Equity indices to be impacted by holiday-shortened week

Equity markets will be impacted by the holiday-shortened week because of quarterly earnings and global developments, according to analysts.

The foreign fund movement will play a key role in deciding the trend, they added.

Markets for Muharram will be closed on Tuesday.

This week the market will be dealing with the last batch of Q 1 earnings, which will be followed by SBI, HPCL and BPCL results on Monday, while Adani Ports, Bharti Airtel, PowerGrid, Coal India, Eicher Motors, Hindalco, Grasim, Hero Motocorp, LIC, ONGC and Bata India will be other prominent earnings during the week, said Santosh Meena, Head of Research, Swastika Investmart

State Bank of India SBI posted a 7 per cent decline in the state bank's standalone net profit at Rs 6,068 crore for the first quarter of the current financial year, due to mark-to- market MTM losses.

Hindustan Petroleum Corporation Ltd. HPCL reported its highest quarterly net loss of Rs 10,196 on Saturday. Record refining margins were wiped out in June due to a freeze on petrol and diesel price revision.

Global cues will be important as geopolitical concerns are rising whereas domestic and global macro numbers will play an important role, Meena said.

India will announce its CPI and IIP data on August 12, while the US inflation numbers will be released on August 10.

This week is a holiday-shortened one and participants will be closely watching global markets and domestic factors viz. Earnings and macroeconomic data for cues.

There can be volatile swings due to the escalation of China-Taiwan tension. On the data front, we have IIP and CPI inflation scheduled for August 12, according to Ajit Mishra, VP Research, Religare Broking Ltd.

The 30 share BSE benchmark Sensex was up 817.68 points or 1.42 per cent last week.

It was the third week of gains for the Indian equity markets thanks to continuous buying by FIIs. As the market is a bit overbought, volatility has jumped at higher levels, according to Meena of Swastika Investmart.

Apurva Sheth, Head of Market Perspectives, Samco Securities said this week is expected to be jam-packed for investors, on a macroeconomic front. The inflation figures that are going to be released by the United States and China are likely to make the global markets dance to the tune of the inflation figures. Market players are going to look at the Indian CPI print to find out more about the economy's trajectory. With the overhang of monetary policy behind us, the geopolitical tension between China and Taiwan will be in focus, as any flare up in the region could lead to panic situations across the globe, said Amol Athawale, Deputy Vice President- Technical Research, Kotak Securities Ltd.