There are many factors that affect the Indian stock market every day. Minor inconveniences can cause major trouble, but sometimes a few decisions, whether taken globally or domestically, can rally the market so strongly that people end up earning real profits. And all of this largely depends on investor sentiment. The investor’s mood is a major reason behind stock market rallies. If investors start pumping in money with trust in the stock market, it will begin to surge in favor of traders.
The past few months have been filled with fluctuations in the Indian stock market. At one point, the market hit a lower circuit, with the Sensex dropping below 750 points and the Nifty falling under 24,000. This happened after the US President implied a 25% tariff on India and later slapped another 25% tariff due to India buying oil from Russia.
But according to many analysts, these were just market corrections, the market adjusting itself to the changes that were about to unfold. Smart investors identified opportunities and pumped money into sectors where they saw potential for growth.
Other than tariffs, there are major events that took place this weekend which are going to affect the market starting Monday.
Stock Market Last Week
The Indian stock market last week before closing for weekend, finally broke its six-week losing streak. Oversold levels and positive global signals helped improve investor sentiment.
The stock market indiecs, Nifty and Sensex climbed about 1% for the week. However, overall momentum remained weak due to ongoing foreign selling. Foreign institutional investors withdrew nearly ₹10,000 crore from the cash market, but domestic institutional investors stepped in with strong purchases worth ₹19,000 crore, softening the decline. Broader markets showed signs of recovery, with pharma and auto stocks leading.
However, FMCG stocks lagged behind. While the week provided some relief, investors still feel cautious due to lingering uncertainties.
Let’s Decode The Top Factors That Will Impact The Market And For All The Right Reasons
According to stock market experts and traders, many major factors, both domestic and a few global, are expected to keep the share bazaar on its toes. Stock market enthusiasts should watch the drama unfold with their eyes wide open.
On 15th August, Prime Minister Narendra Modi announced a major reform in the tax structure, a GST reform. Another big trigger will be the Trump-Putin meeting, which ended with no deal in Alaska, and is expected to dominate the market this week. On the other hand, the Fed rate cut being maintained and the US tariff on India will also play a significant role, This is something traders and market enthusiasts must not ignore.
5 Factors That Will Effect The Market For Next Few Days
- GST Reforms
PM Modi’s big GST announcement has excited investors. Lower rates could boost spending and benefit sectors like FMCG and durables. - Trump-Putin Meeting Outcome
The much-hyped meeting ended without a deal, but the friendly tone gives markets hope for future peace talks. - Trump’s Tariffs on India
Despite the noise, experts believe India’s economy is strong enough to handle it, thanks to solid domestic growth drivers. - US Fed Minutes
All eyes are on whether the Fed hints at a rate cut. A positive sign could bring foreign money back in. - Positive Indian Macros
With inflation low, interest rates easing, and a good monsoon, India’s economic mood looks upbeat, great news for the markets.
Aishwarya is a journalism graduate with over three years of experience thriving in the buzzing corporate media world. She’s got a knack for decoding business news, tracking the twists and turns of the stock market, covering the masala of the entertainment world, and sometimes her stories come with just the right sprinkle of political commentary. She has worked with several organizations, interned at ZEE and gained professional skills at TV9 and News24, And now is learning and writing at NewsX, she’s no stranger to the newsroom hustle. Her storytelling style is fast-paced, creative, and perfectly tailored to connect with both the platform and its audience. Moto: Approaching every story from the reader’s point of view, backing up her insights with solid facts.
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