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Global development to dictate the further course of action

ICICIdirect Research 14 Aug 2025 DISCLAIMER

Equity benchmark snapped six weeks losing streak and settled the week at 24600 up 1% tracking lowest inflation print in 8 years. Further, record breaking Mutual Fund inflows boosted market sentiment. Sectorally, Pharma, Auto and PSU Banks witnessed strong rebound

Global Market: The S&P 500 surged to New Highs driven by a benign inflation print that has increased rate cut expectations 

Key Highlight: After 6 weeks decline, Nifty staged a technical pullback amid oversold conditions and managed to defend 24500 on a weekly closing basis

What to expect: Global development will have bearings on the Indian markets. Despite tariff headwinds Nifty managed to hold 24500, indicating most of the negativity around tariff development is getting priced-in. Hence, any positive development from Trump-Putin meeting (on 15th August) could boost market sentiment, resulting into relief rally towards 25000 in coming weeks. Meanwhile 24200 would continue to act as key support.  

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