Current Market View

Thursday, June 9, 2011

Nifty seen flat; Industrial output data watched



NEW DELHI: The 50-share Nifty index is expected to open flat tracking mixed Asian markets on Friday while higher inflation and slowing growth concerns will keep investors at bay.

According to a Reuters POLL, India's industrial output probably rose 5.5 percent in April from a year earlier, moderated by successive interest rate rises which slowed manufacturing growth.

The food price index rose an annual 9.01 percent in week to May 28, government data showed on Thursday, up from 8.06 percent in the previous week.

Markets had a lacklustre day on Thursday even as Nifty slipped a bit and failed to break above it's resistance at 5580.

"Markets continue to trade in a narrow band between 5480 and 5560. Traders must wait and watch for now till Nifty decisively breaks out above 5580 to go long. There is a strong possibility that the Nifty might snap out of this range in the next few sessions", says Kunal Saraogi, CEO, Equityrush.

Metals, cement and auto remains weak whereas telecom, pharma, textiles and select banking stocks look strong, adds Kunal

Investors will closely watch China's import and export numbers to see how the world's second-largest economy is holding up amid government credit curbs.

Wall Street edged higher on Thursday after six days of losses as a narrowed U.S. trade deficit was seen as one positive point for growth but weekly jobless claims edged higher last week echoing fears of slowing economic recovery.

STOCKS TO WATCH

Maruti Suzuki as a strike at India's top car maker's Manesar plant entered its Sixth day on Friday, causing a production loss of 4,200 vehicles.

Shoppers Stop after the company plans to raise prices of private labels by 10-12 percent from July 1.
ENIL and Reliance Broadcast Network Ltd after the government prepares to issue additional radio licences and announce new guidelines for the sector.

Reliance Industries after the company's fuel exports up 15 per cent in May. The rise in demand was led by Jet fuel which tripled in demand for that period.

Tata Motors after India's top car maker faces road block with respect to land acquisition in West Bengal. The government said will return land to farmers. Tata's can build plant at remaining 600 acres of land says Mamta Banerjee.

JSPL after their Coal washery in Chattisgarh came under environment ministry scanner.

Agricultural stocks like Rei Agro, KRBL after government hikes minimum support price for cotton and paddy. Prices for Paddy hiked by Rs 80 while prices for Cotton hikes by Rs 300.

Unity Infra after the company decided to raise Rs 150 crore to cut high cost debt on its books.

India Securities after the Essar Group announced reverse merger of Essar Teleholdings with the company. Essar Teleholdings has a 11 per cent stake in Vodafone Essar.

No comments:

Post a Comment