Mumbai (Maharashtra) [India], December 29 : As we are inching closer to the new calendar year and month, the market participants in the Indian stock market will closely watch auto sales data, foreign institutional investments (FIIs) flows and currency movement, the upcoming earnings season, the Union Budget, and the inauguration of President-elect Donald Trump, as per the market analysts.
According to the market experts, the movement of Indian Rupee will be closely monitored by the market participants in the upcoming trading week.
"Amid mixed signals from the indices, some sectors continue to offer opportunities. Pharma and healthcare remain outperformers, while selective recoveries in FMCG, banking, and realty stocks provide potential buying opportunities. However, PSU and metal sectors appear vulnerable to further downside, warranting cautious handling," stated Ajit Mishra - SVP, Research, Religare Broking Ltd.
Manish Goel, Founder and Director, Equentis Wealth Advisory Services Pvt Limited, observing the investors sentiments stated that markets are anticipated to transition into a new macroeconomic regime in 2025.
The market movements will be shaped by heightened uncertainty around inflation and economic growth, prompting expectations of prolonged elevated interest rates in the United States, he stated.
"Key developments, including the upcoming earnings season, the Union Budget, and the inauguration of President-elect Donald Trump, are positioned to serve as significant indicators for market direction as the New Year unfolds," he stated.
The markets witnessed consolidation last week, gaining nearly 1 per cent, as the Nifty and Sensex closed at 23,813.40 and 78,699.07, respectively. Trading sentiment remained subdued due to persistent selling by FIIs and muted global cues amid the onset of the year-end festive season, which limited recovery.
Sectoral performance was mixed, with pharma, auto, and FMCG sectors showing resilience, while metals lagged behind. Broader indices, including midcap and smallcap segments, ended almost unchanged, reflecting cautious participation.
India's Initial Public Offering (IPO) market skyrocketed in 2024 and dominated the Asia-Pacific region with over 200 companies going public and raising USD 11.2 billion, a sharp jump from USD 5.5 billion in 2023.
The biggest IPO was led by Hyundai Motor's USD 3.3 billion issue, signifying strong retail participation and investor confidence and propelling India as a global fundraising powerhouse.
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