Mumbai, July 19:The Indian equity market is expected to remain driven by domestic earnings and global developments in the coming week after the benchmark indices ended higher, extending their recovery amid concerns over geopolitical risks, elevated oil prices and uncertainty surrounding the global interest rate outlook.
The Nifty gained around 0.53 per cent during the week to close at 24,334.30, while the Sensex advanced nearly 0.75 per cent to settle at 78,151.45.
The resilience in the market came despite persistent foreign fund outflows and heightened tensions in the Middle East.
Investors' primary focus will be on the June quarter (Q1 FY27) earnings season, which gathers pace in the third week with more than 250 companies scheduled to announce their financial results.
Corporate commentary on demand trends, margins, capital expenditure and future growth outlook is expected to play a key role in shaping market sentiment and stock-specific movements.
Global geopolitical developments are also likely to remain in focus after the United States carried out fresh strikes on Iran.
The US Central Command said the operation followed an earlier Iranian attack in Jordan that killed two American military personnel, while another service member remains missing.
Crude oil prices will be another key monitorable for investors. Oil prices jumped more than 4 per cent on Friday to their highest level in over a month as the intensifying conflict between the US and Iran raised concerns about possible supply disruptions in the Gulf region.
Institutional investment flows will also remain under scrutiny. Foreign institutional investors (FIIs) extended their selling streak for the fifth consecutive session on Friday, recording a provisional net outflow of Rs 376.41 crore. In contrast, domestic institutional investors (DIIs) continued to support the market, remaining net buyers for the eighth straight session with provisional purchases worth Rs 1,017.89 crore.
Exchange data showed that DIIs bought equities worth Rs 17,180.08 crore and sold shares worth Rs 16,162.19 crore during the session.
Meanwhile, FIIs purchased equities worth Rs 14,393.77 crore but sold shares worth Rs 14,770.18 crore, resulting in a provisional net outflow of Rs 376.41 crore.
--IANS
