Experts bullish on 2010 stock market; see Sensex at 21k
Mumbai: A significant pick up expected in the
corporate earnings and the strong fundamentals of economy
undeterred by financial meltdown, is likely to bring cheers to
share markets in 2010, experts said.
"Corporate earning will see a 25 percent growth. Though
there may be short-term corrections, the market will go up by
another 20 percent. I do see sensex at 21k this year," Angel
Broking`s Managing Director Dinesh Thacker told a news agency.
Banking sector, on the back of an expected 8 percent GDP
growth is likely to be amongst the top performing sectors in
the new year, he said.
"Indian banks, both in public and public sector, are well
capitalised. We expect the credit growth to pick up further,
which is a good news to banking stocks," Thacker said.
Also, infrastructure sector, where huge investments are
expected, could also play a major role in the share market in
2009, Thackar said.
"Undoubtedly, a major sector that can perform well in
short term and long term is infrastructure. Government is
spending a lot of money on infrastructure and for the next
5-10 years it would continue bullish," he said.
However, telecom stocks, which faces intense competition
in the market, might not prove to be a good option for
short-term investors, Thackar said.
Sensex, which opened at 9,647 points in 2009 closed the
year almost double at 17,464.
Echoing a similar view, Kejriwal Research and Investment
Services Director Arun Kejriwal, said he expects the sensex to
reach above 21k level as the year progresses.
"Having done so well in 2009, the expectations about 2010
are so high. But it may not be realistic and may not happen.
But a 2,500-3,000 points` gain is possible. But the
corrections also can be in this range," Kejriwal said.
Edelweiss Institutional Equities Co-head, Vikas Khemani
also expects Sensex in the range of 21-22k in 2010. According
to Khemani the Nifty is likely to rise up to 6,200-6,500 range
in the course of the year.
"An investor can normally expect a 20-25 percent return
from the market as sensex may go up to 21-22k range and Nifty
to 6,200-6,500 points," Khemani said.
He said the divestment in the holding of Government-owned
companies might provide fillip to the market rally in the new
year. Also according to them monsoon could also turn out to be
a decisive factor.
More from India
More from World
More from Sports
More from Entertaiment
- Letter to Arvind Kejriwal - `Don't embarrass India again, buy yourself a pair of shoes`
- When a professor sexually abused a girl in classroom; watch other students' reaction
- Indian woman rescued from German refugee camp returns home, thanks government
- Signs that prove Lord Hanuman is still alive
- Will wipe out BJP and Congress from the country: Akbaruddin Owaisi