India Week Ahead: Market eyes Q2 Earnings, F&O expiry & ECB meet
Indian market lost ground in the truncated week, the special mahurat trading session on last Thursday and weak global cues could not provide support to the market, key indices fell 0.5%.
Indian market will open for trade on Monday after 3 day holiday, a look at events that will be watched out for:
Q2 earnings continue with Havells India and Indiabulls Housing Finance. Hindustan Zinc will detail earnings on Monday. Infosys board will meet on Monday and Tuesday and will announce earnings on Tuesday. Can Fin Homes, Ambuja Cements, Mahindra CIE Automotive, ICICI Pru, HDFC Bank, PNB Housing, HCL Tech, Maruti, ITC, IOC, ICICI Bank will announce results later in the week.
IPO & New Listing
Indian Energy Exchange will list on exchanges on Monday. The issue was subscribed 2.28 times with a price band of Rs 1,645 - Rs 1,650. The company enjoys a dominant position in the electronic platform for short-term power market.
GIC IPO, India’s second biggest initial public offer so far, will list on exchanges later this week, The Rs 11,370 cr IPO was subscribed 1.35 times with a price band of Rs 855 to Rs 912. Reliance Nippon Life Asset Management, India’s third-largest mutual fund manager, will launch its Rs 1,542 cr IPO on October 25 - 27. It will be the first IPO by an Indian mutual fund manager. The price band of the IPO is set at Rs 247 – 252 per share for the IPO.
Market may see some volatility as traders look to rollover position when October F&O series expires.
CCEA may decide on commercial coal mining methodology' this week
The Cabinet Committee on Economic Affairs (CCEA) will soon take a call on methodology for allocation of coal blocks for commercial mining. The development comes on the back of power producers facing low coal stocks at their plants. A discussion paper on the modalities for allocation of coal mines through auction route was earlier placed in public domain for seeking comments of stakeholders. The government plans to put under the hammer around 5-6 coal blocks for commercial mining by private players.
Air India unions to meet on Air India divestment
Air India unions are likely to meet this week in the national capital to discuss their strategy as government goes ahead with the disinvestment process. Efforts are on to bring all staff unions of Air India including those of the pilots and engineers on one platform and work out a strategy to deal with the situation arising out of the government's decision to offload its stake in the flag carrier.
ECB meet on policy formation
ECB governing council will meet on Oct 26. It is widely expected to set out the plan for their bond-buying programme past the end of this year. While the ECB currently purchases 60 billion euros ($71 billion) of assets per month, officials are debating how they may be able to scale back some of that stimulus to adapt to an improving economy. Earlier in the month ECB President Mario Draghi expressed confidence that they will eventually succeed in returning inflation to their goal.
GST panel meet
Ministerial panel on GST will meet on October 29 to fine tune proposals before placing them before the GST council that meets in November in Guhawati.