•Despite the 25 bps rate cut, the stock markets corrected as they were disappointed in the absence of any dovish outlook given by the RBI or any change of monetary stance to more accommodative. Pressure may continue.

•The policy has opened the doors for quality housing finance companies with the prospects of thrust to the securitization of HFC receivables. Companies like HDFC, Indiabulls Housing, and LIC Housing could be the key beneficiaries.

•FIIs were net sellers to the tune of Rs. (-226) crores while DFIs bought Rs.1206 crore on Thursday. In fact, domestic institutions have turned net buyers in the market after a very long gap this time around.

•Markets across the world were flat to weak on Thursday as the approaching BREXIT deadline did create uncertainty in markets. Even the trade war continues unabated. SGX is in positive territory but may face pressure on the last day of the week.

•We think it is time to focus on housing finance companies that are still away from their highs. Stocks like Indiabulls Housing and LIC Housing are the key stocks to buy at these levels with upside targets of 20% from here on in one quarter.

•Despite the SKYMET estimates, we remain positive on agri and consumer stocks. In the last few years, the IMD has been correct more often than not and IMD still holds a positive view on the monsoons. Stay long on UPL and Rallis.

•Use bounces in the market to sell Zee either through futures or throughput options as the price may still be too steep for a deal to happen. It will happen but at a much lower valuation. Play accordingly.

•While the overhang of the policy will stay, tomorrow could see selling in the light of being the last day of the week.