last week There was a spectacular rise in the stock market on the last trading day of 2018 i.e. Friday. BSE Sensex rose 843.16 points to close at 82,133.12. In such a situation, will the market rise continue in the new week starting from Monday or will there be a break once again? Stock market experts say that the direction of Indian stock markets this week will depend on the interest rate decision of the US Central Bank, wholesale inflation data and investment by foreign institutional investors (FIIs). Apart from this, investors will keep an eye on global trends for further indicators.
Global and domestic factors will impact
Pravesh Gaur, Senior Technical Analyst, Swastika Investmart Ltd. said that the future trend of the Indian stock market will depend on global and domestic factors. Global trends, especially the performance of US markets and the policy decision of the Federal Reserve, will play an important role in this. Apart from this, inflation data on the domestic front will also be important for market sentiment. He said that along with this, the flow of foreign and domestic institutional investors will be important for the market. Gaur said that market participants will also keep an eye on the movement of rupee against dollar and crude oil prices. Talking about domestic macroeconomic data, everyone’s eyes will be on the Wholesale Price Index (WPI) based inflation data on Monday.
Fed may once again reduce interest rates
Ajit Mishra, Senior Vice President (Research), Religare Broking Limited, said that this week the market will keep an eye on the US Central Bank meeting. The market is already assuming that the Federal Reserve will cut the key policy rate by 0.25 percent. The US Central Bank’s comments regarding future policy rates will also be important. Last week, the 30-share BSE Sensex rose 623.07 points or 0.76 percent. Whereas the National Stock Exchange’s Nifty gained 90.5 points or 0.36 percent. On the domestic front, investors will also keep an eye on wholesale inflation data to be released on Monday, an analyst said.
