Fed Rate Hike and Global Cues to Drive Indian Equities Next Week

The US Federal Reserve's interest rate decision and global cues will drive Indian equities in the coming week, according to market analysts. The Nifty ended Friday at 23,398.10, declining 79.70 points, or 0.34 per cent, while the Sensex closed at 74,781.76, down 120.83 points, or 0.16 per cent.

The Nifty touched a three-month low during the week as selling pressure persisted across the broader market. The US Federal Reserve's rate decision and FOMC Economic Projections will be the biggest global trigger for markets during the week.

Markets are pricing in a high probability of a 25-basis-point rate hike following the latest inflation data, which showed US headline CPI increased 0.4 per cent month-on-month and remained at 3.4 per cent annually in the September 11 report.