Market Next Week: Inflation data, Q4 earnings, Karnataka assembly polls among other factors for Street

The Indian markets will mainly be influenced by inflation/macroeconomic data, Q4 earnings, global cues, and Karnataka Assembly polls among other key factors in the coming week, according to analysts.

They also believe that other triggers such as foreign investors’ flow, the rupee’s movement against the US dollar, crude oil trend among other factors may also dictate the benchmark indices next week.

Market participants will be eyeing macroeconomic data viz. Index of Industrial Production (IIP) and Consumer Price Inflation (CPI) for cues on May 12, Ajit Mishra, VP - Technical Research, Religare Broking said, adding that the US inflation, which is scheduled on May 10, will also be on their radar.

On the Q4 earnings front, the analyst at Religare Broking said heavyweights such as Dr. Reddy, LT, Asian Paints, Eicher Motors, Cipla, HPCL and Tata Motors are some of the prominent names will announce their numbers during the next week.

In line with Mishra’s views, Arvinder Singh Nanda, Senior Vice President of Master Capital Services said factors such as RBI foreign exchange reserves report, Inflation data, Industrial production and manufacturing output data of India, and the ongoing earning season will continue to remain in focus.

Global cues, crude oil prices, and global macroeconomic data would drive the market in the coming week, the Senior Vice President of Master Capital Services also noted in his comment.

Similarly, Pravesh Gour, Senior Technical Analyst, Swastika Investmart also said that the March 2023 quarterly earnings season and Karnataka assembly elections will be in focus market next week.

The domestic markets settled almost unchanged in a volatile week amid mixed signals. Initially, the tone was positive, which further strengthened on the weekly expiry day. However, a sharp cut in the HDFC twins on the final session erased all the gains.

The benchmark indices – NSE Nifty50 and BSE Sensex – ended unchanged at 18,069 and 61,054.29 levels respectively. Meanwhile, sectoral indices traded mixed wherein auto, energy and FMCG posted decent gains while banking, realty and pharma settled lower.