What to Expect This Week: Key Earnings and Market Movements Ahead

This week is poised to be pivotal for stock markets as major blue-chip companies prepare to release their Q1 earnings. Analysts are closely monitoring the US Federal Reserve's interest rate decision, macroeconomic data, and geopolitical developments, particularly the upcoming August 1 trade deal deadline. With significant companies like IndusInd Bank and Tata Steel set to announce their results, investor sentiment will be heavily influenced by these factors. The market's performance will depend on how these earnings shape sector resilience and corporate performance amidst ongoing foreign institutional investor outflows.

By Narendra Chaudhary Jul 28, 2025, 07:43 IST

Market Outlook for the Week

New Delhi: This week promises to be significant for stock markets, with numerous blue-chip companies set to release their Q1 earnings. Analysts indicate that the US Federal Reserve's interest rate decision and foreign investor activities will heavily influence market sentiment.

In addition to earnings, macroeconomic indicators, monthly auto sales, and global market trends are expected to shape the direction of domestic equities.

Investors will also be attentive to developments surrounding the August 1 trade deal deadline and the ongoing geopolitical tensions between Thailand and Cambodia.

The end of the suspension period for Trump tariffs on various countries, including India, is set for August 1.

"As we enter a new month, key economic data such as Industrial Production (IIP) and HSBC Manufacturing PMI will be released on August 1. Monthly auto sales figures will also be under scrutiny. The impending expiry of July derivatives contracts may introduce additional volatility to the markets," stated Ajit Mishra, SVP of Research at Religare Broking Ltd.

As the earnings season unfolds, results from major players like IndusInd Bank, Asian Paints, NTPC, Tata Steel, Hindustan Unilever, Mahindra & Mahindra, Maruti Suzuki, Sun Pharma, and ITC will be closely watched for insights into sector performance and corporate health.

Globally, traders will be focused on the US Fed's interest rate decision and GDP growth figures, along with updates on trade negotiations as the August 1 tariff deadline approaches, which could influence foreign institutional investor (FII) flows.

The movement of the rupee against the dollar and fluctuations in crude oil prices will also be key points of interest for investors.

"Looking forward, the upcoming Q1 earnings reports from several significant companies will be pivotal. Major firms like Bharat Electronics Ltd, IndusInd Bank, Asian Paints, Tata Steel, Mahindra & Mahindra, Coal India, Hindustan Unilever, Maruti Suzuki, and ITC are expected to announce their results this week. Their performance will be critical in determining whether the markets can stabilize or continue their downward trend in the near future," remarked Pravesh Gour, Senior Technical Analyst at Swastika Investmart Ltd.

Investors will keep a close eye on foreign fund flows and any significant developments regarding the India-US trade relationship for further market direction.

Last week, the BSE benchmark index fell by 294.64 points, or 0.36%, while the Nifty index decreased by 131.4 points, or 0.52%.

"The Indian stock market has been on a downward path for four consecutive weeks, marking the longest losing streak for the Nifty since October 2024. Investor sentiment has been weak, largely due to a lack of strong domestic triggers, disappointing corporate earnings for the June quarter, and ongoing selling by foreign institutional investors (FIIs)," Gour added.

Siddhartha Khemka, Head of Research at Wealth Management, Motilal Oswal Financial Services Ltd, noted that markets are likely to remain in a consolidation phase amid ongoing uncertainty surrounding the India-US trade deal, a mixed Q1 FY26 earnings season thus far, and increasing FII outflows.