- Branches near me
- West Bengal
- Siliguri
- Pratap Market
Geojit Financial Services Ltd
- Karnataka Bank Building, 2nd Mile, Sevoke Road
Pratap Market
Siliguri - 734001 -
- Closed for the day
- Sun Closed
- 2nd and 4th Saturday - Holiday
- Closed for the day
- Call Directions
Social Timeline
๐ผ There is confusion regarding the reasons for the aggressive FPI selling in May. ๐ผ There are media reports attributing the FPI selling to possible setbacks to the NDA/BJP in the elections. ๐ผ It is important to understand that the FPI selling is due to a change in FPI stance from โsell China, buy Indiaโ earlier to โsell India, buy Chinaโ now. ๐ผ This change in stance has been caused by the recent outperformance of China ( Shanghai Composite up by 3.96% and Hang Seng up by 10.93% last one month) and underperformance of India ( Nifty down by 2.06% last one month). ๐ผ This is likely to be a near-term trend triggered by the cheap valuations of Chinese stocks and the relative high valuations of India. ๐ผ It is important to understand that Indiaโs long-term prospects are much better than Chinaโs. ๐ผ Results of the autos sector are good. The sector is in a cyclical uptrend. . . . #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate
๐ผ The divergence in institutional activity is becoming stark this month. ๐ผ FIIs have turned sustained sellers and DIIs have turned sustained buyers in all trading days of this month, so far, with cumulative FII selling of Rs 22858 crores and cumulative DII buying of Rs 16700 crores. ๐ผ From the data showing sharper declines in the broader market, it appears that HNIs and retail investors have booked some profits and are in a wait and watch mode, perhaps responding to the noice relating to uncertainty regarding the election results. ๐ผ An important point to understand is that FIIs are selling not because of concerns relating to elections but because India is underperforming ( Nifty down by 3.5% in last one month) while China and Hong Kong are outperforming ( Shanghai Composite and Hang Seng up by 4.19% and 8.61% respectively in last one month). ๐ผ So long as this โSell India, Buy Chinaโ trade sustains FII selling will weigh on the markets. The situation can change dramatically when clarity emerges on the election outcome. ๐ผ If the election results turn out to be favourable from the market perspective, aggressive buying by DIIs, retail and HNIs can push the market sharply up. ๐ผ So, investors can wait for clarity to emerge on the political front. Meanwhile long-term investors can slowly accumulate high quality largecaps, particularly those in banking and automobiles that have delivered good Q4 results. . . . #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate
๐ผ A major trend in the market now is the aggressive selling by FIIs, which has touched to Rs 15863 crores so far this month. ๐ผ Though DIIs are buying they are not as aggressive as they were due to some concerns surrounding elections results. ๐ผ It is important to understand that there is a new factor triggering FII selling, apart from the high US bond yields. ๐ผ This is the outperformance of the Chinese and Hong Kong markets. ๐ผ During the last one month while Nifty is down 1.5% the Shanghai Composite is up by 2.62% and Hang Seng is up by a whopping 8.8%. Chinese and Hong Kong markets are cheap with PEs around 10 while India is expensive with double the PE of these markets. ๐ผ So long as this outperformance of Chinese and Hong Kong market continues, FIIs are likely to sell. The weakness in frontline financials is primarily due to FII selling. ๐ผ For long-term investors, this is an opportunity to buy high quality large caps driven down by FII selling. Previous episodes of FII selling turned out to be good buying opportunities. . . . #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate
๐ผ The pressure on the market now is due to the uncertainty regarding the election outcome. ๐ผ There are lots of speculation in the media regarding this and this has added to the uncertainty in the market. ๐ผ The India VIX spiking 72% from the April lows indicates that high volatility will persist for some more time. ๐ผ It is important to understand that VIX is based on Nifty index options prices. The spike in VIX is due to rising volume of options trades. ๐ผ Many investors are buying put options to protect their portfolio in case of unexpected election outcome. ๐ผ For long-term investors the ongoing volatility and uncertainty present buying opportunities. Despite the uncertainty the base case scenario is the return of NDA to power. ๐ผ Once clarity emerges on this, the market will bounce back sharply led by high quality largecaps which are weak now due to big selling by FIIs. ๐ผ The FII selling in May till now has touched Rs 9194 crores dwarfing DII buying of Rs 5129 crores. This divergence is unlikely to last long. . . . #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate
