Morning Update for 18 February 2022

Indices at previous closing

Nifty50: 17,304 ▼17 (-0.1%)

Sensex: 57,892 ▼104 (-0.1%)

Nifty Bank: 37,531 ▼422 (-1.1%)

For more updates on F&O, click here.

DMart receives ratings boost 

Ratings agency CRISIL reaffirmed its stable outlook for Avenue Supermarts, which runs the DMart retail chain. The company’s financial risk profile is expected to remain robust in the medium-term, aided by strong cash generation and improving market position in the organised retail space. 

In the first nine months of FY22, the company witnessed a strong recovery in same-store demand in comparison to the pre-pandemic levels. Meanwhile, shares of the company were up 1.5% yesterday.

ABFRL to focus on digital brands

Aditya Birla Fashion & Retail expects new-age digital brands to contribute around 10% of its revenue within the next 3-5 years. The company has received approval from its board to set up a subsidiary to invest in direct-to-consumer brands. 

It will also create its own brands across fashion, beauty and other lifestyle segments. The management states that there has been a surge in digitally native brands over the past two years. Its aim is to have a portfolio of 25-30 brands within five years. Nonetheless, shares of ABFRL fell by 0.9% yesterday.

Gold prices shimmer again 

Prices of the yellow metal rose yesterday as the conflict between Russia and Ukraine continues to simmer. On Thursday, Russian-backed separatists and the Ukrainian government allegedly exchanged fire. 

Experts said that investors would continue to focus on this conflict until western countries are convinced that Russia won’t attack Ukraine. They also added that the tightening of monetary policy by major central banks has been factored into gold prices.

Sectoral indices (February 17)

Global markets (at 8:00 am today)

Fact of the day

In Dubai, the government is using cloud-seeding technology to create artificial rains.

Source: Forbes

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