Today we see a firm start, thanks largely to stability in global markets. A good quarterly earnings season may have been discounted but that doesn't prevent companies like Infosys and Bajaj Auto from surprising the street on the upside. Also be prepared for a few nasty surprises. Don’t expect a flying performance from equities this year, as 2010 could turn out to be a year of consolidation. The market will also be pretty volatile, and could surprise on both the sides. So, it is time to be level headed and a bit cautious too. We are not saying that there will be a big fall. Just don’t expect a repeat of last year’s spectacular rally.
Inflation, especially on the food front is a major concern. Even non-food items are beginning to see an uptick. Fuel prices may also inch up in the near term. The Government will announce the latest monthly inflation data today, along with the weekly food and fuel inflation.
