Domestic equity market may witness increased volatility in the upcoming week, influenced by mixed global cues and domestic earnings announcements for Q1 FY26.
India’s macroeconomic indicators remain supportive. Easing inflation, declining interest rates, a favorable monsoon, and softer crude oil prices continue to offer stability. However, market participants remain cautious due to elevated valuations, with corporate earnings upgrades seen as critical to sustain further upside.
Global sentiment remains uncertain. Persistent inflation in the US has reduced the likelihood of near-term Federal Reserve rate cuts. Additionally, trade concerns — particularly the recent imposition of a 50% duty on copper — have contributed to global market unease.
On the technical front, the Nifty closed the week below the 25,000 mark. The trend remains weak, and a breakdown below 24,900 may lead to a further decline toward 24,500. Any rebound could face resistance near the 25,250–25,260 zone. Unless the index decisively moves above this resistance, the broader trend is expected to remain under pressure.
Earnings season is heating up with a packed lineup of major companies set to report their quarterly results over the coming days.
On Saturday, July 19, all eyes will be on the banking giants as HDFC Bank, ICICI Bank, and Yes Bank step up to release their earnings.
The week kicks off strong on Monday, July 21, with CRISIL, Havells India, IDBI Bank, and UltraTech Cement set to unveil their financial performance.
Tuesday, July 22, brings updates from Colgate Palmolive (India), Dixon Technologies, Mahindra & Mahindra Financial Services, and Zee Entertainment Enterprises.
The action continues midweek on Wednesday, July 23, with Bajaj Housing Finance, Dr. Reddy’s Laboratories, and Infosys scheduled to report.
Thursday, July 24, is likely to be the busiest day of the season, featuring earnings from Aditya Birla Sun Life AMC, ACC, Bajaj Finance, Canara Bank, Motilal Oswal Financial Services, Mphasis, Nestle India, SBI Life Insurance Company, and UTI AMC.
The week wraps up on Friday, July 25, with key numbers expected from Bajaj Finserv, Bank of Baroda, Cipla, and Laurus Labs.
Domestic Cues:
India's Infrastructure Output YoY for June will be released on Monday, 21 July 2025. India's infrastructure output expanded by 0.7%, slowing from the upwardly revised 1% expansion in the earlier month, marking the softest pace of expansion since August of 2024.
India's HSBC Composite PMI Flash for July will be released on Thursday, 24 July 2025. The HSBC India Composite PMI stood at 61.0 in June 2025, matching the flash estimate and marking the highest level since April 2024.
India's HSBC Manufacturing PMI Flash for July will also be released on Thursday, 24 July 2025. The HSBC India Manufacturing PMI stood at 58.4 in June 2025, matching flash data and marking the highest print since April 2024.
India's HSBC Services PMI Flash for July will be released on Thursday, 24 July 2025. The HSBC India Services PMI was revised lower to 60.4 in June 2025 from 60.7 in the preliminary estimates, following a final 58.8 in the previous month.
Global Cues:
US Fed Chair Jerome Powell is scheduled to speak on Tuesday, 22 July 2025. Most Fed officials considered a reduction in the fed funds rate likely to be appropriate at some point this year, noting that upward pressure on inflation from tariffs may be temporary or modest, that medium- and longer-term inflation expectations had remained well anchored, or that some weakening of economic activity and labor market conditions could occur, minutes from the last FOMC meeting in June showed.
US Existing Home Sales data for June will be released on Wednesday, 23 July 2025. Existing home sales in the US rose by 0.8% from the previous month to a seasonally adjusted annualized rate of 4.03 million in May of 2025, rebounding from the 0.5% drop in the previous month, and above market expectations of a drop to 3.96 million units sold.
The European Central Bank's interest rate decision will be announced on Thursday, 24 July 2025. ECB officials delivered an eighth straight interest rate cut last month to safeguard inflation expectations and prevent unwarranted tightening in financial conditions, the minutes of the June 3-5 meeting showed.
US Durable Goods Orders MoM data for June will be released on Friday, 25 July 2025. New orders for manufactured goods in the US jumped by 16.4% over a month to $343.6 billion in May 2025, the sharpest increase since July 2014, following a revised 6.6% slump in April and overshooting market forecasts of an 8.5% rise.