Domestic macroeconomic data announcements and the US Federal Reserve's interest rate decision are the major events to drive sentiments in the equity market this week, analysts said.
Last week, the BSE benchmark gained 924.31 points or 1.60 per cent.
In the coming week, the market will first react to October industrial output data that grew further to 3.2 percent against 3.1 percent in September.
The movement of Brent crude, rupee and foreign investors will also be watched by investors.
Meanwhile, check what analysts are saying about the market this week, as per Moneycontrol report.
Santosh Meena, head (research) at Swastika Investmart Ltd
The market will remain busy this week to deal with outcomes of the policy of global central banks where the decision of the US Fed will be the most important. European Central Bank, Bank of England and Bank of Japan will also come out with their monetary policies this week.
The impact of the Omicron variant on the market has cooled off but the news flows related to Omicron may continue to cause some volatility.
Yesha Shah, head (equity research) at Samco Securities
Domestic inflation data and the FOMC meeting will be crucial events that will dominate movements in the Indian benchmark indices.
Shrikant Chouhan, head of equity research (retail) at Kotak Securities, Ltd
Markets in the immediate term will keenly watch out for the actions on asset tapering and key policy rates in the upcoming US Federal Reserve meet.
Ajit Mishra, VP Research at Religare Broking
The coming week is going to be critical for the markets as we have some important data and events are lined up. Importantly, we have the US Fed meet scheduled and they will announce the outcome on December 15. Apart from these data, the updates on the global COVID situation will remain on participants' radar, he was quoted as saying by Moneycontrol.
Though the fear about the new COVID variant has subsided, they are still seeing volatility across the globe and expect the trend to continue next week as well. Going ahead, we feel the recovery would remain uneven, thus recommending continuing with a positive yet cautious approach, the report added.
