Market Headstart: Nifty likely to open lower; 3 stocks that could give 5-8% return

Nifty is likely to open lower on May 14 following muted trend seen in other Asian markets as the trade war between China and the United States escalated.

Trends on SGX Nifty indicate a negative opening for the broader index in India, a fall of 50 points or 0.45 percent. Nifty futures were trading around 11,135 on the Singaporean Exchange.

China on May 13 announced it would impose higher tariffs on $60 billion of US goods following Washington’s decision last week to hike its own levies on $200 billion in Chinese imports, said a Reuters report.

Wall Street’s main indexes tumbled on May 13 after Beijing announced plans to retaliate with higher tariffs on US goods, raising fears that another round of tit-for-tat measures could push the US economy toward recession, it said.

As many as 60 companies will declare their results for the quarter ended March that include names like HOEC, Indian Bank, Nestle India, Pidilite Industries, PTC India, Siemens, UCO Bank, Union Bank of India, Welspun Corp etc. among others.

Stocks in news:

After making losses for seven consecutive quarters, city-based United Bank of India (UBI) registered a net profit of Rs 95.18 crore in the last quarter of 2018-19, a bank statement said on May 13.

India's largest telecom operator Vodafone Idea on May 13 posted a consolidated loss of Rs 4,881.9 crore for the fourth quarter ended March 31, amid a brutal tariff war in India's mobile market.

Karnataka Bank posted close to a six-fold jump in net profit at Rs 61.73 crore during March quarter 2019. The bank clocked a profit of Rs 11 crore during January-March period of 2017-18.

Technical recommendations:

We spoke to HDFC Securities and here's what they have to recommend:

EIL: Sell| LTP: Rs 103.75| Target: Rs 95| Stop-Loss: Rs 109 | Downside 8.5 percent

Tata ELXSI: Sell| LTP: Rs 845| Target: Rs 800| Stop-Loss: Rs 875 | Downside: 5 percent

Godrej Industries Ltd: Sell| LTP: Rs 452| Target: Rs 425 | Stop-Loss: Rs 470 | Downside: 6 percent

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