Nifty99000 100%

Sensex99000 100%

Article rating: 4.0
Tags:
Article rating: 5.0
Tags:
Article rating: 5.0
Tags:
Article rating: 5.0
Tags:
Article rating: 2.3
Tags:
Article rating: 5.0
Tags:
Article rating: 4.1
Tags:
Article rating: 5.0
Tags:
Article rating: 5.0
Tags:
Article rating: 5.0
Tags:
Article rating: 5.0
Tags:
Article rating: 4.8
Tags:
Article rating: No rating
Tags:
Article rating: 5.0
Tags:
Article rating: 3.3
Tags:
Article rating: 4.5
Tags:
RSS

News

Sensex to hit 42-43K by March 2020

Author: PTI/Wednesday, June 5, 2019/Categories: Markets

Sensex to hit 42-43K by March 2020

New Delhi – The RBI policy and union budget would be the key events to watch out for in the near future and as the election euphoria subsides, markets would look at global factors like the US-China trade war and resolution of issues facing the economy, Kotak Securities said, adding they expect the Sensex to range between 42,000 and 43,300 by March 2020.

Stock markets have given a thumbs-up to Narendra Modi-led NDA government coming back into power, with indices Nifty-50 and Sensex hit record highs.

"Markets were looking for stability, continuity and strong leadership rather than a fractured mandate. Strong government at the Centre has raised investors expectations of reforms being carried forward in a more meaningful way," Kamlesh Rao, MD and CEO, Kotak Securities said.

"Immediately we will have to see what they (government) do in the budget," he said.

"We expect Nifty to range between 12,500 and 13,000 by March 2020 (average around 12,750). In bull case, expect Nifty to range between 13,000 and 13,500 by March 2020 (average around 13,250)," Rao added.

Kotak Securities has set the Sensex target by March 2020 to be between 42,000 and 43,300 (average 42,650).

"Political mandate is fine. I think there are a lot of issues lurking around both in India as well as outside which we need to have sight on. US-china trade war is a known story. We think that local macros have slowed down.,” he said.

On expectation from the Modi government, the brokerage firm said, "We expect the government's focus will be to revive the economic growth and investment although the macro-economic situation is quite challenging. There is a need for strong fiscal stimulus but scope of doing so seems limited given higher fiscal deficit.

"However, there is scope for monetary stimulus in the form of rate cuts, higher FPI limits for government bonds and infusion of liquidity in the banking system."

It further added that government would need to implement further reforms to attract FDI in various sectors. Revival of capex cycle and investment of private sector in infrastructure building will be crucial to achieve the desired GDP growth and job creation.

"Overall, we see the next two quarters as one of stability in the capital markets and policy decisions during this time shaping the trajectory of markets in the future," the company said.

On mid-cap stock movement, the brokerage firm said, time wise 18 months have gone since the mid and small cap indices have seen correction.

"With NDA coming back into power, we can expect local investors to take comfort in the mid and small-cap space with a longer 2-3 year horizon and inflows could resume in them," Kotak Securities said.

Print Rate this article:
No rating

Number of views (400)/Comments (0)

rajyashree guha

PTI

Other posts by PTI
Contact author

Leave a comment

Name:
Email:
Comment:
Add comment

Name:
Email:
Subject:
Message:
x

Videos

Ask the Finapolis.

I'm not a robot
 
Dharmendra Satpathy
Col. Sanjeev Govila (retd)
Hum Fauji Investments
 
The Finapolis' expert answers your queries on investments, taxation and personal finance. Want advice? Submit your Question above
Want to Invest
 
 

Categories

Disclaimer

The technical studies / analysis discussed here can be at odds with our fundamental views / analysis. The information and views presented in this report are prepared by Karvy Consultants Limited. The information contained herein is based on our analysis and upon sources that we consider reliable. We, however, do not vouch for the accuracy or the completeness thereof. This material is for personal information and we are not responsible for any loss incurred based upon it. The investments discussed or recommended in this report may not be suitable for all investors. Investors must make their own investment decisions based on their specific investment objectives and financial position and using such independent advice, as they believe necessary. While acting upon any information or analysis mentioned in this report, investors may please note that neither Karvy nor Karvy Consultants nor any person connected with any associate companies of Karvy accepts any liability arising from the use of this information and views mentioned in this document. The author, directors and other employees of Karvy and its affiliates may hold long or short positions in the above mentioned companies from time to time. Every employee of Karvy and its associate companies is required to disclose his/her individual stock holdings and details of trades, if any, that they undertake. The team rendering corporate analysis and investment recommendations are restricted in purchasing/selling of shares or other securities till such a time this recommendation has either been displayed or has been forwarded to clients of Karvy. All employees are further restricted to place orders only through Karvy Consultants Ltd. This report is intended for a restricted audience and we are not soliciting any action based on it. Neither the information nor any opinion expressed herein constitutes an offer or an invitation to make an offer, to buy or sell any securities, or any options, futures or other derivatives related to such securities.

Subscribe For Free

Get the e-paper free