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Weekly Statistics Global Index 30-Apr 24-Apr Change (%)

Sensex 27011 27438 -1.55

Nifty 8182 8305 -1.49

DJIA 18024 18080 -0.31

Nasdaq 5005 5092 -1.70

FTSE 6986 7071 -1.20

DAX 11454 11811 -3.02

Hang Seng 28133 28061 +0.26

Nikkei 19532 20020 -2.44

Bovespa 56229 56594 -0.64

Indonesia Jakarta 5086 5435 -6.42

Singapore – Strait 3487 3513 -0.73

MSCI Emerging Mkt 1046 1061 -1.37

Mutual Fund Categories watch

Category Name 1 Week

Absolute 1 Month Absolute

3 Month Absolute

6 Month Absolute

1 Year CAGR

3 Year CAGR

Arbitrage Funds -0.08 0.41 1.48 4.03 8.28 8.74 Balanced - Debt -0.81 -1.04 -0.85 3.83 18.47 13.31 Balanced - Equity -1.37 -1.87 -2.87 5.96 32.69 19.36 Equity - Banking -0.37 -1.25 -7.80 8.96 41.55 21.25 Equity - Div Yield -2.05 -2.11 -4.14 5.67 40.69 18.98 Equity - Infras -2.65 -2.73 -3.82 6.87 44.55 17.20 Equity - Large Cap -1.72 -3.28 -5.01 5.37 35.07 19.39 Equity - Mid Cap -2.19 -2.09 -2.58 10.79 56.91 29.64 Equity - MNC -1.69 -1.96 3.19 27.56 78.76 32.10 Equity - Multi CAP -1.92 -2.82 -3.98 7.29 42.35 22.45 Equity - Small Cap -3.62 -1.94 -1.40 14.86 82.77 34.07 Equity - FMCG -3.71 -1.60 -4.89 5.97 24.98 19.07 Equity - Infotech -4.26 -7.75 -7.22 -0.50 22.55 22.79 Equity - Pharma -1.80 -4.30 3.73 14.74 51.66 33.47 ELSS -1.70 -2.99 -4.54 6.70 39.64 22.31 Gold ETFs 1.76 2.93 -2.38 2.08 -4.22 -3.43 Gilt Funds -0.34 0.12 0.51 6.94 14.51 9.78 Income Funds -0.17 0.31 0.88 5.52 11.71 9.27 Liquid Funds 0.14 0.69 1.98 4.02 8.31 8.58 Note: Trailing Returns up to 1 year are absolute and over 1 year are CAGR. NAV/index values are as on May 01, 2015.

Equity Markets

Key indices witnessed selling pressure in a truncated trading week as weakness in global stocks and selling by foreign portfolio investors (FPIs) of Indian stocks dampened sentiment. Volatility was high as traders rolled over positions in the futures & options segment from the near month April 2015 series to May 2015 series. The market slipped in three out of four sessions in the week ended Thursday, 30 April 2015. Stock markets remain closed on Friday, 1 May 2015, on account of Maharashtra Day. The Sensex managed to settle just above the 27,000 index dropped 1.55% to settle at 27,011.31 for the week. The 50-unit CNX Nifty declined 1.49% to settle at 8,181.50. The BSE Mid-Cap index dropped 0.18% and the BSE Small-Cap index lost 0.58%. The decline in both these indcies was lower than Sensex's fall in percentage terms.

Outlook for the current weeks Next batch of Q4 March 2015 results, proceedings in parliament and the outcome of monthly manufacturing and services sector surveys will dictate near term trend on the bourses. Trend in investment by foreign and domestic institutional investors will be keenly watched.. Since India's stock market is closed on Friday, 1 May 2015, for a holiday, shares of automobile companies will on Monday, 4 May 2015, react to monthly sales volume data for April 2015. Auto companies will start announcing sales volume data for April 2015 from 1 May 2015. Shares of public sector oil marketing companies (PSU OMCs) will on Monday, 4 May 2015, react to changes in petrol and diesel prices, if any, announced by PSU OMCs on Thursday, 30 April 2015. PSU OMCs undertake a review of fuel prices twice every month based on the average imported oil price in the preceding fortnight. The review takes place during the middle of the month and on the last day of the month based on the average imported oil price in the preceding fortnight.

