The Indian market recovered significantly in the previous week. It bounced back smartly during the last two days of the week primarily on the back of strong global cues. Index heavyweight Reliance Industries (RIL) led the rally. Banking, real estate and IT stocks were the major gainers during the week. On a week-on-week basis, the BSE Sensex gained 430 points or 5.17% to close at 8756.61, whereas, the S&P CNX Nifty ended at 2719.25, up by 99 points or 3.78%. Inflation for the week ended February 28 came at 2.43% in line with expectations. Industrial production declined for the third time in four months in January 2009. The index of industrial production (IIP) declined 0.5% in January 2009 against an upwardly revised 0.6% decline in December 2008.
The market will start the coming week with a positive undertone after a sharp up movement in the preceding week. Investors will closely watch the US industrial production data to be unveiled on March 16, 2009 and on the Housing Starts and Initial Jobless claims data to be announced on March 17 and March 19, 2009, respectively. On the domestic data front, in the coming week, the market will keep a close watch on the inflation data to be declared on March 19, 2009. The overall market sentiment looks positive for the next week.