How can the market be in the next week amid selling by foreign investors? The effect of these factors will be seen
After five weeks of decline in Nifty, a good weekly gain of three percent has been seen.
This week the stock market was up about 3 percent. Excise duty on petrol and diesel was cut by up to Rs 8 per liter on Saturday. States have also reduced VAT. This will reduce the fire of inflation and will strengthen the sentiment.
Foreign investors continue to sell. Despite this, this week with the help of domestic investors Share Market ,Share Market Updates) I returned to the glow. In the last trading session of the week, the Sensex registered a jump of about 3 percent on a weekly basis. Here on Saturday, giving relief on inflation, the government imposed excise duty on petrol and diesel.Excise cut on Petrol and Diesel) has been cut by Rs.8 and Rs.6 per liter. This is a big decision in the direction of strengthening the sentiment. foreign investors (Foreign InvestorsThe mood is still bad and they have withdrawn more than 35 thousand crores so far in this month. In such a situation, what can be the movement of the market next week and which factors will have an effect, let us know about it.
the direction of the local stock exchanges (Share Markets directions) This week will be decided by global factors and trends of Foreign Institutional Investors (FIIs). Apart from this, there may be volatility in the domestic markets due to monthly derivative settlement. Analysts have expressed this opinion. Santosh Meena, Head of Research, Swastika Investmart said that in the last few sessions, there is a lot of volatility in the local markets. However, after a series of five weeks of decline in Nifty, there has been a good weekly gain of three percent.
Inflation and lethargy are big challenges
Meena said, inflation and slowdown in the global economy are a matter of major concern for the markets around the world. Because of this, Foreign Institutional Investors (FIIs) are selling. However, Indian markets are in a better position due to support from domestic investors. Last week, the 30-share BSE Sensex rose 1,532.77 points or 2.90 per cent. On the other hand, the Nifty of the National Stock Exchange was in a gain of 484 points or 3.06 percent.
Dollar index will affect the price of the commodity
He said that due to settlement of monthly derivatives contracts, there will be some volatility in the domestic markets this week. On the global front, the details of the Federal Open Market Committee (FOMC) meeting will be released on May 25, which will be very important from the market point of view. Apart from this, the trend of the dollar index and the prices of commodities will also play an important role in giving direction to the market.
US unemployment figures will have an impact
Yesha Shah, Head of Equity Research, Samco Securities said, “The market was volatile last week. The trend is likely to continue this week on the back of macroeconomic data, the current quarterly earnings season and derivatives settlement. Shah said the details of the FOMC meeting, US GDP estimates and unemployment figures will affect the sentiment in global markets.
Expect ups and downs this week too
Siddharth Khemka, Head of Retail Research, Motilal Oswal Financial Services said, “Overall we believe that the markets will remain volatile this week as well. At the macro level, many things like high inflation and aggressive interest rate hike will affect the market.
The results of these companies will come
During this week, the quarterly results of SAIL, Zomato, Adani Ports, Deepak Fertilizers, InterGlobe Aviation, Hindalco, NMDC, GAIL and Godrej Industries will come. Ajit Mishra, Vice President Research, Religare Broking said that going forward, the global trend, the final phase of the quarterly results and the Russia-Ukraine war will affect the direction of the market.
(with language input)