Investors to monitor CPI data for July projected to show significant increase
Investors are closely monitoring the domestic CPI data for July, which is projected to show a significant increase due to rising food prices, says Vinod Nair, Head of Research at Geojit Financial Services.
Amid rising inflation concerns, investors are closely monitoring the domestic CPI data for July, which is projected to show a significant increase due to rising food prices, says Vinod Nair, Head of Research at Geojit Financial Services. The Indian market experienced bearishness during the week that focused on economic data as inflation concerns dented domestic sentiments, he said.
The week began with moderate gains, led by strong performances in the pharma and IT sectors. However, uncertainties surrounding economic data releases and the RBI's policy announcement hindered substantial moves.
Inflation worries resurfaced as the RBI raised their CPI forecast by 30 bps to 5.4 per cent, increasing the potential for a prolonged rate-cut trajectory. Additionally, the RBI's move to manage liquidity through the incremental CRR impacted banking sector sentiment, albeit with a limited effect as expected, he added.
Global markets faced volatility due to weak signals such as declining Chinese exports and the rating downgrade of US small and mid-sized banks. Despite lower-than-expected US CPI and better-than-anticipated UK GDP figures, global market sentiment remained subdued.
Rupak De, Senior Technical analyst at LKP Securities said in the short term, there's a possibility that the index might decline towards the 19,300 level. On the upside, there's a resistance level situated at 19,500.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
Retirement Planning: SIP+SWP combination; Rs 15,000 monthly SIP for 25 years and then Rs 1,52,000 monthly income for 30 years
Top Gold ETF vs Top Large Cap Mutual Fund 10-year Return Calculator: Which has given higher return on Rs 11 lakh investment; see calculations
Retirement Calculator: 40 years of age, Rs 50,000 monthly expenses; what should be retirement corpus and monthly investment
SBI 444-day FD vs Union Bank of India 333-day FD: Know maturity amount on Rs 4 lakh and Rs 8 lakh investments for general and senior citizens
EPF vs SIP vs PPF Calculator: Rs 12,000 monthly investment for 30 years; which can create highest retirement corpus
Home loan EMI vs Mutual Fund SIP Calculator: Rs 70 lakh home loan EMI for 20 years or SIP equal to EMI for 10 years; which can be easier route to buy home; know maths
03:37 PM IST