INSUBCONTINENT EXCLUSIVE:
NEW DELHI: The week gone by induced further pessimism in the market, as the benchmark indices saw deep cuts amid concerns over financial
health and liquidity crisis in the NBFC sector, rising oil prices and a fast weakening rupee.
The BSE Sensex dropped 417.95 points, or 1.20
per cent, for the week to settle at 34,315 on Friday, while the Nifty50 tanked 168.95 points, or 1.61 per cent, to end at 10,303
Reliance Industries and Infosys failed to lift the mood
Sustained capital outflow has created a gloomy atmosphere, dealing a body blow to risk-appetite
Every rise in market is meeting with a wave of profit-booking
Overseas investors have pulled out roughly over Rs 20,000 crore from the domestic markets so far in October.
Going into a new week, things
Going by analyst observations, here is a list of factors that will influence market movement next week.
Liquidity and NBFC issuesA perceived
liquidity crisis in the non-banking financial companies (NBFCs) has made investors wary despite a slew of measures from the government and
After the ILFS crisis, even the slightest indication of problem in an NBFC has led to a selloff
Bandyopadhyay, group chairman, Inditrade Capital, said in an interview with ET Now
FO rolloverOctober series futures and options will expire on Thursday and rollover of positions will dominate proceedings through the week
said Chandan Taparia of Motilal Oswal Securities
The option band signified a trading band between 10,200 and 10,500 levels
FO rollovers may increase volatility in the market.
Rupee remains a big worryThe rupee settled 29 paise higher at 73.32 against the dollar
on Friday, amid selling of the US currency by exporters and foreign fund inflows
The domestic unit has been on a bumpy track of late owing to unstable crude oil prices, a stronger dollar, capital outflow and rising bond
The rupee will remain a key factor to watch in the coming days
The course of crude oilCrude oil prices rose in international markets on Friday
Brent crude futures rose 49 cents to settle at $79.78 a barrel amid a surge in demand in China
The market is now focussing on US sanctions on Iran, which will come into force on November 4
Key Q2 earnings aheadThe earnings season is on in full swing now
ITC, Asian Paints, Adani Ports, Ambuja Cements, Kotak Mahindra Bank, YES Bank, Maruti Suzuki, Bharti Airtel, Bharti Infratel, Wipro, HCL
Tech, Bajaj Auto, Bajaj Finance and Bajaj Finserv are among the heavyweights that will release their September quarter numbers during the
The earnings numbers have been mixed so far
Any positive surprise should prove a booster dose for the market
While no change in monetary policy is expected as of now, the ECB will have to calculate the risk that Brexit poses to eurozone economy
A lot of people are trying to guess the nitty-gritty of interest rate increases that are still about a year out, but are ignoring one of the
The US new home sales report for September will be out on Wednesday
Besides, markets will closely watch third quarter GDP growth numbers of the US on Friday
Italian budget will also be in focus this week
Technical outlook weakOn the technical charts, the bears appear on the driver's seat
Technical indicators still show more scope of downside, though in between a short bounce cannot be ruled out
The support for Sensex/Nifty during the week is seen at 33,350/10,000 and resistance at 35,100/10,550
Bank Nifty would have a range of 24,150-25,860, said Vaishali Parekh, senior technical analyst at Prabhudas Lilladher.
