India Morning Report: Markets ready to start back up again!

The Bank index looks juicily undervalued and at 8050 Nifty looks tremendously under priced favoring though, overnight F&O survivors after a fairly uneven bout on Monday. As I mentioned in our weekly Wall Street opener yesterday, Gold and Oil are still on a down ride so equity markets in general have something to look forward to, despite the unnecessary hangingon tot the coat tails of the US fed, with real recovery underway in  key Emerging markets

I doubt if the recovery in BOB is real yet, but then I am just partial to prospects of PNB and prefer the latter as the last PSU stock to a portfolio of SBI, HDFC Bank and ICICI Bank.

Also Hero seems to be up for the prize this rally leaving Bajaj Auto in the lurch as push comes to ..infracos and IDFC and  Rel Infra take up the slack from ultra HNIs at a loss for choice as RE and IT get lost in the moving up crowd. GAIL is a great pick and the power NBFCs have over riden the market switch for blue sky shutdown even as the Nifty flails at 8100 levels after barely a week of unopposed movement Glenmark and some new midcap Cap goods stock look like a potential basket for new traders entering this week. Thge auto ancilliary trade probably triggered the fell swoop on markets over the weekend on bad economic reports , and Tuesday willl see a revival based on the improving Gold demand data for the Economy as a whole as India gets into positive eigenvalues from institutional values but yields are still 8.5% (10yr) and bond market reforms are not anywhere near implementation yet, except the continuing incremental improvements.

Raising interest rates by policy tweaking SBI has been mildly negative for the bank stock on Monday but Tuesday is another day. Chris Wood in the meantime has been laughable with volatile soundbites making up for shallow unresearched riffraff Kotak in the meantime gets a big headstart for its ultra hni community as it gets its stake buy in MCX thru the regulatory set up

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