Market outlook: Quarterly earnings, inflation data, global cues to drive stock market this week

Mumbai, July 13 (IANS) The upcoming trading week is expected to be crucial for Indian stock markets as several key events are lined up, including quarterly earnings, retail inflation figures, developments on the US-India trade deal, and global economic indicators.

Major companies, such as HCL Tech, Nelco, Tata Technologies, Tejas Networks, AWL Agri Business, HDFC Life, Bank of Maharashtra, ITC Hotels, Axis Bank, HDFC AMC, Indian Hotels, Polycab, Wipro, and JSW Steel are scheduled to announce their Q1 results during the week.

On the macroeconomic front, inflation data for June -- both wholesale and retail -- will be released on July 14, which could influence investor mood.

According to Bajaj Broking Research, globally, US inflation data is expected on July 15, followed by industrial production numbers on July 16 and jobless claims on July 17.

These indicators will also play a role in shaping global risk sentiment.

Sudip Shah, Head of Technical and Derivatives Research at SBI Securities, said the Indian market is currently underperforming compared to global peers, many of which are witnessing strong rallies.

This, he added, reflects a phase of consolidation and cautious trading in domestic equities.

He also pointed out that two major factors could drive market direction in the coming sessions -- fresh updates on tariffs and the Q1 earnings season.

The previous week was marked by volatility, with the Nifty slipping 311.15 points or 1.22 per cent to close at 25,149.85, and the Sensex losing 932.42 points or 1.12 per cent to settle at 82,500.47.

IT stocks led the decline, dragging the Nifty IT index down by 3.76 per cent. The Nifty Auto index fell 2.03 per cent, while Nifty Infra and Nifty Energy declined 1.88 per cent and 1.13 per cent, respectively.

However, FMCG stocks saw buying interest, with the Nifty FMCG index ending 2.15 per cent higher.

--IANS

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