Global Markets U.S. stocks ended the week with solid gains as better-than-expected earnings propelled the Nasdaq Composite and S&P 500 to finish at all-time highs. The Nasdaq Composite advanced for five straight sessions, posting the biggest weekly gain since October 2014. The tech-heavy index gained 3.3% over the week. The S&P 500 index recorded a 1.8% gain over the week. Dow Jones gained 1.4% over the week.

G sec Markets Indian bond yields ended up during the shortened week ended April 30, 2015.

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May 04, 2015

Weekly Mutual Fund and Debt Report

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10 Year G sec Benchmark move:

Liquidity:

Debt Securities Benchmarks watch

Debt (%) 30-Apr 24-Apr Change (bps)

Call Rate 7.7 7.47 23 CBLO 7.86 7.73 13 Repo 7.5 7.5 0 Reverse Repo 6.5 6.5 0 10 Year G sec 7.86 7.79 7 LIBOR – UK 0.57 0.57 0 LIBOR – USA 0.28 0.28 0 LIBOR – Europe -0.01 -0.01 0

The G-Sec market opened the week on Monday on weak note tracking weakness in domestic currency. However, the improvement seen in the INR against USD boosted the market sentiment. The G-Sec market ended higher on Tuesday tracking improvement in the domestic currency. However, cautious ahead of US FOMC meeting weighed the market sentiment. Prices of the Gilt securities ended lower on Wednesday seeing weakness in domestic currency. Concerns over the outcome to the FOMC meeting that scheduled on 28-29 April weighed the market sentiment. Prices of the G sec ended lower on Thursday seeing weakness in the domestic currency. An apprehension over the auction for the week also checked the bond prices. Domestic bond markets remained closed on Friday, 1 May 2015, on account of Maharashtra day. Hence, the yields of the 10-year benchmark 8.40% 2024 bond ended down by 7 bps at 7.86% (Rs 103.48) on Thursday against the last week close of 7.79%.

Outlook for the week We feel that the new 10-year G Sec yields could trade in the 7.70% - 7.95% band for the week.

T Bill The 91-Days T-Bill auction worth Rs 8,000 crore was fully subscribed with implying a yield of 7.94%. The 364-Days T-Bill auction worth Rs 6,000 crore was fully subscribed with implying a yield of 7.91%.

Liquidity, Call & CBLO The net infusion from the LAF window was a daily average of Rs.19,202 crore for last week (Rs. 15,948 crore in previous week). The inter-bank call rates traded around 7.7%. The CBLO rates were positioned at 7.86% level.

Corporate Debts The 1 year AAA bond traded at 8.44% compared to the previous week close of 8.35%. The 10-year AAA bond traded at 8.36% same as previous closing.

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AAA Corporate Bond Spread over Gsec:

AAA Corporate Bond Spread over Gsec Security 30-Apr 24-Apr 1 Year 48 36 3 Year 16 8 5 Year 43 42 10 Year 38 38 Forthcoming Auctions; Security Date of Auction Value (Rs. Crs) 91 Day T-Bill 06-May-15 8,000 364 Day T-bill 06-May-15 6,000 Certificates of Deposits: Maturity 30-Apr 24-Apr

3 Months 8.25 8.2 6 Months 8.2 8.2 1 Year 8.8 8.3 Commercial Papers: Maturity 30-Apr 24-Apr

3 Months 8.67 8.6 6 Months 8.75 8.7 1 Year 8.9 8.88 Commodity Update: Commodity 30-Apr 24-Apr Change (%)

NYMEX Crude Oil ($/bbl) 59.15 57.15 +3.5% Gold (oz/$) 1,174.5 1175.0 -.02%

Currency The USD depreciated against the Euro by 2.86 % for week ended 01st May 2015. The dollar appreciated against the yen by 0.95% for the week. The USD appreciated against the pound by 0.23%.

Gold & Crude oil International crude oil prices (WTI) gained by 3.50% for the week ended 01st May, 2015 to close at USD 59.15 per barrel. International gold prices fell marginally for the week ended 01st May, 2015 to close at USD 1174.50 per troy ounce.

