InvestorQ : Hi Diksha, what is your market view for Monday 30 August? How do you see the GDP numbers impacting markets on Monday?
Dhwani Mehta made post

Hi Diksha, what is your market view for Monday 30 August? How do you see the GDP numbers impacting markets on Monday?

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diksha shah answered.
4 months ago
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On Friday, the markets once again closed in the positive but that was also supported by a very robust advance decline ratio of 39:11. The Nifty is getting to see a lot of sector rotation with commodities like cement and metals attracting a lot of interest. Last week, it was once again TCS, RIL and HDFC Bank that led the large cap sweepstakes.

Foreign investors net sold equities worth Rs.779 crore on Friday, 27th Aug while domestic institutions bought Rs.1,646 crore of equities. The last week has been a week of heavy selling leaving the net equity buying for the month at under Rs.1,000 crore. FPIs have been buyers in August in other EMs like South Korea, Taiwan and Indonesia.

Global markets closed very strong on Friday in the previous week. The Dow Jones Industrial average was up 70 bps, while the tech-laden NASDAQ was up 120 bps. Markets across Europe were trading in the positive while SGX Nifty was trading with gains of 100 points in early trades on Monday. Low VIX hints at a range of 16,500 to 17,000 for Nifty.

Let me come back to your macro data point. There is a lot of data flows coming this week. The GDP numbers for June quarter and core sector numbers for July will be out on Tuesday and PMI Manufacturing on Wednesday. While GDP is expected to grow at 18-21%, the PMI Manufacturing and core sector will give a picture of the sequential COVID 2.0 growth.

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