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Investors will take cues from the December quarter company earnings, inflation information and buying and selling exercise of international buyers
Last week, the BSE benchmark slumped 1,844.2 factors or 2.32 per cent, and the Nifty dropped 573.25 factors or 2.38 per cent.
Investors will take cues from the December quarter company earnings, with blue-chips like Infosys, Reliance Industries scheduled to report their outcomes this week, as well as, inflation information and buying and selling exercise of international buyers will even be essential in dictating market developments, analysts stated.
Volatile Week Ahead for Indian Equity Markets
The motion of crude oil costs and the greenback index will even be tracked by buyers. The strengthening of the US greenback, together with rising US bond yields, impacted buyers’ confidence final week.
“The Indian fairness markets are poised for a risky week forward, as buyers eagerly await the discharge of Q3 incomes studies from main corporations.
Key Earnings to Watch
“Prominent names equivalent to Infosys, Reliance Industries, HCL Technologies, HDFC AMC, HDFC Life Insurance Company, and Axis Bank are set to unveil their monetary efficiency, which is more likely to considerably affect market sentiment,” Pravesh Gour, Senior Technical Analyst, Swastika Investmart Ltd, stated.
FII vs. DII Tug-of-War
Adding to the market’s dynamic, a tug-of-war between Foreign Institutional Investors (FIIs) and Domestic Institutional Investors (DIIs) continues to unfold, he stated.
Macro Data: CPI and WPI Releases
“India’s CPI launch on Monday will likely be a key issue,” Siddhartha Khemka, Head – Research, Wealth Management, Motilal Oswal Financial Services Ltd, stated.
WPI inflation information is scheduled to be introduced on Tuesday.
Last Week’s Market Decline
Last week, the BSE benchmark slumped 1,844.2 factors or 2.32 per cent, and the Nifty dropped 573.25 factors or 2.38 per cent.
Reasons for the Market Slide
“The sharp decline out there is attributed to a number of components, together with sustained international fund outflows, subdued expectations for Q3 earnings, continued weak spot within the Indian rupee towards the US greenback, and rising US 10-year bond yields.
Impact of Crude Oil Prices and Dollar Index
“Additionally, a strengthening greenback index and a pointy rebound in crude oil costs, elevating inflationary issues, additional dampened investor sentiment,” Puneet Singhania, Director at Master Trust Group, stated.
Industrial Production Growth
India’s industrial manufacturing (IIP) development accelerated to a six-month excessive of 5.2 per cent year-on-year in November 2024, using on the elevated festive demand and choose up within the manufacturing sector, in accordance with the official information launched on Friday.
Outlook for the Week Ahead
“Looking forward, company earnings will likely be within the highlight, with main corporations, together with IT giants, releasing their Q3 outcomes. Macroeconomic information, equivalent to India’s inflation price will even play a vital position in shaping market path.
Global Cues and Their Influence
“On the worldwide entrance, updates on the US economic system, significantly labour market information and inflation developments, could affect FII flows. A spike in crude oil costs will add inflationary stress. Overall, market volatility is predicted to stay as buyers react to a mixture of earnings, macroeconomic information, and international cues,” Vinod Nair, Head of Research, Geojit Financial Services, stated.
(With PTI inputs)
