CashNews.co
All eyes will be on the US Federal Reserve as the long-awaited interest rate cuts might soon be a reality. This will be the most closely watched event in the upcoming week.
Bajaj Housing Finance Ltd., the hottest initial public offering so far this year, will debut on the national bourses on Monday. The NBFC received bids worth Rs 3.23 lakh crore for its Rs 6,560 crore via the maiden issue.
India’s wholesale price index for August will also be closely tracked by traders as they await further cues for markets to rally.
Meanwhile, the Indian markets were back to hitting fresh records after a lull, as foreign investors were back buying domestic stocks. The sentiments were further boosted as India will be the top emerging country to attract inflows when the Fed begins its rate-cut cycle.
Despite volatility, domestic and foreign flows remained positive as a strong monsoon, and expectation of an uptick in demand during the festive season drove investor sentiment, according to Vinod Nair, head of research at Geojit Financial Services Ltd. The market hit a new high as the rate-cut optimism globally (from the ECB and the US Fed) has provided a positive impetus across the global markets, he said.
“Going ahead, market focus will be on the upcoming FOMC meeting next week, while domestic market direction will also be influenced by domestic corporate earnings, which are forecasted to improve in Q2 on a QoQ basis.”