Ahead of Market: 10 things that will decide stock market action on Monday

The Indian stock market recorded strong losses, with Sensex and Nifty falling more than 2% in the past week, snapping a two-week gaining streak. This came as surging oil prices, strong FII outflows and geopolitical tensions in the Middle East spooked Dalal Street bulls.

On Friday, Sensex closed 126 points to close at 73,124 while Nifty 50 closed 88 points lower at 22,600 on Friday. Broader markets crashed sharply, with Nifty Smallcap 100 and Nifty Midcap 100 falling up to 3%.



Also read | Why did the market fall on Friday?

Here's how analysts read the market pulse

"The key concern in today’s market is the disproportionately sharp correction in mid- and small-caps relative to the Nifty. Valuation concerns and unwinding of leveraged positions, combined with surging crude prices and weak global cues, have intensified pressure on the broader market. The rise in India VIX also indicates that near-term volatility will persist.

Continued Middle East tensions could keep crude prices high, while the AI-led global equity sell-off continues to weigh on risk appetite. Going forward, inflation trends and the response of major central banks in balancing inflation and growth will be critical to market direction. In this environment, we expect stock- and sector-specific opportunities to dominate, with earnings visibility and valuation comfort emerging as the key differentiators,” said Vinod Nair, Head of Research, Geojit Investments.

US stocks

US markets ended lower on Friday, October 23, as rising oil prices, weakness in telecom stocks and concerns over artificial intelligence investments weighed on sentiment. The S&P 500 declined 0.52% to close at 7,623.68, while the Nasdaq Composite slipped 0.21% to 25,955.34. The Dow Jones Industrial Average fell 1.23% to settle at 52,215.16.

European markets

European markets closed lower on Friday as rising oil prices and political uncertainty in France dampened investor sentiment despite encouraging corporate earnings. Germany’s DAX declined 0.8% to 25,152.31, while France’s CAC 40 slipped 0.3% to 7,782.82. Britain’s FTSE 100 fell 0.3% to close at 10,690.36. The pan-European STOXX 600 dropped 0.31% to 635.77, recording a weekly loss of around 1.4%.

Most active stocks in terms of turnover

Infosys (Rs 3,848 crore), Swiggy (Rs 2,536 crore), Cyient (Rs 2,456 crore), Bharti Airtel (Rs 1,867 crore), TCS (Rs 1,761 crore), RIL (Rs 1,760 crore), and Eternal (Rs 1,715 crore) were among the most active stocks on NSE in value terms. Higher activity in a counter in value terms can help identify the counters with the highest trading turnovers in the day.

Most active stocks in volume terms

Vodafone Idea (Traded shares: 51.29 crore), Tata Teleservices (Traded shares: 16.7 crore), Yes Bank (Traded shares: 14.43 crore), JP Power (Traded shares: 14.14 crore), Swiggy (Traded shares: 13.74 crore), Sagility India (Traded shares: 11.97 crore) and Suzlon Energy (Traded shares: 7.53 crore) were among the most actively traded stocks in volume terms on NSE.

Stocks showing buying interest

International Gemmological Institute, Cyient, Eternal, Sterlite Tech, Ipca Labs, JSW Cement and Shree Cements were among the stocks that witnessed strong buying interest from market participants.

52-week high

Among the ones which hit their 52-week highs on NSE were International Gemmological Institute and Cyient.

Stocks seeing selling pressure

Stocks which witnessed significant selling pressure were Swiggy, J&K Bank, AGC Networks, Afcons Infrastructure, Atul, Jindal Saw and JP Power.

52-week low

Among the ones which hit their 52-week lows on NSE were Swiggy, Afcons Infrastructure, Atul, JP Power, CreditAccess Grameen, ITI and Techno Electric.

Sentiment meter favours bears

Out of the 3,724 stocks that traded on the NSE on October 23, Friday, 624 advanced, 3,011 declined, and 89 remained unchanged.

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Disclaimer: This article has been written by Debaroti Adhikary, who is not a SEBI-registered Research Analyst or an Investment Adviser. Debaroti Adhikary and his/her ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimershere