Delhi poll results to drive mkts; Q3 earnings, eco data eyed

Stock markets on Monday would react to exit polls that are predicting an AAP win in the Delhi Assembly elections and trading this week is expected to be volatile, say market experts.

All the exit polls have predicted a majority for the AAP with one of them giving it as high as 53 seats in the 70-member House.

The official results, which will be released on Tuesday, may have ramifications on the national political landscape. Besides, stock market participants would take cues from a raft of macro economic data this week, third quarter results from blue-chips like SBI, ONGC and CIL, market experts added.

Investment trend by overseas investors, movement of the rupee against the US dollar and crude oil prices would also influence trading.

"Results of Delhi Assembly elections, Q3 results, domestic and global macro economic data and trend in global markets will determine the trend on bourses this week. Considering the events, volatility will tend to remain quite high," said Vijay Singhania, founder of brokerage Trade Smart Online.

On Monday the government will release advance estimates of GDP, said Jayant Manglik, President-retail distribution, Religare Securities.

Industrial production (IIP) data for December 2014 and data for inflation based on combined consumer price index (CPI) for January 2015 would come out on Thursday.

Among prominent quarterly results this week are Larsen & Toubro, DLF, Bhel, Cipla, Coal India, Hindalco Industries, ONGC, Mahindra & Mahindra and State Bank of India.

"Movement of index in near term will depend on upcoming CPI and IIP numbers scheduled on February 12 and also Q3 results of large-cap companies like SBI, M&M, Cipla, Bhel," said Vivek Gupta, CMT - Director Research, CapitalVia Global Research.

In global cues, Indian markets may react to the US jobs data that said US economy added a robust 257,000 new jobs in January as the unemployment rate for the month stood at 5.7 per cent.

On Wednesday, the euro area finance ministers will meet to discuss Greece's debt proposals while Friday will see release of fourth quarter GDP figures for the euro-area.

Over the past week, the BSE benchmark Sensex fell by 465 points to 28,717.91 in its worst weekly show in nearly 2 months.

The 50-unit CNX Nifty slipped 147.85 points, or 1.68 per cent to end at 8,661.05. The NSE benchmark index has dipped 174.55 points, or 1.98 per cent, in the last two weeks.