Home | Register | Sign in | Contact Us | Sitemap |
   
17 Oct 2011 09:20 AM
This week, expect staggered uptrend 
Swapnil Suvarna
 

Swapnil Suvarna believes the domestic markets will witness staggered uptrend as stock-specific activity may dominate the trade. He suggests your investors to consider investing in short-term debt funds as RBI rate hikes looks certain following the persistent increase in inflation.

As expected, the Indian markets ended 5 percent higher last week following widespread buying by foreign institutional investors and positive developments in the euro-zone. The Sensex and Nifty closed at 17,083 and 5,131 gaining 850 and 253 points respectively.

The week started off on a positive note on reports of assurance from German Chancellor Angela Merkel and French President Nicolas Sarkozy that they would come up with a new plan by the end of the month to ease Europe’s debt crisis. A better than expected Q2 results from Infosys helped the domestic markets gain further momentum.

The domestic markets continued its uptrend ignoring a fall in the industrial output numbers for August. Industrial output in the month of August 2011 rose a slower-than expected 4.1% from a year earlier.

In between, India’s headline inflation continued to remain uncomfortably high. The latest data shows that the wholesale price index (WPI) rose 9.72% in September 2011 compared with a 9.78% rise in August 2011.

Week Ahead

We expect the markets to witness staggered uptrend from last week’s close as stock-specific activity may dominate the trade as investors will closely watch the management commentary on future earnings outlook. Fears that the RBI may hike interest rates yet again in its quarterly policy review will influence market sentiments.

Positive developments in global economy and persistent buying by the foreign investors will boost the uptrend.

Continue suggesting your investors to invest in quality equity funds and in short-term debt funds to benefit from the almost certain RBI hike.

 
|
|
|
|
|
|
|
Cafemutual welcomes your comments. Any disagreements or criticisms must be expressed in a dignified manner. Thank you.
blog comments powered by Disqus
 
Related Articles
UTI, SBI have the highest proportion of B-15 towns AUM
Fund houses acting faster to resolve investor complaints
How to make an ultra short term fund work for you?
As markets gain, investors continue to cash out of equity funds
SBI MF to empanel SBI's retired employees under the new cadre of distributors
Registering SIP to get easier and faster
US funds in vogue
Federation of Mutual Funds Distributors Association of India expected to be functional in June
NFOs now open May 21
Deutsche MF introduces DWS Fixed Maturity Plan - Series 16 (DFMP - 16)
Religare MF introduces Religare Fixed Maturity Plan - Series XV - Plan F (369 days)
ICICI Prudential MF introduces ICICI Prudential Fixed Maturity Plan-Series 64-3 Year Plan K
Taurus MF introduces Taurus Fixed Maturity Plan Series V (370 Days)
Deutsche MF introduces DWS Hybrid Fixed Term Fund - Series 9
HDFC MF introduces HDFC FMP 371D September 2012 (1)
Deutsche MF introduces DWS Hybrid Fixed Term Fund - Series 9
 
About Us | Media | Advertise With Us | Editorial Policy | Contact Us | Privacy Policy | Disclaimer | Sitemap
© Cafemutal.com. All rights reserved. Reproduction of news articles, photos, videos or any other content in whole or in part in any form or medium without express written permission of cafemutual.com is prohibited.
Best Viewed in I.E 7.0 and above. Resolution: 1024 * 768. Developed & Hosted by Accord Fintech Pvt. Ltd