Market course this week to depend on cues from Gujarat poll, inflation numbers
The industrial output data and inflation numbers will set the tone for the domestic equities during the week.business Updated: Dec 10, 2017 21:43 IST
Domestic stock market will look up to a range of factors like Gujarat polls, industrial production and inflation numbers as well as automobile sales data to decide its course this week, according to experts.
With the voting for 89 seats in the first phase of the assembly elections in Gujarat over on December 9, the market will be waiting for the second round of polling in 93 constituencies to be held on December 14.
The counting of votes will take place on December 18.
Geojit Financial Services Chief Market Strategist Anand James said, “... investors would also prefer clarity from Gujarat elections before strengthening their bets.”
Among others, the announcement of automobile sales data by the Society of Indian Automobile Manufacturers (SIAM) would be in focus.
According to Epic Research CEO Mustafa Nadeem, automobile space will continue to perform well as the year-end sale will increase the sales and further news of hike in prices in the coming month will improve the margins.
Besides, the industrial output data and inflation numbers will set the tone for the domestic equities during the week.
“India’s industrial production which was at 3.8% and manufacturing production which was at 3.4% will be released and crucial to watch as the revival seen in numbers need to be maintained or it was a one-off event.
“Inflation which was at 3.59%, highest in last few months but around comfortable levels will also be eyed,” Nadeem said.
Last week, the six-member Monetary Policy Committee (MPC), headed by Reserve Bank Governor Urjit Patel, had kept the policy rate unchanged at 6% on expected lines but raised the inflation forecast for the remainder of the fiscal to 4.3-4.7%.
Over the last week, the Sensex gained 417.36 points, or 1.27%, while the Nifty advanced 143.85 points, or 1.42%.
First Published: Dec 10, 2017 19:20 IST