REUTERS – Indian stocks could face volatility next week as investors gauge global market reaction to the Federal Reserve Governor Ben Bernanke’s speech at Jackson Hole.
Only domestic minor economic data is on tap, with inflation and industrial output due later in September, while the Reserve Bank of India’s policy review is on September 17.
Investors are still concerned about the gridlocked parliament, which is dashing hopes for policy reforms. India on Friday said its fiscal deficit for April-June already reached 51.5 percent of the full fiscal year target.
Annual general meetings at select blue chips will also be eyed.
India’s stocks are technically vulnerable to further falls after the NSE index ended below the 50-day moving average. A breach of support seen at 5,250-5,220 exposes the index to further falls to 5,050, technical traders said.