What to expect from markets on Monday

Mumbai: In domestic markets, last week had been a busy one and new developments kept investors on their toes as the Monetary Policy Committee announced its maintained stance and hiked the repo rate to 35 basis points instead of 50 bps.

The global markets are expecting an aggressive hike in policy rates by Federal Reserve next week. If the Fed hike its monetary policy rates, the global markets are bound to react to the policy change and eventually the country's markets, in a way, will be influenced by the hike. In another development, the US inflation data will also be revealed next week and Wall Street is also anticipating its outcome.

The crude oil prices will also be monitored by the investors. After following the cues from the Reserve Bank of India and the global markets, the domestic stocks were either rising or declining and have been mostly volatile last week. Despite that, last week saw that markets snapped its four-day losing run and ended with gains. BSE Sensex rose 160 points to 62,570.68 while NSE Nifty was up 48 points to 18,609.35 levels.

On Friday, Sensex ended with 390 points down, with heavy selling in IT and energy stocks.

Rising crude oil prices and relentless foreign capital outflows further weighed on sentiment, traders said.
National Stock Exchange's broad-based Nifty declined 112.75 points or 0.61 per cent to 18,496.60.

Some most active stocks in NSE were Nestle, Sun Pharma, ITC, Dr Reddy and Titan which all gained during the session. Some of the laggards were HCL Tech, Tech Mahindra, TCS, Wipro and Infosys.

On Friday, while with BSE 30-share Sensex, the most active shares which ended with gains were Yes Bank, Paytm, MTNL, Jubilant Pharma and Central Bank. Other stocks which ended in the red included J and K Bank, BCG, Vakrangee, Indian Bank and Unichem Lab.

On Friday, the rupee gained by 10 paise at 82.28 versus the US dollar on Friday, tracking the weakening of the greenback in the overseas market. Traders said investors awaited the outcome of a slew of central bank meetings next week for additional clues on the pace of rate hikes.