What in your opinion are going to be the big macro factors to watch out for in the coming week?

Broadly, investors must keep an eye on 5 major factors in the coming week.

a) The first factor is the all-important Fed meet that will conclude on 15-Dec. This is expected to be the first policy in the last 2 years that will make hawkish noises. There are expectations of the Fed front-ending rate hikes and tapering of liquidity.

b) The second big factor to watch out for is the retail inflation or CPI inflation. This had been subdued in the last two months but is expected to worsen considering that the base effect would wane in the month. That would be a key metrics to look at.

c) In the last few months, the WPI inflation has become an interesting topic due to the big focus on producer inflation. That is what is causing most of the inflation in the Indian economy and across the world. That will be another critical factor.

d) Trade data will come out on Wednesday and it is important because this is expected to be a month of record trade deficit above $28 billion. That is likely to put a lot of pressure on the Indian rupee as also on the trade and current account deficit.