Sudarshan Sukhani, s2analytics.com says there are no shorts in this market and one needs to stay long in the Nifty
Market today struggled in trade led by weakness in banking and IT stocks. Nifty hovered around 8200 and closed at above that. Taher Badshah, Motilal Oswal AMC clearly believes it is time to deploy cash in the market. The fund house has been incrementally deploying cash and actively investing in chosen names where there have been deeper cuts, and back companies that have come out with decent set of numbers, he says.
"We are buyers at current levels," says Badshah.
Sudarshan Sukhani, s2analytics.com says there are no shorts in this market and one needs to stay long in the Nifty.
According to Dipan Mehta, member BSE & NSE thinks with the wholesale price index (WPI) and consumer price index (CPI) with encouraging numbers on WPI and CPI front, some sort of floor seems to be setting in for Nifty and the stock market.
Market expert UR Bhat of Dalton Capital too earlier in an interview to CNBC-TV18 said the bottom was close and Nifty could move higher from current levels. He does not see the nifty settling below the 8000 mark.
The April WPI came in at minus 2.65%, lower than street estimate as manufacturing inflation contracted for the second consecutive month. It was a negative number for the sixth consecutive month.
When asked if RBI would cut rates in the upcoming monetary policy, Mehta says a 25 basis point cut may not be enough because the fundamental market picture seems to be getting murkier with concerns on the monsoon front and oil prices on the rise. However, the RBI governor's commentary will be closely watched, he adds.
Talking sector/stocks specific, Badshah says the house would look at companies that have delivered good numbers from the auto, private bank, and NBFCs and logistic spaces. From the pharma space, they would look at companies where earnings and product pipeline is good.
The fund house is moderately bullish on cement sector because volumes over there may take time to recover and would like to wait for them to get to reasonable valuations.
Mehta thinks the better than expected numbers from NCC could spur up the stock price. According to him the companies that have disappointed on the earnings front may not see a bottom for them but companies that have delivered could see bottom formation.
Sukhani too believes there could be significant breakout in offing for NCC and is worth buying.
for the entire conversation and more stock/sector specific ideas watch video
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