*Top 5 factors that may dictate Market this Week:*
*1] US first quarter GDP data:*
The gross domestic product (GDP) data of US for first quarter is expected on 26th May 2022 i.e. Thursday next week. "If the US GDP data comes below expectations then it may trigger sharp selling in global markets including India. However, in case of improved US GDP data, bulls may further extend their buying spree," said Avinash Gorakshkar.
*2] US Fed Meeting:*
The officials of central bank of the United States of America are going to meet on Wednesday next week. Though they have already made an announcement that there will be 50 bps cut in interest rate, more clarity would come after the meeting.
*3] Dollar Index:*
After the US currency climbing to record 20 year high, we have witnessed some retreat in the US dollar. "If the slide in dollar continues then in that case, it may have a positive impact on FIIs and they may cut down or lower their selling at Dalal Street. Weak dollar also leads to lowering margin pressure on oil stocks leading to rise in stock price oil majors," said Avinash Gorakshkar.
*4] Economic Activities in China:*
"A higher than expected record cut in China's 5 year PLR for mortgages (for the second time this calendar year) raised hopes for more policy loosening ahead and boosted risk sentiments. This helped Asian and European markets to trade higher," said Deepak Jasani, Head of Retail Research at HDFC Securities.
*5] Global Inflation & Bond Yields:*
"Many support the FED's decision to hike rates, and many think that they’ll push the economy to ruin with this hike; however, the clear answer to prospects comes from the Bond Yields and the Inflation numbers. These numbers need to watch closely to see if the tensions show any signs of ease," said Sonam Srivastava of Wright Research.
*Source: Mint*
By: via @AlliesFin Serve Stock Market
