No jump in Nifty expected; 8000 a good support: Dalton Cap

UR Bhat of Dalton Capital does not expect Nifty to rise significantly in the near term. However, the market can fall if the situation in Greece worsens, he told CNBC-TV18, adding that 8000 is a good support for the Nifty. Bhat said that public sector bank units (PSUs) are yet to show improvement. The June quarter earnings show increase in non-performing loans (NPLs) and restructured assets that can prompt investors to book profits, he said. Government capital will only help partially. The banks need to raise capital from public, he said.Bhat is bearish on the pharma sector. The sector needs to resolve its issues with the US Food and Drug Administration (USFDA) for sentiment to improve, he said. The commodities market will remain sluggish in the near term with slowdown in the Chinese economy, he said. He doesn’t see any trigger for better topline growth in automobile sector, but expects auto ancillaries to do well.He advises retail investors to accumulate big name stocks in stages.Watch video for more.