10 Yr G sec Benchmark Yields Movements in last one month.

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Scheme Analysis ICICI Pru Dynamic Fund - G

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Unit Growth of investments Vs. Benchmark (Rebased to 100)

Fund Performance Vis-a-vis Benchmark (Excess return):

Key Points ICICI Pru Dynamic is a consistently performing scheme from Equity Diversified Multi-cap category. Despite the scheme has posted average returns over short term periods, it has managed to generate better returns over periods thanks to its active call strategy. The scheme registered 27%, 21% and 14% of compounded returns for the one, three and five year periods while the benchmark posted +22%, +16% and 9% of returns respectively. At the same time, the category clocked +41%, +22% and 11% of CAGR returns respectively. Despite the fact that the scheme has the flexibility to invest across capitalization, portfolio of the scheme witnessed major exposures tilted towards large cap stocks over the last three years period. This helped the scheme to mitigate the losses during the period of huge volatility but failed to generate higher returns comparatively during the recent market rallies. Seeing the portfolio of the scheme, an average of 95% of assets has been kept in blue chip stocks in last two years period. The scheme has been managed with high quality diversified portfolio. In the last six month period, the scheme added 18 new stocks and exited from 12 stocks. The turnover ratio as per latest data was at 125%. Power Grid Corporation of India Ltd, HDFC Bank and Infy are the stocks that topped in its latest portfolio having weights of 9.96%, 8.29% and 4.48% to its net assets respectively. The expense ratio of 2.29% for the scheme is lower compared to the category average of 2.67%. Rating agencies like Value research & Crisil assigned ‘4 star’ and ‘CPR 2’ respectively for the scheme. These reflect High performance of the scheme on generating high-risk adjusted returns. The scheme is managed by Mr. Sankaran Naren and Mr. Mittul Kalawadia. The corpus of the scheme as per latest data was at Rs. 5,813 crore. As far as risk measures are concerned, the scheme has done moderately well in terms of Sharpe and Jensons Alpha. It registered Sharpe of 0.11% (category 0.13%) and Alpha of 0.05% (category 0.02%). The scheme seems to be less risky in the category as it generated 0.74% (category 0.95%) of Standard Deviation over the last one-year.

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Mutual Fund ready reckoner:

Equity - Diversified - Large CAP

Scheme Name NAV (Rs)

Fund Size (Crs. Rs)

1 Year Return

3 Year Return

5 Year Return

Return Since Inception

Top holdings Crisil Rank

Value Research Rating

Risk Grade

Return Grade

Birla Sun Life Frontline Equity - Plan A (G) INF209K01BR9

166.45 8603 56.72 25.59 17.15 25.24 ICICI Bank, HDFC Bank, ITC

Tata Mot and SBI CPR 2 4 Star Average

Above Average

HDFC Equity Fund - (G) INF179K01608

475.46 19181 59.67 21.98 16.63 21.11 SBI, ICICI Bank, Infy, L&T

Aurobindo Pharma CPR 3 3 Star High High

ICICI Pru Focused Bluechip Equity Fund (G) INF109K01BL4

30.06 8815 50.15 21.89 17.95 17.68 HDFC Bank Ltd, Infosys Ltd, ICICI Bank

Ltd, ITC Ltd and RIL CPR 3 5 Star Low High

Equity - Diversified - Multi CAP

Scheme Name NAV (Rs)

Fund Size (Crs. Rs)

1 Year Return

3 Year Return

5 Year Return

Return Since Inception

Top holdings Crisil Rank

Value Research Rating

Risk Grade

Return Grade

Franklin India High Growth Companies (G) INF090I01981

29.72 1773 89.94 35.37 21.77 15.43 Axis Bank, HDFC Bank, Maruti Suzuki

India, Tech Mahindra & ICICI Bank CPR 1 5 Star

Below Average

High

ICICI Pru Dynamic Plan (G) INF109K01761

193.81 5915 45.37 22.13 16.60 27.19 Power Grid Corp, INFY, HDFC Bank,

Wipro and RIL CPR 2 4 Star

Below Average

High

Reliance Equity Opportunities Fund (G) INF204K01489

77.05 11172 68.31 29.04 22.41 22.86 HDFC Bank, Divi's Lab, SBI, Trent and

Cummins India CPR 1 3 Star

Below Average

Average

Equity - Diversified - Mid n Small CAP

Scheme Name NAV (Rs)

Fund Size (Crs. Rs)

