Last week, the BSE benchmark Sensex jumped 562.63 points, or 0.78 percent, while the NSE Nifty was up 98.5 points, or 0.43 percent. Analysts predict that major quarterly earnings from companies like Wipro and HCL Tech, along with inflation figures, global trends, and crude oil price movements, will drive stock market movement this week.
Market Influencers
Market investors will closely monitor:
- Foreign investor trading activity
- Rupee movement
- US Treasury yields
- Geopolitical developments
Hariselvan Radhakrishnan, Founder & CEO of HST Wealth, stated, "September CPI inflation will be the first major domestic test this week. A stronger-than-expected reading could revive concerns over further RBI tightening, putting rate-sensitive sectors such as banking, automobiles, and real estate under pressure while raising the risk of a broader drag on consumer demand."
He added, "A softer print could ease concerns over the eventual peak in interest rates, but any relief may prove short-lived if Brent crude remains above USD 100 a barrel. Wholesale price inflation data will offer a further indication of how elevated energy and logistics costs are filtering through to producer prices."
IT Sector Focus
The IT sector will remain in focus as HCL Technologies, Wipro, and Tech Mahindra report their September quarter results. The sector staged a sharp rebound on Friday following TCS's better-than-expected earnings. Radhakrishnan noted that whether the recovery gains traction will depend on the performance of its peers and their outlook for the coming quarters.
