Market Awaits Oil Prices, Global Yields, FII Flows Amid Ongoing Volatility

The Indian stock market has ended lower for seven consecutive weeks, and it's expected to take cues from several key factors next week. Crude oil prices, global bond yields, foreign fund flows, geopolitical developments in the Middle East, and US economic data releases will be closely watched by investors.

Market sentiment remained subdued throughout the week, with indices trading in a narrow range initially. However, a sharp sell-off on Thursday weighed heavily on investor confidence before value buying in select blue-chip stocks helped the market recover on Friday. The Sensex rose 315.20 points to close at 73,895.74, while the Nifty gained 77.40 points to settle at 23,140.50.

Crude oil prices are expected to remain a major trigger for the equity market next week. With Brent crude hovering above $100 per barrel, concerns over inflationary pressures, higher import costs, and pressure on corporate margins remain elevated. However, the recent easing in oil prices has provided some relief to investors.

Global bond yields will also be closely tracked following the US Federal Reserve's latest policy decision. Rising bond yields and a stronger US dollar could dampen risk appetite and trigger capital outflows from emerging markets, including India. Conversely, any moderation in yields may provide support to equities and improve investor sentiment.