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Trading sentiment in the equity market this week will be guided by global trends, foreign fund movement and RBI’s decision
Last week, BSE benchmark Sensex jumped 685.68 points or 0.86 per cent and NSE Nifty climbed 223.85 points or 0.93 per cent.
Trading sentiment in the equity market this week will be guided by global trends, foreign fund movement, macroeconomic data announcements and RBI’s interest rate decision, analysts said.
The monthly auto sales data announcement will also be tracked by investors this week.
Markets Brace for GDP Reaction
“Looking ahead, markets are likely to react to the disappointing GDP growth of 5.4 pc on Monday. The upcoming RBI policy will be crucial, with both the interest rate decision and commentary being key focus areas.
Global Geopolitical and Macroeconomic Concerns
“On the global front, geopolitical tensions, particularly the Russia-Ukraine situation, remains a concern. Important macroeconomic data such as manufacturing PMI from India, the US, and China, along with US jobs data and Fed Chair Jerome Powell’s speech, will also influence market sentiment,” Santosh Meena, Head of Research, Swastika Investmart Ltd, said.
India’s Economic Growth Slows but Remains Robust
India’s economic growth slowed to near two-year low of 5.4 per cent in the July-September quarter of this fiscal due to poor performance of manufacturing and mining sectors as well as weak consumption, but the country continued to remain the fastest-growing large economy, data showed on Friday.
Equity Market Ends Volatile Week on Positive Note
The Indian equity market ended the last week on a positive note after experiencing significant volatility.
Key Domestic and Global Data to Influence Markets
“The outlook for the market will be guided by the major domestic and global economic data such as India’s manufacturing PMI, services PMI, interest rate decision, US S&P global composite PMI, manufacturing PMI, services PMI, non-farm payrolls and initial jobless claims,” Palka Arora Chopra, Director, Master Capital Services Ltd, said.
Weekly Performance of Key Indices
Last week, BSE benchmark Sensex jumped 685.68 points or 0.86 per cent and NSE Nifty climbed 223.85 points or 0.93 per cent.
Focus Areas for the Upcoming Week
“Participants will first react to the GDP data released post-market on Friday. The primary focus will be on the RBI monetary policy review. Additionally, high-frequency indicators such as auto sales, along with manufacturing and services PMI data, are expected to provide further market direction. Foreign inflows will also remain in focus as a major driver of sentiment,” Ajit Mishra – SVP, Research, Religare Broking Ltd, said.
Other Influencing Factors
Movement of global oil benchmark Brent crude and rupee-dollar trend would also dictate market trends, analysts said.
Mcap of Nine of Top-10 Most Valued Firms Surges Rs 2.29 Lakh Cr
The combined market valuation of nine of the top-10 most valued firms surged Rs 2,29,589.86 crore last week, with Life Insurance Corporation of India emerging as the biggest gainer, in tandem with a rally in benchmark indices.
The valuation of LIC jumped Rs 60,656.72 crore to Rs 6,23,202.02 crore, the most among the top-10 firms.
HDFC Bank added Rs 39,513.97 crore, taking its valuation to Rs 13,73,932.11 crore.
The market valuation of Reliance Industries surged Rs 35,860.79 crore to Rs 17,48,991.54 crore and that of Bharti Airtel soared Rs 32,657.06 crore to Rs 9,26,725.90 crore.
State Bank of India’s mcap climbed Rs 20,482 crore to Rs 7,48,775.62 crore and that of ICICI Bank rallied Rs 15,858.02 crore to Rs 9,17,724.24 crore.
Hindustan Unilever’s valuation went up by Rs 11,947.67 crore to Rs 5,86,516.72 crore and that of Tata Consultancy Services (TCS) climbed Rs 10,058.28 crore to Rs 15,46,207.79 crore.
(With PTI inputs)
