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Below are Views On Market Quote by Mr. S Hariharan, Head - Sales Trading, Emkay Global Financial Services

“A number of macro indicators are close to technically critical levels – potential upside breakouts in Dollar index, Crude and Developed Market bond yields could get confirmed this week. The global backdrop is indeed a somewhat worrisome one with surging energy prices meeting slowing demand conditions, and a global supply chain crunch across basic materials. Should global central banks respond to rising inflation expectations by paring bond purchases & tightening monetary conditions, that could act as a trigger for sudden re-pricing of risk assets across the board.

Domestically, the valuation premium of mid & small caps over Nifty stocks at levels similar to early 2018 imply that incremental money flow is likely to be directed towards Large caps; the earnings season coming up is expected to be strong for IT, Banks & Chemicals companies, while Consumer-facing companies (Autos, Discretionary & Staples) are expected to face margin pressure.”

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