Dalal Street has been continuously under pressure for the past two weeks due to global trade tensions, FII outflow, quarterly results starting on a weaker note, and lots of other factors. The board market indices have fallen more than 1% in the past week. Experts suggest this week, starting today on 14 July 2025, may see further volatility and consolidation as well. However, there are favorable factors that are supporting the market as well, including a favorable monsoon, reducing inflation, decreasing interest rates, and more. Let’s find out the top ten factors that are driving the Dalal Street this week.
- Earnings Results: This week will see over 125 Q1 earnings results, and some of the biggest companies are coming up with their results. Thus, this week the stock market is going to be primarily driven by the quarterly results. Some of the top companies announcing their results this week include HDFC Bank, Axis Bank, ICICI Bank, HDFC Life Insurance, JSW Steel, Tech Mahindra, Wipro, Jio Financial Services, HCL Technologies, and Reliance Industries. Nifty 50 is going to be highly volatile as these companies comprise 32% weightage of the broad market index.
- FII Outflow: The next factor that can play a crucial role in the market developments this week is Foreign Institutional Investors (FII) outflow. The FIIs have been net sellers in the last week, selling securities worth ₹4511 crore, which made the total outflow for the month stand at ₹10284 crore until 11 July. However, DIIs offered support with rigorous buying and became net buyers last week and also for the month. DIIs’ net buying stood at ₹8291 crore in the last week, while the month’s total is ₹12403 crore.
- IPOs: Another factor that is offering support to the market currently is IPOs. However, this week only 3 IPOs are coming up, out of which one is from the mainboard. Slowdown in the IPO space is also hitting the market badly. However, there will be multiple new listings this week, which can pull the market up a bit.
- Tariffs: Global trade tension is a major factor dragging the Indian markets. The US president, Donald Trump again announced a bunch of tariffs last week which made the market sentiment weaker. The investors are cautious and not participating in the market due to the same. These tariff impositions also delaying the India – US trade deal which is also affecting the investors’ sentiments.
- Domestic Inflation: Today, the WPI and CPI inflation numbers will be out for the month of June; this is another factor driving the market today. Expert economists expect the retail inflation to fall further which can boost the market sentiments to some extent this week.
- Global Inflation: It is not just the domestic inflation, but the inflation numbers are also affecting the markets in India. The US inflation is expected to rise in June due to an increase in the tariffs.
- Global Economic Data: Apart from inflation data, there are many other important global economic data which are set to be released this week. For instance, the Euro Area will release its Industrial production data for May, Balance of Trade data, and others. Then Japan will also announce the industrial production machinery orders, balance of trade, and more. China will release its GDP data for the second quarter of 2025, April to June, industrial production data, and more.
- Corporate Actions: There are over 50 companies that will be announcing or paying their final dividends, interim dividends this week. This is another factor that will affect market to some extent.
Share Market Performance
Today, as of 12.46 p.m., the Nifty 50 is trading 0.37% down from its previous close at 25052.60. During the past five trading sessions, it went down by 1.67%. On the other hand, the BSE Sensex is down by 0.44% today, and during the past five days, it has gone down by 1.58%. It will be interesting to see how the Dalal Street performs this week in real and how it accommodates these factors.
Source: MoneyControl
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