- On Thursday, the Sensex lost nearly 250 points from the peak to close almost flat as the pressure of F&O expiry pushed the markets lower. Markets have also been a tad cautious ahead of the G-20 Summit.
- SEBI norms for pledged shares and mutual funds are likely to clean up the system substantially. While it could create some short term disruption, it is likely to be positive for the markets in the long run.
- FIIs were net buyers to the tune of Rs.1 crore while DFIs bought Rs.197 crore on Thursday. FII are now likely to bide their time ahead of the Union Budget considering the global and domestic uncertainties involved.
- US markets were in the green on Thursday but there is pressure visible across Asia as global leaders meet at Osaka. The Indian SGX Nifty is marginally in the positive and 12,000 could again be a stumbling block in the coming week.
- We have been giving bullish ideas on Indiabulls Housing Finance and continue to reiterate our buy call on the stock. The better asset quality and the merger with LVP should give the stock better traction. Target of Rs.750 looks likely.
- For long term investors, HDFC Life at around Rs.450 offers a good bet on a long term growth space with greater market share being ceded by the LIC. One can target Rs.500 on the stock in the next one quarter.
- Long term investors can look at buying Biocon at the current market price of Rs.250 for upside targets of Rs.300 in the short term. The company has corrected sharply and could be least vulnerable to the Form 483 challenges.
- Markets could see some profit booking as the global economy goes into a critical week end with OPEC and G-20 meet ahead.
