FPIs, FPI data to be released on Nov 30

The coming week is going to be crucial as investors will be watching for Gross Domestic Product GDP growth rate data for Q 2 FY 23 to be released on November 30 for further information on the country's economic situation.

India's economy grew by 13.5 per cent in the first quarter of FY 23 in April-June period. Infrastructure Output data will be released on the same day. The market is going to see a lot of data coming in with monthly sales numbers of auto companies.

On the economy front, traders will first be looking at the core sector data for the month of October and then look at the S&P Global Manufacturing PMI for November to be announced on December 1. Market participants will keep an eye on the legislative assembly election, which is scheduled to be held in Gujarat on December 1 and 5.

Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said FPI investment is showing a positive trend in November. FPIs Foreign Portfolio Investors have been interested in financial services, IT, autos, and capital goods. FPIs have bought equity worth of Rs 31630 crore till November 25th, according to NSDL data. FPIs are unlikely to be major sellers, going forward since their earlier policy of continuous selling in banking has cost them heavily. When FPIs were selling earlier, Domestic Institutional Investors of DIIs were buyers and they gained from the FPI policy of continued selling. The total FPI sold in equity in 2022 was Rs 137166 crore until November 25th, since the dollar was always rising. The market construct in the US has changed to rising equity, falling yields, and a falling dollar. He said this is favorable for the continuation of FPI flows going forward.

On the global front, investors would be watching the Dallas Fed Manufacturing IndexFed Manufacturing Index, the United States US on November 28, followed by the Redbook and House Price Index, the GDP Growth Rate, Goods Trade Balance, Chicago PMI and EIA Crude Oil Stocks Change on November 30, Personal Income, Initial Jobless Claims and S&P Global Manufacturing PMI on December 30, Unemployment Rate and Baker Hughes Total Rig Count on December 2, the US's largest economy, the Dallas Fed Manufacturing IndexFed Manufacturing Index on November 28, and the Dallas Fed Manufacturing

Vinod Nair, Head of Research at Geojit Financial Services, said bulls dominated Dalal Street, with the indexes near record highs, supported by favourable triggers like FII buying, a falling dollar index, and declining bond yields. The rate hike cycle may be slowing down, according to the minutes of the FOMC. There was a drop in crude oil prices due to talks of a possible price cap on Russian oil and a rise in US product stockpiles. The tight COVID lockdown in China has negatively impacted the global growth forecast. The market is volatile in the short term because of the lack of strong fundamental triggers going ahead. The Fed Chair's speech, scheduled for next week, and the release of other significant macroeconomic data will influence the market's future trajectory, he said.

After a sideline trading session, Rupak De, senior technical analyst at LKP Securities, said: "The index has posted a muted close. The Nifty has reached the rising trend line found by joining the previous peaks, according to the daily chart. The momentum indicator has reached the falling trendline on the daily timeframe. We can infer from the price chart and momentum indicator setup that the index is on the verge of strong directional movement over the short term. A fall below 18,450 may lead to a correction towards 18,100 -- 18,000 on the lower end, while a rise above 18,605 may cause a decent rally in the market.