FII action, rupee movement among 11 factors to set D-Street mood this week
Nifty ended with 2.2% gains in a truncated week amid significant volatility where India VIX shot up to a 52-week high gaining nearly 10% in four sessions. When markets resume trading on Monday, a host of important domestic and global events lined up during the week are likely to impact them.
«The Nifty and sensex scaled new peaks on Friday, with the Nifty surpassing the 23,000 mark for the first time ever. Sensex and Nifty record the biggest 2-week gain in the last 5 months. Nifty Bank moves 2% higher this week,» Pravesh Gour, Senior Technical Analyst at Swastika Investmart said, adding that the chart structure of Nifty now shows a bullish trend with a buy-on-dip approach should be adopted.
Factors that are likely to impact movement when markets reopen this week:
1) Elections
With six phases of polling over now, the election-triggered jitters appear to be calming now. One more phase of polling will be done on Saturday, June 1 and then the outcome will follow on June 4. The Street will be keeping an eye on the developments through this week.
2) US Markets
US stocks rebounded on Friday after witnessing sharp losses the day before on news of an improving consumer outlook on inflation, sending the Nasdaq to a fifth straight week of gains and record closing high. While Dow 30 ended at 39,069.60, up by 4.33 points or 0.01%, S&P 500 settled at 5,304.72, higher by 36.88 points or 0.70%. Meanwhile, Nasdaq Composite gained by over 184.76 points or 1.10% to end at 16,920.80 on Friday.
When Indian markets reopen on
