their respective directors, employees, associates or representatives shall be liable in any way for any direct, indirect, special, incidental,

consequential, punitive or exemplary damages, including on account of lost profits arising from the information contained in this material.

All information contained in this document has been obtained by ICRA Analytics Limited from sources believed by it to be accurate and reliable.

Although reasonable care has been taken to ensure that the information herein is true, such information is provided ‘as is’ without any warranty of

any kind, and ICRA Analytics Limited or its affiliates or group companies and its respective directors, officers, or employees in particular, makes no

representation or warranty, express or implied, as to the accuracy, suitability, reliability, timelines or completeness of any such information. All

information contained herein must be construed solely as statements of opinion, and ICRA Analytics Limited, or its affiliates or group companies and

its respective directors, officers, or employees shall not be liable for any losses or injury, liability or damage of any kind incurred from and arising out

of any use of this document or its contents in any manner, whatsoever. Opinions expressed in this document are not the opinions of our holding

company, ICRA Limited (ICRA), and should not be construed as any indication of credit rating or grading of ICRA for any instruments that have been

issued or are to be issued by any entity.

Disclaimer

Thank you for

your time.

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.

Thank you for

your time.

https://mf.nipponindiaim.com