India Morning Report: Playfully yours, India Inc.

Happy Deepavali and a happy new year. It’s 2071 AD as most of you must have seen on a flash by on your TV screens.

Heromoto has come out ahead, that is definitely newer this Deepavali with heavy duty bikes making a return with Bajaj Auto but the market much bigger for the smaller bikes and split vertically between Hero and Honda.

But back to playing favorites and markets are way ahead just waiting and watching for growth pick up signs to come head first in the Banks and non Banking companies, HDFC Bank proving it as simple as pie and Kotak following in its steps today when it announces results in the late afternoon albeit at less than one third the rate at HDFC Bank in Net Interest income and even in Brokerage and Insurance, it not making an impact outside its exclusive Wealth club clients

Havell’s is still doing well, Jubilant Foods is not making a comeback despite both Jubilant And Talwalkars also managing a 20% clip of growth, while Page industries and the new local directory company Just Dial holding some aces in Mid Caps. Arvind Mills and Adani seem to be aces in the hole if you disregard any Small Cap/Large Cap/ ¬†preferences with some key investments making a difference for both Gujarat based groups.

Markets are going to run a bullish candle till 8200 levels and come back again in the next 5-7 sessions of trading including the short and sweet muhurat session. There is no reason for “Energy and Pharma to take a breather” (ET NOW) per se and they are likely to start a catch up with the bank sector for their own results with Glenmark not posting results next week but eagerly awaited while Lupin and DRL report on Tuesday and Wednesday and create some good trading mojo having bid their time,-

Follow our earlier posts to figure out what s wrong at PNB, and stay away again for another couple of quarters , engaging the other PSU alternative to SBI that is slowly and surley making a return to good profit. For those willling to duck out this rally again, Oil India and GAIL seem nice bets with the gas controversy seemingly behind us at a new $5.60 price

Futures markets are again seeing good traction after the jump day in volatility last week, however we expect Options only strategies to continue to outperform with PCRs starting up from 0.85 this time and 0.89 currently on way to 1.2 levels ( against 1.1 mostly at the top) so a lot of options at 8000 today and 8200 next week to sell and close. :p

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s