OMKARA CAPITAL – DAILY NEWSLETTER (14th July 2026)

• Trump wants control of the Strait of Hormuz and to charge 20% fees as well – madness
• Crude Oil jumped 9% overnight
• Stocks in news: Biocon block deal today – a lot of interest amid big names
• HCL Tech in-line earnings and strong results from Nuvoco

Trump madness, AI/Kospi reset & India strength
Who would have thought that this would happen after we have seen an MOU between the USA and Iran? Trump calls himself the Guardian, the protector, the Messiah of the Strait of Hormuz, and puts a blockade now, and is asking for 20% fees to protect the world. For the USA, the Strait of Hormuz has gone from no control, to free it for the world, and now charges the fees in the last few months. I don't even know how to take this in a serious manner or in a funny manner, or just again, a day when Trump has lost his mind and is saying anything without even recognizing what he is saying.

Well, another thing, and an important one which I want to highlight, is that there is a reset in the hyped or the fashionable stocks in the last few days. Did you know that the much-hyped Micron and SK Hynix stocks are down over 30% in the last few days? Even Korean markets are down 25% from the top. SpaceX stock has hit its lowest level since going public and was the most debatable, hyped stock when it got listed.

Please read this carefully, and I was shocked to read this. This happens when people do leverage on fashionable products and just get killed. The 3x SK Hynix fund was launched one month ago, peaked at 36 three weeks ago, and is trading at 4. The 2x fund (7709 HK) is down 70% and still has $9bn in AUM. It is scary to see that the ETFs based on one or two stocks are down around 70-80% and still have an AUM of $9 billion.

India, on the other hand, has seen relative strength compared to what we have seen in the US markets, Korean markets, Taiwan markets, or any other markets in the month of July. Yes, we did underperform for the last three years, but is the switch happening (from madness to structural growth) now or not? That's an important answer, which no one knows, but we'll see what happens. BTW, FIIs have been buyers in the Indian markets for every single day in the month of July, as per the SEBI actual data and not the provisional data.

Today will be an important day to see whether the Indian market shrugs off all the big noises and threats from Trump again or not. I think we all know that Mr. Trump can change in the next few days or weeks. Hence, tracking earnings, tracking growth, and tracking commentary should remain the most important thing for us investors. Smart investors focus on business; others focus on news.

I dare say that the cycle for India is changing after almost 3 years, so we better focus on having the best companies and businesses in our portfolio rather than getting worried about things which are not in our hands, especially Mr. Trump, who is not in anyone's hands.

Results Diary:
• Tuesday: L&T Tech, Tata Elxsi
• Wednesday: Union Bank of India, HDFC Life, HDFC AMC, ICICI Pru Life, HDB Fin, Jana SFB, Fedbank Financial, Emmvee
• Thursday: Wipro, Tech Mah, BHEL, JIO, Polycab, Ceat, Polycab, Borosil Renewables
• Friday: RIL Ind, JSW Steel, Havells, RBL Bank, Poonawalla, Tata Tech, Federal Bank
• Saturday: HDFC Bank, ICICI Bank, Kotak Mah, Axis Bank, Yes Bank, Can Fin Homes, India Cement

Results Review

1. NUVOCO Q1FY27 Earnings Review: Strong start for the year! Better realization improves profitability. EBITDA/t for the quarter was Rs 1070 vs Rs 982 QoQ vs Rs 1016 YoY.
2. HCL Tech Q1FY27 Earnings Review: in-line earnings & guidance unchanged. FY27 organic revenue growth 1-4%; EBIT margin 17.5-18.5% (includes 40-50 bps restructuring drag). Guidance maintained despite Q1 beat; reassessment deferred to post-Q2.

Warm regards,
Omkara Capital Private Limited
www.omkaracapital.in

Disclaimer: This newsletter is for informational purposes only and should not be construed as investment advice. Please consult your financial advisor before making any investment decisions.