Earnings, Covid, macro data to guide market

MUMBAI: COVID-19 updates, financial results and macro-economic data will continue to steer stock markets in this holidayshortened week, say analysts.

Global trends are also expected to guide the market sentiment, they added. Equity markets would remain closed on Thursday for 'Id-Ul-Fitr'.

"This week, the trend in the market will be dictated by developments in the COVID spread, upcoming result outcomes and global cues. Industrial production data for March and inflation data for the month of April are expected to be released this week," said Vinod Nair, Head of Research at Geojit Financial Services.

Financial results of Asian Paints, Jindal Steel & Power Limited, Lupin, Vedanta, Cipla and Dr Reddy's Laboratories' would remain in focus.

"Investors seem to have factored in the heightened daily COVID cases and are currently looking beyond the short-term impact. However, the risk of pandemic getting prolonged and national lockdown getting imposed lingers which is capping the market upside.

"Thus, going ahead, markets are likely to remain range-bound with bouts of volatility. Going ahead, the interplay of resurgence in COVID-19 cases and the pace of vaccination would decide the trajectory of economic recovery going forward," Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd said.

Analysts said that Brent crude movement, trend in the rupee and investment pattern of foreign institutional investors would also be influencing market sentiments.