Experts advise investors to buy at lower levels in the next few months and sell at the higher end of their range in the second half, reports Rajesh Bhayani.
Nifty continued to register successive new highs as it crossed the 9,200 mark on Friday
Given the strong growth in Asia and easy monetary stance taken by central banks other than the US Federal Reserve (US Fed), overseas investors will soon start re-investing in risky assets, says Abhiram Eleswarapu, head of equity research, BNP Paribas Securities India.
It won't be an easy ride for the markets, reckon experts, considering the multiple state elections in 2018 and general elections next year.
Foreign portfolio investors have been net positive since the Union Budget
Most companies were working on Rs 65-66 to a dollar.
RBI Governor Raghuram Rajan expressed anguish at the banks' reluctance to pass on benefits of the earlier rate cuts.
For existing investors, it may be prudent to redeem their current investments in gilt or dynamic schemes and invest it in short-term funds, if the exit load is not very high, advises Malhar Majumder.
Tata Motors was the worst performer on the Sensex, plummeting 10.32 per cent to Rs 436.55 after the company reported a steep 96.22 per cent decline in consolidated net profit for the December quarter.
The Rupee is seen strengthening against the dollar.
Bond issuances dipped 31.4% during January-June
However, FII outflows of Rs 545 crore (Rs 5.45 billion) capped the gains in the rupee, which had slumped by 126 paise in past two days.
Analysts say that the focus now shifts to global events
'It is unlikely that foreign portfolio investors (FPIs) might increase their India allocation, given the overweight status for most FPIs.' 'Given the commentary from the Republican Party, an anti-imports approach means money will not flow out of the US.'
So far, India has attracted over $20 billion in the debt segment, thanks to the rate differential.
Emerging markets could be affected by a combination of lower liquidity and higher dollar interest rates caused by a hike in the US Fed funds rate.
RBI unsure whether to cut rates or not in its next monetary policy.
The current account deficit is the difference between inflow and outflow of foreign exchange.
The market is clinging to support above the 8,000 mark and hitting resistance above 8,150.
'Investors hate uncertainty and the demonetisation move certainly creates that.'
Mr Swamy has written letters to the Prime Minister's Office asking for Mr Rajan's services to be terminated.
The rupee's fall against the dollar is bad news for companies which have increased their exposure to foreign currency loans in recent years.
'This looks like a long-term bear market and there could be mounting losses in the near-term,' says Devangshu Datta.
A rising rupee is a tailwind for dollar investors.
Adopting a wait- and-watch approach ahead of US Fed meeting
Gold is currently trading at Rs 25,200 for 10 grams.
Participants will keenly watch fate of GST Bill in Parliament.
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Bank has cited trend of global easing and weak growth
With more favourable view on Indian economy and business environment under the Narendra Modi government, the risk premium for Indian papers began to climb down.
Growth acceleration will be gradual and it is still early days for a sharp recovery, says Gautam Chhaochharia, executive director and head of India research, UBS.
Year 2017 will be a benign year for FII flows into India feels Akash Singhania, deputy chief investment officer, DHFL Pramerica Asset Managers.
Veterans recall they haven't seen gold falling for 3 years in a row.
Markets now expect the Fed to normalise rates gradually.
Markets end in red; bluechips struggle to keep pace.
Brent crude prices fell to $57 a barrel on Monday from $62 a barrel.
The rupee recovered by 11 paise to trade at 60.84 against the US dollar in early trade today on selling of the American currency by banks and exporters.
Experts believe it can touch 63 against the dollar
Despite recent setback, these remain the most appropriate tool for international diversification
Jonathan Garner, chief Asia and emerging markets equity strategist, Morgan Stanley, gives Samie Modak his assessment of the Indian economy after 3 years of Modi Sarkar.
Markets ended weak tracking the expiry of April derivative contracts.
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