Markets bounce back in closing hours

Heavywieghts helps market to deliver smile to Investors

The stock markets finally managed to break the hangover of the selling spree with investors rushing to enter the markets at lower levels. this resulted in pull back rally in the last hours of trading. Another positive development was on cement front, where the cement manufacturers signed truce with the government over price hike issue. Hindalco's announcement of rise in aluminium prices by Rs. 10000 per tonnee helped the metal stocks to bounce back from lower levels. Reliance Industries also staged come back after falling below 1000 levels.
Another pack which helped markets bounce back was the PSU sector with stocks like BHEL and NTPC ended higher.

It is worth noting that the mutul funds are sitting at around $2 Billion of cash and they would have used this fall to enter at lower levels. There is still a large chunck of cash to be absorbed in the markets and that would avoid a biiger fall. The DLF IPO may also help absorbing the excess liquidity in the markets.
Markets are expected to remain volatile on Wednesday with slightly upwards bias. Stocks like Adani Exports, Skumar, Dabur,Hindalco, Kotak Mahindra Bank are expected to remain strong.


Narendra said...

Any suggestions for buying here?

Anonymous said...

Can you tell us about the target price of PBA Infrastructure shares?

Anonymous said...

Hi rajesh
All the stocks mentioned by you have gone up today. I am specially interested in Skumars. I have bought the stock on your recommendation @Rs.28 per share. However, I sold at Rs.48 per share. Now I want to reenter again. Pl advice if I can enter at current levels or should wait for the stock to come down?
M. sridhar

Anonymous said...

Dear Rajesh
I have bought Punj lloyd 20 shares today at rs 1205 based on the news from gail pipe line contract,but share came down to 1168. do you suggest to refor long term or book loss .
thanks & regards
m r kale