1 Year Return

3 Year Return

5 Year Return

Return Since Inception

Top holdings Crisil Rank

Value Research Rating

Risk Grade

Return Grade

Reliance Small Cap Fund (G) INF204K01HY3

24.56 1579 103.51 39.82 - 22.41 LG Balakrishnan & Bros, TVS Motor

Co., Atul, Kalpataru& CCL Pro CPR 2 5 Star Average High

ICICI Pru Value Discovery Fund (G) INF109K01AF8

114.49 8682 84.87 33.97 23.21 26.05 ICICI Bank, RIL, Sadbhav Engineering,

PI Ind & Amara Raja Bat CPR 2 4 Star Low

Above Average

Religare Invesco Mid N Small Cap INF205K01DN2

35.88 389 86.97 36.10 26.23 21.04 DB Corporation, STFC, ING Vysya

Bank, Bharat Forge & Dish TV India CPR 3 4 Star

Below Average

High

Equity - Tax Planning

Scheme Name NAV (Rs)

Fund Size (Crs. Rs)

1 Year Return

3 Year Return

5 Year Return

Return Since Inception

Top holdings Crisil Rank

Value Research Rating

Risk Grade

Return Grade

AXIS Long Term Equity Fund (G) INF846K01131

30.82 4034 76.34 35.00 25.16 24.38 HDFC Bank Ltd, TCS, L&T, HDFC Ltd,

ITC Ltd CPR 1 5 Star Low High

Reliance Tax Saver Fund - (G) INF204K01GK4

49.64 4156 102.77 33.73 23.31 18.51 TVS Motor Co, SBI, Tata Steel, Wipro

& BHEL CPR 1 5 Star High High

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Hybrid - Equity Oriented (Atleast 60% in equity)

Scheme Name NAV (Rs)

Fund Size (Crs. Rs)

1 Year Return

3 Year Return

5 Year Return

Return Since Inception Top holdings

Crisil Rank

Value Research Rating

Risk Grade

Return Grade

HDFC Balanced Fund (G) INF179K01392

107.50 3284 51.84 22.77 19.03 17.85 SBI, ICICI Bank, Axis Bank, Aurobindo

Pharma& L&T CPR 1 4 Star

Below Average

High

ICICI Pru Balanced Fund - (G) INF109K01480

93.20 1633 50.32 24.29 18.94 15.68 HDFC Bank, Motherson Sumi, City

Union Bank, Maruti Suzuki Ind & ICICI CPR 1 5 Star

Below Average

Above Average

Hybrid - Monthly Income Plan - Long Term (About 15% to 20% in equity)

Scheme Name NAV (Rs)

Fund Size (Crs. Rs)

1 Year Return

3 Year Return

5 Year Return

Return Since Inception Top holdings

Crisil Rank

Value Research Rating

Risk Grade

Return Grade

Reliance Monthly Income Plan (G) INF204K01FD1

33.37 2521 26.84 13.12 10.97 11.40 Eq: Sundaram-Clayton, Federal Mogul

Goetze, HDFC Bank. CP: PFC CPR 2 4 Star

Above Average

Above Average

HDFC Monthly Income Plan - LTP (G) INF179K01AE4

34.66 3818 27.25 12.90 10.95 11.77 Eq: SBI, Infy, ICICI Bank, L&T. Debt:

TATA Power, Hindalco Inds CPR 2 3 Star Average Average

Liquid Funds

Scheme Name NAV (Rs) Fund Size (Crs. Rs)

1 Year Return

2 Year Return

3 Year Return

Return Since Inception Top Holdings Crisil

Rank Value Research

Rating Risk

Grade Return Grade

HDFC Liquid Fund (G) INF179K01KG8

27.35 14666 9.05 9.20 9.24 7.25 CP: National Bank Agr. Rur. Devp, CD: National Bank Agr. Rur, Union Bank.

CPR 3 3 Star Below

Average Above

Average SBI Magnum InstaCash - Cash Plan INF200K01LJ4

3064.08 1134 8.96 9.20 9.19 7.34 CP: M&M Financial Services, Kotak

Mahindra Prime, PFC, CD: SIDBI 2014 CPR 3 4 Star

Below Average

Above Average

Ultra Short Term Funds

Scheme Name NAV (Rs)

Fund Size (Crs. Rs)

1 Year Return

2 Year Return

3 Year Return

Return Since Inception Top Holdings

Crisil Rank

Value Research Rating

Risk Grade

Return Grade

ICICI Pru Flexible Income Plan - Regular (G) INF109K01746

260.58 11913 9.50 9.55 9.52 7.49 CD: NABARD, Canara Bk, T Bill, CP:

HDFC, Debt: TCFSL CPR 1 4 Star

Below Average

Above Average

Birla Sun Life Savings Fund - Retail (G) INF209K01MC8

262.03 8531 9.47 9.44 9.36 7.44 Debenture: Nabha Power, Talwandi

Sabo. FD: Deutsche Bank CPR 2 4 Star Average

Above Average

Short Term Income Funds

Scheme Name NAV (Rs)

