Market participants will keep an eye on Q2 earnings, FPI activities and global cues

New Delhi [India]: Analysts say that in the coming week, domestic stock markets will turn their focus back to domestic developments like sales of foreign institutional investments, global cues and companies’ earnings and the winter session of Parliament.

Additionally, according to experts, the performance of the banking and IT sectors will be important in deciding the next move of the market.

“Traders will keep a close eye on global market trends. The performance of the banking and IT sectors will be important in deciding the market’s next move,” said Ajit Mishra, SVP Research, Religare Broking Ltd. Geojit Financial Services said Trump’s victory has impacted both equity and bond markets in the US. He said equities were boosted by Trump’s corporate tax cut promises and expectations of a positive impact of his pro-business policies.

Looking at the market movements, Manish Goyal, Founder and MD, Equantis, said investors are closely watching the situation in Maharashtra amid the elections for signals of political stability and possible policy changes.

“Immediate market reaction is expected based on the outcome and perceived stability of the new government. The election outcome will impact both state governance and broader Indian market sentiment,” Goyal said.

Falling by more than two and a half percent during the week, the market resumed its corrective trend after a brief period of consolidation. Despite the flat start, pressure from veteran stocks pushed the benchmark lower, resulting in a subdued close to the week.

Growing concerns over rising CPI inflation and continued disappointment in corporate earnings weighed heavily on sentiment.

As a result, Nifty and Sensex closed at week’s lows of 23,532.70 and 77,580.30 respectively.

Most sectors witnessed a decline in benchmarks, with metals, FMCG and auto stocks being the most affected.

However, the IT sector showed resilience and managed to gain around one per cent amid widespread selling. Broader indices including midcap and smallcap stocks fell by more than 4 per cent.

This article was generated from an automated news agency feed without any modifications to the text.