MARKET OUTLOOK FOR SEPT
August was a volatile month with some geo-political tension in Middle East and Russia threatened to spook equity markets .The downtrend was however short lived and the market resumed its uptrend and by the end of the month regained its strength setting the groundwork for a strong Sept series. However, concerns in the banking and real estate sectors do remain and investors would be advised not to indulge in bottom fishing in some of these counters where we have seen serious negative news .Besides the strong derivatives rollover the market was given a strong fillip by a strong GDP for the 1stÂ quarter of 2014-15 which logged in the highest growth in 9 quarters. The mining and construction sector was the standout performer as it grew by 4.8% against 1.1% in the same period a year ago. This proved to be a shot in the arm for the capital goods space which showed some dismal financial performance in the June quarter.
The major cause of concern could be the rainfall which has still been below desired levels which could again cause concern on the inflation front.
All in all optimism continues to prevail and the investors could look forward to adding quality shares to their portfolios which should reap good returns in times to come.
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