Cautious Week Ahead for Dalal Street as Oil, FII Flows and Global Tensions Weigh

Mumbai — The Indian equity market is expected to face a volatile and slightly pressured week ahead, with multiple global and domestic factors shaping investor sentiment.

Rising crude oil prices, continued foreign institutional investor (FII) outflows, and geopolitical tensions—particularly involving the United States and Iran—are likely to keep markets on edge. At the same time, a packed earnings calendar could drive stock-specific movements despite broader caution.

In the previous session, benchmark indices ended lower. The Nifty 50 declined 0.73% to close at 24,000, recovering from intraday lows, while the BSE Sensex fell 0.78% to settle at 76,891.

The decline was largely led by oil-sensitive sectors, as global crude prices remained elevated above the $100-per-barrel mark. Brent Crude is hovering near $108 per barrel, while West Texas Intermediate is trading around $101, adding pressure to import-heavy economies like India.

From a technical standpoint, analysts believe the Nifty is currently in a consolidation phase with a slight upward bias. Immediate resistance is seen at 24,350 and 24,600, while key support levels are placed at 23,900 and 23,550. A breach below 23,500 could trigger sharper selling.

Looking ahead, over 250 companies are scheduled to announce their March quarter earnings, which could lead to heightened stock-specific volatility.

Currency movements will also remain in focus. The Indian rupee recently touched a record low against the US dollar amid rising oil prices before showing some recovery, reflecting underlying macroeconomic pressures.

Overall, investors are expected to remain cautious, closely tracking global developments, oil price trends, and institutional fund flows for clearer direction.

With inputs from IANS