Indian Markets Outlook for the week – 20.Jul.2015 to 24.Jul.2015
(Monsoon session, earnings eyed
next week)
After gaining 3% this week and
hitting three-month highs, stock indices are seen consolidating next week. Any
decisive move on the upside will depend on global developments, monsoon session
of
Parliament and corporate earnings
announcements.
This week, positive sentiment
after the Iran nuclear deal and Greece Parliamentary vote accepting
austerity measures took indices
to higher levels, with the National Stock Exchange's Nifty
reclaiming the 8600-point mark.
However, domestic equities ended
yesterday session on a flat note, in the absence of any major
triggers and as traders turned
cautious ahead of Germany's Parliament vote on Greece's bailout
package.
After market hours yesterday, the
German Parliament voted in favour of starting negotiations on the
third bailout for Greece.
Market participants expect
activity to be stock-specific in the coming week but indices are not likely
to see any major downside either.
The provisional trading activity
data of FIIs corroborates the fact that the underlying sentiment
remains positive. According to
provisional data on the NSE website, FIIs net bought Indian shares
worth 6.05 bln rupees on the BSE,
NSE, and Metropolitan Stock Exchange combined, and domestic
Institutional investors net sold
shares worth 1.75 bln rupees.
On the earnings front, 13 Nifty
constituents--UltraTech Cement, Asian Paints, Cairn India, HDFC
Bank, Hindustan Unilever, Idea
Cellular, Infosys, Bajaj Auto, GAIL India, Lupin, Wipro, Axis Bank
and Reliance Industries—will
detail Apr-Jun earnings.
Federal Bank, Hindustan Zinc,
Kitex Garments, LIC Housing Finance, Eicher Motors, Bharti
Infratel, CEAT and L&T
Finance Holdings will also report numbers for the quarter ended June.
