Now that China has confrimed in October data that there is a real recovery with HSBC PMI closest to the growth paradigm's 50 mark, at 49.5 Indian core sector's growth at more than 5% across a 13% jump in Coal production and 21% in Cement in October alongwith jump in Electricity and myriad other 'core' businesses including oil gas and steel means it would be a healthy PMI tracing the only other positive PMI among the world's large Economies in the US and Net Exports as trade makes 18% of our GDP and the deficit stays in check with Oil imports cheaper even if demand for the same rise might also rise along with the definite growth clip on Services PMI

Meanwhile Fraport exits GMR Banagalore Airport at a fair profit and again GMR might forego on the offer to buy more of that Airport's stake as India Inc gets ready for a ruch of Infraco orders which hold the ticket to its banking and GDP prosperity or India just might lose the edge it has with a 5% GDP growth and an early lead on recovery. Funds inflow have already exceeded $8bln this rally from July and with China at multi year ows in the stock markets any extra weightage for china may be absorbed without due transfers from other markets leaving more inflows marked to New Delhi/Mumbai from FII and FDI proposals

At this stage the Goldman Sachs and JP Morgans of the world might reconsider their predilection with Frontier markets and China before LATAM indeed does make a comeback capping the benefits to South Asia and India. Korea however should see more investments too, including Indian businesses oto whom cost of credit remains manageable. 

Tata Motors in the meantime got flagged by Pandya and Sumeet Jain at Goldman Sachs India for doubling to a ~ INR 500 target or double the market cap at INR 1.7 Tln based on a new Jaguar aluminium chassis/engine as the stock mirrors its latest market China's Economic performance and Landrover sales get even stevens at only 27,000 units per month

Both TaMo and Starbucks fed Tata Global remain on analyst radars as seeming corporate governance issues look to snip the investment led potential dscoveries from outgoing Chair Ratan Tata's teams. 

Reliance's big ticket investments for D6 with BP and more importantly its seeming victories in the bid to raise the price of Gas from its units remain new mysteries speculators get to capitalise on but the uptick is brilliantly pre done as the noise of future rate cyuts bring the market out of the sulky pout.

 

Posted via email from The India Investment Post