Indian Markets Outlook for the week – 30.03.2015 to 01.04.2015
( www.rupeedesk.in )
Indices
are seen correcting in the upcoming truncated week, which is expected to see
thin
volumes
on account of the extended weekend cutting the week short.
Index
heavyweight ITC is seen declining heavily after the Delhi government notified
of a ban on most tobacco products. Other companies dealing with
tobacco--Godfrey Phillips and VST
Industries--are
also expected to fall.
Developments
over the Yemen crisis, and currency and crude oil price movements will also
lend cues to domestic markets.
The
Nifty is seen facing resistance at 8450, and seeing support at 8100, having
ended at 8341.40, down 0.75 points or flat from Thursday's close. The S&P
BSE Sensex closed at 27458.64, up 1.06 points or flat. However, market
participants do not rule out a bounce back after the Nifty hit a one-month low
of 8269.15 yesterday.
Among
sectors, persistent volatility is likely to push up pharmaceutical stocks,
which are a part of defensives which traditionally gain in the face of a
bearish market and are seen as safe bets.
Meanwhile,
the banking sector is likely to see volatility, with the Bank Nifty having seen
a swing of 373.05 points on yesterday session, and ending 1.2% higher. Metals
stocks will also continue to remain under pressure in the near term, Energy,
Metal, Realty and PSU banking looks weakest amongst all the sectoral indices so
traders may choose stocks from these segment for fresh short positions,"
Religare Securities' Manglik was quoted as saying.
The
automobile sector is also seen in focus as constituents of the sector disclose
monthly sales figures for March.
In
stock specific news, Jindal Steel and Power is likely to decline, having ended
4.6% higher
today
at 157.20 rupees after the Delhi High Court ruled that Coal India would be the
custodian for the company's two scrapped Gare Palma IV/2 and Gare Palma IV/3
coal blocks, alongside Bharat Aluminium Co's Gare Palma IV/1 coal block.
The
high court said it would hear the companies' plea against the government's
decision to scrap their auction determined coal blocks wins on Apr 13. Coal
India is expected to react positively to this development.
Fortis
Healthcare is likely to do well on having sold its Singapore-based subsidiary
to Concord Medical for $55 mln.
