Stock Market This Week: Key Triggers to Watch

This week, the Indian stock market will be shaped by major factors like inflation data, Trump tariffs, and foreign fund outflows. Experts say the Nifty faces a crucial hurdle at 22,700.

🔹 Market Performance Last Week
The Sensex and Nifty rebounded strongly, driven by short covering. The Nifty 50 gained 1.9%, marking its best week in three months, while the Sensex rose 1.6%, logging its highest weekly gain since January-end. Small-cap and mid-cap indices also surged by 5.5% and 2.6%, respectively.

🔹 Inflation Data & Economic Indicators
Investors will closely track India’s CPI inflation and IIP data. Analysts expect food inflation to drop below 5%, helping retail inflation fall below 4% in February 2025.

🔹 FII Activity & Market Stability
Foreign Institutional Investors (FIIs) continued their selling spree, recording ₹15,501 crore in outflows, while Domestic Institutional Investors (DIIs) provided some stability with ₹20,950 crore in inflows. Analysts say FIIs are reallocating funds to markets like the US, China, and Brazil due to better valuations and rising US bond yields.

🔹 Global Cues & Trump Tariffs
Global markets reacted to delayed US tariffs and speculation of further negotiations. A weaker dollar and falling crude oil prices also boosted sentiment. Investors will watch US payroll data, inflation numbers, and geopolitical developments for further cues.

With these key triggers in play, the coming week will be crucial for D-Street traders and investors. 🚀📊