Analysts point to macroeconomic data, global trends, and earnings as the key factors influencing market trends.

Furthermore, the trading pattern in equity markets will be influenced by the movement of the rupee against the US dollar and the global oil benchmark Brent crude price.

This week, the domestic macroeconomic numbers to watch out for include the PMI data for the manufacturing and services sectors, which will be announced on Tuesday and Thursday, respectively.

According to analysts, the equity markets will be influenced this week by domestic macroeconomic data announcements, global trends, quarterly earnings, and foreign fund trading activity.

Additionally, the movement of the rupee against the US dollar and the global oil benchmark Brent crude price will also play a crucial role in guiding the trading pattern.

From a macroeconomic perspective, market participants will closely monitor key events such as the release of the US manufacturing PMI data, US services PMI data, and US non-farm payrolls scheduled between August 1 and August 4.

These indicators can offer valuable insights into the global economy’s state and may impact market sentiment. Furthermore, institutional activity will also wield significant influence on market trends, as stated by Pravesh Gour, Senior Technical Analyst at Swastika Investmart Ltd.

This week, there are several important domestic macroeconomic numbers to look out for, including the PMI data for the manufacturing and services sectors, which will be announced on Tuesday and Thursday, respectively.

Additionally, a number of notable companies are set to announce their June quarter earnings during the week. These companies include Adani Green Energy, Adani Transmission, GAIL, Ambuja Cements, InterGlobe Aviation, Titan, Adani Enterprises, Mahindra & Mahindra, and State Bank of India.

“Ajit Mishra, SVP- Technical Research, Religare Broking Ltd, stated that aside from earnings, they have been closely monitoring the performance of global indices for signals, and the prevailing strength in the US markets provides them with confidence to maintain a bullish view.

At the start of the week, the focus was on auto companies, as they announced their monthly sales data.

Vinod Nair, Head of Research at Geojit Financial Services, highlighted that in the coming days, domestic earnings will remain a crucial factor driving market trends, while global cues will also play a significant role.

Last week, the BSE benchmark experienced a decline of 524.06 points or 0.78 per cent. This marked the end of a four-week long gaining streak, as the markets took a breather after the recent surge.”

On July 28, the 30-share BSE Sensex experienced a decline of 106.62 points or 0.16 per cent, settling at 66,160.20. Simultaneously, the NSE Nifty also decreased by 13.85 points or 0.07 per cent, finishing at 19,646.05. Notably, the BSE benchmark had reached its all-time high of 67,619.17 on July 20.

Siddhartha Khemka, Head of Retail Research at Motilal Oswal Financial Services Ltd, mentioned that the market will be closely monitoring the release of manufacturing data, both globally and locally, during the week. Additionally, the rate decision by the Bank of England on Thursday and the monthly sales numbers from the auto sector will be in focus.

News Source