GDP numbers, auto sales data fresh triggers for market: Experts

During this data heavy week, the investor focus will also remain on global market trends and COVID-19 updates like the number of infection cases and news related to the progress of vaccines. “This week, participants will be closely eyeing auto sales number and GDP data for cues on how the economy is progressing. Besides, monsoon progress and news updates related to COVID-19 would also be on their radar,” said Ajit Mishra, VP-Research, Religare Broking. The Indian market last week, ended August 28, showed a stellar performance, with the BSE Sensex gaining 1,032 points and the NSE Nifty adding 276 points – both indices rising 2 per cent each.

 The National Statistical Office (NSO) will release the infrastructure output data for July and the GDP number for the April-June quarter on Monday. Various rating agencies and industry experts have been forecasting GDP contraction for the first quarter as the economy came under a severe pressure in the wake of the coronavirus outbreak and ensuing lockdowns during this period.

 As other macro data are concerned, auto companies will announce their monthly sales data for August this week and PMI data for manufacturing and services sector are also. “Market is expected to continue the momentum. There could be a slight consolidation in the markets, when profit-booking emerges, but it is not likely to be a long drawn out correction,” Vinod Nair, Head of Research at Geojit Financial Services, said. Samco Securities Senior Research Analyst Nirali Shah said, “For the week ahead, markets may watch out for August auto sales numbers from India Inc which might broadly act as a proxy for the health of our ailing economy, to an extent.” Experts are of the view that movement in rupee/USD, trend in foreign fund and crude oil would also be monitored by market participants. Meanwhile, India’s COVID-19 case tally crossed 35 lakh mark.