Bourses may witness action in coming week

Experts expect market to go up further

Bourses may witness action in coming week

“Stock market may witness some action with an added dose of volatility due to the F&O expiry. With July 1 falling on the last trading day, the markets will also closely watch data on auto and cement sales, besides economic statistics on trade and manufacturing,” IIFL India Private Clients Head (Research) Amar Ambani said.

During the past week, the BSE key index Sensex went up by 370.15 points, or 2 per cent to end the week at 18,240.68. The Sensex surged by over 500 points on Friday on the back of sharp dip in global crude oil prices and firm overseas cues.

Analysts opined that global events will continue to have some bearing on local sentiment. Greece and the US economy will remain in focus and the Chinese manufacturing PMI data will also be on the investors’ radar.

The government, on Friday, decided to increase diesel price by Rs 3 per litre, domestic LPG by Rs 50 per cylinder and kerosene by Rs 2 per litre, while slashing customs and excise duties on crude oil and products. Market analysts said that government policy on fuel price hike will influence the market trend, and added that the hike in diesel and LPG prices will be well received by the markets.

“We expect the rally may continue after the fall in crude oil price and recovery in the global market. Many frontline and mid-cap stocks are trading at an attractive valuation with a few weeks left to first quarter FY12 quarterly result announcement.

“Improvement in monsoon is also an important factor that will influence the market trend,” Motilal Oswal Securities Associate VP Senior Analyst (Technical - Equities) Parag Doctor said.

DH Newsletter Privacy Policy Get top news in your inbox daily
GET IT
Comments (+)