Investors will closely monitor quarterly earnings reports alongside manufacturing, composite, and services data for October
Indian manufacturers registered softer increases in new business and output during August
The HSBC final India Manufacturing Purchasing Managers' Index, compiled by S&P Global, fell for a second month in August, dropping to 57.5 from July's 58.1
Pace of expansion remains sharp and indicates strong demand and favourable market conditions, HSBC survey
The flash services PMI index rose to 60.4 this month from 60.3 in July, while a preliminary manufacturing PMI showed strong growth, albeit slightly weaker than last month
However, international sales expanded at the fastest pace in over 13 years, while job creation remained robust, and selling prices saw the steepest increase since October 2013
It was a broadbased downturn in the euro zone while a slump in China's manufacturing activity suppressed its Asian neighbours
A figure above 50 in the index denotes expansion and that below signifies contraction
But the sector remains in expansionary territory in May. Manufacturing employment rose to one of the greatest extents seen since data collection started in March 2005
The HSBC final India Manufacturing Purchasing Managers' Index, compiled by S&P Global, dipped to 57.5 in May from April's 58.8, below a preliminary estimate of 58.4
Trading in the equity market will largely depend on two major events this week - general elections result and the RBI interest rate decision - analysts said, adding that the benchmark indices may rally on Monday on exit polls' prediction of a massive win for the BJP-led NDA and strong GDP data. Exit polls on Saturday predicted that Prime Minister Narendra Modi will retain power for a third straight term, with the NDA expected to win a big majority in the polls. Counting of votes will take place on June 4. "All eyes are now on the most significant event of the past five years the outcome of the Lok Sabha elections, scheduled for Tuesday. Before that, market participants will react to the exit polls on Monday. "The market is approaching the event with caution, and the positive surprise from exit polls can lead to a rally as majority of the exit polls are giving 350+ seats to the NDA. Conversely, a negative surprise from actual results might trigger a knee-jerk reaction in the market,
Driven by robust demand in both manufacturing and service sectors, PMI in April climbed to 62.2 from March's final reading of 61.8
The manufacturing PMI has remained above the 50-mark for more than 30 consecutive months
HSBC Flash India Composite PMI (Purchasing Managers' Index) Output Index rises to 61.3
India's HSBC India Manufacturing PMI came in at 56.9 in February, the fastest since October last year when it was 55.5
That bolstered the view for the coming 12 months with optimism among manufacturers at the highest since December 2022
The export index may have been affected by the Lunar New Year which will fall on Feb. 10 this year, as factories and workers geared up for the pre-holiday shipment of goods
That put the index above the 50-mark that separates expansion from contraction for the 30th consecutive month
Despite the decline, the December figure marked 30 months of the index remaining above 50. A survey print above 50 indicates manufacturing expansion, and below that, contraction
The survey also notes that there was a substantial increase in the overall levels of new work received by Indian goods producers in November