Dalal Street Awaits Fed Decision, Crude Price Shifts as Market Reopens
The Indian stock market will be closely watching several key triggers this week as trading resumes after a holiday weekend. On September 15-16, the US Federal Reserve's interest rate decision and commentary on future rates will be crucial for investors. This comes after recent inflation data showed headline CPI rising 0.4% month-on-month and holding at 3.4% annually.
Hariselvan Radhakrishnan, Founder & CEO of HST Wealth, said the US Federal Reserve's monetary policy decision will dominate the week. He added that crude oil prices will remain an immediate external risk for Dalal Street. A renewed rise in crude could add to inflationary pressures and weigh on corporate margins.
Ajit Mishra, SVP of Research at Religare Broking, also noted that developments in the US-Iran conflict and movement in Brent crude will be critical market drivers. Investors will have a string of domestic data to track, including WPI inflation, trade figures, unemployment, and balance of trade numbers.
The Nifty-50 has now extended its weekly losing streak to five consecutive weeks, with the BSE benchmark Sensex losing 1,733.67 points or 2.26% last week.