Indian Shares May Open On Volatile Note; Inflation Data, Earnings In Focus

(RTTNews) - The Indian market may see some wild swings Monday morning with investors reacting to Hindenburg Research's allegations that the Indian market regulator's chairperson had stake in some obscure offshore entities used in the alleged Adani money siphoning scandal.

However, stocks are likely to recover from early volatility, as investors will be shifting their focus to upcoming key economic data.

The market regulator SEBI has said in a statement that its Chairperson Madhabi Puri Buch has been making disclosures, and investors should remain calm and exercise due diligence before reacting to such reports. It added that investors may also like to take note of the disclaimer in the report that states that readers should assume that Hindenburg Research may have short positions in the securities covered in the report.

On the economic front, inflation data for the month of July, and industrial production data for the month of June, are due after the trading hours today.

On the earnings front, Vodafone, NMDC, Voltas, HUDC, National Aluminium, Hindustan Copper, Natco Pharma, ITI, RCF, Usha Martin, Balrampur Chini Mills and Suntec Realty are among the companies scheduled to announce their quarterly results today.

Indian shares followed global peers higher on Friday after new data showed first-time claims for U.S. unemployment benefits pulled back by more than expected in the week ended August 3rd, helping ease concerns about the strength of the labor market.

The benchmark S&P/BSE Sensex jumped 819.69 points, or 1.04%, to 79,705.91, with buying seen across the board. The broader NSE Nifty index settled 250.50 points, or 1.04%, higher at 24,367.50.

U.S. turned in a relatively lackluster performance during trading on Friday but managed to end the day mostly higher. Stocks continued to recover from recent selling sparked by concerns about the outlook for the U.S. economy.

European stocks closed higher on Friday as worries about the outlook for U.S. economic growth eased a bit after upbeat jobless claims data. Optimism about interest rate cuts by the Federal Reserve, some positive economic data from the European region and a few encouraging earnings reports contributed as well to the fairly firm undertone in European markets.