Market Momentum: The Forces Shaping Friday's Stock Market Moves
Ahead of market: 10 things that will decide stock market action on Friday
New Delhi: The Indian stock market is expected to remain volatile on Friday, influenced by various domestic and global factors. Here are 10 key things that could decide the direction of the market:
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RBI's policy decision: The Reserve Bank of India (RBI) will announce its bi-monthly policy decision on Friday. The market will closely watch the policy rate, GDP growth forecast, and the stance on inflation to gauge its impact on the market.
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GDP growth rate: The Q2 GDP growth rate, which is expected to be released on Friday, will be keenly watched by the market. A higher growth rate could boost investor sentiment, while a lower growth rate could lead to a sell-off.
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Global cues: The US-China trade tensions and the global economic outlook will continue to influence the Indian market. A positive development on the trade front could lead to a rally in the market, while a negative development could lead to a sell-off.
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FII and DII flows: The foreign institutional investors (FIIs) and domestic institutional investors (DIIs) will continue to play a crucial role in deciding the market direction. A significant FII outflow or DII inflow could impact the market sentiment.
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Corporate earnings: The Q2 earnings season is expected to continue this week, with several major companies set to announce their results. A strong set of earnings could boost the market, while a weak set could lead to a sell-off.
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Auto sector sales: The auto sector sales data for August is expected to be released on Friday. A strong sales data could boost the market, while a weak sales data could lead to a sell-off.
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Crude oil prices: The crude oil prices have been volatile in recent days, and any significant movement could impact the market. A higher crude oil price could lead to a sell-off in the market, while a lower crude oil price could boost the market.
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Inflation data: The August inflation data is expected to be released on Friday. A higher inflation rate could lead to a sell-off in the market, while a lower inflation rate could boost the market.
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PSU bank results: Several public sector banks (PSUs) are expected to announce their Q2 results this week. A strong set of results could boost the market, while a weak set could lead to a sell-off.
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Market sentiment: The market sentiment will continue to be influenced by the various domestic and global factors. A positive sentiment could lead to a rally in the market, while a negative sentiment could lead to a sell-off.
Overall, the Indian stock market is expected to remain volatile on Friday, influenced by various domestic and global factors. The market will closely watch the RBI's policy decision, GDP growth rate, global cues, and other key factors to gauge its direction.