Indian stock market is set to begin the new financial year 2024-25 on a positive note after a bullish end to fiscal 2023-24. The market closed with strong gains, driven by robust macroeconomic indicators and corporate growth earnings. As the new fiscal year kicks off, investors will be closely watching key triggers such as the RBI Monetary Policy Committee meeting, auto sales figures, Q4 company updates, foreign capital inflow, crude oil prices, and global cues.
The Nifty 50 and Sensex ended FY24 on a high note, with Nifty 50 gaining 29% and Sensex rising 24%. Both indices logged gains for four consecutive quarters, with a second straight weekly gain of 1.04% at the end of FY24. Despite initial highs during the last trading day of FY24, both indices saw a slight downturn in the final hour of trading.
Looking ahead to FY25, analysts express optimism towards sectors like Pharma, Capital Goods, and Infra, while cautioning about challenges in sectors like FMCG and IT. The focus will be on large caps, with expectations of a positive tone in the market.
The coming week will see several IPOs and listings across the SME segment, along with corporate earning updates and auto sales figures. Foreign portfolio investors have shown renewed interest in Indian equities, with the highest FPI inflow since FY21. Global cues, oil prices, and OPEC meetings will also influence market sentiment in the first week of FY25.
Technical analysts suggest a positive outlook for the market, with a focus on index majors and large midcaps. Nifty’s immediate hurdle is seen at its all-time high, while support is placed at the 22,000 mark. Overall, the market is expected to see volatility, with a positive momentum depending on key triggers and market alignment.
