|
| Cautiousness, uncertainty to prevail this week |
| Press Trust Of India / Mumbai Oct 05, 2009, 00:35 IST |
|
Dalal Street is likely to witness some uncertainty this week, as investors are expected to trade cautiously at higher levels and take guidance from IT major Infosys Technologies, which is scheduled to announce its second quarter results this Friday.
Analysts believe the market sentiment would remain positive but investors may exercise caution ahead of the second quarter results of corporate India, starting with Infosys Technologies. “The market is expected to trade cautiously ahead of the earnings season and the second quarter results of IT giant Infosys Technologies, on October 9, may decide the market movement,” SMC Global vice-president Rajesh Jain said.
Stock market across the world are trading under pressure at higher levels and at this point of time, some consolidation is expected, coupled with selling pressure. Over the week, the BSE Sensex gained 281.64 points, or nearly 1.67 per cent and closed at 17,134.55 points, thanks to strong foreign institutional inflow.
During the last week, foreign institutional investors have put in over Rs 4,820.8 crore into Indian equities. “Profit booking is likely to creep up this week and some consolidation may happen. However, in the later part of the week stock-specific activity is likely to emerge with the start of second quarter corporate results,” experts say.
On the global front, the US market is expected to open in the negative terrain this week, with the US unemployment rate shooting up to a 26-year high of 9.8 per cent in September.
The country saw 263,000 job losses last month. On Friday, the US markets had ended in the red, with the Dow Jones Industrial Average losing 21.61 points to 9,487.67 points. “Market is likely to remain weak and is expected to fall, as selling pressure is likely to emerge. Besides, this week, despite positive hopes, market is unlikely to rally upwards as it has already discounted expectations of strong quarterly results during advance tax numbers,” Geojit BNP Paribas Financial Services Research Head Alex Mathew said.
“The benchmark index Sensex had crossed the psychological levels of 17,000 points last week and has been able to sustain that level, but the market fundamentals have still to catch up the rally,” Jain added.
|
|
|
|
|
|
|
|
|
|
 Read Business news in |  |
|
|
|
|
|
|
Advertisements |
|
|
|
|
|
|
|
|
|
|
Content Guide
