Markets weekahead: RBI policy, earnings key for shares

Fri Jan 25, 2013 6:13pm IST

A man talks on his mobile phone as he walks past the logo of the Reserve Bank of India (RBI) inside its head office in Mumbai June 14, 2010. REUTERS/Rupak De Chowdhuri/Files

A man talks on his mobile phone as he walks past the logo of the Reserve Bank of India (RBI) inside its head office in Mumbai June 14, 2010.

Credit: Reuters/Rupak De Chowdhuri/Files

Related Topics

Stocks

   

Reuters Market Eye - The Reserve Bank of India's policy review on Tuesday and earnings of blue-chip companies will be the key factors for stocks next week.

Stock investors are widely anticipating a 25 basis point rate cut when the RBI sets policy on Tuesday, to be followed by another 25 bps cut in March, making the guidance provided by the central bank as important as the rate decision itself. (Read preview story here)

As a result, stocks could see a steep selloff if the RBI surprises markets by keeping key lending rate unchanged or by signalling a reduced scope of rate cuts ahead.

ICICI Bank Ltd (ICBK.NS), Bharti Airtel Ltd (BRTI.NS), and Bharat Heavy Electricals Ltd (BHEL.NS) are shaping up as the highlights among companies reporting October-December results.

Volatility is also expected to increase as Thursday marks the expiry of January derivatives contracts.

FACTORS TO WATCH

Monday: RBI macro-economic report (5 p.m.); JSW Steel Ltd (JSTL.NS) earnings

Tuesday: RBI's review (decision at 11 a.m.); Reliance Capital Ltd RCAP.NS and Sterlite Industries Ltd STRL.NS earnings

Thursday.: ICICI Bank, Lupin Ltd (LUPN.NS) and Bharti Airtel's earnings; December fiscal deficit data; derivatives expiry

Friday: BHEL and IDFC Ltd (IDFC.NS) earnings

(Reporting by Abhishek Vishnoi)

FILED UNDER:

Reuters Showcase

FMC-SEBI Merger

FMC-SEBI Merger

Regulatory shakeup could revive commodities markets   Full Article 

Market Eye

Market Eye

Sensex, Nifty end higher after bumpy budget-day trading  Full Article 

Tax Incentives

Tax Incentives

Budget woos foreign investors  Full Article 

Excise Duty

Excise Duty

Cigarette makers fall after budget hikes excise duty  Full Article 

Welcoming the Budget

Welcoming the Budget

India Inc cheers corporate tax cut, simpler rules  Full Article 

Gold Price

Gold Price

Gold prices to rise after budget keeps import duty high  Full Article 

Fuel Prices

Fuel Prices

IOC to raise diesel, petrol prices from Sunday  Full Article 

Moody's on Budget

Moody's on Budget

Budget "credit neutral" from a ratings perspective - Moody's   Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage