Stocks of major fast-moving consumer goods companies are seen remaining steady and rangebound in the week ahead, with a positive bias. FMCG stocks have gained much value over the past few weeks and so the gains will be limited going forward. Major FMCG companies have reported better-than-expected results in Apr-Jun, including on key parameters such as sales volume growth. This has resulted in increased buying of these shares in an otherwise weak market. Over the past week, the BSE FMCG Index has gained 2.8% in value, while the BSE Sensex and NSE Nifty have risen 2% each.
According to a report by Foreign institutional investors have increased ownership of shares of major FMCG companies such as Hindustan Unilever Ltd, Britannia Industries Ltd, and Godrej Consumer Products Ltd in Apr-Jun. Investor interest in FMCG stocks is expected to sustain in the near term, given the global and domestic macroeconomic weakness.
(www.rupeedesk.in)
