INSUBCONTINENT EXCLUSIVE:
bimonthly monetary policy review, which starts Monday.
The domestic equities witnessed seesaw trade last week, with the bulls retaining an
A government data showed that India reported 7.7 per cent GDP growth for January-March period, holding the tag of the fastest growing
The full FY18 growth estimate was revised upward to 6.7 per cent from 6.6 per cent in the second advance estimate released in
February.
Among individual stocks, Vakrangee finally made a U-turn to hit upper circuit on Friday after hitting lower circuit for 28
Multibagger Dilip Buildcon hit a speed bump, as the stock crashed in the last two sessions amid rumours that the auditors of the company had
39.95 points or 0.37 per cent lower at 10,696
On a weekly basis, the 30-share pack gained 0.86 per cent while 50-share pack Nifty added 0.85 per cent.
Here's a look at the key
developments that may steer market in the coming week.RBI policy outcomeThe monetary policy committee (MPC) of the RBI is slated to meet on
June 4-6, with the results due on Wednesday
There are possibilities that India might join the growing club of emerging-market central banks that have been tightening their monetary
policy.
The apex bank may deliver its first interest rate hike in nearly 4.5 years, says a Reuters report
However, there are others who feel RBI may hold rates this time but will hike in the August and October policy reviews.
"While we expect the
RBI MPC to hold the repo rate in June, we pencil in 50 bps hike in FY19 split between August and October
The MPC votes are likely to be evenly balanced in the June meeting, thereby keeping the chances of a rate hike alive," says Suvodeep
Rakshit, Vice-President and Senior Economist at Kotak Institutional Equities
Technical factorsThe Nifty index on Friday formed bearish candle on the daily chart
It formed higher highs and higher lows for the day and is likely to face resistance around the 10,800 mark next week
On a weekly scale, the index formed a 'Spinning Candle' with long shadows followed by a Dragon Fly Doji, which indicated a tough fight
between the bulls and the bears, said Chandan Taparia of Motilal Oswal Securities.
Mazhar Mohammad of Chartview India noted that none of the
technical parameters generated fresh sell signals on the lower time frame charts, and the market might gain strength if Nifty closes above
the 10,777 level over the next few sessions.
Progress in monsoonThe investors on Dalal Street will follow the updates on how monsoon pans
out in the country over the next one week
"IMD has projected a third successive normal monsoon this year so timing and distribution of rainfall is also important parameter to look
expected to unveil data on monthly survey of the performance of services sector in May on Tuesday
With growth in new orders and easing inflationary pressures also helping in improved demand conditions, the Nikkei India Services Business
Activity Index climbed to 51.4 in April from 50.3 in March.
US jobs dataThe US economy continued to add jobs at a solid pace in May, with
non-farm payrolls up 223,000 and the unemployment rate falling to an 18-year low of 3.8 per cent
The closely watched employment report released by the Labour Department on Friday also showed wages rising solidly, cementing expectations
that the Federal Reserve will raise interest rates this month and boosting the probability of two more hikes later in the year
It renewed fears about the economy overheating, Reuters reported.
Global cuesInvestors will track G7 summit, which start next week in
three-day meeting with a stern rebuke of Washington, Reuters reported
The 25 per cent steel and 10 per cent aluminum tariffs were imposed this week on Mexico, Canada and the European Union after temporary
This apart, both China and the US are slated to release their Balance of Trade data for May and April, respectively
Also, political situation in Spain may affect financial markets across the globe
Spanish Prime
Minister Mariano Rajoy has been forced out of office by a no-confidence vote in parliament.
This apart, trend in global
markets, investment by FIIs and DIIs, the movement of rupee against the dollar and crude oil price movement will also remain on investors'
