- Most Tata group stocks rallied on Thursday despite the concerns over the outcome of the NCLAT judgment as the implementation looked difficult. However, investor cautious is likely to be the theme with respect to the group stocks.
- With some progress visible on the trade deal, there was selective buoyancy in the markets. Global markets are reconciling to the reality that impeachment does not mean removal; at least that is what history suggests.
- FPIs were net buyers to the tune of Rs.739 crore while DFIs sold Rs.494 crore on Thursday. FPI selling has been sustaining over the week and the big trigger has obviously been the MSCI weightage rejig.
- Markets across the US and Europe were positive on Thursday as markets started viewing the trade deal cues positively. Even China has responded with duty exemptions. SGX Nifty is flat but may remain under week end pressure.
- We suggest caution on Bandhan Bank and traders should go light on the stock at around Rs.520 levels. The problems in the East and North East are getting bigger and that is not good news for Bandhan’s major markets. Remain cautious.
- NMDC is a stock we had recommended some time back at around Rs.110 levels. We suggest a phased purchase of the stock in the range of 110 to 120 for targets of Rs.150 in one quarter. It could be a big beneficiary of Chinese stimulus.
- With the latest Mumbai project getting a strong response, traders can look to buy Sunteck Realty around Rs.410 levels for quarterly target of Rs.460. The stock also is strong on financials and low on debt burden.
- Markets are likely to turn cautious as another week end nears and there are MCP minutes data to be absorbed. Markets may play a little wary today.
