 "Markets likely to remain cautious; CPI, WPI eyed")
Benchmark indices are likely to start off on a positive note tracking mixed cues from Asian peers but volatility will be witnessed during the day as the markets are expected to react to key domestic data as well as the Fed FOMC meeting, which will be held later in the week.
This will be a taxing week with one eye of the investors on the local macroeconomic figures while the other will be on the global events. The Federal Open Market Committee (FOMC) meet, which will be held on September 16-17, will be closely followed by the investors as the Fed is expected to end the uncertainty around the interest rate situation by hiking the interest rates for the first time in eight years.
On the domestic front, the market participants would react to the Industrial output data, which was released on Friday post market hours. The industrial output for the month of July provided a breath of fresh air and has been recorded at 4.2%, indicating that the Indian economy is on its path to revival.
GLOBAL MARKETS
Asian markets are trading mixed on Monday. China’s factory output and investment for the month of August missed the forecast thus further strengthening the fears that the world’s second largest economy is heading for a cool down.
Japan’s Nikkei and China’s Shanghai Composite are trading 0.5% lower while Hang Seng is 0.6% higher. SGX Nifty is at 0.5% higher.
STOCKS IN FOCUS
JK Tyre: JK Tyre has agreed to acquire the Haridwar factory of BK Birla’s Kesoram Industries for Rs 2,200 crore.
Tata Motors: The cooling off of China’s economic data can have impact on Tata Motors as its luxury arm, JLR would be affected.
Cairn India and Vedanta: Cairn India's $1.25 billion loan to its promoter group, which had spooked investors, was used by Vedanta Ltd to repay another inter-company loan taken for acquisition of the oil company.
Indiabulls Housing Finance: The company has raised Rs 3,996.79 crore by allotting over 5.69 crore shares to qualified institutional buyers (QIBs).
L&T Finance: Bain Capital would announce the acquisition of $300million stake in L&T Finance Holdings
This will be a taxing week with one eye of the investors on the local macroeconomic figures while the other will be on the global events. The Federal Open Market Committee (FOMC) meet, which will be held on September 16-17, will be closely followed by the investors as the Fed is expected to end the uncertainty around the interest rate situation by hiking the interest rates for the first time in eight years.
On the domestic front, the market participants would react to the Industrial output data, which was released on Friday post market hours. The industrial output for the month of July provided a breath of fresh air and has been recorded at 4.2%, indicating that the Indian economy is on its path to revival.
Also Read
On the upcoming data for the week, the consumer price index (CPI) and wholesale price index (WPI) for the month of August will be revealed on Monday post market hours. The inflation is expected to have cooled off, thus providing another incentive for the Reserve Bank of India to cut its interest rate.
GLOBAL MARKETS
Asian markets are trading mixed on Monday. China’s factory output and investment for the month of August missed the forecast thus further strengthening the fears that the world’s second largest economy is heading for a cool down.
Japan’s Nikkei and China’s Shanghai Composite are trading 0.5% lower while Hang Seng is 0.6% higher. SGX Nifty is at 0.5% higher.
STOCKS IN FOCUS
JK Tyre: JK Tyre has agreed to acquire the Haridwar factory of BK Birla’s Kesoram Industries for Rs 2,200 crore.
Tata Motors: The cooling off of China’s economic data can have impact on Tata Motors as its luxury arm, JLR would be affected.
Cairn India and Vedanta: Cairn India's $1.25 billion loan to its promoter group, which had spooked investors, was used by Vedanta Ltd to repay another inter-company loan taken for acquisition of the oil company.
Indiabulls Housing Finance: The company has raised Rs 3,996.79 crore by allotting over 5.69 crore shares to qualified institutional buyers (QIBs).
L&T Finance: Bain Capital would announce the acquisition of $300million stake in L&T Finance Holdings