Market direction will be determined by global indicators, macro data: Analyst

New Delhi, Oct 2 (PTI) Stock markets may remain affected in the coming week by factors including global trends, macroeconomic data announcement and foreign capital inflows, analysts say.

Analysts said the market will keep an eye on the future course of the rupiah against the dollar and crude oil prices. Due to Dussehra Festival this week, the working day will also be less.

Santosh Meena, Head of Research at Swastika Investments Ltd., said: “Bull traders will need support from global markets to continue last Friday’s rally. Geopolitical tensions, certain macro-economic impacts of the US economy Points like the data announcement, the direction of the dollar index and bond yields will be watched.

On Friday, the last trading day of last week, stock markets reversed the downward trend for seven straight days. The standard ESB Sensex index gained 1,016.96 points or 1.80%, while the standard NSE Nifty index gained 276.25 points or 1.64% in a single day.

“The attitude of institutional investors will play an important role in deciding the direction of the market,” Meena said. As the market is closed on Wednesday for Dussehra, there will also be fewer trading days this week.

There was a major drop in stock markets last week. On a weekly basis, the Sensex fell 672 points, or 1.15%, while the Sensex fell 233 points, or 1.34%.

The market will also keep an eye on some important macro data. Purchasing Managers’ Index (PMI) data for the manufacturing sector is also expected to be released on Monday. At the same time, data related to the services sector will be released on Thursday.

Ajit Mishra, Vice President – Research, Religare Broking Ltd. said: “A new month starts this week with key data such as vehicle sales, manufacturing PMI and services PMI. In addition, the position and currency of foreign institutional investors and traders will also keep an eye on the movement of crude oil.

Amol Athawale, Co-Vice President (Technical Research) of Kotak Securities Limited, said that going forward, global factors will continue to influence domestic market sentiment and any negative news is likely to drive the market further lower. .

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Sean N. Ayres