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Sensex, Nifty Seen Lower After Weak Data

Indian shares may open on a tepid note on Monday after a government report showed India's industrial production decreased unexpectedly in March.

The index of industrial production fell 0.1 percent year-on-year, erasing a similar size gain in February. Economists had forecast a 1.2 percent rise for the month.

Twelve out of the twenty three industry groups in the manufacturing sector logged negative annual growth in March, raising fresh worries about the economic outlook.

The release of retail and wholesale inflation figures coupled with the latest batch of earnings news may sway sentiment as the week progresses.

Prominent companies like Bajaj Auto, Dr Reddy's Laboratories, HDFC, Hindalco, Indian Oil Corp, ITC, Lupin and Vodafone Idea will are due to unveil their quarterly results this week.

Investors also await the outcome of the general election, with results expected on May 23.

Asian stock markets fell this morning after Washington demanded promises of concrete changes to Chinese law and Beijing said it would not swallow any "bitter fruit" that harmed its interests.

White House economic adviser Larry Kudlow signaled on Sunday the tariff war with China could keep going for a while longer as negotiations continue.

The offshore Chinese yuan hit its lowest levels in more than four months and oil prices declined as investors await retaliation from China over increased tariffs.

U.S. stocks recovered from an early slide to close higher on Friday after U.S. Secretary of Treasury Steven Mnuchin and President Donald Trump indicated that bilateral talks were "constructive" even though an agreement was not reached.

The Dow and the S&P 500 rose around 0.4 percent, while the tech-heavy Nasdaq Composite inched up 0.1 percent.

European markets finished mostly higher on Friday despite the U.S. increasing the tariffs on over $200 billion worth of Chinese goods,

The pan European Stoxx 600 rose 0.3 percent. The German DAX climbed 0.7 percent and France's CAC 40 index gained 0.3 percent while the U.K.'s FTSE 100 slipped 0.1 percent.

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