IIP, inflation data, monsoon key for markets this week: Experts

A host of macroeconomic factors such as IIP and inflation data, global crude oil prices and progress of monsoon will set the tone this week for the domestic markets, which experts believe may remain volatile.

"Going forward, the progress of the South West monsoon, which hit Kerala a few days delayed, will be on market radar.

Further, industrial production (IIP) and inflation data will also be released. Nonetheless, with no visible triggers in sight, the market may continue to remain volatile with a possible downward bias," said Hitesh Agrawal - Head Research, Reliance Securities.

Data for industrial production for April and consumer price index (CPI) for May is scheduled to release on Friday.

Movement of rupee against the dollar, investment trend by overseas investors and crude oil price will also influence trading.

Meanwhile, southwest monsoon hit Kerala on Friday marking the start of the rainy season, four days after its normal onset date.

The MET department had initially predicted that this year the rainy season would make its fall on May 30 with "below normal" monsoon, but later downgraded its forecast to "deficient" rainfall.

"The probability of rate hikes by Fed in coming quarters, coupled with euro zone fears and constant rise in crude prices is keeping Indian markets volatile. We believe the markets to remain weak for upcoming trading sessions," said Rakesh Goyal, Senior Vice President, Bonanza Portfolio.

Indian indices will on Monday react to the US jobs data where the American economy added more jobs in May than forecast.

Over the past week, the benchmark BSE Sensex ended 3.8% lower at 26,768.49.