Key trends and know what experts are saying

The announcements of domestic macroeconomic data and the US Federal Reserve’s interest rate decision are key events to boost stock market sentiment this week, analysts say.

Last week, the BSE benchmark reached 924.31 points or 1.60 percent.

In the coming week, the market will react for the first time to October industrial production data, which grew further to 3.2 percent, from 3.1 percent in September.

The movement of Brent crude, rupee and foreign investors will also be watched by investors.

Meanwhile, check what analysts are saying about the market this week, according to the Moneycontrol report.

Santosh Meena, Head of (Research) at Swastika Investmart Ltd

The market will remain busy this week to digest the outcomes of global central bank policies, with the decision by the US Fed being the most important. The European Central Bank, the Bank of England and the Bank of Japan are also coming out with their monetary policy this week.

The impact of the Omicron variant on the market has cooled, but news flows related to Omicron may continue to provide some volatility.

Yesha Shah, Head (Equity Research) at Samco Securities

Domestic inflation data and the FOMC meeting will be pivotal events that will dominate movements in Indian benchmark indices.

Shrikant Chouhan, Head of Equity Research (Retail) at Kotak Securities, Ltd

In the near term, markets will be keen to watch the deleveraging actions and key policy rates at the upcoming US Federal Reserve meeting.

Ajit Mishra, VP Research at Religare Broking

The week ahead is going to be crucial for the markets as we have some key data and events in the pipeline. Importantly, we have scheduled the US Fed meeting and they will announce the outcome on December 15th. Beyond this data, updates on the global COVID situation will remain on the participants’ radar, Moneycontrol said.

While fears of the new COVID variant have eased, they are still seeing volatility around the world and expect the trend to continue next week. If we continue, we believe the recovery will remain uneven, so we recommend continuing with a positive but cautious approach, the report added.