Rbi Rate Decision, Auto Sales And Earnings Likely To Influence Market

A policy decision from the RBI, a slew of leading corporate earnings and auto sales data will take center stage on Dalal Street during the week of Aug. 1. State Bank of India (SBI), ITC, Mahindra & Mahindra, Titan GAIL, IndiGo, Britannia and Godrej Properties will report their quarterly results during the week.

Movement in the forex market will remain on investors’ radar after the rupee clocked its biggest gain in a year to settle at 79.25 on Friday.

The week that was

Indian stock benchmarks Sensex and Nifty rose nearly three percent last week – a second consecutive weekly gain. Globally, a US rate hike along expected lines and mild Fed commentary sent positive signals to equity markets.

Financial IT stocks and metal stocks were the biggest boost for headline indices.

A total of 38 stocks in the Nifty50 basket saw weekly gains.

Bajaj Finance, Bajaj Finserv, SBI Life, IndusInd and Asian Paints were also among the top winners.

Broader markets also strengthened this week.

Index Weekly change (%)
Handy mid cap 100 2
Handy Small cap 100 0.5

The road ahead of us

Analysts see the next target for the Nifty50 at 17,400, after the bulls made it decisively past 16,800.

“All sectors are contributing to the move. We believe that the focus should still be on the top performers rather than expect a turnaround in the reported names. We reiterate our preference for auto, FMCG, banking and financials and remain selective in other industries,” said Ajit Mishra, VP-Research at Religare Broking.

Participants can look for buying opportunities on dips, he said.

Here are the key factors and events likely to affect Dalal Street during the week of August 1:

DOMESTIC INSTRUCTIONS

Corporate Profits

Date Company
Aug 1 ITC, Zomato, UPL, Thyrocare, Escorts, Barbeque-Nation, TBZ
Aug 2 Bosch, Adani Green, Deepak Nitriet, Godrej Properties, Brigade Enterprises, Indus Towers, Lemontree, Voltas
Aug 3 Adani Power, Adani Transmission, InterGlobe Aviation, Lupine, Vodafone Idea, Tata Coffee, Godrej Consumer Products, Inox Leisure, Birlasoft, Devyani International, Bliss GVS Pharma
Aug 4 GAIL, Adani Enterprises, Adani Total, BHEL, Britannia, Dabur, Berger Paints, BEML, Dalmia Bharat, Kalpatru Power, Spandana Sphoorty, Ujjivan Financial Services, HCC, Krsnaa, LIC Housing Finance, Manappuram, Max India
Aug 5 Mahindra & Mahindra, NMDC, Nykaa, Paytm, Titan, Uco Bank, Indigo Paints, CAMS, Fortis Healthcare
Aug 6 SBI, Marico, Amara Raja, Indian Overseas Bank

FII activity

The flow of money from institutional investors will continue to be an eye on Dalal Street.

GLOBAL CUES

Date U.S Europe Asia
Aug 1 Production PMI Data Germany retail sales, France manufacturing PMI data, Eurozone unemployment data Hong Kong GDP data, PMI data for manufacturing in China and Japan
Aug 2 Fed official Charles Evans speaks Hong Kong Retail Sales Data
Aug 3 Crude Oil Stocks Data France and Eurozone services PMI data, Eurozone retail sales data China and Japan services PMI data
Aug 4 Data on unemployment claims, Fed Loretta Mester speaks ECB board member Frank Elderson speaks
Aug 5 Unemployment Rates Data industrial production Germany and France

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