Fed Policy, Earnings Season and Global Tensions Set the Tone for Markets This Week

New Delhi — A combination of global cues and domestic developments is expected to steer the Indian stock market in the coming week, with investors closely tracking the US Federal Reserve’s policy decision, quarterly earnings, geopolitical tensions, and crude oil price movements.

Benchmark indices — BSE Sensex and Nifty 50 — ended the week in negative territory after two consecutive weeks of gains. The decline was driven by rising geopolitical concerns and cautious outlooks from major IT companies.

After a brief early rise, markets faced sustained selling pressure. The Nifty fell 1.87% to close at 23,897.95, while the Sensex dropped 2.33% to settle at 76,664.21.

From a technical standpoint, analysts see immediate resistance for Nifty around 24,000, followed by 24,150 and 24,350 levels. On the downside, support is placed at 23,800 and 23,700, with a break below 23,500 potentially triggering sharper declines.

A key global event this week is the meeting of the Federal Open Market Committee scheduled for April 28–29. Markets largely expect the Federal Reserve to keep interest rates unchanged for the third straight meeting after pausing rate moves earlier this year.

On the domestic front, the fourth-quarter earnings season will pick up momentum, with over 200 companies set to report results for the quarter ended March 31, 2026. Investors will focus on management commentary for insights into demand trends, margin pressures, and sector-specific outlooks, especially after muted guidance from IT firms.

Geopolitical developments will also remain a major factor, particularly tensions involving the US and Iran. Recent remarks by Donald Trump regarding engagement with Iran have added to uncertainty, keeping global sentiment cautious.

Crude oil prices will be another critical variable. Volatility in oil markets, driven by supply concerns and potential diplomatic developments, could directly impact investor sentiment and market direction in the days ahead.

With inputs from IANS