Indian Equity Market Rises on Hopes of West Asia Resolution and Easing Crude Oil Prices

The Indian equity market is expected to rise this week due to hopes of resolving the West Asia conflict, easing crude oil prices, and strong Q1FY27 earnings season.

Brent crude has fallen below $83 per barrel as optimism grows about progress in Iran-Oman talks, which could lead to a broader US-Iran peace agreement. This development is expected to ease concerns around inflation, India's external balances, and corporate input costs.

The RBI's Monetary Policy Committee kept the repo rate unchanged at 5.5% for the fourth consecutive meeting while retaining its neutral policy stance. The central bank raised its FY27 real GDP growth forecast to 6.7%, citing heightened uncertainty from the prolonged West Asia conflict and global trade tensions.