Joseph Thomas, head research at Emkay Wealth Management predicted that technology, banks, and consumption will offer bright prospects in the near future. He also said the safe range for Nifty is between 11,100 and 11,400.
According to him, the move-up to general elections has generated some movement in the market, largely in indices. Joesph also said, he is witnessing transfers in ETFs and index funds. He also spoke positively about Suzuki’s prospects, despite the recent developments.
Suzuki is under extreme pressure recently. In April, the company saw its total sales drop by 17%. Moreover, the company also announced its plans to discontinue with diesel cars. Rising prices of diesel and adoption goal of BS-VI norms by 2020 limited Suzuki’s future plans.
However, Joseph witnessed a glimmer of hope among all this. He said, his parent organization, global equity research recommended holding onto MSIL shares. Mr. Thomas believes, the company is better positioned than its competitors in BS6 transition. Moreover, Suzuki has significant exposure to manufacturing petrol vehicles and its prospects still seem worthy.
An Enriching Conversation
He spoke about various economic issues in a conversation with Moneycontrol’s Sunil Shankar Matkar.
He also talked about the increased crude oil prices. On being asked whether it was an ignored risk in the market, he said, the US withdrawal of wavers prompted an immediate reaction in the market. Furthermore, if the crude oil price remains above $70, it is likely to impact rupee and general price level in India, gradually.
Provisioning of NPAs, mergers, and amalgamations are expected to lead rise of the financial sector. According to him, banks are often the first ones to lead this change. He recommended buyers to look for direct stocks, PMS, and smart funds.
