Investors will be on the lookout for the third quarter financial earnings from major corporates in the week. The analysts said that trading sentiment of foreign investors and inflation data will also impact movements in the equity markets going ahead.
Blue-chip firms such as Reliance Industries and Infosys are scheduled to reveal their results for the October-December quarter in the week, reported PTI. Experts will also be tracking the fluctuations in rupee and dollar and movement in crude oil prices in the week.
Commenting on the outlook for markets ahead, Pravesh Gour, Senior Technical Analyst, Swastika Investmart Ltd, noted, “The strengthening of the US dollar, along with rising US bond yields, impacted investors’ confidence last week. The Indian equity markets are poised for a volatile week ahead, as investors eagerly await the release of Q3 earning reports from major companies. Prominent names such as Infosys, Reliance Industries, HCL Technologies, HDFC AMC, HDFC Life Insurance Company, and Axis Bank are set to unveil their financial performance, which is likely to significantly impact market sentiment.”
The analyst noted that foreign institutional investors (FIIs) and domestic institutional investors (DIIs) continued to clash and this would add on to the dynamic in the market.
Siddhartha Khemka, Head – Research, Wealth Management, Motilal Oswal Financial Services Ltd, said that the CPI data for India will be released on Monday. Further, the WPI inflation data is scheduled to be revealed on Tuesday.
Notably, the BSE Sensex took a hit of 1,844.2 points or 2.32 per cent last week, while the NSE Nifty50 slumped 573.25 points or 2.38 per cent.
Puneet Singhania, Director, Master Trust Group, explained, “The sharp decline in the market is attributed to multiple factors, including sustained foreign fund outflows, subdued expectations for Q3 earnings, continued weakness in the Indian rupee against the US dollar, and rising US 10-year bond yields. Additionally, a strengthening dollar index and a sharp rebound in crude oil prices, raising inflationary concerns, further dampened investor sentiment.”
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