Possible Rate Cut By RBI, Trump Vs Clinton Fights-Markets To Wait & Watch

After a long consistent upward journey, it seems markets have opted for breather and the phenomenon has not only gripped the stock markets in our country but also worldwide. At the time of writing this, Indian markets have shown slight corrections in last two days although there has not been any negative domestic factor impacting it. Global factors have been taking some amount of toll and also tendency to book profits coming from the retail investors. Media reports pouring in over possibility of Donald Trump making it to Whitehouse have been also denting sentiments of the markets even as impressive numbers emerging from corridors of power in Delhi continue to boost confidence of the investors in India. There are also concerns over further tainted Indo-Pak relations following the ghastly Uri attack in which hands of our neighbour have been found. Steps so far taken by the government under leadership of Prime Minister, Narendra Modi are being appreciated in all the quarters especially when Modi waged a war of words against Pakistan along with his cabinet colleague Sushma Swaraj.

I believe the corrections in the Indian markets are temporary and also justified following an impressive bull run since the second month of the current year. One can also expect some more selling in the markets by the retail investors as the festivities approach in a series starting with Durga Puja and Navratri during the first week of October and Deepavali, the festival of light following closely.

While eyes of the investors will remain stuck on the happenings in the USA, this time not for Fed decisions but close electoral fight between Trump and his rival, Hillary Clinton, eyes also will be on the quarterly economic review coming from RBI on October 4. Speculations have been making rounds that the new governor Urjit Patel may opt for a 25 bps cut on interest rates and we all will have to wait for that day. This is also the first time when along with governor, a six-member committee will take the final call on the crucial rate cut decision. Meanwhile, stocks of the companies which will directly benefit from implementation of new GST laws have been showing upward trend following announcement of union finance minister, Arun Jaitley about possibility of GST being rolled out during April, next year.

In this current edition of your favourite most investment fortnightly, we have focussed on the evolving faces of Indian broking firms. The bigger players have already evolved from being an exclusive broking entity to companies having equal or more interests on housing finance, NBFC activities, gold loan or even personal loan type of products. Interesting happenings and I am sure you will love the read. Our Editorial Research hands have also made a distinct mention of listed broking firms and whether one should make fresh investments on those at this juncture or not, especially when they are aggressively diversifying following shrunk margins from their core business.

As festive season has started brightening up all the corners around us, we also have brought this special report on stocks to pick up during these days of festivities. We have identified six stocks where you can park your money at this time. I am sure, as always, you will benefit from the detail report.

Have a wonderful and safe festive days ahead. Prosperity is also important and that is why you think of us. We are happy to be by your side as always