The IMD will again brief in May after the monsoon hits and the next assessment will happen in June.
"If the monsoon predictions are accurate, the agricultural sector is set for a boost. Moreover, sectors like fast moving consumer goods, auto, fertilizers, and cement are likely to get a boost. Agriculture accounts for nearly 15 per cent of the nation's GDP (gross domestic product). There is a direct co-relation of economy with rains. Rains are necessary but what is more important is quantum and distribution of rain," said Ritesh Ashar – Chief Strategy Officer (CSO), KIFS.
A 'good'/'poor' monsoon will have affect inflation in the economy. Recently, retail inflation for the month of March hit a five-month low as it eased to 4.28 per cent as compared to 4.44 per cent in February. However, it was still above the Reserve Bank of India (RBI) medium-term target.
Earlier on Monday, wholesale inflation was recorded at 2.47 per cent in March against 2.48 per cent in February, government data showed.
Meanwhile, the S&P BSE Sensex surged 112 points, or 0.33 per cent, to close at 34,305 while the broader NSE Nifty50 gained 47 points, or 0.46 per cent, to settle at 10,528.
Agriculture-related stocks finished Monday' session on a mixed note. Twelve fertiliser stocks gained while seven declined and two remained unchanged. Indira Industries closed 7 per cent higher, Shiva Global Agro Industries gained 6 per cent while Chambal Fertiliser and Chemicals ended 5 per cent lower.