Moneycontrol Pro Panorama | Office days again? Infosys sets off the talk big time

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The Panorama newsletter is sent to Moneycontrol Pro subscribers on market days. It offers easy access to stories published on Moneycontrol Pro and gives a little extra by setting out a context or an event or trend that investors should keep track of.

So, Infosys has told its employees that they can resume work from office, if they wish. The technology giant has not actually asked employees back to office, just given them the option of working from office if they wish.

What Infosys does, the rest of the sector typically follows.  This is a cue to other industries as well that they could consider opening offices.

The Infosys memo to employees went out last week before the results of the ICMR Sero Survey were made public. The survey showed that about 68 percent of Indians surveyed above the age of six showed the presence of coronavirus antibodies. It has added to a sense of optimism about economic activity as new COVID-19 cases fall to a four-month low.

“Economic opening up is no longer a distant dream,” declared the well-respected equity strategist Neelkanth Mishra in a newspaper column today. He expects economic output, after the opening up, to “bounce much higher than currently expected”.

Others share this optimism. Economists at Nomura say economic growth has recovered to the levels seen before the second wave hit and that consumption bounced back in June. They added that their composite lead indicator shows India’s business cycle remaining in an uptrend.

To sum up, “we expect GDP growth of 10.4% y-o-y in FY22 (year ending March 2022), aided by faster vaccinations from August, steady global growth and easy financial conditions, with a severe third wave a key downside risk”, they wrote.

For now, the third wave perhaps looks like a distant risk. Nevertheless, it can’t be ruled out. It is still uncertain whether the entire country can be vaccinated by December. There are complaints of vaccine shortages in states such as Maharashtra and Tamil Nadu.

Second, are we correct in interpreting the results of the Sero Survey to mean herd immunity? Our columnist Prosenjit Datta argues that we are nowhere near herd immunity yet and nor can we let our guard down because of the survey’s findings. You can read his piece here.

Do check out these investing insights from our research team:

Is the $40-billion valuation for Asian Paints justified?

Bajaj Finance Q1 show weak, asset quality deteriorates

Gland Pharma: New product successes in FY22 key to its future opportunities

Shyam Metalics and Energy: Higher free cash flow, volumes will support growth

What else are we reading today?

The pros and cons of pension funds being allowed to invest in IPOs

Pegasus puzzle — Who is snooping around?

The Green Pivot | Over time, ESG scores will reflect in the entire evaluation process: CRISIL COO Amish Mehta

Is Glenmark Life Sciences another Divi's in the making?

Chart of the Day | Salaries bounced back after pandemic hit in FY21

Fiercest billionaire space race is Bezos vs Musk (Republished from the FT)

Picks from our Technical Analysts: JSW Steel, DLF, IDFC First Bank and Berger Paints (These are published every trading day before markets open and can be read on the app)

Ravi Krishnan

Moneycontrol Pro