Ahead of Market: 10 things that will decide stock market action on Tuesday – News Air Insight

The Indian market ended lower on Monday, with the Nifty 50 breaking an eight-session winning run, as weakness in IT and auto shares dragged benchmarks lower. Investors turned cautious ahead of the U.S. Federal Reserve’s policy decision later this week, even as sentiment was underpinned by hopes of progress in trade talks between India and Washington.

The S&P BSE Sensex fell 118.96 points, or 0.15%, to close at 81,785.74, while the NSE Nifty 50 eased 44.8 points, or 0.18%, to settle at 25,069.20.

Here’s how analysts read the market pulse:

Benchmark indices traded largely flat as investors remained cautious ahead of the Fed policy meeting, with the IT index witnessing profit booking after last week’s rally, said Vinod Nair, Head of Research at Geojit Investments.

“While a 25-bps rate cut is largely factored in, markets await guidance on the future rate path to gauge the trajectory for bond yields. Strong domestic consumption continues to underpin sentiment and limit downside, while renewed optimism around trade deals and an expected earnings recovery in H2FY26 are further supporting investor confidence,” said Nair.

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US markets

The S&P 500 and the Nasdaq hit intraday record highs on Monday, beginning the week with the Federal Reserve’s policy meeting on a strong note, while Tesla shares gained following CEO Elon Musk’s stock purchase.

The electric vehicle maker jumped 5.8% to its highest level since late January after regulatory filings revealed Musk had acquired nearly $1 billion worth of Tesla’s stock on Friday.

This week, the Fed’s rate decision will take center stage, with investors largely expecting a 25-basis-point cut on Wednesday following a series of economic indicators that pointed to a deteriorating jobs market.

European stocks

European shares touched a three-week high on Monday, lifted by financials ahead of a pivotal week of central bank meetings, including the U.S. Federal Reserve’s, while Rubis advanced after a report on the potential sale of the French fuel retailer.

The pan-European STOXX 600 was up 0.42% at 557.16 points.

Among financials, UBS rose 1.7% after reports of the lender mulling a move to the United States in response to proposals from the Swiss government on new capital requirements.

Tech View

The Nifty formed a small reversal candle on the daily chart, indicating skepticism ahead of the Fed rate decision, said Rupak De, Senior Technical Analyst at LKP Securities, adding that the the previous swing high has also acted as a resistance for the rising Nifty.

“Until the index moves above the previous swing high of 25,150, the trend may remain uncertain. On the lower end, support is placed at 24,800. A fall below 24,800 might trigger further weakness in the index, while a move above 25,150 could induce a fresh rally,” said De.

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Most active stocks in terms of turnover

Anant Raj (Rs 2,036 crore), JBM Auto (Rs 1,758 crore), Vodafone Idea (Rs 1,576 crore), HDFC Bank (Rs 1,403 crore), Waaree Energies (Rs 1,277 crore), Godawari Power (Rs 1,212 crore) and Bajaj Finance (Rs 1,014 crore) were among the most active stocks on BSE in value terms. Higher activity in a counter in value terms can help identify the counters with highest trading turnovers in the day.

Most active stocks in volume terms

Vodafone Idea (Traded shares: 194.32 crore), YES Bank (Traded shares: 7.44 crore), Suzlon Energy (Traded shares: 4.78 crore), Godawari Power (Traded shares: 4.54 crore), Motherson Sumi (Traded shares: 4.46 crore), Ola Electric Mobility (Traded shares: 3.47 crore) and Anant Raj (Traded shares: 3.46 crore) were among the most actively traded stocks in volume terms on NSE.

Stocks showing buying interest

Shares of Godawari Power, Anant Raj, Aegis Logistics, Railtel Corp, Ircon International, Vodafone Idea and Sarda Energy were among the stocks that witnessed strong buying interest from market participants.

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52 week high

Over 149 stocks hit their 52 week highs today while 64 stocks slipped to their 52-week lows. Among the ones which hit their 52 week highs included Bajaj Finance and Radico Khaitan.

Stocks seeing selling pressure

Stocks which witnessed significant selling pressure were GRSE, Syrma SGS Technology, Motherson Sumi Wiring India, ACME Solar Holdings, Neuland Labs, Aster DM Health and Biocon.

Sentiment meter neutral

The market sentiments were neutral. Out of the 4,389 stocks that traded on the BSE on Monday, 2,008 stocks witnessed declines, 2,209 saw advances, while 172 stocks remained unchanged.

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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)