Market Pulse: What's Driving the Next Big Move on Dalal Street

Sunday 23rd of March 2025 12:13:53

Ahead of market: 10 things that will decide D-Street action on Monday

The Indian equity market is expected to see a mixed opening on Monday, with a few factors likely to influence the direction of the market. Here are the top 10 things that will decide the D-Street action on Monday:

  1. Nifty future trading: The Nifty future traded at a premium of 0.15% to the spot price, indicating a positive opening for the market. However, the premium is not very significant, which may not lead to a strong rally.

  2. Global cues: The Asian markets were trading mixed on Monday, with the Japanese market closing in the green. The US market was closed on Sunday, but the European markets were trading lower. The global cues may have a limited impact on the Indian market.

  3. Oil prices: The global crude oil prices have been falling steadily, which may have a positive impact on the Indian market. The domestic fuel prices are likely to come down, which may lead to a boost in consumer spending and economic growth.

  4. RBI's monetary policy: The Reserve Bank of India (RBI) is scheduled to announce its monetary policy on August 7. The market is expecting the RBI to cut interest rates to boost economic growth. A rate cut may lead to a rally in the market.

  5. FII and DII action: The foreign institutional investors (FIIs) have been net sellers in the Indian market for the past few days. The domestic institutional investors (DIIs) have been buying, which may lead to a rebound in the market.

  6. Earnings season: The earnings season is in full swing, with many companies announcing their quarterly results. The market is expecting strong earnings from the IT and pharmaceutical sectors.

  7. Auto sales: The auto sales data for July is expected to be released on Monday. A strong sales data may lead to a rally in the auto stocks.

  8. Inflation data: The wholesale price index (WPI) inflation data for July is expected to be released on Monday. A low inflation rate may lead to a rate cut by the RBI, which may boost the market.

  9. Market breadth: The market breadth has been weak in the past few days, with the advance-decline ratio turning negative. A strong market breadth may lead to a rally in the market.

  10. Put-call ratio: The put-call ratio has been rising in the past few days, indicating a bearish sentiment in the market. A falling put-call ratio may lead to a rally in the market.

In summary, the market is expected to see a mixed opening on Monday, with a few factors likely to influence the direction of the market. The Nifty future trading, global cues, oil prices, RBI's monetary policy, FII and DII action, earnings season, auto sales, inflation data, market breadth, and put-call ratio are some of the key factors that will decide the D-Street action on Monday.