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India.com
2 days ago
- Business
- India.com
Week Ahead: Economic Data And Crucial US-India Trade Talks Set To Steer Market Mood
New Delhi: The upcoming week from July 28 to August 1, 2025, is crucial for global stock markets, with key economic events scheduled in the United States, India, and China that could strongly influence investor sentiment. Market experts emphasize that progress in the ongoing India-US trade deal talks is being closely watched, as a positive outcome or signs of progress would ease uncertainties and boost market confidence. India's Commerce Minister Piyush Goyal has expressed optimism, stating that remarkable progress is being made, and negotiations are advancing rapidly toward a significant partnership, although some issues like tariffs on agriculture remain unsettled. In India, the week starts with the release of Industrial Production data on July 28, followed by the HSBC India Manufacturing PMI on August 1, both key indicators of the manufacturing sector's health. China will release its Manufacturing PMI on July 31, reflecting broader industrial activity in the region. Meanwhile, the US will focus on critical data including the Federal Reserve's FOMC interest rate decision on July 30, along with GDP growth and employment reports that will shape expectations on monetary policy amid ongoing inflation concerns. The Indian benchmark Nifty index has been declining for four weeks, weighed down by weak corporate earnings—many companies have reported results below expectations during the current quarter—and ongoing global trade uncertainties. Even though the index briefly rallied above its 20-day moving average midweek, the positive momentum did not sustain due to renewed selling pressure. Market analysts attribute the persistent weakness not only to disappointing earnings but also to the lack of strong domestic triggers and unresolved global trade issues. Overall, while bad earnings add to market pressures, they are compounded by uncertain global trade negotiations and limited fresh buying interest, creating a bearish sentiment in the market. Yet, experts remain hopeful that any positive surprises in earnings or constructive developments in trade talks, especially between India and the US, could provide a welcome boost during the week ahead.
Mint
2 days ago
- Business
- Mint
Market watch: Global economic events, US trade talks outcome to drive market sentiment
Mumbai [India], : The upcoming week is set to be crucial for stock markets, with a flurry of key economic events scheduled across the United States, India, and China. Market experts suggest that investor sentiment could be significantly influenced by economic indicators, particularly the outcome of ongoing trade deal discussions between India and the US, which are being closely monitored for signs of progress. "The week from 28 July to 01 August 2025 is packed with key economic events across the United States, India, and China, which could significantly influence global market sentiment," the Bajaj Broking Research team said in its weekly market note. Meanwhile, experts say that positive surprises from the first-quarter financial season could positively shape sentiment. "At this stage, any positive development on the global front, particularly around trade negotiations involving the US, could act as a much-needed catalyst for the market. A constructive outcome or even signs of progress in trade talks would help ease investor concerns. Also, from the remainder of Quarterly Results, any positive surprise could also lead to providing support at lower levels," said Sudeep Shah, Head - Technical and Derivatives Research, SBI Securities. In India, the economic week begins with the release of the Industrial Production YoY data on 28 July, which will help assess the strength of the country's industrial sector. This will be followed by the HSBC India Manufacturing PMI on August 1, which will offer insights into factory output and business conditions in the manufacturing sector. Meanwhile, China will release its Manufacturing PMI data on 31 July, an important indicator of industrial activity and business confidence in the region. In the United States, attention will be firmly on the Federal Reserve's FOMC rate decision, scheduled for July 30, a critical event that could shape expectations around interest rate policy amid persistent inflation concerns. Alongside this, the GDP Annualised QoQ and ADP Employment Change data will also be released on the same day, offering a glimpse into the economic growth trajectory and private sector hiring trends. On 31 July, the Initial Jobless Claims report will provide further clarity on the health of the labour market. The benchmark Nifty index has continued its downward trajectory, extending its losing streak for the fourth consecutive week. The analysts stated that the persistent weakness in the market can be attributed to a combination of factors, including the absence of strong positive triggers, Q1 earnings from key corporates coming in below expectations, and lingering uncertainty on the global trade deal front, all of which have dampened investor sentiment. During the week, the index made a feeble attempt to rebound from the crucial support zone; however, the recovery lacked conviction and fizzled out quickly. On Wednesday, Nifty managed to close above its 20-day EMA, briefly reviving hopes of a turnaround. But the optimism was short-lived, as renewed selling pressure dragged the index back into negative territory. The earnings season so far has largely fallen short of expectations, with several major companies reporting weaker-than-anticipated results. This underperformance has dampened investor sentiment, particularly at a time when markets were expecting strong earnings to serve as a key catalyst for upward momentum. Beyond earnings, the absence of any significant positive domestic triggers and the continued uncertainty surrounding global trade negotiations have added to the cautious mood. These combined factors are contributing to the downward pressure on the market, according to the market analysts. While weak earnings alone may not be the sole reason for the market correction, when coupled with global headwinds and a lack of fresh buying triggers, they certainly add weight to the bearish undertone prevailing in the current environment. This article was generated from an automated news agency feed without modifications to text.
