The impact of global and domestic factors may be visible on the stock market in the coming week. Higher crude oil prices, West Asia tensions and selling by foreign investors may increase uncertainty in the market.
Market Outlook: The direction of the stock market in the coming week may be influenced by many global and domestic factors. Experts believe that increasing tension in West Asia, high crude oil prices and selling by foreign investors will affect the mood of investors. Because of this, there may be an atmosphere of caution and volatility in the market.
Limited trading days this week
The stock market will remain closed on Thursday on the occasion of Shri Ram Navami, due to which this week will be shorter than normal. The movement of the market will be decided only in limited trading days, due to which the possibility of fluctuations further increases. Investors need to be especially careful while taking decisions during this period.
Impact of crude oil prices on the market
According to expert Ajit Mishra, crude oil prices will continue to fluctuate due to tension in West Asia. If oil prices rise, it may increase inflation and companies’ production costs, which will put pressure on the stock market. Oil prices directly affect consumer spending and industry costs, so investors are keeping a constant eye on it.
Selling by foreign investors
Selling by foreign portfolio investors continues in the Indian stock market this month. Till now he has withdrawn about Rs 88,180 crore. The main reasons behind this are considered to be tension in West Asia, weakness of rupee and high prices of crude oil. This selloff is adding to uncertainty and volatility in the market.
Middle East situation and market reaction
According to expert Ponmudi R, the direction of the market will mainly depend on the events in the Middle East and the situation in the Strait of Hormuz. If tensions persist for a long time, crude oil prices may cross $100 per barrel. This will increase inflation and put the current account under pressure, due to which investors may stay away from risky investments.
Investors will have to be cautious
Experts say that investors should keep an eye on the activities of foreign investors, movement of the rupee and global cues. The strength of the US dollar and the international market situation will also be important. If global tensions ease or crude oil prices fall, the market may see relief. At the same time, if the situation worsens, there will be a possibility of further decline in the market.
Last week’s market situation
Last week also a slight weakness was seen in the market. BSE Sensex fell by nearly 31 points, while NSE Nifty fell by nearly 37 points. It is clear from this that at present there is an atmosphere of uncertainty in the market and investors are being cautious.
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