 "Markets likely to open higher; Jan CPI, Dec IIP in focus")
Markets are likely to open higher tracking gains in Asia led by Japan while key economic data released late Friday will be in focus.
At 8:40am, the early indicator SGX Nifty was up 1.4% at 7,075.
Foreign Institutional Investors were net sellers in equities to the tune of Rs 398 crore on Friday, as per provisional stock exchange data.
Markets are likely to react to the Consumer Price Inflation for January and Industrial Production data for December released on Friday. Index of Industrial Production (IIP) contracted an annual 1.3 per cent in December. Meanwhile, annual consumer price inflation edged up to a 17-month high of 5.69 per cent in January, driven up by higher food costs, according to a government data showed on Friday.
Further, data on inflation based on the Wholesale Price Index (WPI) for January is due to be released by the government later today.
GLOBAL MARKETS
Most Asian markets resumed trading today post the Lunar Year holidays. Meanwhile, shares in China opened lower with the benchmark Shanghai Composite was down 1.7%. However, shares in Japan rebounded today after sharp losses in the previous week. The Nikkei was up 4.9% while Hang Seng rose 2% and Straits Times ended up 1.8%.
US stocks ended higher on Friday with the S&P 500 ending a five-day losing streak with rebound in energy and financial shares leading the gains. The Dow Jones industrial average ended up 2% at 15,974, the S&P 500 gained nearly 2% to close at 1,865 and the Nasdaq Composite ended 1.7% higher at 4,337.51.
STOCKS IN FOCUS
Oil marketing companies are likely to firm on the back of encouraging third quarter earnings.
Financial Technologies may witness selling pressure after the government ordered the merger of National Spot Exchange with Financial Technologies.
Bank of Baroda could witness a bounce back after the management said that all non-performing assets were accounted for and it could return to profitability next fiscal.
UCO Bank reported a net loss of Rs 1,497 crore in the October-December quarter of FY16 against a net profit Rs 303.59 crore in the corresponding quarter last year.
Gross non-performing assets stood at 10.98 per cent in the last quarter, against 6.50 per cent in the same period last year. The net NPA of was 6.51 per cent, against 4.25 per cent a year ago.
Axis Bank may see some action on report that it is planning to raise $500 million (approximately Rs 3,350 crore) through Tier-II capital bonds to shore up its capital base.
Finolex Industries may firm up after it reported a net profit of Rs 42.97 crore for the third quarter ended December 31, on account of lower expenses. The company had posted a net loss of Rs 43.81 crore in the same quarter of the previous financial year.
Sun Pharma may firm up after higher ‘other income’, lower tax outgo, and improved performance of its US subsidiary Taro helped Sun Pharmaceutical post over three times growth in net profit in Q3FY16. Net profit rose to Rs 1,416 crore from Rs 395 crore in same period last year.
Ceat may firm up after net profit was higher by 27% at the consolidated level to Rs 113 crore for the quarter ended December 31 as against Rs 89 crore posted in the same quarter last year.
