Stock market: Focus on RBI &FII

 

Nifty may head towards 17600

Posted by Nilesh waghela

Indian shares were muted on Monday, the first trading session of the financial year, amid rising inflation concerns due to a surge in oil prices after a surprise output cut by the OPEC.

However as concerns around the global financial crisis is subsided, most of technical analysts opined that crude may keep equity market volatile in a holiday-shortened week, but Nifty may head towards 17600 in coming days.

The focus will be on RBI policy and also on foreign portfolio investors’ trading activity, they added. Equity markets will remain closed on Tuesday for ‘Mahavir Jayanti’ and on Friday on account of ‘Good Friday’.

'Investment by FIIs, who are turning out to be small net buyers, and DIIs will be monitored. The market will also have an eye on the RBI MPC meeting. The RBI policy outcome is scheduled for April 6,” said Senior Technical Analyst Ltd.

This week is also a holiday-shortened one and scheduled events and data would keep participants busy. On the macroeconomic front, S&P global manufacturing PMI and services PMI data are scheduled on April 3 and April 5. The key highlight would be the outcome of the MPC policy review meet on April 6.

Apart from domestic factors, global cues and trends of foreign flows will also be in focus.

Markets in Asia, Europe and the US ended in positive territory on Friday as concerns about further banking turmoil receded.