Today,as we greet a new fiscal year following a stellar FY10, make sure you don’t get fooled. The main indices are set to open on a positive note. The initial gains may taper off as the day wears on as most players would prefer a ‘wait-and-watch’ stance ahead of earnings and RBI’s annual policy meet. Overall, the trend will remain insipid and sideways in a range. Auto and Cement stocks will be in focus as they release monthly as well as annual sales figures.
Most Asian markets are in the green, notwithstanding the overnight fall in US counterparts. Markets in Japan and China are up on encouraging economic data. Crude oil is trading above $83 per barrel, but the good news is that inflation back home has been showing some signs of cooling. Even trade data for February is pointing to a robust recovery. IIP for February is also likely to remain strong despite some softening in infrastructure sector growth.
