Bank Stocks Outlook For The Week - 03 to 06.10.2017
Bank Stocks Outlook For The Week - 03 to 06.10.2017
( www.rupeedesk.in )
Most bank stocks are seen extending losses next week, with underlying sentiment for the sector being weak. Traders rolled over short positions to the Nifty Bank's October futures ahead of JulSep earnings on concern that banks' profitability may be hit yet again due to higher provisions. Rollovers to the Nifty Bank's October series were at 65%, sharply lower than the three-month average of 71%. Any news with regard to recapitalisation of public sector banks will lend cues to the sector. However, some correction is expected in stocks of state-owned banks while a sharper correction would be seen in shares of private sector banks. Further, market participants are seen treading cautiously ahead of the Reserve Bank of India's Monetary Policy Committee's fourth bi-monthly meeting outcome on Wednesday. Seen up; market caution may cap gains . The MPC is likely to refrain from cutting rates, given the mix of economic forces operating in the market. According to a Cogencis poll of 30 economists, treasurers, and mutual fund managers, all but one expect the repo rate to be left unchanged at 6.00%. In addition, stocks in the banking sector may be weighed down tracking the trend in broader market indices, after the Nifty 50 declined for seven trading sessions in a row due to geopolitical tensions resurfacing in North Korea, China's downgrade, and the Indian Army conducting a strike against Naga militants along the Myanmar border. ICICI Bank is a top pick across sectors as it continues to make better-than-expected progress in retail space. In automobile loans too, growth opportunity for the lender is healthy, but profitability is a challenge. Further, trade is expected to be subdued this week with financial markets.
Source : Cogencis Information Services Ltd.
Click Below Link
( www.rupeedesk.in )
Most bank stocks are seen extending losses next week, with underlying sentiment for the sector being weak. Traders rolled over short positions to the Nifty Bank's October futures ahead of JulSep earnings on concern that banks' profitability may be hit yet again due to higher provisions. Rollovers to the Nifty Bank's October series were at 65%, sharply lower than the three-month average of 71%. Any news with regard to recapitalisation of public sector banks will lend cues to the sector. However, some correction is expected in stocks of state-owned banks while a sharper correction would be seen in shares of private sector banks. Further, market participants are seen treading cautiously ahead of the Reserve Bank of India's Monetary Policy Committee's fourth bi-monthly meeting outcome on Wednesday. Seen up; market caution may cap gains . The MPC is likely to refrain from cutting rates, given the mix of economic forces operating in the market. According to a Cogencis poll of 30 economists, treasurers, and mutual fund managers, all but one expect the repo rate to be left unchanged at 6.00%. In addition, stocks in the banking sector may be weighed down tracking the trend in broader market indices, after the Nifty 50 declined for seven trading sessions in a row due to geopolitical tensions resurfacing in North Korea, China's downgrade, and the Indian Army conducting a strike against Naga militants along the Myanmar border. ICICI Bank is a top pick across sectors as it continues to make better-than-expected progress in retail space. In automobile loans too, growth opportunity for the lender is healthy, but profitability is a challenge. Further, trade is expected to be subdued this week with financial markets.
Kotakbank - Up
Yesbank - Up
Icicibank - Up
Indusindbk - Up
Pnb - Down
Free Intraday Tips : Join Our Whatsapp No : 9841986753
Free Commodity Tips : Join our Whatsapp No : 9094047040
Source : Cogencis Information Services Ltd.
