IT Stocks Outlook for the week – 08 to 12.06.2015 (Rupee movement eyed for Tech companies)
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Indian Markets Outlook for the week – 08.Jun.2015 to 12.Jun.2015 (Global events to direct market next week)
( www.rupeedesk.in )
The equity market is seen weak in the next week, too, with traders likely to take cues from the advance of the Southwest monsoon and debt negotiations between Greece and its lenders. The Southwest monsoon hit the coast of Kerala with a four-day delay and the India Meteorological Department stated that conditions are favourable for its advance to states such as Karnataka, Andhra Pradesh and Tamil Nadu.
Greece deferred repaying its loan to the International Monetary Fund to the end of the month and has refused to accept the cash-for-reforms deal proposed by its lenders. Traders will also take cues from the global sovereign bond market. The volatility in sovereign bonds in US, Europe and Asia is likely to continue in the next week until Greece reaches a resolution with its lenders. It is obvious that the Greece worries would continue to boil in the background. On Monday, the market will also react to the US jobs data that will be released overnight.
Some are of the opinion that foreign institutional investors could direct funds from China to India owing to volatility in Chinese equities, but gains are unlikely to be sustainable. The market could bounce back in the next week, but traders are likely to sell on every rise.
While the overall sentiment in the market remains weak, traders remain bullish on the information technology sector as they expect the rupee to depreciate. IT stocks may gain as the rupee is likely to cross the 64-rupee level (against the dollar) in the next week. Reliance Industries will also be in focus in the next week as the company will hold its Annual General Meeting on Friday June 12.
( www.rupeedesk.in )
( www.rupeedesk.in )