Infosys' Q4 results to set the tone; inflation data eyed

IT bellwether Infosys' Q4 March 2012 results today, 13 April 2012 will set the tone for the market. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicates a gain of 46.50 points at the opening bell. Asian stocks gained.

The government will unveil data on inflation based on the wholesale price index (WPI) for March 2012 today, 13 April 2012. Inflation based on the wholesale price index (WPI) is estimated at 6.7% in March 2012, according to median estimate of a poll of economists carried out by Capital Market. WPI inflation stood at 6.95% (provisional) for the month of February 2012.



Amid a volatile trading session, key benchmark indices managed to edge higher on Thursday, 12 April 2012 on speculation that the Reserve Bank of India (RBI) will cut its key policy rate at its monetary policy review early next week to spur economic growth after the latest data showed that industrial production grew by lower-than-expected 4.1% in February 2012. The BSE Sensex rose 133.22 points or 0.77% to 17,332.62, its highest closing level since 4 April 2012.

Foreign institutional investors (FIIs) bought shares worth Rs 135.98 crore on Thursday, 12 April 2012, as per provisional data from the stock exchanges. FIIs had sold shares worth Rs 1043.86 crore in three trading sessions from 9 to 11 April 2012.

Data on inflation for March 2012 could provide cues on the central bank's likely policy stance at the monetary policy review for 2012-13 due on 17 April 2012.

Industrial production rose by a smaller-than-expected 4.1% in February 2012, with the government also sharply revising downward the industrial production growth for January 2012 citing wrong sugar output data. Industrial production growth for January was revised downward to 1.14% from the 6.8% expansion reported earlier.

Manufacturing output, which has a 75.5% weight in the index of industrial production, rose 4% from a year earlier in February. It had risen a revised 1.4% on year in January compared with 8.5% reported earlier. Electricity production increased 8% from a year earlier in February while capital goods output rose 10.6%.

The next major trigger for the market is Q4 March 2012 and year ending March 2012 (FY 2012) earnings. Investors will focus on the guidance provided by the management for the year ending March 2013 (FY 2013) to gauge the earnings outlook.

Private sector bank HDFC Bank unveils FY 2012 results on 18 April 2012. HCL Tech unveils Q3 March 2012 results on the same day. ACC and Ambuja Cements unveil quarterly results on 19 April 2012. Cairn India reports FY 2012 results on 20 April 2012. TCS unveils FY 2012 results on 23 April 2012. Wipro unveils Q4 results on 25 April 2012.

ICICI Bank unveils FY 2012 results on 27 April 2012. Axis Bank and Siemens announces quarterly results on the same day. Maruti Suzuki India unveils FY 2012 results on 28 April 2012. FMCG giant Hindustan Lever unveils FY 2012 results on 1 May 2012. Housing finance major HDFC announces FY 2012 results on 7 May 2012. Ranbaxy Laboratories unveils its Q1 March 2012 results on 9 May 2012.

Asian shares rose on Friday on better-than-expected demand for Italian sovereign debt, shrugging off a rocket launch by North Korea before the market open that South Korean officials said had failed. Key benchmark indices in China, Indonesia, Hong Kong, Japan, Taiwan, South Korea and Singapore rose by between 0.16% to 1.43%.

North Korea's much hyped long-range rocket apparently crashed into the sea a few minutes after launch on Friday, dealing a blow to the prestige of the reclusive state.

China's economy grew at its weakest pace in nearly three years in the first quarter, with the annual rate of expansion slowing more than expected to 8.1% from 8.9% in the previous three months, the National Bureau of Statistics said on Friday.

U.S. stocks rose on Thursday after the New York Federal Reserve's president reiterated that interest rates will likely remain low and traders took an optimistic view of global growth, shrugging off a soft domestic jobs market report. New applications for jobless benefits last week saw their biggest weekly rise in nearly a year and were higher than expected. Initial jobless claims rose by 13,000 to a seasonally adjusted 380,000, the Labor Department said. The prior week's level of claims was revised upward.

U.S. wholesale prices were unchanged in March as gasoline costs declined, the department said in a separate report. Meanwhile, the U.S. trade deficit registered its biggest contraction in nearly three years in February. The deficit in international trade of goods and services fell 12.4% to $46.03 billion, the Commerce Department said, compared with expectations of $52.2 billion. January's result was revised down slightly.