Buy Century Enka, Delta Corp, Lupin, Cairn for short term

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Buy Century Enka, Delta Corp, Lupin, Cairn for short term

Rajesh Tambe, Research Partner, Suresh Rathi said to Moneycontrol.com, "The weakness in the US activity and the financial volatility in the Euro Zone will result into a mild slow down of global output which in turn will lead to overall slowdown in the global markets.

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ALSO READ See what other experts are saying about markets See what FIIs are saying about the markets See what Udayan Mukherjee is saying about the markets Century Enka BSE | NSE 31/05/12 Are Mutual Funds betting on Century Enka? Other Stocks in this news Delta Corp | Aurobindo Pharma | Lupin | Cairn India |

Rajesh Tambe, Research Partner, Suresh Rathi said to Moneycontrol.com, "The weakness in the US activity and the financial volatility  in the Euro Zone will result into a mild slow down of global output which in turn will  lead to overall slowdown in the global markets.

Oil prices moving up and demand for it also going up are some good signs of recovery for the US economy. Also there are no evident signs to prove that US may get into double dip recession.

The Indian markets will remain volatile till the month of September 2011.

Factors to watch

a. The rate of fiscal expansion will be slow

b. Credit growth increase is not the true reflection of the economy as credit is not directly related to GDP. It only acts as lubricant. The increase in percentage is also because of inflation.

c. Inflation still remains a great concern of worry.

d. The increase in interest rates is basically done, to dampen the demand which eventually will ease the commodity prices. By doing this one can't see quick results; these actions will always have a delayed effect .The results could be seen towards the end of 2011.

e. Scams, corruption and poor governance if not addressed properly could see a shift in investments to overseas markets, even big banks in India (private sector) can take there money for investments to the overseas markets.

f. Invest for short term in scripts like - Century Enka , Delta Corp , Aurobindo Pharma , Lupin, and Cairn India . Buy at the current levels and exit with appreciation of 10% to 15%."