Next set of Q4 FY16 earnings, progress of monsoon along with election poll outcome will dictate market trend this week
Markets extended gains for the fourth consecutive day tracking gains in banks, capital goods and oil and gas majors.
Capital inflows continued to aid the rupee's rise, although a strong dollar overseas capped the gains.
About 1,556 shares have advanced, 1,211 shares declined, and 182 shares are unchanged.
Food prices probably fueled a sharp rise in India's retail inflation in December after the record low struck the previous month.
India's manufacturing sector activity contracted for the third straight month in October amid falling levels of production and new orders, as the business climate within the country remained tough, an HSBC survey said on Friday.
In April, the World Bank had projected India's GDP would grow at 6.1 per cent in the current financial year and at 6.7 per cent the following year.
Standard Chartered on Friday lowered India's growth forecast for the current financial year to 4.7 per cent from earlier 5.5 per cent, citing "upside risks" to inflation and fiscal deficit.
n the broader market, BSE Midcap and Smallcap indices are trading higher by 0.3% each.
According to bankers and economists, there is room for further rate cut by the RBI as retail and wholesale inflation rates have remained benign.
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As on Monday, the prices of many vegetables had fallen as much as 50% compared with those a month before, due to increased supply, following the arrival of winter crops in the markets.
The RBI has targeted 6 percent inflation by January 2016
The country's near-term outlook hinged on a benign inflation trajectory, uptick in industrial activity and falling crude oil prices
As inflation rate is near the upper limit of the comfort zone, experts rule out rate cuts anytime soon
The rupee appreciation will most likely lead to lower inflation and less ambiguity.
The new Land Acquisition Act to provide just and fair compensation to farmers came into force from January 1, 2014.
The government has taken a number of steps to stem the depreciation of rupee including moderation in demand of non-essential imports and enhancing supply of capital flows, Finance Minister P Chidambaram said.
Investors' confidence has been revived in recent weeks on the likelihood the elections will usher in a new government.
With crude and commodity prices ebbing and the twin deficits under check, the Reserve Bank should have cut the key policy rate to push investments and boost economic growth, India Inc said.
Industrial ouput, however, was seen falling 0.6 per cent in January
As investors try to second-guess the US Fed, corporate and election results could have a bearing on market direction
'It appears the growth rate could be around six per cent'.
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Indian economy is seeing signs of upward momentum helped by gradual reduction of inflationary pressure though the country's growth still remains "relatively weak", according to Paris-based think tank OECD.
Technically, the Indian economy is on road to recovery.
RBI Governor would like to wait till Budget before taking any action on rate front.
India Inc has an impressive report card to show for the first quarter of this financial year.
The Consumer Price Index hit the lowest in six months in March at 4.83 per cent.
Repo rate may well end 2013 at 8 per cent, where it had begun the year.
'India's economy is growing faster compared to the developed economies of the world.' 'More importantly, it is growing faster compared to most of the developing economies.' 'The monsoon is not the only thing that drives the rural economy and certainly not the national economy.' 'It is too simplistic to reduce everything to the monsoon.'
The RBI may grant licences for setting up small finance and payment banks by April 2015.
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According to the global financial services major, the primary concern for the RBI at the moment has to be anchoring elevated inflation expectations and stabilising the currency, which could face renewed pressures if the Fed begins QE tapering this week, as widely expected.
The market believes there will soon be another offer to buy the bonds.
The BSE Midcap and Smallcap indices underperformed the largecaps and ended over 1% lower.
Consumer prices were forecast to have risen 10.00 per cent annually last month, barely changed from the 10.09 per cent clocked in October.
Experts feel oil prices will remain volatile with an upward bias.
Indian Economy poised for growth, say experts.
In September, the headline inflation accelerated to a seven-month high of 6.46 per cent, while the retail inflation quickened to 9.84 per cent.
Food prices are also expected to move up due to the poor monsoons.
The Sensex and the Nifty witnessed biggest one day loss in percentage terms since June 24
Attributing price rise to global factors and higher Minimum Support Price (MSP), Prime Minister Manmohan Singh on Wednesday said the government has tried to protect the interest of poor people by maintaining supply through the PDS system.
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