The movement of local stock markets this week will be mainly determined by the macroeconomic data and the decision on the interest rates of the US Central Bank Federal Reserve. Analysts expressed this opinion.
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The movement of local stock markets this week will be mainly determined by the macroeconomic data and the decision on the interest rates of the US Central Bank Federal Reserve. Analysts expressed this opinion. Data on industrial production and retail inflation will be released on Monday. Apart from this, the wholesale inflation data will come on Wednesday.
What do experts say?
Santosh Meena, Head of Research, Swastika Investmart Limited, said that this week is important in terms of global cues. He said that during this time the US inflation data and the decision to review interest rates by the US Federal Reserve will come. According to him, these will be the most important events from the market point of view.
Meena said that on the domestic front, the industrial production (IIP) and retail inflation data will come on December 12. The wholesale inflation data will be announced on 14 December. Apart from this, news coming from China, movement of crude oil prices and dollar index will be other important factors. Meena further said that there is a need to keep an eye on institutional inflows as foreign institutional investors (FIIs) have been net sellers in the past week.
These things will also affect
FIIs sold shares worth Rs 4,305.97 crore on a net basis last week. Last week, the Reserve Bank of India (RBI) had increased the repo rate by another 0.35 percent to bring inflation to a satisfactory level. Vinod Nair, head of research at Geojit Financial Services, said RBI hiked policy rates by 0.35 per cent, as expected, while indicating further hike in rates in the coming meeting. Nair said that due to the new sanctions on Russian oil, the volatility in the global oil markets has increased.
Last week, the BSE Sensex lost 686.83 points or 1.09 per cent. On Friday, the Sensex closed at 62,181.67 and the National Stock Exchange’s Nifty closed at 18,496.6 points.
On the other hand, let us tell you that the market capitalization (market cap) of five of the top 10 Sensex companies has collectively declined by Rs 1,67,602.73 crore in the last week. Reliance Industries has been in the biggest loss. The 30-share BSE Sensex has lost 686.83 points or 1.09 per cent in the last week.
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