Outlook remains upbeat; indices flat

It was a profitable week for global markets driven by expectation of a possible Federal Reserve Cut in the December meeting and a potential Russia-Ukraine peace agreement easing geopolitical tensions that lifted investors sentiment.

- Motilal Oswal Team

If we look at Indian Market performance then the markets continued to be volatile but remained net positive after recovering from Tuesday's low of 25860 levels.

What drove this positive momentum is of course the global market rally but this was also supported by optimism that the Reserve Bank of India may also reduce its rates in the December meeting scheduled from 3rd to 5th supported by multiyear low inflation and impressive quarterly earnings. Also, Brent Crude Oil Prices heading for the longest run of monthly losses in more than two years around $62/bbl is positive for emerging markets like India. Interestingly Foreign Institutional Investors (FIIs) turning net buyers on selective days also boosted the sentiment reflecting that they may not sell as aggressively.