Market seen opening soft; March inflation data eyed

Trading for the week is likely to begin on a subdued note on negative Asian cues. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicates a fall of 23 points at the opening bell. The government will unveil data on inflation based on the wholesale price index (WPI) for March 2012 today, 16 April 2012. WPI inflation stood at 6.95% (provisional) for the month of February 2012.

Coal India may decline on reports the UK-based hedge fund The Children's Investment Fund (TCI) would initiate a legal action against state-run Coal India within a week for failing to protect the interest of minority shareholders.

Aviation stocks may advance after state-run oil marketing firms on Sunday slashed jet fuel prices by a marginal Rs 170 per kilolitre (kl).



The Reserve Bank of India's (RBI) monetary policy review for 2012-13 is due on 17 April 2012. Investors are hoping that RBI may cut its key policy rate to spur economic growth after the latest data showed that industrial production grew by lower-than-expected 4.1% in February 2012.

After raising interest rates 13 times since early 2010, the central bank indicated in December its next move would be a reduction. Since January 2012, RBI slashed the cash reserve ratio (CRR) - the percentage of deposits that commercial banks must keep with central bank - by a combined 125 basis points, but has left rates on hold.

Foreign institutional investors (FIIs) bought shares worth Rs 137.25 crore on Friday, 13 April 2012, as per provisional data from the stock exchanges.

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 Technologies 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 unveils 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 will declare its Q1 March 2012 results on 9 May 2012.

Key benchmark indices fell to their lowest level in two weeks on Friday, 13 April 2012, as weak Q4 earnings by IT bellwether Infosys and subdued European stocks dampened sentiment. The BSE Sensex was down 238.11 points or 1.37% to 17,094.51, its lowest closing level since 29 March 2012.

Asian markets edged lower on Monday on renewed concerns about Europe's debt crisis. Key benchmark indices in China, Japan, Indonesia, Singapore, South Korea, Hong Kong and Taiwan were down by between 0.03% to 1.45%.

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 fell sharply Friday, 13 April 2012 after disappointing economic data from China and rising borrowing costs in Spain damped sentiment. Concerns that Europe's debt crisis was flaring up again added to selling pressure. The Dow Jones Industrial Average declined 136.99 points, or 1.05%, to 12849.59, while the S&P 500 lost 17.31 points, or 1.25%, to 1370.26. The Nasdaq Composite shed 44.22 points, or 1.45%, to 3011.33