Stock markets to witness volatility this week amid RBI policy decision, quarterly earnings

Additionally, the analysts have said the movement of the rupee, Brent crude and foreign institutional investors (FIIs) would be keenly watched by investors.

Ajit Mishra, VP Research, Religare Broking said, “among important events, participants will be closely eyeing the MPC’s monetary policy review meet this week and its outcome is scheduled on February 9. Besides, on the macro front, IIP data will be released on February 11.”

“We have some big names like Bharti Airtel, Jindal Steel, ACC, Hero Motocorp, Tata Power, Hindalco and M&M that will announce their numbers during the week along with several others,” Mishra added.

The stock markets have been witnessing volatile swings, mirroring their global counterparts and it may continue in near future. Besides, the upcoming event i.e MPC’s review and earnings would further add to the choppiness, Mishra said.

Among others, TVS Motor Company, Union Bank of India, IRCTC, NMDC and SAIL will also announce their quarterly results.

Santosh Meena, Head of Research, Swastika Investmart Ltd said, “this week, domestic cues will dominate where RBI credit policy will be a key factor which is scheduled on 9th February. Q3 earning session is going on where the last batch of earnings will be another important factor. Apart from this, IIP data will be announced on Friday however that is scheduled after market hours.”

Global cues are also not clear where the geopolitical situation is important while rising crude oil is a key concern for our market. FIIs are still in a selling mood and their behaviour will also play an important role in the direction of headline indices, Meena further said.

Vinod Nair, Head of Research at Geojit Financial Services said, “this week, RBI’s policy meeting will be the major event awaited by the domestic investors.” 

Meanwhile, analysts said that Indian indices had a bull run during the 1st half of the last week as the Budget was in line with market expectation. Last week, the 30-share BSE benchmark gained 1,444.59 points or 2.52%.