The market has been reeling under a series of bad news. It started with the dismal results and dramatic exits at Infosys. The RBI aggravated the pain with a 50 bps rate hike. Earnings from RIL and Bharti also failed to impress.
On Tuesday, shocking Q4 results from SBI sent the market into a tailspin. Bad news on ONGC and RIL exacerbated the fall. The knock on the chin could have been harder but for the strength in ITC, HUL and TCS.
Meanwhile, Coal India surpassed ONGC as the top listed PSU. It is now behind only RIL in terms of market cap.
Today’s start will be better but don’t bet on a substantial turnaround. All eyes are now on Bajaj Auto results today. L&T will announce its report card on Thursday. ITC will come out with its numbers on Friday.
Inflation remains a big headache as well. Things could get worse as a diesel price hike is also on the cards. The Nifty has violated the trading band of 5460-5530. The near-term outlook is negative with immediate support seen at 5380.
