BREXIT: Watch out for these pharma stocks in June 27 trade

The unpleasant Britain Exit from European Union on June 24, has brought goosebumps to the International Market, as major markets around the globe fell more than 5 per cent, SENSEX on June 24 ended down by 600 points and the Nifty lost 181 points on an intraday basis.

The BREXIT on India will be like a snowball effect i.e. we will likely know the effect in the months to come. However, the pharma stocks will likely be in focus in June 27 trade. Indian markets on Friday, June 24 after the verdict saw the FII selling which was generally done to book profits as the International Markets fell sharply.

As far as Indian pharma is concerned, companies to watch would be Aurobindo Pharma, which has a little over 20 per cent of business coming from Europe. There would be those like Sun Pharma, Intas, Torrent and to some extent Dr Reddy's and Glenmark, which have around 10 per cent of business from this region. Dr. Reddy’s has around 15 per cent of the business coming from UK. It will be interesting to see the fate of these stocks in the June 27 trade. There is no doubt their productivity will be affected.

On the other hand, big bulls like Tata Motors, and some IT companies will also be stocks to watch for, as BREXIT will certainly dampen and bring in a trade barrier to these giants. Apart from all this the Indian markets are expected to recover in the near future.