Global cues, FPIs to guide markets

New Delhi, March 5: Equity markets would be mainly driven by global trends and foreign fund trading activity in the holiday-shortened week, analysts said.

The BSE and the National Stock Exchange have listed March 7 (Tuesday) as a holiday on account of Holi.

However, stock brokers’ association ANMI has urged the government, exchanges and Sebi to shift the holiday to March 8 from March 7.

“Indian stock markets may remain volatile amid fear that the US FED will keep raising interest rates to control inflation. Rising US bond yields and macroeconomic numbers will keep the market mood subdued in the near-term.

“Investments by FIIs, who are turning out to be small net buyers at the margin, and DIIs will be monitored,” Pravesh Gour, senior technical analyst, Swastika Investmart Ltd, said.

On the global front, the Bank of Japan will decide on interest rates and the US macroeconomic data (US nonfarm payrolls and unemployment rate) will be scheduled for release on March 10, while on the domestic front, India’s

BSE AND NSE have listed March 7 as a holiday for Holi but stock brokers’ association ANMI has urged the government, stock exchanges and Sebi to shift the holiday to March 8 from March 7.

industrial production data will also be unveiled on March 10, Gour added.

Industrial production data for the month of January will be released post-market hours on Friday.

Market investors will also keep track of the movement of the rupee against the US dollar and Brent crude oil. “This week is a holiday-shortened one and we expect volatility to remain high citing mixed indications,” said Ajit Mishra, VP, technical research, Religare Broking Ltd.