The Indian equity market is poised to be influenced by domestic earnings and global events in the upcoming week. Despite concerns over geopolitical tensions, high oil prices, and uncertainty in global interest rates, the benchmark indices closed higher. The Nifty rose by about 0.53% to end at 24,334.30, while the Sensex climbed nearly 0.75% to settle at 78,151.45.
Investor sentiment remained strong despite ongoing foreign fund outflows and escalated tensions in the Middle East. The focus now shifts to the Q1 FY27 earnings season, with over 250 companies set to disclose their financial results in the third week. Market sentiment and individual stock movements are likely to be influenced by corporate insights on demand patterns, margins, capital spending, and future growth prospects.
Besides earnings, global geopolitical developments will continue to be a key area of interest. Following recent US strikes on Iran in response to an earlier attack in Jordan, geopolitical tensions are heightened. Investors are also closely monitoring crude oil prices, which surged over 4% to a one-month high due to concerns about potential supply disruptions in the Gulf region amid US-Iran tensions.
Institutional investment flows are under scrutiny, with foreign institutional investors (FIIs) seeing a fifth consecutive session of net outflows, while domestic institutional investors (DIIs) remained net buyers for the eighth straight session. DIIs were net buyers with purchases of Rs 1,017.89 crore, while FIIs recorded a net outflow of Rs 376.41 crore. Data revealed that DIIs bought equities worth Rs 17,180.08 crore and sold shares worth Rs 16,162.19 crore, while FIIs purchased equities worth Rs 14,393.77 crore but sold shares worth Rs 14,770.18 crore.
