Last week, Indian equity indices closed the week on negative note, however it continued its weekly gains. In the coming week also, domestic bourse are likely to remain volatile ahead of Budget in the first week of July and some profit-booking by the investors.
With US markets closing with marginal gains on Friday, last trading day of the previous week, Indian markets are likely to remain under pressure in the coming days. Despite huge volatility here in the Indian markets over the past few weeks, benchmark indices managed to close the last week on positive terrain.
In the last one week, 30-share Sensex of Bombay Stock Exchange (BSE) gained over 130 points, while S&P CNX Nifty of National Stock Exchange (NSE) was marginally down by over 3 points. On Friday, Sensex lost 173.53 points or 1.13% to close the day at 15,237.94 points and Nifty was down by 54.30 points or 1.17% to end the day at 4,583.40 points.
Dealers in the market say, some buying from the foreign institutional investors (FII) might continue and keep equity market firm next week. In the month of June only, FII have bought stock worth Rs 4,311.32 crores, while domestic institutional investors are also on the buying side as they are net buyers of Rs 1,700.14 crores.
An analyst from the leading broking house said, ?Last week, we saw markets being very unstable as retail investors continued their profit-booking at higher levels. However we feel that, now markets will be very stocks specific, in this scenario we might witness stocks going up or down but not the index. Before the budget is declared we might see one major correction in the market.?
Amitabh Chakraborty, president-equities at Religare capital markets said, ?In the coming days, we hope that FII continue their buying. We might witness downward journey in the coming days. But during the budget we might once again see markets in joyful mood, with markets again going in the northward direction.?
