Energy prices globally continued easing and the raising of Domestic diesel and gasoline prices have also been completed over the weekend, making the morning amenable to a quick rise in ONGC and the four OMCs. GAIL might also get good news to recover with IGL and other during the week though that would be definitely just Capital Market logic.

Also if banks are to surive with more than a dead cat bounce more policy execution nuggets and deal news are needed for the elusive pre budget push, denigrating itsel finto the ussual 3 day move before the budget for which the starting level could indeed still get lower than the 5900 we got. SBI should be able to lead the coming Banknifty recovery and even rally while Axis Bank continues its solo correction move for that trading move spike on 'real news' this time kind of biryani that the market wants for its optimism to hold

Its true IT has also reached its level of incompetence within 30-40 days of the recovery move and Infy would be a good short, TCS losing its current value premium in the coming rally and likely survivig as a defensive instead. 

ICICI Bank is a good buy. IDFC is good, ready for a move and most susceptible to bottomline news on policy execution and political stability in India which market is satisfied with but could easily unravel, yet the sensitivity is largely positive, the losing interest in IDFC largely a rerating of the sectors ready for the rally and those betting on infracos ( vs Real Estate and Construction Booboos) are more likely to win than lose though aggressive naked tradin gon real estate and the LRB prospects continues to define the market's unknown unknowns

Posted via email from The India Investment Post