Use this space to put some text. Update this text in HTML

www.bigprofitbuzz.com. Powered by Blogger.

Tuesday 14 October 2014

Sensex, Nifty choppy; Sesa Sterlite recovers, Bajaj Auto up



01:30pm Market Expert

The improving macro numbers will surely give us an advantage in this kind of a market, especially when the global markets are so volatile, says Taher Badshah of Motilal Oswal AMC.

The consumer price inflation for the month of September cooled off to its all-time low of 6.46 percent , the lowest since India started computing consumer price index (CPI) in January 2012, led by lower food prices and fuel costs. The food inflation trimmed down to 7.67 percent against 9.42 percent MoM.

There are lot of good things going in our favour. We have seen a significant amount of decline in oil prices but the corresponding translation of it into the domestic economy is yet to happen. So, the market will probably wait for a cut in diesel prices post elections. I think that has the capability to drive down these inflation numbers even lower as we go ahead,” he says.

According to Badshah, Indian market has the ability to resist heawinds of global effect, however the only thing that it is lacking right now is FII flow. “When the weather becomes favourable, we may see the flows coming back,” he adds.

 01:00pm Market Check

 Equity benchmarks remained marginally weak amid consolidation in afternoon trade with the Sensex declining 21.48 points to 26362.59 and the Nifty falling 14.70 points to 7869.55.

The index found 7850 as its support due to fall in inflation. September inflation eased to 2.38 percent (hit a five-year low) versus 3.74 percent in previous month aided by lower food inflation which hit a 33-month low at 3.52 percent.

DLF lost over 26 percent after Sebi barred company and six of its senior executives from accessing capital markets for three years. Analysts say there will be no major impact on company's operations but it will push forward any plans for further equity issuance and could postpone value unlocking.

Sesa Sterlite recovered from day's low, down 1.7 percent (compared to more than 10 percent fall in late morning trade) after Goa Mineral Ore Exporters' Association clarified that Supreme Court order will impact only a part of total inventorised cargo of 15.2 million tonne out of which Sesa's share is seen to the tune of about 3-4 million tonnes.

Reliance Industries' second quarter net profit came in at Rs 5,972 crore, beating street estimates, led by higher than expected USD 8.30 per barrel gross refining margins. Macquarie reiterated outperform rating on the stock, with a target of Rs 1100 while CLSA expects EBITDA to double.

 Bajaj Auto is among the top Nifty gainers today ahead of its earnings. A CNBC-TV18 poll sees net profit rising 4 percent to Rs 870 crore. Superior product mix, currency benefits and operating leverage are expected to aid margins. More information please visit this site www.bigprofitbuzz.com



No comments:

Post a Comment