MARKET EYE-Stay cyclically and aggressively positioned in 2013-Citi

* India in 2013 will be cacophonous; a mix of politics,
impending elections, reforms and economic revival expectations,
Citigroup said in report.
* The investment bank expects India's benchmark index
to reach 20,800 by December 2013, based on premise of 9.6/12
percent earnings growth for FY13/FY14 and a valuation multiple
of 14.5 times - a slight discount to its 15-16 times longer-term
average.
* Citi says the cyclical/risk trade that worked in 2012 should
continue to be the preferred one for 2013, thereby maintaining
its 'overweight' stance on banks, consumer discretionary,
capital goods, IT stocks, while raising telecom to 'overweight'
as well.
* The bank remains 'underweight' on consumer staples, utilities,
energy and materials.
* Citi prefers Axis Bank, ICICI Bank,
Infosys, Maruti Suzuki India and Bharti
Airtel among large-cap stocks, while its midcap top
picks are Apollo Hospitals Enterprise, Idea Cellular
, Sun TV, LIC Housing Finance and
Exide Industries.

(abhishek.vishnoi@thomsonreuters.com /;
abhishek.vishnoi.reuters.com@reuters.net)