Markets Next Week: Q4 Results, US Yield, Corona Situation To Guide Markets

In the last trading session of the week to April 9, 2021, indices halted their 3-day winning streak owing to the drag from banking, metal and realty space. Nifty ended below 14850, while Sensex went lower by over 150 points to below 50000 points at 49591. Broader markets during the week infact small cap index over 2 percent and the interest in the broader markets shall continue.

Markets Next Week: Q4 Results, US Yield, Corona Situation To Guide Markets

There is seen hesitation among traders to go all out on long side at these levels. Nonetheless there has been outperformance from the broader markets, chiefly small-cap. On upmoves, 14984-15050 continues to be a resistance while 14687-14737 on the downside could provide support.

Markets next week shall be guided by inflation, earnings season and situation around Covid in India and globally. Plus the yields too will weigh on the street.

1. Cpi Inflation data for March month: In the week ahead CPI or retail inflation for March month shall be released. For the earlier month, CPI came in at above 5 percent, a 3-month high. And any uptrend in the inflation levels will weigh on the D-Street negatively.

2. Q4FY21 earnings: TCS, the IT major, shall begin the earnings season with result declaration slated for April 12, 2021. The IT major is likely to report strong earnings backed by demand for digital amid the restrictions due to Covid 19 and work from home.

3. Covid situation: Though on a everybody basis, the coronavirus situation in the country is worsening but analysts time and again said that Covid 19 this time will not impact the street much amid the huge scale vaccination drive.

In the global markets, S&P as well as Dow gained while technology stocks retreated lower. Amid improved economic situation in the US, investors have been pushing for stocks owing to risk-on sentiment.