Key Triggers for Stock Markets in the Coming Week: Q4 Results, Auto Sales, US Fed Policy, IPOs, FII Activity, Global Cues, Oil Prices, Corporate Action, Technical View

The first month of the new financial year 2024-25 (FY25) is coming to a close with several key events shaping the stock market landscape. As the US Federal Reserve policy meeting outcome looms, investors are also gearing up for the start of May, which will set the tone for the upcoming high-stakes general elections in 2024.

Indian stock markets saw a rebound after two weeks of profit-taking, gaining over a percent in the past week. The markets started on a positive note but faced volatility as the week progressed, with uncertainties surrounding mixed earnings. A sharp surge on Thursday provided some relief, but profit-taking on Friday capped the momentum. The broader market, however, saw significant gains with mid-cap and small-cap indices surging by around four percent.

Key sectors like realty, metal, and pharma posted strong gains, while Kotak Mahindra Bank experienced its worst week in nearly four years after the RBI barred the private lender from taking new digital clients and issuing credit cards. Overall, the BSE benchmark advanced by 0.87 percent, and the NSE Nifty climbed by 1.23 percent.

Market experts attribute the market rally to relief from Middle East tensions, a correction in oil prices, and a bolstered Indian economic outlook fueled by elevated composite PMI data from the manufacturing and service sectors. However, the unexpected decline in US GDP and a surge in the US core PCE price index triggered a global stock market downturn on the last trading day.

Looking ahead, investors will be closely watching the ongoing Q4FY24 earnings reports, auto sales numbers, and the US Federal Reserve’s interest rate decision. The upcoming week will also see the launch of several IPOs and listings, with a focus on global indicators and corporate results.

Analysts expect volatility to continue over the ongoing quarterly results, with Nifty 50 finding support in the range of 22,200-22,300. Traders are advised to focus on performing sectors and stock-specific actions for good opportunities.

Overall, the market outlook will be guided by key triggers such as Q4 results, auto sales, the US Fed policy decision, FII activity, global cues, oil prices, and corporate actions. Technical analysis suggests a cautious optimism in the market, with Nifty facing resistance at crucial levels and Bank Nifty potentially entering a consolidation phase.

Investors are advised to consult with certified experts before making any investment decisions.