21,400 for Nifty very much on the cards going forward: Pankaj Pandey

economictimes.indiatimes.com:

Pankaj Pandey, Head Research, ICICIdirect.com, says a Fed meeting is lined up. If the Fed is comfortable about not really hiking beyond the current expectation, then the macroeconomic scenario might improve and the overall deals might get converted into revenues in the second half and so there could be an element of positive surprise. “Overall our sense is that some of these pockets will continue to fire the market and which is why I feel that 21,400 is very much on the cards going forward.”Which would be the leadership stock now because clearly for the heavyweights, all the triggers have been played out. What is next? Who will be the new leader?Banking is still one sector which will continue to do well.

In the first quarter, there was an expectation or in the first half, there was an expectation that the NIMs might be soft on a quarter-on-quarter basis. But our sense is that overall in the second half, things will recover and so NIM contracting probably may not really play out for this year. We will see a subdued situation in the first half, but recovering in the second half because of the MCLR benefit.

In banking, we are still getting a good amount of inflows. Banking obviously is one of the pockets which can do the heavy lifting and Reliance, probably. Our sense is that while retail and even the Jio businesses are okay in terms of performance, overall probably the petrochemical business could do better going forward largely because some of the input cost pressures might go off and then IT may not really find the triggers from an earning perspective.