After trading range bound, the market ended the week on a positive note after the cooling down of U.S. inflation, declining Jobless data and impressive retail sales data.
Earlier during the week, the markets were flat and were trading in a certain range driven by ongoing foreign fund outflows, mixed trends in global markets and the latest report from Hindenburg, which has led to some caution among the market participants. If we look at domestic macros, domestic inflation has cooled to a five-year low of 3.54%, while direct tax collection for FY25 has surged by 23% to Rs 7 lakh crore.
These positive economic indicators, along with good quarterly earnings, have likely set a favourable tone for the markets. We are witnessing sector-specific movements, and any significant declines may present buying opportunities. The overall market sentiment remains bullish due to strong economic data and a good earning season.
With this, let us move to our weekly market review. How Did the Markets Fare Last Week? On a weekly expiry basis ended on Wednesday, the Indian benchmark indices ended in red. Sensex and Nifty were between 0.
4 and 0.6%, while Midcaps were down 0.6%.
What Might Keep the Markets Busy Into the Next Week? As the Q1FY25 Earnings come to an end, markets will now look onto local and global macro cues. Investors will shift their focus to a speech by the Fed Chair at Jackson Hole scheduled between 22-24 August, where he may map out the final steps in the US Central Bank’s campai.