India Morning Report: I wonder if this freewheeling, Really is an enlightening thing (Dubious , Vikram Seth, NDTV 2013-12-14)

English: syndicates @ work

English: syndicates @ work (Photo credit: Wikipedia)

Homage to Sec 377 controversies apart, it also expresses the universal angst and one shot propositions(Sec 377) that refuse to delineate the difference between the Buys and the Sells and the Holds and the currency and the coin) SELL THAT MIDCAP now (and come back another day)

The markets tried again in the Pre Open today and will sooner than later again snare buyers on a higher price near 6200 but till that happens, Bulls having just defended 6000 levels in the Option premium market, not underwriting 6100 or even 6200 that they had started last Monday on, it leaves an uncertain gap in between.

Market buying will of course definitely ride a 6.5% WPI data in November riding the gain from Core industries lasting around 2% for almost the entire year now, and Primary Articles skewing the deal with a 15% tick, also underwriting that retail inflation is not wont to come down at all in the coming two years of a changed fiscal and political regime either. In India, we follow the natural order of things, yes and in the long run we are all dead , definitely, but increasing rates because Onions can finally be sold for  a better price, it is more autistic than you think and once we are part of a Global Bond index, such follies will get a force multiplier we do not worry about / or disavow when we make that policy.

GSK deal again caught buyers on both sides even as a 30% arbitrage was available on the GSK Pharma stock which closed on Friday at 2400 levels as GSK Consumer tumbles from speculators exiting at 4500 levels. Both scrips are closer to the offer at 2950 and 3500 respectively in the pre 9.30 trades on Monday. Any open offer in GSK Consumer will unlikely exceed 3400 and may even be lesser after the INR 64 Bln is spent on GSK Pharma. Apparently the Midcap deal buying Elder off Torrent leaves Elder with the low margin API business and Torrent stock is unhappy about the value bought over while Elder stock is not so happy about he cash coming in/debt closing out.

Anyway, before we proceed, the other starting up sub text today was Sell the Midcap. A sure fire winner of a strategy given the markets vacillation, as those who are Hungry are bound to die till they are served with Capital inputs and Market responses that allow a rally

Wednesday’s rate hike will probably peak out the ill advised strategy ad retail inflation will continue to iron out the poor gap even if the government can’t spend and hopefully no party feels like lifting the Gold curbs too soon. Europe’s death spiral should wean out some hot money before he Euro peak s out but the Dollar will continue south and thus the taper threat will pass off unnoticed by the non market watchers in the middle of the week. Did you notice the flurry of big bank settlements that have passed us by in November?

India will act decisively to set the global context in 2014 reflecting the markets outperforming in 2014 while US markets follow tamely yet maintain last year highs. The Europe sell off about to begin soon, will leave us unaffected giving the world another chance to dig theimselves in, but ignored india will manage with another $20 Bln – $40 Bln in portfolio adds in 2014 as US Bond yields rise to meet the challenges of a real world.

Also Ashwini is a the cusp of a rash with all his misplaced bear picks again, and you should buy into the banks now. I go with SS(CNBC18) decision on the trading rink, markets waiting at 6175 at 9:35 for the confirmation that 6150 bottom holds and markets will move up thence. All that shucking, it is finally closed so the good guys we all noticed are set to move up ( and no IT moves are expected from here),. ALso, th last headline PSU Bank investors are not coming back, holds.

HDFC Bank ticked in the early bull report on Advance Tx, but then HDFC Bank was always expected to headline bigger growth numbers than the rest and it may well be the contraindication leading India Inc to slower revenues for the third running quarter

Any others eager to read the Drama Queen by Suchitra Krishnamoorthi, it’s a good idea this broadbasing of Indians’ views on their own history

Achha, what’s the deal – Jaspal Bindra wants clarifications on Subsidiarisation? HSBC, StanC < Citi and that other, will they ever come back in India and China retail or is it just Transaction Banking now

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One thought on “India Morning Report: I wonder if this freewheeling, Really is an enlightening thing (Dubious , Vikram Seth, NDTV 2013-12-14)

  1. Pingback: India Morning Report: Icky Spider on the Wall, why is this the fairest of all? | The India Investment Post (earlier india.advantages.us)

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