๐ผ A significant near-term trend in the market is the underperformance of the Indian market despite positive global cues. ๐ผ The Dow has been trending up for four consecutive trading sessions, but the Nifty has turned highly volatile and apprehensive. What might be the reasons for this? ๐ผ One is the selling by FIIs which touched Rs 5525 crores in the three trading sessions in May so far. ๐ผ But there is nothing unusual about this since FIIs sell when the US bond yields are attractive. ๐ผ Perhaps, the more significant factor might be the apprehensions emanating from the unexpectedly low turn out in the elections, so far. ๐ผ One view is that the definite and smooth victory of the ruling dispensation is a bit uncertain now. ๐ผ The market which has already discounted a BJP/NDA victory is a bit unsure now. Perhaps, this can be reason for the apprehension in the market and the bulls shedding their aggressive stance. ๐ผ In the last one month the VIX has spiked by 46% and is hovering around 16.6 now. This means volatility and uncertainty will continue for some time. ๐ผ Meanwhile investors can use the market weakness to buy high quality largecaps on dips. ๐ผ Leading private sector banking names, automobile majors and the leading telecom companies are fundamentally strong and fairly valued. . . . #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate
๐ผ The cut of 172 points on the Nifty last Friday is rumoured to be triggered by fears of changes in the long-term capital gains tax in the Budget after elections. ๐ผ The finance minister quickly clarified that these are speculative. This clarification and positive global cues are likely to support the market in the near-term. ๐ผ The US jobs data for April has come lower-than-expected indicating weakening labour market and slowing economy. ๐ผ US unemployment has risen to 3.9% in April. So the possibility of a rate cut by the Fed has again brightened. ๐ผ The decline in the dollar index to 105.8 and the cut in the 10-year US bond yield to 4.49% augur well for the market. ๐ผ Positive comment by Warren Buffett that India is an untapped market with great potential is hugely important. ๐ผ FIIs can take a cue from that rather than react every time to changes in US bond yields. ๐ผKotak Mahindra Bank is likely to respond positively to its impressive Q4 results. ๐ผ The Q4 auto results coming this week will be keenly watched by the markets and positive market responses are likely. . . . #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate
๐ผ Global and domestic cues are positive for the markets. ๐ผ The decline in dollar index to 105.3, correction in the US 10-year bond yield to around 4.5% and Brent crude below $ 84 will further strengthen the bulls. ๐ผ The strong pillar of support for this market is the strong buying by DIIs facilitated by the sustained flow of funds. This trend is unlikely to change anytime soon. ๐ผ RBI lifting restrictions on some of Bajaj Financeโs products is highly positive for the stock. ๐ผ Short covering in the stock has the potential to trigger a surge in the stock. ๐ผ Bank Nifty has further room to move up. Delivery based buying in this segment is likely to continue. . . . #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate
๐ผ As trading for May begins there are mixed cues for the market, but broadly positives outweigh negatives. ๐ผ The Fed commentary is cautious:โ We are prepared to maintain the current target for the Fed funds rate as long as it is appropriate. We are also prepared to respond to unexpected weakening of the labour market.โ ๐ผ Powellโs remark that โ a rate increase is unlikely.โ is regarded by the market as dovish. ๐ผ Anyway, it is certain that the number of rate cuts this year, if at all that happens, will be far lower than initially expected. This is a headwind for global equity markets. ๐ผ The domestic cues are strongly positive. The GST collection for April setting a record of Rs 2.1 trillion indicates a booming economy. ๐ผ Indiaโs GDP is estimated to have grown by 7.6% in FY24 and is expected to continue the growth momentum with above 7% growth in FY25, too. ๐ผ It appears that the market is discounting Indiaโs growth outperformance. In April while the S&P 500 is down by 4.2%, Nifty is up by 0.7%. This outperformance can continue. ๐ผ The sharp 5% decline in crude triggered by expectation of ceasefire in East Asia, is negative for ONGC and positive for tyres, paints and adhesives which use petroleum as inputs. . . . #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate
๐ผ This bull market is remaining resilient despite headwinds and is slowly gathering momentum despite high valuations. ๐ผ A significant feature of the ongoing bull run is that the FIIs are consistently being outsmarted by the DIIs and retail investors. ๐ผ Every time the US bond yields go up, particularly when the 10-year yield rises above 4.5%, the FIIs have been selling. ๐ผ But the DII plus retail buying has been completely overwhelming the FII selling, forcing the FIIs to buy the same stocks they sold earlier at higher prices later. ๐ผ Also, the short covering by FIIs have contributed substantially to the recent surge in the market. Despite the big FII selling this month, Nifty is up by 700 points from the April 18th lows. ๐ผ The takeaway from this trend is that the bulls are calling the shots in this market and, therefore, every dip will be bought. ๐ผ A significant development in the market yesterday was the huge delivery volume in the banking stocks like ICICI, HDFC, Axis, SBI and Kotak. ๐ผ This segment will remain resilient and may appreciate further. . . . #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate #StockMarket #inflation #EconomicOutlook #InvestmentOpportunity #EmergingMarkets #MarketUpdate