Market Perspective for Diwali 2012 Week - Eastern Financiers Ltd

The auspicious week ahead that is set to mark the Muhurat Trading on Tuesday on account of festival of lights, Diwali is set to witness an abridged trading week that is shut on Wednesday on account of Diwali-Balipratipada. The propitious week however is anticipated to bring in optimism and joy amid traders. The Special Muhurat trading that is to mark the beginning of the New Samvat 2069 is scheduled from 3.45-5 PM on 13th November.

The truncated week is to be paved by the another batch of second quarter earnings, WPI Inflation for the month of October and the Industrial growth data for the month of September 2012. The IIP is to be announced on the first day of the week, 12th November and the WPI inflation is to be declared on 14th November. Movement in the Indian currency and the foreign investors activity shall be in investors watch list.

Industrial production stood at 2.66% for the prior month of August 2012. However, the six core data that has almost 38% weightage in the IIP Index, more than doubled to seven months high of 5.1% on good production in coal, cement and petroleum refinery sectors for the month of September 2012. The growth in the eight infrastructure industries was 2.5% in September 2011.

The data on WPI inflation for October 2012 that is to be unveiled on Wednesday stood at provisional 7.81% for the month of September 2012, higher than 7.55% in August 2012.

Host of companies are slated to declare their numbers next week which primarily includes GMR Infra, DLF, JP Associates, Koutons Retail and OMDC among others. Investors and analysts will closely watch the management commentary that would accompany the earnings which could cause revision in the future earnings forecast of the company for the current year and the next year.

On global front, China's week-long conference to usher in the country's next leaders and policies kicked off on 8 November 2012.

Source : Equity Bulls

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