Mumbai: Indian stock markets ended last week with solid gains. The Sensex rose 901 points (1.12%) and the Nifty advanced 314 points (1.28%), boosted by strong economic data and supportive policy moves. Analysts say this positive momentum may continue, but global and domestic data will play a key role in shaping investor mood this week.
Domestic Focus: Inflation Data
A major factor to watch will be India’s August inflation numbers, set to be released on September 12. This will be closely tracked as it may influence the Reserve Bank of India’s future policy stance. Consumption-driven and capital expenditure-linked sectors are likely to draw special investor attention, analysts believe.
Global Data and Fed Cues
Globally, all eyes will be on US economic indicators such as consumer inflation, jobless claims, and consumer sentiment. These figures are crucial as they will shape expectations about the US Federal Reserve’s policy. The Fed is set to meet on September 16-17, making this week especially important for global markets. Updates on the India-US trade deal may also help improve investor sentiment further.
Other Key Drivers
Besides inflation and Fed cues, crude oil prices and the rupee-dollar movement will continue to guide trading trends. Market experts also pointed out that the recent GST rate cuts could act as a positive trigger, sparking interest in certain sectors and offsetting the negative impact of global trade tensions.
A Busy Week Ahead
This week will also see other critical global events, including the European Central Bank’s interest rate decision and Japan’s Q2 GDP numbers. Together with US data and India’s inflation print, these factors will determine whether Indian markets can extend their gains or face renewed pressure.
