| Trigger for the Week |
How will it impact? |
| Technology could be the key driver of the markets in the week |
- Stock markets are expected to react to Infosys results and TCS expectations as well as volatile rupee
|
| Easing Middle East worries will be a positive factor for the markets |
- US refraining from retaliating to Iran’s attacks on US facilities in Iraq shows much needed restraint
|
| FPI selling in debt could be a concern for markets at Rs.3200 cr |
- FPI selling in debt was largely driven by risk-off selling due to volatile rupee and is normally not a good sign
|
| Rally in mid caps by 1.24% and small caps by 3.26% is good |
- This should be indicative of a gradual broadening of the rally in the markets overall
|
| Phase 1 of trade deal expected to be signed on January 15 |
- If the phase 1 deal happens, it will be a big boost for growth sentiments and demand for metal stocks
|
| Bellwether quarterly results could set the tone for the week |
- Results of TCS, HDFC Bank, Reliance, HCL Tech and Wipro could set the tone for the market indices
|
| GRMs of Reliance Industries in the December quarter will be the key |
- Market reaction will depend on whether the RIL GRMs are able to do better than $10.50/bbl as is expected
|
| December inflation data will be closely watched on Monday |
- With IIP coming in positive, a lower than 5.54% inflation will be seen as positive by the markets
|
| Oil and rupee could hold the key to short term market reaction |
- Brent crude fall from $70/bbl and the INR bounce from 72/$ could be the critical levels for the week
|
| Trade data will also be announced during the week |
- Faster fall in imports should be positive, especially with forex reserves crossing $461 billion this week
|
| Pre budget hints from the government will be watched |
- Markets will be looking at hints on tax cuts, LTCG tax treatment and fiscal deficit, ahead of the budget
|
| Tensions between the US and Iran will hold the key to Middle East |
- The absence of any provocation from either side will help allay the geopolitical fears in the Middle East
|
| Data heavy on the US macro data front will be crucial |
- Key data points for the week include inflation, retail sales, jobless claims, IIP and Baker Hughes rig count
|
| Government decision to ease coal mine licenses will be a positive |
- This will be a boost for coal supplies and will be a value enhancer for power stocks during the week
|
