Earnings, Global Trends, and Investor Caution
The Indian stock market is set for a volatile week ahead, with the last batch of quarterly earnings, global trends, and cautious investor sentiment due to the ongoing elections influencing market movements.
Corporate earnings: ONGC, SAIL, BHEL, JK Tyre, One97 Communications, Power Grid, InterGlobe Aviation, ITC, and NTPC will announce their quarterly earnings this week. Positive earnings reports could provide some relief to the uncertain market.
The US Fed Chair's speech on Monday and economic data releases from Japan and the US will influence market sentiments. Movements in the global currency market will also be important factors to consider.
Volatility may continue due to investors' cautious approach during the election season. The markets will remain closed on Monday due to the fifth phase of Lok Sabha elections in Mumbai.
Pravesh Gour, Senior Technical Analyst at Swastika Investmart Ltd., believes positive earnings reports could provide some relief to the market.
Arvinder Singh Nanda, Senior Vice President at Master Capital Services Ltd., highlights the importance of domestic and global economic data, such as India's PMI manufacturing and service data, UK inflation data, and US initial jobless claims.
Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd., expects continued volatility but recommends selective buying in key frontline, mid, and smallcap stocks.
Vinod Nair, Head of Research at Geojit Financial Services, anticipates continued volatility in the near term due to uncertainties surrounding election results and quarterly earnings.
The BSE benchmark climbed 1,341.47 points or 1.84%, and the Nifty went up by 446.8 points or 2%.
The National Stock Exchange (NSE) and BSE conducted a special trading session on May 18 to check their preparedness for handling major disruptions or failures at the primary site.