Indian stocks are likely to open on a listless note Wednesday morning, with investors reacting to data on November consumer price inflation and industrial output report for October.
A likely hike in the U.S. interest rates is also expected to weigh on the sentiment.
Data released by the government showed India's retail inflation to have breached the central bank's medium-term target of 4 per cent in November, rising to 4.88 per cent, the steepest climb in 15 months.
Meanwhile, industrial output in October grew 2.2 per cent, compared to 4.2 per cent in the same month last year. The manufacturing sector registered a growth of 2.5 per cent, down from 4.8 per cent growth recorded in October 2016. Mining and infrastructure sectors too registered weak growth in October, while capital goods, and non-durable goods sectors performed well.
Activity is likely to be stock-specific with corporate news providing some direction.
Bharti Airtel will be in focus on reports that Warburg Pincus will invest about $350 million to acquire 20 percent stake in the company's DTH arm. Punj Lloyd may see action on winning a Rs.276 crore order from GAIL India for the construction of pipeline.
The market ended on a weak note on Tuesday, with the Sensex and the Nifty50 declining 0.68 per cent and 0.8 per cent, respectively. Profit taking after three successive days of gains and caution ahead of release of IIP and inflation data contributed to the weakness in the market.
by RTT Staff Writer
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