Investors on Dalal Street have a host of cues to look forward to in trade today. While the global trade setup largely remains strong, firm crude prices could weigh on sentiment. That apart, stock-specific action amid ongoing earnings season and macroeconomic data are among other factors that can hold sway over the market trajectory. High volatility could also be on cards amid the weekly F&O expiry.
Early indications are in favour of a strong start for the benchmark indices as SGX Nifty traded 30 points higher at 16,324 around 7.35 am. Further, smallcaps and midcaps could bounce back after three days of heavy selling following BSE clarification on the Add-On Price Framework.
On the macro-economic front, Industrial production for June and CPI inflation for August will be released today. Industrial production expanded by nearly 30 percent year-on-year in May 2021 due to a low base in May 2020 when there was a nationwide lockdown. Meanwhile, CPI inflation will be a key data to watch out for especially after the RBI increased its FY22 inflation forecast to 5.7 per cent from 5.1 per cent earlier.
Furthermore, in overnight trade, Dow Jones and S&P 500 closed at record levels as data indicated US inflation growth may have peaked, while sectors tied to economic growth advanced on the heels of the passage of a large infrastructure bill. Dow Jone added 0.6 per cent, S&P500 0.25 per cent while Nasdaq slipped 0.16 per cent.
Asian shares failed to follow a strong close on Wall Street with fears about the spread of the Delta variant of the coronavirus weighing on sentiment. The Hong Kong benchmark fell 0.2 per cent while Australian shares were largely flat and Japan's Nikkei rose 0.35 per cent. Oil prices, meanwhile, held onto gains from earlier in the week. Brent crude was flat at $71.43 per barrel.
Now, a look at stock-specific triggers that are likely to sway the market today.
Ashok Leyland, Aurobindo Pharma, Eicher Motors, Hero MotoCorp, IRCTC, NMDC, Natco Pharma, Oil India, Page Industries, Power Finance, BPCL and Tata Steel are among key companies slated to post their quarterly earnings.
Cutting down on its losses over the last year, footwear major Bata India today reported a Rs 69.5 crore net loss for the April-June quarter. In the corresponding quarter previous year, the firm had posted Rs 101 crore net loss.
PNB Housing Finance is now looking to raise Rs 35,000 crore debt, after facing legal hurdles in the Carlyle group deal, days after SAT gave a split verdict in the matter.
Knitwear major Rupa & Company Ltd on Wednesday reported a 32 per cent jump in its net profit to Rs 27.2 crore in the first quarter of the current fiscal.
Lastly, a look at the primary market action.
The initial share sale of Aptus Value Housing Finance India received 37 per cent subscription on the second day of offer on Wednesday while Chemplast Sanmar was subscribed 26 per cent. Both issues close for subscription today.
 "Market Ahead Podcast, August 12: Top factors that could guide markets today")
