Week Ahead: Inflation data, IPO action, FII inflow, global cues among key market triggers as Nifty eyes 24,800
The Indian stock market triggers saw a positive shift, its best in half a year. The Reserve Bank of India's (RBI) injection of funds and foreign capital's return at year's end were key drivers.
Week Ahead: Inflation data, IPO action, FII inflow, global cues among key market triggers as Nifty eyes 24,800
The Indian stock market triggers saw a positive shift, its best in half a year. The Reserve Bank of India's (RBI) injection of funds and foreign capital's return at year's end were key drivers. In December's second week, markers like local and worldwide economic data, primary market happenings, foreign inflow of funds, geopolitical pressures between Russia and Ukraine, US bond yields, the US dollar, crude oil prices, food inflation and other global signals will be under watch by investors.
Previously, Sensex and Nifty 50, India's key market indices, continued their recovery streak for the third week, showing over two percent growth despite some mixed signals. Nifty 50 outlook finished with a slight 0.12 per cent loss at 24,677 but racked up a significant 2.27 percent gain during the week. The Sensex concluded with a marginal drop of 0.07 per cent at 81,709, packaging the triggers for market next week with an impressive 2.39 percent increase. Consequently, this week saw the Nifty and sensex today rise by 2.3 per cent and 2.4 per cent respectively — their greatest increase since the general election results in early June maintained policy stability.
The upbeat key market triggers for 2024 emerged early on as underwhelming GDP figures sparked hope for RBI action. This hope realized in a 50-basis point cash reserve ratio (CRR) slash in the policy meeting; the repo rate stayed the same. The resurfacing of foreign investor purchases, after a long selling stretch, further lifted the market's spirit.
"The week set off cheerfully. Yet, this joy shifted mid-week when foreign investors significantly purchased in the cash market and by week's end, they turned into net buyers... Despite this, the market broke its five-day upswing on Friday," remarked Pravesh Gour, senior technical analyst at Swastika Investmart Ltd. All key sectors contributed to the climb. Realty, metal, IT, and banking lead the gainers, while FMCG lagged.
