The Hindu Business Line : Is it time to be cautious?

Everybody is surprised. First, the rupee depreciation against the dollar. Second comes the rise in the stock markets. If rising prices are any indication, are we in for tough times now, asks Jogin. Khan bets that crude oil is going to surpass $150/barrel within three months. Dakshinamoorthy had a different opinion. His line of thinking was on events and hinged on a month like May. Was the fall just round the corner, he thought. Sridevi, representing the small but growing percentage of people who feel markets have recovered, was irritated at the bearish opinions. Lets buy, was her call. Hear what they said on Market Chat…

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Jog: Made some money on Aishwarya IPO.

Sri: Gud volumes. Doubt whether party will last

Dax: Nothing lasts forever!

Kay: Who’s with me for oil going to $150

Sri: Not me. I hv mkts to look after.

Dax: Goldman Sachs might be wid u. Dey say $200

Jog: Ya ya, I read that. Shrt term pain for mkts

Sri: Wat pain? HSBC bought IL&FS. Bharti on MTN

Kay: Sri, u believe index is going to go bk to 20k?

Dax: May be. Big deals happening. Ppl r seeing value

Kay: Wow! Dats like music to my ears.

Dax: Mkts still mite be range-bound. Concerns remain!

Sri: Gud thing is Monday its bandh. Manic Mondays.

Jog: It cud be Terrible Tuesday then. Hmmmm?

Dax: Stp kiddin. IL&FS deal makes brokerage stks hot

Sri: Sure does. IL&FS ws trading @25 times trailing PE

Kay: Edelweiss, Religare – are they there yet???

Dax: Gud pt.

Sri: Hey, I m also in a mood for bets. Inflation touches..

Jog: 8% nxt week? I am wid u.

Kay: Rupee will continue to go dwn on inflation fears?

Dax: Looks like. Gud for IT cos and stks. Almst 43 nw!

Jog: Wat happns to currency hedges den? Losses der.

Kay: Nice angle. Bad for India Inc and its experiments.

Jog: ‘My experiments with derivatives’ by India Inc

Dax: If we cross 17500, another 200-300 pts is given

Sri: Nw we r really talkin! Wats ur take on valuations?

Kay: Nt cheap anymore Sri. Nt even in pockets!

Jog: At 21 times we r nt cheap. Is Brazil, Russia cheap?

Dax: Yes. 17 and 14 times. No doubt dey r flying high.

Jog: FIIs sold over Rs 500 cr shares till May 14.

Sri: Anyone head abt coke prices goin up?

Jog: Yes, they say it’s the next crude or smthing.

Sri: Power cos will be hit. Even steel makers, no?

Dax: True. Anyone knws wen Rel Infratel is cumin?

Jog: Hrd dat it mite get delayed. Remember RPower!

Sri: Aftr RPwr bonus shares, may be Infratel will call.

Jog: Bulk deals in Webel SL and Aptech dis week.

Dax: Beware of high levels in May.

Sri: U hv history on ur side bt everbdy knws.

Jog: Sum action expected in pwr stks, experts say.

Kay: Here’s my tip. Go short on Snsx.

Dax: Any reason for such a tip?

Kay: Gut feelin.

Jog: TechM, HTMedia, HDIL, Thermax results dis wk

Sri: Risk pays. Bt am jittery aftr hearin u guys (logs off)

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Kum with inputs from Bad and Lee

Blog at http://MarketChat.blogspot.com