Analysts say EU budget date, global trends to weigh on markets this week – Market News

Global trends and foreign trading activity are expected to weigh on equity markets this week, with analysts pointing to upcoming earnings reports from IT giants Tata Consultancy Services (TCS) and HCL Technologies as key drivers of investor sentiment.

Experts say markets could consolidate after last week’s record rise.

“The Q1 earnings season begins this week in the country. Key companies such as TCS and HCL Technologies “They will announce their financial results on July 11 and 12, 2024, respectively,” said Pravesh Gour, senior technical analyst at Swastika Investmart Ltd.

IndiaThe Union Budget in July will also be closely watched for policies and developments geared towards growth during the monsoon season. Federal Reserve Chairman Jerome Powell’s testimony on July 9, 2024 is another event that will impact the market dynamics, Gour added.

“Market sentiment will be closely linked to the actions of foreign and domestic institutional investors (FII and DII), as well as oil price movements “prices,” he said.

BSE The Sensex index hit a record high of 80,392.64 points on July 4, while the Nifty touched its all-time high of 24,401 points on the same day.

“The market outlook will hinge on key domestic and global economic data including India’s CPI, industrial production data, Federal Reserve speeches, UK GDP data, US core CPI and initial jobless claims,” said Arvinder Singh Nanda, senior vice president, Master Capital Services Ltd.

Last week, the BSE index rose by 963.87 points or 1.21%, while the Nifty gained 313.25 points or 1.30%.

“With the earnings season starting with the TCS IT Index, expectations of solid results are positive. Management’s commentary on the sector outlook will be closely monitored,” said Vinod Nair, Head of Research, Geojit Financial Services.

“We expect sector-specific moves this week as the market reacts to Q1 FY25 earnings. On the macro front, investors’ focus will be on inflation data releases from India, US and China,” added Siddhartha Khemka, Head of Retail Research, Motilal Oswal Financial Services Ltd.

“Looking ahead, the market direction will largely depend on the upcoming earnings announcements,” said Ajit Mishra, vice president, research, Religare Broking Ltd.

(With PTI inputs)