Indian stock markets, in the upcoming week starting from Monday, will be Geopolitical developments, particularly the ongoing tensions with Pakistan, macroeconomic data and the corporate earnings of the companies.
Indian stock markets is set to be shaped by a mix of domestic and global events in upcoming week, with the market participants keenly watchful on the global trade cues, corporate earnings, and foreign investment trends.
Indian stock markets are continuously moving into the hands of bears amid persistent selling by foreign investors, as corporate earnings remain challenging.
Indian stock markets are expected to remain sensitive to the market triggers such as corporate earnings, key macroeconomic data, including CPI and WPI inflation, and foreign fund outflows amid the ongoing corrective phase, according to the market experts.
Upasna Bhardwaj, chief economist at Kotak Mahindra Bank, noted that the sharp dip in GDP growth reflects the disappointing corporate earnings data, particularly in the manufacturing sector, which appears to have faced the brunt of the slowdown.
Nifty earnings are expected to witness a modest growth of 5 per cent in FY25, marking the first year of single-digit growth in the past five years, according to a report by Motilal Oswal.
After a challenging first half of financial year (FY) 2025, the corporate earnings outlook is likely to improve in the second half as the government spending, robust Kharif crop and improving rural demand is set to revive, Motilal Oswal said in a report.
The Indian equity markets are facing a short-term pressure because of the moderating corporate earnings and the rising geopolitical tensions, highlighted a report by Motilal Oswal.
The report highlighted that domestic investors have been the primary drivers of the recent bull run, as foreign investors have scaled back their involvement.
This week will be dominated by the corporate earnings releases and the highly anticipated Federal Open Market Committee (FOMC) meeting scheduled for April 30 to May 1.
Indian stock market opened with modest gain on Wednesday marking the third consecutive session in the upward gain. The markets gained after the reduced global tensions and strong corporate earnings for the March quarter.
Indian stock indices extended losses from the past week's closing, though marginally, and all eyes are now on a series of Q2 company earnings of sectoral majors coupled with wholesale inflation data for September due later in the day.