EUR 120.00 For Business Accounts Only

MOSL: Morning India (17/July/19): 1. Technology (So far, so good); 2. Federal Bank; 3. Tata Chemicals; 4. DCB Bank; 5. MCX; 6. Strides Pharma; 7. Power & Coal monthly

MOrning India (17/July/19): 1. Technology (So far, so good); 2. Federal Bank; 3. Tata Chemicals; 4. DCB Bank; 5. MCX; 6. Strides Pharma; 7. Power & Coal monthly

 

Today’s top research theme

Technology: So far, so good; Deal wins in 1HCY19 v/s 1HCY18 suggest healthy, not cautious macros

• Deal activity has been surprisingly strong despite the macro headwinds. Pipeline is strong in ADM and IMS. ISG-One's survey of most providers indicates positive growth patterns at the year-end. For INFO and TCS, deals TCV reflected a business-as-usual scenario in the June quarter.
• While the USD2.7b TCV figure at INFO was a historical high, it was steady growth, once adjusted for the inorganic contribution from Stater NV. Execution on deals won should take care of the remainder of the calendar year. Commentaries from ACN, TCS and INFO have cited a very healthy pipeline, suggesting that deal activity is likely to remain strong for the remainder of CY19. This, in turn, should bode positively for revenue growth over the next one year, notwithstanding any macro shocks.

Piping hot news

10-year bond yield hits lowest level since demonetisation, closes at 6.33%

Yields on the 10-year government bonds have fallen to their lowest since demonetisation, a movement sharp enough to leave their corporate bond counterparts far behind. The 10-year bond yield closed at 6.33 per cent on Tuesday, the lowest since December 6, 2016. The bond yields had plummeted in 2016 due to huge liquidity in the banking system after the government demonetised high-value currency.