New Delhi: Stock markets would be driven by quarterly results and global factors this week amid lack of any major economic event, say analysts.
With major economic events such as the budget and the RBI monetary policy over, the focus of investors would now shift back to fundamentals, they said.
Key stock indices vaulted around 9.6 per cent last week after the budget and corporate commentary re-affirmed the positive long-term structure of the market, analysts opined.
They also expect some consolidation in stocks after a stellar rally which saw the sensex touching the record 51,000 level briefly Friday.
“Due to lack of any major upcoming economic event, the market is expected to be stock-specific based on the forthcoming quarterly results,” Vinod Nair, Head of Research at Geojit Financial Services said.
Among major earnings to focus on this week are BPCL, NMDC, Dhanlaxmi Bank, Tata Steel, Bank Of India, GAIL, HCL Infosystems and Ashok Leyland.
Ajit Mishra, VP – Research, Religare Broking Ltd said, “As the major events are behind us i.E. The Union Budget and monetary policy, the focus will shift back to fundamentals as well as global cues. We might see some consolidation in the index early this week.”
“Going ahead, we believe the market momentum may continue with the focus now back to fundamentals, viz corporate earnings. The Budget along with strong corporate commentary, reaffirms the positive long term structure of the market,” according to Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services Ltd.
Data for industrial production and inflation rate are scheduled to be announced on Friday after market trading hours.
During the last week, the BSE benchmark rallied 4,445.86 points or 9.60 per cent. On Friday, the 30-share BSE benchmark briefly crossed the 51,000-level during the day.
“Markets could take a pause to reflect upon the current exuberance and assimilate the upcoming corporate numbers,” Nirali Shah, Head of Equity Research, Samco Securities said.
PTI