The Hindu Business Line : Expect fireworks of a different kind

‘Can I have one of those please?’ Khan asked, as he shifted his laptop to make way for the burger in the cafe. Diwali is on everybody’s mind...but not on Khan’s. He is busy finding budget hotel in Thailand where he attends outsourcing conference on Saturday. Dakshinamoorthy just finished selecting the new colour for his car. Sridevi was giving finishing touches to the e-greetings card that she plans to send out to everybody on Friday. ‘Wines can actually diversify your portfolio if you are an investor,’ Jogin read out loud. “Can wines outperform equity...tell me?” May be market chat will fetch him some answers.

* * *

Dax: Maybe.

Kay: Markets slightly getting into overbought zone.

Sri: US markets are slipping again…

Dax: And that can affect the sentiments in the rest?

Jog: Our market could move sideways.

Sri: Since most participants would celebrate Diwali!

Dax: Jog, alternative investments like wines…

Kay: Commodities are on a roll too.

Sri: Tough job to track individual commodities.

Dax: Try your hand at mutual funds.

Dax: Hoard up oil if you can...

Jog: Crude is rushing towards $100.

Sri: But this will also help improve…

Jog: The margins of oil refining companies.

Kay: You mean HPCL, BPCL and IOC?

Jog: Guys...is there a rate cut or anything…

Sri: European Central Bank (ECB) news?

Dax: Expected to keep interest rates unchanged.

Jog: That currently stands at 4%.

Kay: Meeting scheduled on November 8.

Jog: Should we look at the Bank of England?

Sri: Expected to hold interest rates at 5.75.

Kay: It too meets on 8 isn’t it?

Dax: Any bank stocks that one should get?

Jog: Buy Dena Bank on declines, my broker told me so.

Sri: Re-rating in banking stocks on the card?

Dax: Ohhh! RBI has allowed banks…

Jog: To issue preference shares as tier 1 capital?

Kay: As I see it, broking stocks…

Sri: Is where we should get in! Religare IPO…

Jog: Getting an overwhelming response.

Dax: Other listed broking players…

Kay: Could also see some re-rating.

Sri: Anyhow the market is expected to…

Jog: Take a pause in absence of near term triggers.

Dax: Spells of high volatility cannot be ruled out.

Jog: My technical analyst friend tells me…

Kay: In the upside Nifty has resistance at 6050.

Sri: Okkay so its gonna go even higher this week is it?

Jog: But on the downside, support exists at 5,830 levels.

Kay: Haw...that’s 250 points...its big for nifty!

Kay: Lets not be adventurous this week.

Dax: Exactly...Cairn India and Idea…

Sri: Cellular to be included in Nifty.

Jog: If the previous trends are anything to go by…

Dax: These stocks may appreciate…

Sri: In the run up to their inclusion.

Sri: Arvind Mills should recover from weakness...

Dax: Kirloskar Oil should get some support.

Sri: Likely to rebound also.

Jog: I don’t know about you ppl...but i sure have…

Dax: An eerie feeling about this week?

Kay: Relax...its diwali. Everythings gonna be okay.

Dax: Expect fireworks of a different kind!

* * *

Kum with inputs from Sri, Mad, San, Lok, Vid and Lee.

Blog at http://MarketChat.blogspot.com

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