Hello and good evening to all. The markets are cool and drooling and the weather is getting hot in Bangalore. Markets are dropping like nine pins and coming down everyday.Today the sensex was down by 262 points reaching 23759 and the Nifty was down by 82 points reaching 7216. The blame is on the International situation and Fii s have pulled out money from markets. Statistics say the money they have pulled out is more than 2008.
The bad thing is in the 9th pay commission lot of money will go, and much money will not be there for Investment and it is not a good thing for Economy and the market. Some defensive stocks like Marico, are doing well, Pidilite is also doing well as these stocks are consumption led that too internal consumption. So, when we buy stocks it is better to stick to paint stocks, Fmcg, Electrical were the investments are not very huge but they sell. It is also said Infrastructure stocks like road building will do well but history says, these companies have huge capital expenditure so it is difficult to service their debt. Anyway India story is strong it has a huge internal market, not much dependent on Exports so, India is a bright spot. If you see any road there will be a shop even footpaths are not spared. So, be with stocks thath are easy to understand like Fmcg, Paints and electrical . Software most of us follow by trading and pharma too. HAPPY TRADING AND INVESTING. Stick to the rule now book profits periodically.