INSUBCONTINENT EXCLUSIVE:
NEW DELHI: Policy reviews by three major central banks, a historic summit meeting between the US and North Korea, vote on the Brexit Bill
and disagreement over trade between the US and key allies at the just-concluded G-7 summit will be among the major cues driving the domestic
stock market in the coming week.
Last week, RBI raised the repo rate by 25 bps for the first time under the Modi regime in a pre-emptive
move amid signs of a possible spike in inflation and improving growth numbers.
However, contrary to the majority view, RBI kept its policy
ended 0.70 points lower at 10,767
Out of the 50 Nifty constituents, 24 closed in the green and 26 in the red
On a weekly basis, the 30-share pack of BSE gained 0.61 per cent while the 50-share Nifty added 0.66 per cent.
Here's a look at the key
events that Dalal Street may react to during the coming week -G-7 summit ends in disarrayThe two-day G-7 summit (June 8-June 9) held in
Quebec City of Canada ended in disarray as US President Donald Trump remained isolated from its allies on trade tariffs
He said he would not endorse the agreement on trade made by the G7 leaders and escalated his feud with Canadian Prime Minister Justin
Trudeau by calling him 'dishonest and weak'
for a historic summit on June 12 in Singapore
Speaking at the G7 summit in Canada on Saturday, the US President said his meeting with Mr Kim in Singapore scheduled for Tuesday was a
about giving up its nuclear arsenal, the report added.
Domestic macro numbers to set the moodThe government is expected to announce
industrial production data (IIP) for April 2018 on Tuesday, June 12, 2018
The index of industrial production (IIP) grew 4.4 per cent in March against a downward revised 7 per cent increase in the previous month
Economists surveyed by Reuters had forecast IIP to grow at 5.9 per cent in March.
This apart, inflation data based on wholesale price index
(WPI) for May 2018 will be out on Thursday, June 14
Annual wholesale price inflation in April rose to 3.18 per cent from a year earlier, higher than a 2.47 per cent rise in March.
Nifty has
bullish candle on tech chartThe Nifty50 index on Friday formed a Small Bullish Candle, suggesting waning of its recent bullish momentum
On the weekly chart, the index formed a high-wave long-legged Doji pattern
On the way up, 10,818 is a crucial resistance level
If the index breaks below 10,698, then the bears will be back in action
"On the way down, we expect the index to drift lower towards 10,325 and 10,160 levels in the short term, once the pullback is complete,"
Ratnaparkhi adds.
US Fed likely to raise rateThe rate-setting panel of the US Federal Reserve FOMC is slated to meet on Tuesday and
Wednesday (June 12- June 13) to decide on monetary policy, with results due on Wednesday
Going by the market pundits, the Fed looks all set to raise interest rates for a second time this year and the seventh since December 2015
Strong jobs data last week and signs that inflation is nearing the 2 per cent sweet spot mean Fed chairman Jerome Powell and his Open Market
decisionsThe European Central Bank's policy decision is due on Thursday (June 14) where it is likely to signal that its 2.55 trillion euro
bond purchase scheme will end this year
deposit rate could be back up to zero by the end of next year, Reuters said in a report.
On Friday (June 15), the Bank of Japan will declare
its monetary policy decision.
Brexit Bill goes to voteBritish lawmakers will next week (June 12 -June 13) discuss amendments proposed by the
Upper House of Parliament to the government bill ending UK membership of the European Union
but the House of Lords, the unelected upper house, has demanded major changes to government proposals, said a Reuters report.
Besides, crude
price movement, progress of monsoon, rupee movement against the US dollar and inflows to equities from FPIs and DIIs are key factors that
are likely to influence the market in the coming week.
