 "Flat market, retail stocks soar, Cairn India shines on strong results")
It’s a flat start for markets but retail stocks are on fire after India’s foreign investment board cleared Swedish furniture maker Ikea’s Rs 10,000 crore proposal to set up stores in India yesterday.
Meanwhile, result-specific stocks will continue to dominate the headlines and today would be the turn of HUL among others. Cairn India rose 2.55 percent eyed after it announced a 48 percent rise in its net profit to Rs Rs3345 crore on Monday.
At 9:30 am, the BSE Sensex was trading 11 points higher at 20,113, while the NSE Nifty was up 3 points at 6086.
RIL, Wipro, NTPC, Bajaj Auto, Sun Pharma Coal India, Maruti Suzuki, L&T, M&M, Tata Steel are among gainers in Sensex and Nifty.
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Infosys, TCS, SBI, ICICI Bank, Hero MotoCorp, ONGC, Dr Reddys Lab, Bharti Airtel, BHEL, HDFC are among losers in Sensex and Nifty.
While foreign institutional investors continue pouring in money as allocation towards Asia-specific funds rise, the continues selling by domestic institutional investors remains a key concern, an analyst with Religare Capital Market said on CNBC-TV18 this morning.
“Markets need to rise another 10 percent for retail interest to return and interest rate cuts is the next key trigger for markets,” he said.
Stocks in news
Shares in Pantaloon are up 9 percent after the RBI eased curbs for FII investment in company
Shoppers Stop too extended gains and is currently trading 6 percent higher.
The gold related stocks are likely to come under pressure as the government has hiked import duty on gold and platinum by 50%, which is aimed at curbing gold imports and is bound to push up prices of gold and platinum jewellery further. India imported 600 tonnes of gold in the first three quarters of this fiscal.
The banking stocks too are likely to see some pressure as the global ratings agency Moody’s in its Asia-Pacific Banking Outlook has said that it has a “negative” outlook on the country’s banking system due to concerns over asset quality and the high interest rates. It further stated that in India, impaired loans are yet to peak among public sector banks.
The coal stocks too will see some action, especially the Coal India as the government has said that it will soon appoint a coal regulator to monitor the fuel pricing, sampling and other practices in the sector.