Motilal Oswal - MOSL: ECOSCOPE-Expect real GDP growth at 6.5-6.7% in 3QFY18-Favorable base supports economic activity

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Motilal Oswal

Nikhil Gupta

MOSL: ECOSCOPE-Expect real GDP growth at 6.5-6.7% in 3QFY18-Favorable base supports economic activity

ECOSCOPE: Expect real GDP growth at 6.5-6.7% in 3QFY18; Favorable base supports economic activity in December 2017

India's monthly economic activity index (EAI) grew 8.4% YoY in December 2017, marking strong growth for the second consecutive month. Favorable base and fiscal spending supported EAI growth in December.
While the EAI growth was broad-based, a 78-month high growth of ~15% in investments - primarily driven by favorable base effect in construction, commercial auto sales and 21-month high growth in industrial credit - is encouraging. Wider trade deficit, however, acted as a drag on EAI growth.
Further, the consumption index also grew decently at 7.7% YoY in December 2017, partly supported by continued fiscal spending - up 21% YoY in December 2017.
Overall, better-than-expected growth in December -due to favorable base and continued high growth in fiscal spending - makes us believe that real GDP growth could improve from 6.3% in 2QFY18 to 6.5-6.7% in 3QFY18.

06/02/2018 10 EN

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Motilal Oswal

Motilal Oswal Financial Services Ltd. is a reputed name in Financial Services and Online Trading with group companies providing services such as Private Wealth Management, Retail Broking and Distribution, Institutional Broking, Asset Management, Investment Banking, Private Equity, Commodity Broking, Currency Broking, Principal Strategies & Home Finance.

Motilal Oswal Securities is a group company of Motilal Oswal Financial Service Limited which started as a stock trading company and has blossomed into well diversified firm offering a range of financial products and services. Motilal Oswal has built a reputation as the source for best stock trading company and this has taken a wealth of experience, knowledge and expertise, constantly working in tandem, over the years.

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Nikhil Gupta

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MOSL: ECOSCOPE-Expect real GDP growth at 6.5-6.7% in 3QFY18-Favorable base supports economic activity

MOSL : HOME FIRST FINANCE COMPANY: Earnings in-line with sustained improvement in asset quality

MOSL : SHOPPERS STOP: Ticking the right boxes

MOSL : ERIS LIFESCIENCES: Enhanced efforts toward product launch-related activities

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