Markets Ahead: Investors On Lookout For Q1 Earnings, Fed's Interest Rate Decision, Domestic PMI Data, Say Experts

Notably, the US Federal Reserve is scheduled to reveal its interest rate decision on July 31, 2024. This will provide a crucial insight into the road ahead for global economies

Current earnings season, interest rate decision from the US Federal Reserve, and trading activity of the foreign institutional investors (FIIs) is expected to leave a major impact in the stock market in the coming week. Experts noted that macroeconomic data along with trends in the global market will act as major triggers for investors in the week.

Further, the market will also keenly track fluctuations in global oil prices and movements in currencies such as rupee and dollar, reported PTI.

Santosh Meena, Head of Research, Swastika Investmart Ltd, noted, “This week, the focus will shift to global cues, particularly the US markets. Additionally, other macroeconomic data from the US and China will be closely monitored. On the domestic front, Q1 earnings will remain a key trigger, with many large companies scheduled to report their results.”

Notably, the US Federal Reserve is scheduled to reveal its interest rate decision on July 31, 2024. This will provide a crucial insight into the road ahead for global economies.

The major earnings expected in the week include Adani Power, Bank of Baroda, Coal India, M&M, Maruti, GAIL, BHEL, Adani Enterprises, Tata Motors, and Tata Steel, among others. 

Elaborating on the week’s outlook, Arvinder Singh Nanda, Senior VP, Master Capital Services Ltd, said, “The outlook for the market will be guided by major domestic and global economic data such as  India's infrastructure output, manufacturing PMI, China manufacturing PMI, BoE (Bank of England)  interest rate decision, US nonfarm payrolls and Federal Reserve press conference.”

Notably, the markets witnessed major volatility last week, along with profit-taking. The key benchmark, BSE Sensex gained 728.07 points or 0.90 per cent, while the NSE Nifty climbed 303.95 points or 1.23 per cent in the week. 

Deepak Jasani, Head of Retail Research, HDFC Securities, commented that global investors will keenly observe earnings from the US’ tech companies, along with the employment data scheduled to be released by the States. These will help understand the near-term trajectory of the US stocks, the analyst pointed out.

Domestically, Vinod Nair, Head of Research, Geojit Financial Services, stated, that the markets will be influenced by the earnings season. Further, macroeconomic data at the global level such as fiscal policy from the US Fed and BoE, GDP data from Eurozone, etc will also drive market trends.