The Indian stock markets will react to the recently announced election outcomes of the states and domestic macroeconomic data, Foreign Institutional fund flows, and Monetory policy review meeting of Reserve Bank of India's (RBI) in the first week of December, according to the market analyst
As the Indian benchmarks experienced range-boud consolidation in the last trading week, markets are expected to remain sensitive to foreign fund outflows and a subdued earnings season, say the market experts.
The investors will focus on the upcoming quarterly earnings of the companies and US economic data for direction, in the absence of any major triggers in the stock market starting from Monday, as per the experts.
The report highlights the key indicators which reflect the extreme valuations in the Indian markets. It added that the market cap to GDP ratio stands at 150 per cent, matching the 2007 peak.