Indian Markets Outlook for the week – 08.Jun.2015 to 12.Jun.2015 (Global
events to direct market next week)
( www.rupeedesk.in )
The
equity market is seen weak in the next week, too, with traders likely to take
cues from the advance of the Southwest monsoon and debt negotiations between
Greece and its lenders. The Southwest monsoon hit the coast of Kerala with a
four-day delay and the India Meteorological Department stated that conditions
are favourable for its advance to states such as Karnataka, Andhra Pradesh and
Tamil Nadu.
Greece
deferred repaying its loan to the International Monetary Fund to the end of the
month and has refused to accept the cash-for-reforms deal proposed by its
lenders. Traders will also take cues from the global sovereign bond market. The
volatility in sovereign bonds in US, Europe and Asia is likely to continue in
the next week until Greece reaches a resolution with its lenders. It is obvious
that the Greece worries would continue to boil in the background. On Monday,
the market will also react to the US jobs data that will be released overnight.
Some
are of the opinion that foreign institutional investors could direct funds from
China to India owing to volatility in Chinese equities, but gains are unlikely
to be sustainable. The market could bounce back in the next week, but traders
are likely to sell on every rise.
While
the overall sentiment in the market remains weak, traders remain bullish on the
information technology sector as they expect the rupee to depreciate. IT stocks
may gain as the rupee is likely to cross the 64-rupee level (against the
dollar) in the next week. Reliance Industries will also be in focus in the next
week as the company will hold its Annual General Meeting on Friday June 12.
( www.rupeedesk.in )
( www.rupeedesk.in )
