The Infrastructure Output data (Eight Core Industries) for November is expected to be released today. The data is one of the key indicators of industrial health and acts as an early indicator for the overall Index of Industrial Production (IIP) data. A IIP strong reading indicates strong industrial health and boosts investor sentiment.
The Indian rupee came under pressure last week dropping to a record low close to the 91.14 per dollar mark last week. However, the Indian rupee witnessed a significant rebound on December 19 as the Reserve Bank of India's aggressive intervention contributed to the rupee's recovery to the 89.30-89.60 range. The potential stability of the rupee is likely to curb aggressive foreign institutional selling today, making Indian stocks more attractive to global funds.