Morgan Stanley Names 10 Top Picks as Desai Forecasts Sensex at 89,000 by June 2026

Welcome Back Investor!

India’s services sector just flexed its muscles with a PMI reading of 60.5 in July, its strongest in nearly a year, driven by booming export demand and resilient domestic sales. Finance and insurance firms led the charge, while exports surged across Asia, Europe, the UAE and North America. Yet, hiring slowed to a 15‑month low, and rising input costs prompted firms to pass expenses on to customers hinting at inflationary pressure and looming policy implications.

Let’s dive in!

But before we start!

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Today’s Market Menu

▪️ Impact News

▪️ Markets

▪️ Everything else you need to know today

▪️ Special

▪️ Mindset

▪️ Stock Screener to up your game

IMPACT NEWS

📈 India’s Market Momentum: Are You Riding the Right Stocks?

India’s equity markets are poised for new highs, and Morgan Stanley just revealed its Top 10 stock picks to ride the rally.

Ridham Desai sees a re-rating cycle underway driven by strong macros, stable politics, and domestic liquidity. Their picks span across financials, consumer, infra, and energy, offering a strategic blend of growth and resilience.

This isn’t just another FII update it’s a reminder:
👉 You don’t need 50 stocks. You need the right 10.
👉 Quality + Earnings visibility + Momentum = Smart positioning.

The bigger story?
India is not a trade anymore it’s a trend.

As global capital rotates, ask yourself:
📍 Am I holding the leaders of tomorrow or laggards of yesterday?

MARKETS

The Indian stock market closed in the red on August 5th, with major indices showing mild declines. Sensex slipped 308 points to settle at 80,710, while Nifty 50 dropped 73 points to 24,649. Bank Nifty and Midcap 100 also saw red, falling by 259 and 225 points respectively. The broader sentiment reflects mild profit-booking or cautiousness, possibly as investors await global cues or key domestic data. Nothing alarming yet but a classic reminder that even strong rallies pause for breath!
_{Closing figures as on 05.08.25 (3.30pm IST)}

🔎 In Focus

Stock Performance:

Top Gainers

✅ IndusInd Bank Soared up to 5.4% intraday after veteran banker Rajiv Anand was appointed MD & CEO. Market welcomed leadership clarity, closing ~1.88% up.

✅ Titan Company Strong demand outlook in consumer sector lifted Titan by ~1.84%. Defensive buying and festive demand projections fueled the rise.

✅ SBI Life Insurance Insurance stocks gained traction amid volatility. SBI Life rose ~1.39% as investors rotated into defensives with steady growth potential.

✅ Maruti Suzuki Auto major zoomed ~1.39% on upbeat demand expectations and sector resilience. Maruti led auto pack in gains today.

Top Losers

🔻 Adani Ports Posted strong Q1 results, but profit-booking and Gautam Adani stepping down as Executive Chairman spooked investors. Stock dipped ~2.2% on leadership change concerns.

🔻 Adani Enterprises Despite steady operations, sentiment was hit by leadership transition and group-wide uncertainty. Stock slid ~1.5% amid cautious investor mood.

🔻 Reliance Dragged down by global oil weakness and Trump’s tariff threats on India. Heavy FII outflows added pressure, causing a ~1.4% dip.

🔻 Infosys IT stocks continued facing selling pressure. Weak global cues and bearish momentum pushed Infosys down ~1.36% despite no negative company-specific news.

Q4 RESULTS

^{Click on company name for result pdf} 

INDIA FRONTIER

Everything else you need to know today

🎯 Dealwatch: India says it’s “actively engaged” in high-stakes trade talks with Washington, just hours after escalating friction over its ties with Russia. Think of it as walking a diplomatic tightrope.

🏆 Goldrush: Gold is glittering brighter than ever crossing ₹101,000 per 10 gm in India as traders price in a near‑certain U.S. Fed rate cut next month. With weak U.S. jobs data and inflation fears bubbling, gold’s safe‑haven shine has startup founders and investors eyeing it closely.

⚠️ Crackdown: Trading giant Jane Street is now facing a probe by India’s tax authorities for possible misuse of tax treaties via its Singapore entity accused of booking massive profits tax-free. SEBI’s manipulation ban plus non‑cooperation with local probes add fuel to the fire.

📊 Outlook: Deloitte has forecast India’s GDP growth at 6.4–6.7% in FY 2025‑26, driven by strong domestic demand and trade momentum. Yet, caution: geopolitical shocks and agriculture market uncertainties could trip it up, making trade negotiations even more critical.

SPECIAL

🆕 PAN 2.0 is Coming in 2026: What You Must Know Now

The Income Tax Department is rolling out PAN 2.0 in 2026 - a major upgrade toward digitally secure identity for financial transactions.

Key highlights:
🔹 One digital identity across tax, compliance, and KYC
🔹 Seamless API integration for fintechs, banks, and brokers
🔹 Existing PANs stay valid no need to reapply
🔹 New features to reduce fraud and boost transparency

What should you do?
✔ Ensure your PAN is linked with Aadhaar
✔ Update KYC details to avoid future hiccups
✔ Stay alert for notifications from the tax department

India’s tax infrastructure is evolving fast.
PAN 2.0 isn’t just a card it’s a gateway to smarter compliance and cleaner capital access.

THE HANOOMAAN INSTITUTE

💸 Middle Class Mindset Shift: Stop Being Cheap. Start Being Smart.

There’s a huge difference between being cheap and being frugal and if you're middle class, mastering this could be the difference between staying stuck… or building wealth.

Being cheap is reactive.
Frugality is intentional.

Cheap people avoid spending even on growth.
Frugal people prioritize value, optimize spending, and invest in their future.

🚫 Cheap: Skipping insurance, delaying repairs, buying the lowest quality.
✅ Frugal: Buying once, buying right. Choosing ROI over short-term savings.

In today’s world of rising costs, economic shocks, and financial distractions your mindset determines your outcomes.

If you're saving ₹500 today but losing ₹5,000 in the long run, that’s not smart that’s expensive.

Want to protect and grow your middle-class future?

Ask yourself:
🔹 Is this spend an investment or an escape?
🔹 Will this save me time, money, or energy tomorrow?

Frugality fuels freedom.
And freedom is the real flex.

SUPERCHARGE YOUR INVESTING SKILLS

STOCK SCREENER TO UP YOUR GAME

Undervalued companies
by - Pratyush

Price to Earning < 10 AND
Historical PE 5Years > 5 AND

Dividend yield > 0 AND
Debt to equity < 1

Thanks for reading.

Until tomorrow!

Hanoomaan India Business team

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