ICICI Prudential MF

HEAD START
June 7, 2022

INDIAN EQUITY SUMMARY

• Indian benchmark equity indices ended lower on Monday, on caution ahead of the Reserve Bank of India’s decision to raise rates.
• Investors also stayed on the sidelines awaiting the European Central Bank’s monetary policy decision and key US economic data.

Nifty Equity Benchmark Indices (Returns %) Domestic Equity Benchmark Indices (Returns %)
Index 6 Jun 1 Day 1 Week 1 Month 1 Year Index 6 Jun 1 Day 1 Week 1 Month 1 Year
Mid Cap 27993 -0.11 -1.18 -2.07 5.43 Sensex 55675 -0.17 -0.17 -0.45 6.82
Small Cap 9116 -1.02 0.22 -4.64 -3.79 Nifty 50 16570 -0.09 -0.09 -0.55 5.71
Auto 11303 0.19 -1.64 7.46 5.29
Bank 35310 0.10 -1.44 2.08 0.05 FII / Mutual Fund data
Energy 25830 -0.20 -0.35 -8.85 26.82 (Rs Cr) 3 Jun MTD YTD
FMCG 38238 -0.09 -0.96 2.57 8.82 FIIs -3694.87 -4988.66 -173773.26
Infra 4831 -0.45 -0.67 -2.06 8.98 Mutual Funds NA 27.91* 116716.65*
IT 29820 -0.28 0.22 -2.93 10.46 *Data as of Jun 1
Metal 5389 1.12 2.37 -11.17 0.93 Nifty P/E
Pharma 12412 -0.05 -2.04 -3.19 -11.98 Latest P/E* FY23E FY24E
Realty 404 -0.82 -0.02 -1.14 14.05 20.50X 18.68X 16.13X
* Data as of Jun 6

INDIAN DEBT MARKET SUMMARY

• The interbank call money rate ended higher at 4.30% on Monday compared to 3.70% on Friday.
• Government bond prices ended lower on Monday due to rising crude oil prices and expectations of rate hike by the RBI.
• The yield of the 10-year benchmark 6.54% 2032 bond ended higher at 7.50% on Monday compared to 7.46% on Friday.

Debt Watch Auctions/ Money market operations

6 Jun Week Ago Month Ago Year Ago Date Description Amount (Rs Cr)
Call Rate 4.30% 3.50% 2.50% 2.75% Jun 10 G-sec auction 33,000 (Notified)
Repo 4.40% 4.40% 4.40% 4.00% Jun 5 Total repo 86,748 (outstanding)
10 Yr Gilt^ 7.50% 7.40% 7.45% 6.02% Jun 5 Total reverse repo 4,09,378 (outstanding)

91-D T Bill^ 5.03% 4.88% 4.58% 3.40% Jun 5 Marginal Standing Facility 564

182-D T Bill^ 5.53% 5.43% 5.05% 3.62% Jun 5 GOI Surplus Cash Balance with 0
RBI
364-D T Bill^ 6.08% 5.92% 5.51% 3.72%
1-mth CP rate 5.30% 5.10% 4.75% 3.63%
Yields (%) Gsec* AAA AA+ AA AA- A+
3-mth CP rate 5.48% 5.37% 5.30% 3.65%
6 month 5.53 5.80 6.95 7.92 8.91 9.92
6-mth CP rate 6.20% 6.10% 5.70% 4.05%
1 Year 6.28 6.60 7.75 8.72 9.71 10.72
1 yr CP rate 6.65% 6.52% 6.25% 4.50%
3 Year 7.03 7.15 8.30 9.27 10.26 11.27
1-mth CD rate 4.85% 4.70% 4.50% 3.37% 5 Year 7.34 7.54 9.27 10.24 11.23 12.24
3-mth CD rate 5.10% 5.10% 4.80% 3.43% 10 Year 7.50 7.80 9.53 10.50 11.49 12.50
6-mth CD rate 5.75% 5.73% 5.25% 3.67% G-sec and corporate bonds data as of Jun 6 * Weighted average
1 yr CD rate 6.40% 6.30% 5.85% 4.00% yields for G-sec data 6 month G-sec: 182 day T-Bill rate; 1 year G-Sec:
7.16% CGL 2023; 3 year G-Sec: 5.22% GS 2025; 5 year G-Sec: 06.79
^Weighted Average Yield GS 2027; 10 year G-Sec: 06.54 GS 2032
 DOMESTIC NEWS
• Finance Minister Nirmala Sitharaman said that India’s growth will be driven by fiscal spending.
• Chief Economic Adviser V Anantha Nageswaran said that developed countries need to convince public about the urgency to adopt
climate change mitigation policies.
• Prime Minister (PM) Narendra Modi unveiled the national portal for credit-linked government schemes - Jan Samarth Portal.
• Finance Ministry released the third monthly instalment of revenue deficit grant of Rs 7183 cr to 14 states.
• The finance ministry said FM reviewed the progress to set up National Asset Reconstruction Company Ltd (NARCL); expect to take
over the first set of non-performing accounts of banks next month.
• FM will launch a Single Nodal Agency (SNA) dashboard, a platform for ministries/departments to monitor transfer of funds to states
and their utilization.
• RBI came out with standard assets provisioning guidelines for upper-layer NBFCs.
• RBI clarified that there will not be any change in the existing Indian currency and the banknotes.
• SEBI restructured its advisory committee on mutual funds.

