Nifty Ends Week with Gains, Eyes Lifetime Peak

Nifty concluded the week with a 0.6% increase, driven by buying activity in IT, auto, and banking stocks.The index neared its all-time high of 26,277, reached on september 27, 2024, peaking at 26,246.65 on Thursday. Investors anticipate the benchmark will surpass this level, wich has remained unbroken for 421 days, when trading resumes on Monday. Several key domestic and global events scheduled for the week will likely shape market sentiment.

on Friday, Nifty closed 124 points, or 0.47%, lower, finishing the day at 26,068.15.

Pravesh Gour, Senior Technical Analyst at Swastika Investmart, stated that niftys performance this week will largely depend on global cues, as no meaningful domestic macroeconomic announcements are planned. “This makes the Indian equity market more susceptible to international developments, currency fluctuations, and FII activity,” he explained.

Core PPI, retail sales, and the October PCE inflation report will provide crucial signals. Gour cautioned that any unexpected increases could raise U.S. Treasury yields and strengthen the dollar, potentially leading to FII outflows. He also noted that the Thanksgiving holiday in the U.S. on Thursday will likely result in reduced global liquidity.

Here are the factors expected to influence market movement when trading resumes this week:

1. US Markets

Indian markets will likely follow the direction of U.S.equities, which saw strong gains on Friday after Federal Reserve Bank of New york President John Williams indicated “room for a further adjustment” in policy rates, suggesting potential support for another rate cut at the Fed’s next meeting.

Williams’ remarks, delivered at a conference in Chile, sparked a rally on Wall Street, according to the Associated Press.

The Dow 30 closed at 46,245.40, up 493.15 points or 1.08%, while the S&P 500 gained 64.23 points or 0.98% to end at 6,602.99. The Nasdaq Composite finished at 22,273.10, rising 195.04 points or 0.88%.

2. Corporate Action

Several stocks will be in focus this week as they trade ex-dividend: Ingersoll-Rand (India), Power Finance Corporation (PFC), Shyamkamal Investments, AK Capital Services, and Meera Industries. Additionally, HDFC Asset Management Company and thyrocare Technologies will be closely watched.