Subdued credit growth is another worry. Monsoon could be lower than expected. Budget may disappoint. Exports are sliding. Fundamentals of India Inc. are yet to catch up with the surge in stocks. Considering these headwinds, one may argue that the recent run-up has gone too far, too fast. On the bright side, the downside may not be scary
Energy and drilling stocks will be the bright spot in today's market, as crude prices soared overnight, as supplies tightened. Light, sweet crude for July delivery settled $1.32, or 1.9%, higher at $71.33 a barrel on the New York Mercantile Exchange, the highest settlement since Oct. 20, 2008. Watch out for stocks like Cairn Energy, Essar Oil, Jindal Drilling and Shiv-Vani Oil Exploration.
We advise caution and it is a great idea to sit on the sidelines as the market is getting unpredictable at these levels. Oil related stocks, Everonn Systems, Hindustan oil Exploration and SREI Infra are the stocks to watch out for investors who are willing to take some risk