The major factors shaping the market direction today will be corporate results, global cues, and update on monsoon.
As many as 54 companies are scheduled to declare their June quarter results today. Among them is the country's largest carmaker Maruti Suzuki which, according to analysts, may post weak numbers due to the slowdown in demand and plummeting volumes which would offset the gains due to higher net realization.
As for Bajaj Auto, although the company has reported a rise in volumes in an otherwise subdued quarter for auto firms, analysts expect the inferior product mix and higher discounting to drag down the company's profit.
You can read more on what analysts expect from both the results on our website Business Standard.com
Investors will also react to the major results announced yesterday after market hours.
Tata Motors did far worse than expected in the June quarter, with a consolidated loss of Rs 3,680 crore. A high cost base and negative operating leverage, coupled with rising levels of competitive intensity across markets, led to the disappointment.
Today, agri sector stocks may also be in focus after a weather department official yesterday said India is likely to get above-average rainfall in the next two weeks.
On the other hand, Bank of Baroda is back in black after reporting a net profit of Rs 710 crore in its June quarter on account of higher non-interest income.
Yesterday, the S&P BSE Sensex closed at 37,831 level, down 0.04 per cent. The broader Nifty50, too, shed 0.17 per cent to settle at 11,252 levels.
Now, let's see how the global markets have fared overnight and they mean for Sensex and Nifty.
Wall Street fell on Thursday on weak corporate results and after the ECB failed to cut rates. Asian share prices opened a tad lower on Friday. MSCI's broadest index of Asia-Pacific shares outside Japan was down 0.15 per cent while Japan's Nikkei dipped 0.3 per cent.
SGX Nifty is indicating a negative start for the domestic indices.
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