Investors' anxiety may increase as the prolonged wait for much touted reform measures gathers further pace next week, ahead of RBI's policy meeting on September 17.
Stock markets are keenly watching if the government can push forward FDI and fuel price hike via executive decisions as the monsoon session of the grid-locked parliament ends on Friday.
Markets also await key macroeconomic data next week. July industrial output data to be released on September 12 and August headline inflation on September 14.
Data points will also be key ahead of RBI's monetary policy review on September 17.
Markets expect August inflation at around 7 percent and IIP growth to be flat to slightly negative.
Hopes of Fed launching another bond-buying programme got a boost after ECB's action. Investors will look to U.S. jobs data due at 1230 GMT for further hints.
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