Market Insights: Budget, Q3 Reports, and Global Economic Indicators to Influence Upcoming Week
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Synopsis
The Indian stock market faces influences from the upcoming Union Budget, Q3 results from major firms, and global economic indicators like crude oil prices and US GDP data, which will shape investor sentiment in the coming week.
Key Takeaways
- Union Budget 2025 to be presented on February 1.
- Major companies reporting Q3 results include ACC and Tata Steel.
- FIIs offloaded shares worth Rs 22,504 crore last week.
- Nifty Realty index fell 9%, while Nifty IT rose 3.5%.
- Key resistance for Nifty is 23,350-23,450.
Mumbai, Jan 26 (NationPress) The outlook for the Indian stock market in the upcoming week will be influenced by the Union Budget, Q3 financial results, and global economic indicators including crude oil prices, dollar index, and US GDP growth data.
The Union Budget 2025 will be unveiled in Parliament on February 1 by Finance Minister Nirmala Sitharaman.
Major companies such as ACC, Adani Total Gas, Coal India, Piramal Enterprises, Tata Steel, Hyundai Motor India, JSW Energy, Bajaj Finance, and Bajaj Auto are set to announce their third-quarter results for FY25 next week.
In the preceding week, the Indian equity market persisted in its downward trend, facing ongoing technical and fundamental challenges. Both Nifty and Sensex concluded with a dip of 0.5 percent each. This marked the third consecutive week of sell-offs in the stock market, with the Nifty Realty index experiencing the steepest fall of 9 percent. Conversely, the Nifty IT index recorded a rise of approximately 3.5 percent.
Foreign institutional investors (FIIs) offloaded shares worth Rs 22,504 crore in the cash segment, bringing total outflows for the month to over Rs 69,000 crore.
In contrast, Domestic Institutional Investors (DIIs) entered the market with robust net inflows of Rs 17,577 crore during this period.
Puneet Singhania, director at Master Trust Group, remarked, "Nifty is trading below crucial support levels, including the horizontal zone and ascending trendline, as well as the 21 EMA (exponential moving average), 55-week EMA, and 200-day EMA, indicating a downtrend. The resistance zone at 23,350-23,450 continues to restrict any upward movement, reflecting strong selling pressure."
Santosh Meena, head of research at Swastika Investmart, stated, "Bank Nifty remains in a weak position, fluctuating within a narrow range of 47,800-49,800. A breakout above the psychological threshold of 50,000 is necessary for a notable recovery, with 50,800 and 51,500 as subsequent targets. If it falls below 47,800, the next support levels are 47,000 and 46,500."