Fund Size (Crs. Rs)

1 Year Return

2 Year Return

3 Year Return

Return Since Inception Top Holdings

Crisil Rank

Value Research Rating

Risk Grade

Return Grade

Sundaram Select Debt - STAP (G) INF903J01FG3

24.00 985 10.83 9.95 10.28 7.27 FD: J&K Bank, D: 11.6% DHFL. 2015,

CD: Central Bank of India 2013, CPR 3 3 Star Average

Above Average

Franklin India Short Term Income (G) INF090I01304

2847.73 10332 12.25 10.57 10.36 8.33 PTC: 11.85% Adani Enterprises. Debt:

Dewan Housing Fin CPR 1 4 Star Average

Above Average

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Income Funds

Scheme Name NAV (Rs)

Fund Size (Crs. Rs)

1 Year Return

2 Year Return

3 Year Return

Return Since Inception Top Holdings

Crisil Rank

Value Research Rating

Risk Grade

Return Grade

Birla Sun Life Medium Term Plan (G) INF209K01603

16.88 3683 12.27 11.32 11.20 9.24 Debenture: DLF, Tata Mot, IL&FS

Transport, RHC Holdings CPR 3 4 Star Low

Above Average

ICICI Pru Long Term Plan - Retail (G) INF109K01712

31.84 349 20.97 14.98 12.89 9.38 Bonds: EXIM Bk, 8.28% GOI 9-21, 8.4%

GOI 7-28 & Cash - 5 Star Low High

Gilt Funds

Scheme Name NAV (Rs)

Fund Size (Crs. Rs)

1 Year Return

2 Year Return

3 Year Return

Return Since Inception Top Holdings

Crisil Rank

Value Research Rating

Risk Grade

Return Grade

SBI Magnum Gilt Fund - Long term (G) INF200K01982

30.39 1233 20.53 11.95 12.93 8.06 8.32% GOI 2032, 9.23% GOI 2043, 9.2% GOI 2030, 8.17% GOI 2044

CPR 1 5 Star Below

Average High

Sundaram Gilt Fund - (G) INF903J01FA6

23.61 40 13.07 15.67 14.90 6.41 8.83% GOI 2023, 8.28% GOI 2027, 8.6% GOI 2028 & 8.15% GOI 2026

- 5 Star Low High

Notes:

NAV value as on Apr 27, 2015. Portfolio data as on Mar 2015. Returns are trailing and annualized (CAGR). The notations '5 Star & CPR 1' (used by VR & Crisil respectively) are considered as top in respective rating and ranking scales. The performance of the funds are rated and classified by Value Research in the following ways. Top 10% funds in each category were classified ‘*****’ funds, the next 22.5% got a ‘****’ star,

while the middle 35% got a ‘***’, while the next 22.5% and bottom 10% got ‘**’ and ‘*’ respectively. The criteria used in computing the CRISIL Composite Performance Rank are Superior Return Score, based on NAVs over the Quarter Ended Dec ‘14, Based on percentile of number of schemes

considered in the category, the schemes are ranked as follows: CPR 1- Very Good performance, CPR 2 - Good performance, CPR 3 - Average performance, CPR 4 - Below average and CPR 5 - Relatively weak performance in the category.

Schemes shortlisted based on the corpus and age. Final picks arrived from return score (respective weightage given for rolling returns for 1m, 3m, 6m, 1yr, 2yr & 3yr) and risk score. Schemes from Quantum, Mirae and JM Mutual Funds have not been considered.

NFO:

Scheme name Open Date Close Date Minimum Investments Tenure

Arbitrage Funds Reliance Equity Savings Fund (G) 5/12/2015 5/26/2015 5000 Balanced ICICI Pru Multiple Yield Fund - Sr.9-Plan B-Reg(G) 5/7/2015 5/21/2015 5000 1141 Days ICICI Pru Capital Protection Orient. VIII-C Reg(G) 4/28/2015 5/11/2015 5000 1103 Days AXIS Hybrid Fund - Series 22 (G) 4/21/2015 5/5/2015 5000 1278 Days ETFs Edelweiss Nifty EES 4/24/2015 5/5/2015 10000 Fixed Maturity Plans

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Dividend Scheme Name Record Date Gross (%) Date

