Monday saw benchmark indices Sensex and Nifty trade on a positive note, reflecting gains in Asian counterparts following China’s implementation of market-supporting policies and US data stoking expectations of an early Federal Reserve interest rate decrease.
With the Interim Budget and a tonne of earnings scheduled, this week on D-Street will be jam-packed with activity. India’s VIX increased by 8% today, signalling potential volatility. Over 1% was gained by the Nifty Financial, Media, PSU Bank, and Private Bank indices.
This week marks the arrival of two significant events: the Fed meeting on rate decisions and the interim budget. It seems improbable that these occurrences will have a significant effect on the market. The budget will be put to a vote without any significant announcements that could move the market. No rate reduction is anticipated in response to the Fed’s decision, but the commentary will be closely observed.