Auto Stocks Outlook for the week – 21 to 25.09.2015
(Seen up next week on RBI rate cut
hopes)
( www.rupeedesk.in )
Stocks
of major automobile companies are seen trading up next week on anticipation
that the Reserve Bank of India will cut the repo rate in its upcoming policy
review, which would boost demand in the sector.
The
RBI is scheduled to detail its fourth bi-monthly monetary policy statement for
this financial year on Sep 29. The clamour for a rate cut by the RBI has
increased in view of the decline in inflation rates.
Inflation
rate based on the Consumer Price Index (Combined) fell to a ninemonth low
of 3.66% in August, while that based on Wholesale Price Index eased to a record
low of (-)4.95%.
Stocks
would also gain momentum next week following the positive mood after the US
Federal Reserve on Thursday decided to keep interest rates unchanged.