Kotak Emerging Equity Fund (D) 4/28/2015 21.00 4/29/2015 SBI Magnum Equity Fund (D) 4/24/2015 60.00 4/24/2015 ICICI Pru Top 100 Fund - (D) 4/24/2015 18.10 4/27/2015 BNP Paribas Dividend Yield Fund (D) 4/24/2015 1.00 4/24/2015 Birla Sun Life Frontline Equity Fund (D) 4/24/2015 17.50 4/27/2015 UTI-Opportunities Fund (D) 4/23/2015 15.00 4/24/2015 Birla Sun Life MNC Fund - A (D) 4/22/2015 100.00 4/23/2015

Reliance Fixed Horizon - XXVIII - Sr.18 (G) 5/7/2015 5/21/2015 5000 1115 Days SBI Dual Advantage Fund - Series IX (G) 5/5/2015 5/19/2015 5000 1111 Days ICICI Pru FMP - Series 77 - 1473Days Plan C-Reg(G) 5/5/2015 5/14/2015 5000 1473 Days HDFC FMP - 1106Days-May 2015(1)(XXXIII) (G) 5/5/2015 5/12/2015 5000 1106 Days IDFC FTP - Sr.108 (G) 5/5/2015 5/7/2015 10000 1144 Days ICICI Pru FMP - Series 77 - 1480Days Plan B-Reg(G) 4/29/2015 5/7/2015 5000 1480 Days ICICI Pru FMP - Series 77 - 1132Days Plan A-Reg(G) 4/28/2015 5/5/2015 5000 1132 Days Income Funds Quantum Dynamic Bond Fund (G) 4/29/2015 5/13/2015 500 Short Term Income Funds Reliance Banking & PSU Debt Fund (G) 5/5/2015 5/12/2015 5000

Mutual Fund NEWS:

Franklin Templeton MF Announces Change in Key Personnel: Franklin Templeton Mutual Fund has announced that Vivek Pai, Director – FTS India and Middle East, ceased to be key personnel of Franklin Templeton Asset Management Company, with effect from 15 April 2015. Accordingly, Ajay Narayan, Vice President – FTS India shall be designated as key personnel of FTAMIL. Birla Sun Life MF Announces Change In Exit Load Structure Under Its Schemes: Birla Sun Life Mutual Fund has announced change in the exit load structure under the following schemes, with effect from 05 May 2015. Accordingly, the revised exit load for Birla Sun Life Short Term Opportunities Fund will be: For redemptions / switch out of units within 365 days from the date of allotment: 1.00% of applicable NAV. For Birla Sun Life Treasury Optimizer Plan, Birla Sun Life Short Term Fund & Birla Sun Life Index Fund: Nil.

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Global Updates: (Source: AMC Newsletters) India:

• India's foreign exchange reserves increased by $408.9mn to $344.60bn for the week ended April 24. • According to the World Bank, the Indian economy is projected to grow by 7.5% in the current fiscal on account of increased economic activity and greater stability. The growth rate is expected

to accelerate to 7.9% in 2016-17 and 8% in 2017-18. • The Centre has clarified that all States will be eligible to get a share of the additional one per cent tax proposed to be levied under the Goods and Services Tax (GST). The Centre aims to

introduce this new indirect tax regime from April 1, 2016. The Constitution Amendment Bill makes every State eligible to get money from the proposed additional tax. • Rating agency Moody’s today said emerging economies in the Asia-Pacific region, including India, have a high degree of immunity to external shocks, but will face challenges when the US

Federal Reserve begins raising interest rates. Moody’s has a ‘Baa3’ rating for India, with a positive outlook. • India is expected to see a 6 per cent growth in its steel demand during 2015, while the global demand is likely to remain at 2 per cent. Higher demand is likely to come from India, with forecast

growth of 6 per cent in 2015 compared to 1.8 per cent in 2013, PwC said in a report. It further said overall, the world steel demand growth is expected to remain around 2 per cent in 2014 and 2015, down from 3.8 per cent in 2013.

