Stock market investors this week are expected to closely monitor renewed tariff tensions between the United States and China, domestic inflation data, and quarterly earnings reports from major corporations such as HCL Tech, Infosys, and Reliance Industries, analysts noted. Global market trends and geopolitical developments will also influence investor sentiment.
Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, stated, “Market direction this week will depend on a combination of domestic cues, global macroeconomic conditions, and corporate earnings. The renewed escalation of the US-China tariff conflict, which caused significant selling on Wall Street last Friday, is anticipated to dampen global risk sentiment. This revival in trade tensions could lead to dollar outflows, exerting additional pressure on emerging market equities and currencies.”
The US markets experienced a sharp decline on Friday, with the Nasdaq Composite plummeting 3.56%, the S&P 500 dropping 2.71%, and the Dow Jones Industrial Average falling by 1.90%.
Ajit Mishra, Senior Vice President of Research at Religare Broking Ltd, emphasized that this week will be event-heavy, focusing on important domestic macroeconomic data and a busy quarterly earnings calendar for Q2 FY26. The government is set to release retail inflation (CPI) figures for September on October 13, followed by wholesale inflation (WPI) data on October 14.
Investors will particularly scrutinize performances from IT majors and midcap IT firms, including Infosys, HCL Technologies, Wipro, Tech Mahindra, and LTIMindtree, as well as banking giant Axis Bank and Reliance Industries. Mishra added, “Globally, Federal Reserve Chair Jerome Powell’s upcoming speech is anticipated to provide insights into monetary policy direction.”
Trading activities from foreign investors will also be closely observed this week, as noted by Santosh Meena, Head of Research at Swastika Investmart Ltd. “This week is likely to be crucial as global sentiment has turned cautious following a steep decline in US markets amid rising tensions between the US and China,” Meena remarked.
On the macroeconomic front, all eyes will be on the United States, where Federal Reserve Chair Jerome Powell is scheduled to deliver a speech on Tuesday, October 14. His comments are expected to offer cues on the Fed’s interest rate strategy and inflation outlook, according to Meena.
Last week, the BSE benchmark index rose by 1,293.65 points, or 1.59%, while the NSE Nifty increased by 391.1 points, or 1.57%.
Published on October 12, 2025.
