Quarterly Earnings, Macroeconomic Data, Global Trends To Drive Markets This Week: Analysts

Movement of global oil benchmark Brent crude and the rupee will also influence trading in the markets.

<div class="paragraphs"><p>BSE building in Mumbai. (Source: Vijay Sartape /BQ Prime)</p></div>
BSE building in Mumbai. (Source: Vijay Sartape /BQ Prime)

Quarterly earnings from IT majors Tata Consultancy Services, Infosys, macroeconomic data announcements, global trends and trading activity of foreign investors would guide the movement in the equity market this week, analysts said.

Movement of global oil benchmark Brent crude and the rupee will also influence trading in the markets.

"All eyes will be on the beginning of corporate performance for the second quarter of the current fiscal year. TCS is slated to unveil its Q2 results on Oct. 11, with HCL Technologies and Infosys following suit on Oct. 12.

"Market participants will be keeping an eye on the movement of rupee against the dollar and crude oil prices. Investments by foreign institutional investors and domestic institutional investors will also be monitored," said Pravesh Gour, Senior Technical Analyst, Swastika Investmart Ltd.

On the macroeconomic front, there are important data announcements scheduled. On Oct. 12 is the release of industrial production and manufacturing production data for August, he said.

Simultaneously, inflation rate for September will be announced, providing insights into the country's economic health, Gour added.

Lastly, Wholesale Price Index data for September is slated for release on Oct. 13, 2023, he said.

"We expect the market to take cues from the upcoming earnings season," Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd., said.

Arvinder Singh Nanda, Senior Vice President, Master Capital Services Ltd, said, global and domestic economic data, FII/DII trading activity, upcoming Q2 earnings season, crude oil inventories, movement of rupee against the dollar and treasury bond yields will drive the market in the coming days.

Markets will take further cues from major global events such as Eurozone inflation data, U.S. initial jobless claims and Federal Open Market Committee minutes, he said.

Last week, the BSE benchmark climbed 167.22 points or 0.25%, and the Nifty was up 15.2 points or 0.07%.

Markets remained volatile and managed to end flat amid mixed cues, said Ajit Mishra, SVP - Technical Research, Religare Broking Ltd.

"Attention will shift to quarterly results from the IT and banking sectors starting this week," said Vinod Nair, Head of Research, Geojit Financial Services.