Economic Indicators Key announcements in the month Release Date

YoY (%) Current Quarter Ago Year Ago Eurozone GDP, Q1 June 8
7.79% 6.01% 4.23% Japan GDP, Q1 June 8
Monthly Inflation (CPI)
(Apr-22) (Jan-22) (Apr-21) RBI Interest Rate Decision June 8
1.9% 0.7% 24.2%
IIP
(Mar-22) (Dec-21) (Mar-21)
4.1% 5.4% 2.5%
GDP
(Jan-Mar FY22) (Oct-Dec FY22) (Jan-Mar FY21)
15.08% 13.68% 10.74%
Monthly Inflation (WPI)
(Apr-22) (Jan-22) (Apr-21)

INTERNATIONAL NEWS
• Japan household spending decreased 1.7% in April on-year following 2.3% decline in March.

Currencies Vs INR Week Month Year 6 Jun 1 Day 1 Mth 1 Year

6 Jun
Ago Ago Ago
6 Jun 3 Jun Change DJIA 32916 0.05 0.05 -5.30
US 10-yr yield (%) 3.04 2.74 3.12 1.56
USD 77.63 77.63 0.00 Nasdaq 12061 0.40 -0.69 -12.69
UK 10-yr yield (%) 2.26 1.99 2.02 0.79
GBP 97.35 97.52 0.17 German 10-yr (%) 1.32 1.04 1.13 -0.22 FTSE 7608 1.00 2.98 7.63
Japan 10-yr (%) 0.24 0.24 0.24 0.09 Nikkei 27916 0.56 3.38 -3.54
Euro 83.28 83.43 0.15
London Brent Crude Hang Seng 21654 2.71 8.26 -25.12
100 Yen 59.42 59.75 0.33 119.51 121.67 112.39 71.89
Oil ($/bbl)
Strait Times 3227 -0.17 -2.15 2.40
Gold (Rs/10 gms) 51112 51184 51692 48578

Source: Domestic Indices - NSE, BSE, FII / MF (Equity) – SEBI, Domestic Derivative Statistics – NSE, Currency Movement - RBI, Reuters,
Domestic Economic Indicators - CRISIL Center for Economic Research, Domestic Fixed Income Numbers - CRISIL Fixed Income Database, RBI
Commodity Prices - Reuters, IBJA, International Indices – Respective websites, Market summaries, global bond yields, domestic and
international news – CRISIL Research, Financial websites
Abbreviations: FII (Foreign Institution Investors), CPI (Consumer Price Index), WPI (Wholesale Price Index), P/E (Price/Earnings ratio), CP
(Commercial Papers), CD (Certificate Of Deposits), G-sec (Government Securities), MTD – Month to Date, YTD – Year to Date

DISCLAIMER
Mutual Fund investments are subject to market risks, read all scheme related documents carefully.
ICICI Prudential Asset Management Company Limited (the AMC) has used information that is publicly available, and information developed in-
house. Some of the information used in the document may have been obtained from members/persons other than the AMC and/or its affiliates
and which may have been made available to the AMC and/or to its affiliates. The AMC however does not warrant the accuracy, reasonableness
and/or completeness of any information and does not take responsibility of updating any data/information. For data reference to any third party
in this material, no such party will assume any liability for the same. All data/information used in the preparation of this material is dated and may
or may not be relevant any time after the issuance of this material. The AMC (including its affiliates) and any of its officers, directors, personnel
and employees, shall not be liable for any loss, damage of any nature, including but not limited to direct, indirect, punitive, special, exemplary,
consequential, as also any loss of profit in any way arising from the use of this material in any manner. Nothing contained in this document shall
be construed to be an investment advice/recommendation or an assurance of the benefits of investing in the any of the Schemes of ICICI
Prudential Mutual Fund. Recipient alone shall be fully responsible for any investment decision taken on the basis of this document.