Still 'aggressive' on Indian stocks: Citi

Citi turns positive on cement

Citigroup maintains an "aggressive" stance in its model portfolio for India, and keeps its target for the BSE index at 18,400 points from current levels at around 17,200. Citigroup says it retains "overweight" position on banks, autos and capital goods, though it tempers some of its views given strong performance year-to-date and "modest" outlook for interest rate cuts.

The bank turns positive on cement, citing improving demand-supply outlook and less competition from rising barriers to entry, among other factors.

It adds Ambuja Cements, Hindustan Unilever, Havells India, Multi Commodity Exchange of India, United Phosphorus and IPCA to its model portfolio.

But the bank has dropped Cummins India from its portfolio.

Citigroup's views contrast with more cautious recent reports from Deutsche, UBS and Nomura.