Indian Markets Outlook for the week – 09.02.2015 to 13.02.2015
( www.rupeedesk.in )
Benchmark
indices are expected to be volatile in a week punctuated by data and events
ranging from the outcome of Delhi Assembly elections to the release of figures
on the country's gross domestic product, inflation, and manufacturing output.
Over
the weekend, the market will also follow developments in Greece, as the
country's prime minister announces his economic policies while taking the vote
of confidence in Parliament. Stocks of power majors will be the worst hit. In
its last stint leading the Delhi government, the Aam Aadmi Party had initiated
a tirade against alleged overpriced tariffs by Delhi's power distribution
companies owned by Tata Power and Reliance Infrastructure.
The
election results will be announced on Tuesday. Market participants will also
take cues from the Oct-Dec earnings of eight Nifty companies State Bank of
India, Larsen & Toubro, DLF, Bharat Heavy Electricals, Bharat Petroleum
Corp Ltd, Hindalco Industries, Mahindra &
Mahindra
and Cipla. As markets are likely to be choppy, advised avoiding high-beta
counters in leveraged positions and prefer information technology and fast
moving consumer goods stocks.
In
the next week, the National Stock Exchange's Nifty faces resistance at 8775
points and has
support
at 8565 points. Yesterday, the Index closed at 8661.05, down 50.65 points or
0.6%.
Banking,
metal and automobile stocks will continue to weigh on the benchmark indices.
The
market
may gain support from commodity-based stocks, such as Reliance Industries,
Cairn India, and Sesa Sterlite.
Among
companies that announced their corporate earnings post market hours yesterday,
NMDC may trade with a strong upward trend on Monday. Yesterday, the stock
closed at 141.05 rupees.
Tata
Chemicals is seen continuing its gains on Monday following the company's robust
Oct-Dec earnings. On the other hand, stocks of GAIL (India) may decline, as the
company reported lower-than-estimated earnings in Oct-Dec.
( www.rupeedesk.in )