- The one stock that held the Nifty up was ICICI Bank, which celebrated bad results with a 7% spike in price. We had said that yesterday but traders need to be cautious about buying ICICI Bank at such lofty levels.
- Downstream oil could benefit from the cancellation of the Iran US Nuclear deal. That means supply could go up and oil prices could come down further and that would be good news for oil. Buy BPCL and HPCL for 10% upsides from here.
- FIIs were net sellers to the tune of Rs.(-97) crores while DFIs bought Rs.923 crore on Tuesday. Domestic funds, as we mentioned yesterday, continue to be on bullish mode as inflows continue from domestic investors.
- Tensions are mounting ahead of the proposal to cancel the Iran Nuclear deal and markets across the US and Europe is under pressure. Even the SGX Nifty is under pressure and may face problems at higher levels.
- We like Tata Steel from current levels especially after its decision to hive off most of the non-core European assets. This will focus them on strips and reinvestment will now happen across Asian demand. Target Tata Steel scaling Rs.700.
- DLF could be the dark horse in the market with its plans to get debt free by late this year. The sale of stake to GIC and the turnaround in its residential realty business should also b e positives. Target Rs.300 on the stock in 1 quarter.
- TVS Electronics in the digital space has once again come back to a more buying range for investors. We see the stock getting back to Rs.550 levels on digital traction and recommend buying.
- A lot will depend on how the markets interpret Trump’s decision on the Iran nuclear deal. Markets are likely to be cautious on Wednesday.
