INSUBCONTINENT EXCLUSIVE:
NEW DELHI: The domestic equity market registered losses for the week gone by, the fourth in a row, amid worries over liquidity crunch,
suspicion over corporate governance issues with some midcap companies, a steady fall in the rupee, spike in crude oil prices, a fresh rate
hike by the US Federal Reserve and FO rollovers
September turned out to be the worst month for Dalal Street since February 2016, with the Sensex plunging 2,418 points, or 6.26 per cent,
and the Nifty 750 points, or 6.42 per cent
For the week, the Sensex erased 614 points, or 1.67 per cent and the Nifty50 213 points, or 1.91 per cent
For Nifty, it was the fifth consecutive week of loss.
The coming week, which happens to be a truncated one as Tuesday is a market holiday
the rupee and crude oil prices
fourth bimonthly money policy review of this financial year will be held on October 3-5
In its August policy, RBI had raised the repo rate for the second consecutive time by 25 basis points to 6.50 per cent
Manufacturing and services PMI printsThe Nikkei Manufacturing PMI for September will be released on Monday
The services PMI data will be out on Thursday
The seasonally-adjusted Nikkei India Services Business Activity Index fell from July's peak of 54.2 to 51.5 in August
In PMI parlance, a print above 50 means expansion, while a score below that denotes contraction
Auto sales numbers to be watchedAuto companies will announce their September sales data this week
Analysts say September numbers may turn out to be a bit softer, but October and November should show improvement on festive sales
parts of the country have dampened the cheer
contribute close to 30 per cent of their annual sales
The four months of August-November is expected to see 26 new launches, facelifts and model refresh, ET reported
Global macroeconomic numbersChina, Japan, the US, the UK and the euro zone will announce their manufacturing PMIs for September next week
On Friday, the US will release its unemployment rate data for September
steps in recent times to boost the domestic currency and meet its fiscal deficit target
However, those steps have not been able to meet expectations so far
Apart from raising import duties on several items, the government has cut gross borrowing for the year by Rs 70,000 crore and stuck to the
net borrowings target as planned in the Budget, sending out a strong signal about its intent to meet its fiscal deficit target
The efficacy of these steps will be assessed only after sometime and the market will closely watch if the government announces any fresh
measures should the rupee continue to slide unabated
Earnings season set to kick inDomestic companies will begin released their second quarter earnings from this week
As per data available with BSE, the electric utilities firm KP Energy will kick off the earnings season on Wednesday, followed by commercial
trading and distribution firm Kushal on Thursday, petrochemicals player Goa Carbon on Friday
Stocks will swing to the beats of the earnings outcome
That said, the bears have strengthened their grip on the market, as the NSE barometer formed bearish candles on eight out of 10 sessions
Analysts feel as long as the index stays below 11,050, the short-term outlook will remain negatively biased
Small comebacks, though, cannot be ruled out
The chances of it breaking this support cannot be ruled out, as investor sentiment and market bias remain weak
Bank Nifty, too, has maintained in the previous support at 24,900 level, and select stocks like HDFC Bank, Axis Bank and Kotak Mahindra Bank
The support for the market is seen at 35,620/10,720 for the week while resistance is seen at 37,000/11,180 levels