Asia:

• Data from the Ministry of Economy, Trade and Industry of Japan showed that retail sales in Japan fell 9.7% on a yearly basis in March following 1.7% contraction in February. • The preliminary HSBC China Manufacturing Purchasing Managers Index, a gauge of nationwide manufacturing activity, fell to a one-year low of 49.2 in April, compared with a final reading of

49.6 in March. • The manufacturing sector in Japan slid to contraction in April, the latest survey from Markit Economics revealed, with a PMI score of 49.7. It's down from 50.3 in March. It also slips beneath

the boom-or-bust line of 50 that separates expansion from contraction • Japan has recorded its first trade surplus in three years after the weaker yen boosted exports and cheaper oil prices lowered its import bill. The trade balance came in at 229.3bn yen ($1.9bn;

£1.3bn) in March, beating market expectations for a surplus of 44.6bn yen. Exports rose by 8.5% from a year earlier, while imports fell by 14.5%. • Japan’s index of leading economic indicators rose to a seasonally adjusted 104.8, from 105.0 in the preceding month whose figure was revised down from 105.3 • Japan’s all industry activity index climbed 0.1 percent month-on-month in February, in contrast to economists’ expectations for a 1.0 percent decline. In January, the index had risen 0.5

percent. It was revised down from a 1.9 percent increase. The index has been increasing since August last year. US:

• The FHFA House Price Index for February came in at 0.70 percent and was in line with the consensus estimates. The print was also above the prior reading of 0.30 percent. • Sales of previously owned homes rose to the highest level in 18 months in March, a sign the housing market is gaining strength after a slow start to the year. Existing-home sales increased

6.1% last month from February to a seasonally adjusted annual rate of 5.19 million, the National Association of Realtors said. That was the highest level since September 2013. • The labor department data in the US showed that the initial jobless claims ticked up 1K to 295K in the week that ended April 18. The four-week moving average of claims, which provides a

more accurate picture of the labor market strength, rose by 1,750 to 284,500. Meanwhile, the continuing claims rose 50K to 2.33 million in the week that ended April 11. The four-week average for the continuing claims dropped 22K to 2.31 million, the lowest level since December 2000

• Markit’s US Manufacturing PMI plunged to 54.2 in April (from 55.7). UK & Euro:

• Data from the British Bankers' Association showed that loans approved for house purchase in the U.K. rose to the highest level in six months during March. The number of loans approved for house purchase climbed to 38,751 from 37,453 in March

• Eurozone consumer confidence deteriorated for the first time in five months in April, defying expectations for further strengthening, as the uncertainty on Greece lingers, preliminary data from the European Commission showed. The flash consumer confidence index dropped to -4.6 from -3.7 in March, which was the highest score since July 2007. The consumer confidence index for the EU shed 0.4 points to -2.2 in April.

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Economic Calendar:

Date Country Event Period Frequency Unit Previous

1/5/2015 India Power generation Apr Monthly bln kwh 86.1 4/5/2015 European Monetary Union PMI Manufacturing Index (Level) Apr, 2015 Monthly 52.2 4/5/2015 India HSBC India manufacturing PMI Apr Monthly 52.1 4/5/2015 US Factory Orders (Factory Orders - M/M change) Mar, 2015 Monthly Percent 0.2 5/5/2015 US Redbook wk5/2, 2015 Weekly 5/5/2015 US ISM Non-Mfg Index (Composite Index - Level) Apr, 2015 Monthly 56.5 6/5/2015 India Reserve Money (change on year) Wk to May 1 Weekly pct 11.87 6/5/2015 India Foreign tourist arrivals (YoY Chg) Apr Monthly pct 5.3 6/5/2015 Australia Retail Sales (Year over Year) Mar, 2015 Yearly Percent 4.3 6/5/2015 UK CIPS/PMI Services Index (Level) Apr, 2015 Monthly 58.9 6/5/2015 European Monetary Union Retail Sales (Month over Month) Mar, 2015 Monthly Percent -0.2 6/5/2015 India HSBC India Services PMI Apr Monthly 53 6/5/2015 India HSBC India composite PMI Apr Monthly 53.2 6/5/2015 US MBA Purchase Applications wk5/1, 2015 Weekly 6/5/2015 US ADP Employment Report (ADP employment) Apr, 2015 Monthly 189000 6/5/2015 US Productivity and Costs Quarterly Percent -2.2 6/5/2015 US EIA Petroleum Status Report wk5/1, 2015 Weekly 6/5/2015 India 91 day T- Bills auction of Rs 80 bln (cut-off yld) Weekly pct 7.94 6/5/2015 India 182 day T-Bills auction of Rs 60 bln (cut-off yld) Fortnightly pct 7.9 7/5/2015 US Chain Store Sales Apr, 2015 Monthly 7/5/2015 US Challenger Job-Cut Report Apr, 2015 Monthly 36594 7/5/2015 US Jobless Claims wk5/2, 2015 Weekly 7/5/2015 US Bloomberg Consumer Comfort Index wk5/3, 2015 Weekly 7/5/2015 US EIA Natural Gas Report wk5/1, 2015 Weekly 8/5/2015 US Money Supply wk4/27, 2015 Weekly 8/5/2015 US Fed Balance Sheet wk5/6, 2015 Weekly 8/5/2015 Japan BoJ MPB Minutes Jan, 2015 Monthly 8/5/2015 India Automobile sales data (y/y chg) Apr Monthly pct -0.15 8/5/2015 UK Merchandise Trade (Exports-Y/Y) Mar, 2015 Yearly Percent -4.1 8/5/2015 US Employment Situation (Participation Rate - level) Apr, 2015 Monthly Percent 62.7 8/5/2015 US Wholesale Trade (Inventories - M/M change) Mar, 2015 Monthly Percent 0.3 8/5/2015 India WMA (ways and means advance) - to central govt Wk to May 1 Weekly Rs bln 8/5/2015 India WMA (ways and means advance) - to state govts Wk to May 1 Weekly Rs bln 8/5/2015 India FX reserve (change on wk) Wk to May 1 Weekly $ mln

