Welcome to Indian Share Market
Updated on 11 Nov 2017
Four factors that may affect market direction this week
A week after record-breaking rally, weak global markets and some disappointing earnings numbers turned the market direction during the week gone by as domestic benchmark indices witnessed a range bound trade throughout the week, mostly with negative bias.
On a weekly basis, both the headline indices, BSE Sensex and NSE Nifty, lost over 1 per cent.
The following are top four events that are likely to influence market sentiment in this week.
Key economic indicators IIP data and inflation numbers will be key determinants of market movement this coming week. The industrial production growth slowed in September to 3.8 per cent from a nine-month high of 4.5 per cent in August, the government data showed.
Inflation data based on consumer price index (CPI) for October 2017 will be declared on Monday, November 13 after market hours. CPI rose 3.28 per cent in September 2017, unchanged from August 2017. Inflation numbers based on wholesale price index (WPI) for October 2017 will come out on Tuesday, November 14.
Crude oil prices:
Movement of crude prices will be tracked closely by investors. Crude has been on a boil since the last few sessions, thanks to efforts led by Opec and Russia to tighten the market by cutting output, as well as strong demand and rising political tensions. Earlier in the week, Brent rose to $64.65, its highest since June 2015, and WTI hit $57.92, its highest since July 2015.
GST-related stocks to be in focus:
The GST Council, in its 23rd meeting in Guwahati, slashed tax rates on 200 items, ranging from chocolates to wristwatches. As many as 178 items of daily use were shifted from the top tax bracket of 28 per cent to 18 per cent, while a uniform 5 per cent tax was prescribed for all restaurants, both air-conditioned and non-AC.
A host of related sectors such as consumer, light electrical and home building sectors will hog the limelight next week.
Next batch of quarterly numbers:
With most of the companies' results out, the earnings season has entered in its last leg. Some of the notable names who will unveil their Q2 results on Monday are Adani Ports & Special Economic Zone and NTPC. Eicher Motors, GAIL (India) and Sun Pharmaceuticals Industries will unveil theirs on Tuesday, November 14.