The benchmark indices, the Nifty 50 and the Sensex, started the previous week on a bearish note. Weak global markets and crude oil price moving above $52 per barrel pressured stock prices. However, short-covering and positive sentiment in stocks of PSU banks and financial services companies pushed the Nifty index above the 9,200-mark on Tuesday. Investors remained cautious thereafter ahead of macro economic data such as IIP and CPI inflation numbers.
The retail inflation rate increased to 3.81 per cent in March from 3.65 per cent recorded in February. For 2017-18, the RBI has projected retail inflation to average 4.5 per cent in the first half and 5 per cent in the second half in its recent policy meeting, indicating less room for further rate cuts.
