Indian Market (Image Source: Pixabay)
Kejriwal added that the Indian Rupee also exhibited strength, gaining 28 paisa or 0.34 percent against the US Dollar, closing at Rs 82.30. In the US markets, the Dow Jones experienced volatility throughout the week but recorded gains in three of the five trading sessions. The positive job data released on Friday led to a gain of over 2 percent in the US markets. By the end of the week, the Dow Jones had gained 669.42 points or 2.02 percent, closing at 33,762.76 points. The upcoming FED meeting, scheduled for June 13-14, is widely expected to maintain interest rates at their current levels.
The IANS report added that the Reserve Bank of India (RBI) is scheduled to hold its bi-monthly Monetary Policy Committee (MPC) meeting between June 6-8 to review interest rates. Based on economic data related to GDP and inflation, it is widely believed that interest rates will remain unchanged. If confirmed, this decision would likely be celebrated by the markets, potentially leading to a surge in bullish sentiment.
Looking ahead to the upcoming week, the focus will be on the RBI meeting for its policy review. While the outcome of the meeting is mostly anticipated, the markets will be driven by the quest to achieve new highs, which came very close last week. The previous all-time highs were recorded on December 1, 2022, on both closing and intra-day bases. The current week saw intraweek highs nearing those levels. With Foreign Portfolio Investors (FPIs) making substantial investments in May, it seems that the tide has turned, and a new high could be reached soon.
In terms of technical analysis, the first resistance levels to watch will be the highs from last week, followed by the previous all-time highs. On the support side, the markets have strong support levels, and if violated, the next levels to watch would be lower support levels.