if you If you invest money in the stock market, you will be curious to know how things will be from next week i.e. Monday. Let us tell you that macroeconomic data, global trends and activities of foreign investors will decide the direction of the stock markets next week. Analysts have expressed this opinion. Last week, the trend of decline in the local stock markets in the last five weeks stopped. The market registered good gains on Friday. Last week, the 30-share BSE Sensex gained 500.65 points or 0.77 per cent, while the National Stock Exchange’s Nifty gained 169.5 points or 0.87 per cent. “On the global front, problems in China’s real estate market, volatility in the dollar index and US bond yields will play a role in shaping the market throughout the week,” said Pravesh Gaur, Senior Technical Analyst, Swastika Investmart Ltd. Apart from this, S&P’s global services PMI, America’s unemployment data and the outlook on the monetary stance of the Federal Reserve will be important from the market’s point of view.
The rise in the stock market may continue
Shrikant Chauhan, head of research (retail), Kotak Securities, said, “After a sluggish to negative sentiment last month, foreign investors are once again looking at Indian markets with renewed hope. This is because India has overcome global economic challenges and is performing better on most economic fronts.” He said that foreign investors have remained net buyers in Indian stocks in the last five sessions. Recent data such as strong gross domestic product (GDP) data for the first quarter, Goods and Services Tax (GST) collections for the month of August and better PMI data for the previous month may boost their confidence in the local markets. This means the stock market may continue to rise.
Investors will keep an eye on these figures
PMI (Purchasing Managers Index) data for the services sector will come on Tuesday. Arvinder Singh Nanda, Senior Vice President, Master Capital Services said, “On the macro front, some of the key factors that will guide the market in days to come are. S&P Global Services PMI, Euro Area S&P Global Composite PMI, UK Services PMI, Euro Area GDP Data for Q2, US Factory Orders Data and Crude Oil Prices.” Vinod Nair, Head of Research, Geojit Financial Services Said that in the absence of any leading indicator, the domestic market will take direction from the global trend. These include America’s payroll and PMI figures. Apart from this, crude oil prices and the exchange rate of rupee against US dollar will also decide the direction of the market.
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