The Indian stock market fell on Thursday, with both Sensex and Nifty dropping by over 0.7%. This decline was mainly due to a sharp rise in oil prices and the rupee hitting a record low, along with other factors that weakened investor confidence. The market remained closed on Friday for Maharashtra Day.
Here are five key factors that may influence the market next week:
UNCERTAINTY OVER IRAN-US TALKS
US President Donald Trump said he was not satisfied with Iran’s recent proposal for talks. However, Iran has shown willingness to continue discussions if the US changes its approach. This suggests that the ongoing conflict may continue. Trump also stated that the US will not end the conflict too soon and repeated that Iran will not be allowed to develop nuclear weapons. Tensions around the Strait of Hormuz, an important oil route, continue to affect global energy supply.
OIL PRICES REMAIN HIGH
Oil prices dropped slightly on Friday after Iran signalled a possible return to negotiations. Still, prices stayed high for the week due to continued tensions. Brent crude settled above $108 per barrel, while WTI was near $102. Experts warn that if the Strait of Hormuz remains blocked, oil prices could rise further.
QUARTERLY EARNINGS UPDATES
Major companies like Kotak Mahindra Bank and DMart reported strong March quarter results. DMart posted a 19% rise in profit, while Kotak Mahindra Bank reported a 13.3% increase. These results may influence investor sentiment.
RUPEE HITS RECORD LOW
The rupee fell to a record low of ₹95.33 due to rising oil prices and concerns about inflation and economic growth. Demand for the US dollar remains strong, which is putting pressure on the rupee.
MARKET SHOWS CAUTION
The Nifty is currently trading near the 24,000 level, with resistance around 24,300–24,400. Support is seen near 23,800. Indicators suggest a cautious mood among investors. Experts advise careful investing, limited risk-taking, and focusing on capital protection due to ongoing volatility.
