Indian stock markets are likely to start Tuesday's session on a flat-to-negative note, with the SGX Nifty trading down 19 points at 10,413 on Singapore Exchange. SGX Nifty is an early indicator of NSE Nifty. Shares in the other Asian markets stalled, after Wall Street shares lost steam. MSCI's broadest index of Asia-Pacific shares outside Japan inched down 0.05 per cent. The index had surged 1.5 per cent on Monday following firm US jobs numbers. A mixed performance by US shares overnight cooled investor risk appetite in Asia. Focus now turns to US consumer price data due later on Tuesday for the global markets to gauge inflation trends in the world's largest economy and as a guide for upcoming Federal Reserve policy.
Back home, government data after market hours on Monday showed retail inflation cooled off to a four-month low of 4.4 per cent in February as compared to 5.07 per cent in the previous month. Seperate data showed that factory output - determined by Index of Industrial Production (IIP) - soared to 7.5 per cent in January as against 3.5 per cent in the corresponding month of 2017.
Retail inflation still remained above the 4 per cent medium-term target of the Reserve Bank of India (RBI), strengthening views that it will hold rates steady at its April meeting rather than raise them.
On Monday, the NSE Nifty had closed 194 points higher at 10,421 and the BSE Sensex surged 610 points to close at 33,917, ahead of release of consumer inflation and IIP data.
Simi Bhaumik, research analyst, shared her trading picks:
Buy JSW Steel near Rs 295-294 for a target price of Rs 307 with stop loss at Rs 292
Disclaimer: Investors are advised to make their own assessment before acting on the information.