NEW DELHI:
Analysts
said that the upcoming week’s market movements will be influenced by several key factors including, RBI interest rate decision,
macroeconomic data
and
global trends
, whereas the trading activities of
foreign investors
and the last batch of Q1 earnings announcements would also guide trends in equities.
Head of Research, Swastika Invest mart Ltd, Santosh Meena said: “This week, all focus will be on the global markets as we are seeing the first major signs of weakness after a long period of stability.
This will test the strength of the Indian market, which has remained resilient due to strong domestic liquidity and a better macroeconomic outlook despite global headwinds and valuation concerns.”
The
Reserve Bank of India
‘s forthcoming monetary policy announcement on August 8 will be significant for the domestic front, Meena further said.
“The last batch of Q1 earnings will drive stock-specific movements. Additionally, institutional flows will play a crucial role in market dynamics,” he added.
“Going forward, the chances of further consolidation seem elevated due to premium valuations, weak Q1 results, and ongoing global market consolidation. The RBI policy meeting this week could provide some hints towards an outlook on rates, while expectations are to maintain the status quo as of now,” Vinod Nair, Head of Research, Geojit Financial Services, said.
This week, several prominent companies, including Bharti Airtel, BEML, ONGC, NHPC, Life Insurance Corporation of India, and MRF, are set to release their quarterly financial results.
HSBC PMI (Purchasing Managers’ Index) for the services sector is set to be released on Monday.
The BSE Sensex, comprising 30 stocks, experienced a significant downturn on Friday, plummeting 885.60 points or 1.08 percent to close at 80,981.95. Similarly, the broader NSE Nifty index declined by 293.20 points or 1.17 percent, settling at 24,717.70, as selling pressure gripped the market.
Investors will also keep a close watch on the global oil benchmark, and the rupee-dollar exchange rate, as these factors are likely to play a crucial role in shaping trends in the market.
(With inputs from PTI)
