Cash Rich PSUs may announce hefty dividends - Microsec

As expected, Indian markets remained volatile and corrected on fear of US Bond purchases tapering on better than expected US economic data, particularly that of employment data. Events to watch: WPI data on Dec 16, FOMC meeting on Dec 17-18 and RBI Monetary Policy on Dec-18. Higher than expected CPI may induce RBI to hike interest rates though going by his comments at several occasions in the past one month, it seems rates may be left unchanged.

Cash rich PSU companies may announce hefty dividends as the Government may seek to meet the fiscal deficit targets. Engineers India and MOIL is a BUY besides Coal India and NMDC. Long term investors accumulate Blue Star and Whirlpool on dips.

Some momentum may be seen in shipping stocks like SCI and Great Eastern Shipping as Baltic rates continue to rise.

Source : Equity Bulls

Keywords