The Upcoming Market Trends: An Analysis
We all know that the global markets are determined by a number of key factors. It is being said that the upcoming weeks and particularly this week will be determined by many factors and all of these factors will play an integral role in figuring out which route the market takes.
The Stock Market
Everybody eyes the stock market as the week starts. This week, the stock market sentiment will be driven by a number of factors. These will include macroeconomic data, the quarterly earnings for the month of June and the global trade relations.
According to certain experts, the focus will be on the IIP data, monsoon and the inflation number. On the global front, the key issue will be the trade issues and concerns. If the trade wars continue to escalate, the tensions between the US and China will increase further and this will take its toll on the global market. According to VK Sharma of HDFC Securities, the CPI Inflation, along with the IIP data will determine which route the market takes.
Experts are also speculating that a bear market is underway. Based on historical trends, analysts at Citigroup predict a ‘full-on bear market’ to come within months. There are a number of ways investors can protect themselves during a bear market including risk assessment, mental preparation and setting hinges aside for themselves.
As far as the stock market is concerned, the Pepsi US Soda business, the MSC Industrial Direct profitability and Wells Fargo’s loan trends are three key things to watch.
The Global Market
For a very long time, the global market has been jumping or declining on news regarding the trade wars. The trade tensions are escalating and nobody knows what will happen next. However, what is certain is that there is no betterment in these tensions and with time, they have only accelerated.
Trade tensions will be on the forefront this week and they will play a key role in figuring out the route of the market. If there is no betterment, things will go in the negative direction but if things do improve, it will have a positive impact on the markets.
The trade tensions remain a key concern as the US and China both imposed heavy tariffs on the imports from each country.
For many weeks now, the stock market has been lopsided. Things have gone astray because the trade tensions are not improving. This has been a concern for many weeks and if things keep going in the same direction, it will definitely take on its toll on the markets. The stock market and global markets will also be dependent on factors such as inflation data and earnings for the month of June.
Also, there will be certain key performers in the stock market this week including the three mentioned above.
Stocks rally and the global markets tumble as global tensions are amass and on the forefront. All economies are unfortunately facing the brunt of this now.