India equity benchmarks set for muted start on caution over foreign flows
India's equity benchmarks are likely to open little changed on Monday, beginning the week on a cautious note as persistent foreign selling and uncertainty over a trade deal with the U.S. continue to weigh on sentiment.
The Gift Nifty futures were trading at 26,062 points as of 7:37 a.m. IST, indicating that the benchmark Nifty 50 will open near Friday's close of 26,046.95.
The 50-stock index has logged two consecutive weekly losses amid the accelerated foreign outflows and rupee depreciation, although last week's losses were trimmed by the U.S. Federal Reserve's rate cut. [.BO]
Foreign investors sold shares worth 11.1 billion rupees ($122.57 million) on Friday, as per provisional data. This was their sixth consecutive session of selling, with outflows so far in December at $2 billion.
Meanwhile, India's retail inflation rose to 0.71% in November from a record low in the prior month but stayed below the central bank's target range for the third straight month, data released after market hours on Friday showed, keeping open the possibility of another interest rate cut by the Reserve Bank of India.
STOCKS TO WATCH
** Adani group stocks will be in focus as India's markets regulator drops a case of alleged insider trading in Adani Green Energy against Pranav Adani, director of several group companies
** Insurance companies will be in limelight after Reuters reports India's cabinet has approved fully opening the sector to foreign investors.
** KEC International secures orders worth 11.5 billion rupees, including its largest contract in the transmission and distribution segment, and civil business.
($1 = 90.5640 Indian rupees)
