Macroeconomic data and global trends will decide the direction

The direction of Indian stock markets will be influenced by key economic data, global events, and activities of foreign institutional investors (FIIs) this week. With the beginning of a new calendar year and month, investors are waiting for new signals in the market. Along with this, investors will also keep a special eye on the movement of the rupee, because last Friday the rupee had reached its lowest level till date.

FII selling pressure

According to Santosh Meena, Head of Research, Swastika Investmart, continuous selling by foreign institutional investors (FIIs) is putting pressure on Indian markets. He says that the stance of FIIs in the new year will influence the near-term trends of the market.

• Vehicle Sales Figures: The announcement of monthly vehicle sales figures will be an important trigger for the market.
• Financial results of the third quarter: The impact of the quarterly results will also be visible on the market movements.
• International Factors:
  • China and US Manufacturing PMI
  • US unemployment claims
  • Dollar index and US bond yields

keep an eye on vehicle stock

Due to the release of vehicle sales figures this week, vehicle stocks will remain a topic of discussion among investors. The announcement of monthly sales figures can influence the movement of these stocks.

expert opinion

Ajit Mishra (Religare Broking Limited)

• Vehicle sales figures will be closely monitored.
• FII inflows and rupee movement will play an important role in deciding the market direction.
• A weak rupee against the US dollar could be a cause of concern for investors.

Vinod Nair (Geojit Financial Services)

• The market will keep an eye on the results of the third quarter.
• Investors can balance their portfolio based on upcoming pre-Budget expectations.
• PMI data from India, US, and China and US unemployment claims will impact market sentiment.

Last week’s market performance

• Sensex: Gain of 657.48 points (0.84%).
• Nifty: Up by 225.9 points (0.95%).

potential market trend

Puneet Singhania (Master Trust Group)

• The market trend will be decided by domestic and global economic data.
• Prime factors:
  • India’s infrastructure statistics.
  • Manufacturing PMI.
  • UK S&P Global Manufacturing PMI.
  • US Initial Unemployment Claims.

Siddharth Khemka (Motilal Oswal Financial Services)

• The market may remain in a limited range in the near future.
• In the absence of significant triggers, the market may remain stable.