Mid market commentary June 08

Indian stock markets started off on a positive note continuing with the optimism of the previous session but remained lull since then. Currently the benchmark indices are trading flat where Nifty is hovering around 8270 and SENSEX at 27050 levels.

Market breadth however, remains positive with 1432 advances and 949 declines. Broader markets are seen outperforming the benchmark indices. BSE Smallcap is up by 0.8 per cent while Midcap remains marginally up at 0.3 per cent.

On sectoral front, Infra has outperformed with 1 per cent upwards move. Finance Minister Arun Jaitley stated that investment in airports, highways and railways would boost infra sector. Apart from Infra, PSU Banks followed a positive move with 0.7 per cent gains. On the negative front, Media tumbled the most with 0.7 per cent losses. Metal remained marginally down with 0.35 per cent losses.

Top Nifty Gainers: ICICI Bank, BHEL and Bank of Baroda are the top gainers with 2 per cent plus gains each. HCL Technologies and Bharti Airtel follow with nearly 1.9 per cent gains each.

Top Nifty Losers: Kotak Bank fell the most with 1.9 per cent losses with the announcement of its expansion. ZEEL, Asian Paints, Infy and Yes Bank follow with more than 1 per cent losses.

Asian markets are marginally down amid weak Chinese export data and ahead of interest rate hike by US Federal Reserve.

Nifty has maintained consolidation and hence we maintain our view of 8340 as our next upside target. On the correction side 8250 followed by 8190 will act as the support.

Stock to be watched:

Siemens: Siemens secured order worth Rs 113 crore from Power Grid Company of Bangladesh on June 8. The share price of the company will be watched out for rest of the trading session.

Sonata Software: Sonata Software to will be showcasing its Digital solutions for retailers at ReTechCon event which is scheduled on June 15 and 16.

ABB India: ABB India has expanded Indian footprint with the opening of Global Business Service Centre. The company’s new centre is located at Bangalore, India. It will be fully established by 2017.

V-Mart Retail: V-Mart Retail has opened its126th store on June 8. The company’s new store is located at Sambalpur Town, Unit 4 Nayapura, Gole Bazar, Sambalpur, Orrisa.

Sun Pharmaceutical Industries: Sun Pharmaceutical Industries is focucing on dermatology as additional engine of growth for Global Consumer Healthcare (GCH) business. The company has signed Dia Mirza as Suncros brand ambassador. New Suncros TVC with Dia Mirza to be launched in mid-June.