Know The Now – Market Update

October is off to a rocky start, with the Nifty down 3.9% MTD and down -5.6% from all time highs. We note weakness in recent 8 core industry data, across cement production, coal output, and electricity generation. We’re seeing additional weakness in vehicle registrations, exports. Government spending has not shown indications of pickup post elections. Despite strong announcements, market action isn’t supportive of the news flow. Credit data across personal loans, home loans, services, travel has decelerated from very high growth to low double digit growth. Services PMI has decelerated from stellar 60 plus levels to still solid 57-58 levels. Oil products consumption has fallen 1.6% y/y.