The market outlook for the coming week will be shaped by a combination of domestic and global economic factors, including key indicators such as PMI data, foreign institutional investments (FIIs), auto sales figures, and major US economic data releases. Among the most closely watched developments will be the HSBC Composite PMI data for India, set to be released on Friday, while auto companies will begin reporting their sales figures from Monday.
On the global front, market sentiment will be influenced by policy developments related to India-US tariffs and the potential impact of former US President Donald Trump’s announcement of a 25% tariff on finished vehicle imports, which is set to take effect from April 3. Additionally, investors will closely track the speech by US Federal Reserve Chair Jerome Powell, as well as a series of crucial US economic data releases, including job openings, non-farm payrolls, and the unemployment rate.
Last week, the Indian stock market ended on a positive note, with both the Nifty and Sensex posting gains of approximately 0.70%, closing at 23,519.35 and 77,414.92, respectively. Banking stocks played a key role in driving the rally, with Bank Nifty rising nearly 2% to settle at 51,564.81. Among sectoral indices, Nifty PSE and FMCG emerged as the top performers, whereas media and pharma stocks lagged behind.
Foreign institutional investors continued their buying spree, infusing Rs 17,426 crore into equities between March 24 and 28, while domestic institutional investors contributed Rs 6,797 crore during the same period. This consistent inflow of foreign capital helped the Nifty post a 6.3% gain in March, reversing losses from the previous month and closing on a strong note.
The Indian stock market will remain closed on March 31 in observance of Eid.
According to Puneet Singhania, Director at Master Trust Group, Nifty has strong support at 23,300, and if breached, it could decline towards 23,000. On the upside, resistance is seen at 23,800, and a breakout above this level could push the index towards 24,100, potentially extending the ongoing rally.
(IANS)
