Mumbai: Indian stock markets are expected to remain volatile in the coming holiday-shortened week. Experts say that the ongoing tensions in West Asia and rising crude oil prices will be the most important factors influencing market movement.
The conflict, involving United States, Israel and Iran, has increased global uncertainty, making investors cautious.
Fewer Trading Days This Week
Markets will remain closed on two days this week due to holidays:
- Mahavir Jayanti
- Good Friday
This means fewer trading sessions, which could lead to higher volatility in the remaining days.
Crude Oil and Rupee Key Triggers
Rising crude oil prices continue to worry investors, as India depends heavily on oil imports. Higher oil prices can increase inflation and hurt economic growth.
At the same time, the movement of the Indian rupee against the US dollar will also be closely tracked. A weak rupee may further impact foreign investment flows.
Foreign Investors Still Selling
Foreign investors have pulled out around ₹1.14 lakh crore from Indian markets this month. This heavy selling has added pressure on the markets.
According to Ajit Mishra from Religare Broking, global trends, oil prices, and any progress in US-Iran ceasefire talks will play a big role in shaping market sentiment.
Important Data to Watch
On the domestic side, investors will track key economic data such as:
- Industrial production (February data)
- HSBC Manufacturing PMI (March data)
These indicators will give clues about India’s economic strength.
Market Outlook
Experts like Ponmudi R from Enrich Money believe markets will remain sensitive to global news. Any escalation in tensions could push markets lower, while signs of improvement may trigger a recovery.
Recent Market Performance
Last week, both Sensex and Nifty 50 ended lower by about 1.27%, reflecting weak sentiment.
Overall, markets are likely to stay uncertain and volatile, with global developments driving investor decisions.
