InvestorQ : What are the major trading and investment cues for the stock market for the week commencing on 24 February 2020?
Chandralekha Desai made post

What are the major trading and investment cues for the stock market for the week commencing on 24 February 2020?

Answer
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Mitali Bhutta answered.
8 months ago


Markets have been clearly volatile in the last few weeks even as the Nifty has managed to hold above the 12,000 mark. Here are the major cues for the coming week.

· Early action on a revenue neutral telecom fund by the government would be a booster for the telecom stocks like Bharti and Vodafone Idea

· With the MPC minutes hinting at no immediate rate cuts due to high inflation, banks and financials could be pressured

· Big news for the week will be the third quarter GDP number after NCAR lowered FY20 GDP estimates to 4.9%. Market will hope for no negative surprises.

· Rupee and oil will be crucial. In fact, oil staying low will be positive for the rupee. That is hoping that OPEC / Russia does not announce supply cuts

· Coronavirus impact is far from over and is actually spreading. Persistent supply chain disruption will remain an overhang for Indian pharma and electronics

· Don’t miss out on Trump’s India visit. With trade deal unlikely, markets would prefer that Trump does not talk about Kashmir

· With more than Rs.67,000 crore of fresh NPAs due to farmer loans, PSU banks may come under renewed pressure during the week.

· Keep a watch on gold at $1650/oz. Gold is normally bad for emerging markets like India which largely rely on risk-on flows

· While core sector and auto numbers will come on Friday, the key event will be the G-20 finance ministers and central bankers meet to look for easing cues