FII flows, 11 IPOs, Accenture results among 8 factors likely to influence D-Street this week
Dalal Street, and market experts see them riding indices further higher in the near term.
Last week’s rally was driven largely by foreign inflows, which will be essential for a sustained up-move in the market.
After the 7% gains clocked in by Nifty 50 so far in December, technical charts, however, suggest that the market has entered into an overbought zone, and some cooling off to that extent is warranted.
“From a technical standpoint, the Nifty is maintaining its bullish momentum, marked by a breakout from a flag formation. The immediate target stands at 21,700, with the possibility of further upward movement to 22,000, although some consolidation may follow,” said Santosh Meena, head of research, Swastika Investmart.
On Friday, the Nifty 50 ended at a record closing high of 21,456.65 points with 1.3% gains.
While the outlook for the secondary market remains positive, the action is likely to be more in the primary market as a plethora of IPOs are scheduled to hit the Street.
Here are a few other factors that will drive the momentum for markets in the coming week.
Global Markets
Strong gains in global markets after the US Federal Reserve guided for a cut in interest rates in 2024, aided the domestic markets as well and drove indices to record highs.
Therefore, the sustenance of gains in global markets will be important for the continuation in the domestic market momentum.
Barring China, most other major emerging markets, Europe, and US equities clocked gains of more than 1-3% in the week gone by.
IPO Watch
As many as 11 companies will launch their public offers next week — with seven of them in the main segment — setting the stage for the red-hot primary market to end the year with a bang.
The seven
