New Delhi, Jun 21 (PTI) Geopolitical developments and trend in COVID-19 cases will set the tone for equity markets this week, analysts said, adding that with no major events scheduled, indices may consolidate.
“Going ahead, we expect the market momentum to continue in near term on back of changed sentiments and improved liquidity.
“Apart from global cues and development around geo-political tensions, the monthly F&O expiry would be some of the key monitarables,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services Ltd.
According to analysts, besides stock-specific action, trend in global markets and foreign fund movement would also dictate sentiments.
Rupee-dollar dynamics and crude oil movement would also be key factors to watch, they added.
“Given that there are no major scheduled events both locally as well as globally, indices are expected to consolidate and move sideways. Across the world, markets are trying to decode how the easing of lockdown restrictions will help revive economic demand.
“However, the current response seems to be a mixed bag across the world and foresight remains blurry as to how quickly the revival in economies pan out. It insinuates a long drawn journey which ultimately will be reflected in the stock prices,” said Jimeet Modi, founder and CEO, SAMCO Securities & StockNote.
During the past week, the Sensex rallied 950.85 points or 2.81 per cent.
Eight days after recording three lakh COVID-19 cases, India went past the 4,00,000-mark on Sunday with the biggest single-day spike of 15,413 new infections, while the death toll rose to 13,254, according to Union Health Ministry data.