Index Trends And Stocks In Action For May 08, 2014

Indian Equity market ended notably lower on Wednesday, tracking weak global cues. Worries about mounting tension in Ukraine recent disappoint economic data from china contributed to the decline. The Nifty index ended near six week low at 6642 recording loss of 62 points. The Nifty index in morning session looked vulnerable since it failed to clear its supply zone of 6740 and in last hour bulls dominated the index as it slipped below its important support of 6750-6745.

Now the Nifty has seen break down of the narrow range of 6740-6640, if index witness follow up selling than gates for 6450-6480 would be open. For day trading 6620 is important support and next important support is around 6580. On upside 6678 would act as stiff resistance and next resistance would be 6720.

SREI Infrastructure Finance (BSE Code: 523756) is planning to raise Rs 600 crore through retail bond this fiscal. The first issue will hit the market this Friday. Bonds will be raised for an amount upto Rs 75 crore with an option to retain oversubscription upto Rs 75 crore aggregative to Rs 150 crore. The management has indicated that they are planning to raise minimum of Rs 600 crores this fiscal in 4 tranches, every quarter similar to what was done last fiscal. The objective is to reach out SREI brand into the retail segment, broaden the investor/lender base and de-risk concentration from bank funding. The stock may remain in action in today’s trade.

Private sector lender IndusInd Bank (BSE Code: 532187) clearly does not want to position itself as a next door bank. The aspirations are more to be a ‘high street brand’ that would cater to the banking needs of the young and the emerging affluent. Towards this end, IndusInd Bank has embarked on an innovative step of owning the branding rights of a rapid metro station and setting up a “fully digitised” branch in that metro station. IndusInd Bank and Rapid Metro Gurgaon have come together to inaugurate the IndusInd Bank Cybercity Rapid Metro Station. This is the first time in the country that a complete metro station has been named and branded by a bank. The stock may remain in limelight in today’s trade.

Continuing its positive momentum, Kajaria Ceramics (BSE Code: 500233) is expected to grow between 18-20 percent in FY15 after reporting 36.85% increase in consolidated net profit at Rs 42.11 crore for the fourth quarter ended March 31, 2014. The company has a couple of acquisitions lined up which include acquiring a 51% stake in Taurus Tiles, 100% stake in Kajaria Bathware and will also increase its stake in Jaxx Vitrified to 61% from 51% earlier. The stock may witness some buying activity in today’s trade owing to the positive results and better growth guidance.

Syndicate Bank (BSE Code: 532276) recovered Rs 1,800 crore (including interest income) in FY14 and Rs 243 crore in the fourth quarter. The management expects the bank to see a speedy recovery going forward. Sharing views on the bank's financial performance in Q4FY14 , the management has shared that the it is expected that the slippages to reduce to around Rs 400-500 crore from Q1FY15 onwards. The stock may remain in limelight in today’s trade.