RETAIL RESEARCH

Relationship among policy rates and benchmarks:

The RBI maintained the rates at its latest meet. Deposit vs. Advance Growth (YoY)%

Outstanding credit of scheduled commercial banks (SCBs) decreased by Rs.2.3 trillion to Rs.66 trillion during the fortnight ended 17 April 2015. Non-food credit fell by Rs.2.5 trillion to Rs.65.2 trillion while food credit rose by Rs.178.96 billion to Rs.871.3 billion. Outstanding deposits of SCBs decreased by Rs.1.9 trillion to Rs.87.2 trillion during the fortnight ended 17 April 2015. Time deposits fell by Rs.429.8 billion to Rs.79.2 trillion. Demand deposits fell by Rs.1.5 trillion to Rs.8 trillion.

Economy Updates US Dollar Vs Indian Rupee

The USD appreciated against the pound by 0.28%.

WPI Inflation (YoY)

Wholesale Price Index (WPI) based inflation came in at -2.33 per cent for the month of March, as compared to -2.06 per cent for February and six per cent for the same period last year, reflecting lower commodity prices. On the other hand, CPI inflation for March eased to 5.17 per cent, the lowest in three months, aided by lower food prices in spite of crop damage due to unseasonal rain.

RETAIL RESEARCH

Corporate Bonds Spread Vs Gilt Securities:

Corporate bond yields rose last week. The one year and 5 year AAA credit spreads rose by 12 and 1 basis points each. Liquidity support from RBI (Bn. Rs)

The net infusion from the LAF window was a daily average of Rs.19,202 crore for last week (Rs. 15,948 crore in previous week). The inter-bank call rates traded around 7.7%. The CBLO rates were positioned at 7.86% level.

Money Stock (M3) (YoY) (%)

Money supply (M3) fell by Rs.1.3 trillion to Rs.107.5 trillion during the fortnight ended 17 April 2015. On a y-o-y basis, growth in money supply decelerated to 11 per cent from 12 per cent a fortnight ago. Among the components of money supply, time deposits decreased by Rs.424.6 billion to Rs.84.1 trillion during the fortnight ended 17 April 2015.

Foreign Exchange Reserves (mn of USD)

India's foreign exchange reserves increased by $408.9mn to $344.60bn for the week ended April 24.

RETAIL RESEARCH

Certificates of Deposit (%):

CD rates are trending marginally higher in the recent periods. The CD rates hovered around 8.4% levels (as per the latest data) (one year CD). Commercial Paper (%):

Rates of Commercial papers are seen trading higher in the recent periods. The CP rates are hovering around 8.90% levels (one year maturity CP).

MF’s net investment in Debt (RsCrs):

In January, the MF have bought debt worth Rs. 33,124 crore while in Feb, they have bought debt worth Rs. 60,749 crore. In Mar, they bought Rs. 75,393 crore. In Apr they bought Rs. 28,607 crore.

FII’s net investment in Debt (RsCrs):

In January, FII bought debt worth Rs. 23,068 crore while in Feb, they have bought debt worth Rs. 13,422 crore. In Mar, they bought Rs. 5,949 crore. In Apr they bought Rs. 3,227 crore.

RETAIL RESEARCH

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