The Hindu
02-06-2025
- Business
- The Hindu
India's manufacturing sector growth falls to three-month low in May
India's manufacturing sector growth fell to a three-month low in May, restricted by inflationary pressures, softer demand and heightened geopolitical conditions, a monthly survey said on Monday (June 2, 2025). The seasonally adjusted HSBC India Manufacturing Purchasing Managers' Index (PMI) fell from 58.2 in April to 57.6 in May, highlighting the weakest improvement in operating conditions since February. In PMI parlance, a print above 50 means expansion, while a score below 50 denotes contraction. May data indicated another robust improvement in business conditions across India's manufacturing industry, but rates of expansion receded to their weakest in three months, the survey said. Monitored companies linked growth to healthy domestic and international demand, alongside successful marketing initiatives. However, the upturn was curbed by cost pressures, fierce competition and the India-Pakistan conflict, according to panellists. 'India's May manufacturing PMI signalled another month of robust growth in the sector, although the rate of expansion in output and new orders eased from the previous month. The acceleration in employment growth to a new peak is certainly a positive development,' Pranjul Bhandari, Chief India Economist at HSBC, said. On the jobs front, firms hired additional staff in May, with the rate of job creation climbing to a new series record. Among the 12% of panellists that reported higher headcounts, the creation of permanent job roles featured more prominently than that of short-term positions. Moreover, sustained job creation enabled manufacturers to stay on top of their workloads in May, the survey said. On the price front, in addition to greater material costs, manufacturers also reported greater outlays on freight and labour. As a result of rising operating expenses and supported by strong demand, firms increased their selling prices in May. 'Input cost inflation is picking up, but manufacturers seem to be able to lessen the pressure on profit margins by raising output prices,' Ms. Bhandari said. Meanwhile, new export orders rose at one of the strongest rates recorded in three years. Panel members remarked on favourable demand from Asia, Europe, the Middle East and the U.S. On the business outlook, Indian manufacturers remained strongly confident of a rise in output over the course of the coming 12 months, the survey said. The HSBC India Manufacturing PMI is compiled by S&P Global from responses to questionnaires sent to purchasing managers in a panel of around 400 manufacturers. The panel is stratified by detailed sector and company workforce size, based on contributions to GDP.
The Hindu
02-05-2025
- Business
- The Hindu
India's manufacturing sector growth hits 10-month high in April: PMI
The growth momentum in the Indian manufacturing sector improved in April, with output increasing at the fastest pace since June 2024, on the back of another strong expansion in order books, a monthly survey said on Friday (May 2, 2025). The seasonally adjusted HSBC India Manufacturing Purchasing Managers' Index (PMI) rose from 58.1 in March to 58.2 in April, indicating the strongest improvement in the health of the sector for ten months. In PMI parlance, a print above 50 means expansion, while a score below 50 denotes contraction. A key factor contributing to the latest improvement in output growth was a sharp rise in new business. The manufacturing sector's rate of expansion was supported by better domestic and international demand. According to the survey, the total sales were supported by a sharp rise in international orders. New business from abroad grew to the greatest degree in over 14 years at the start of the 2025-26 fiscal year and this demand was led by Africa, Asia, Europe, the Middle East, and the Americas, the survey participants said. "The notable increase in new export orders in April may indicate a potential shift in production to India, as businesses adapt to the evolving trade landscape and US tariff announcements," Pranjul Bhandari, Chief India Economist at HSBC, said. This positive trend was accompanied by notable rises in employment and purchasing activity. "Manufacturers continued to enhance their staffing levels in April to meet growing output requirements. Exactly 9% of survey participants took on extra workers, with a combination of permanent and temporary contracts reportedly being offered," the survey said. Purchasing activity rose in tandem with new business growth, and the latest sharp expansion in input buying was also partly attributed to stock-building initiatives. "Manufacturing output growth strengthened to a ten-month high on robust orders. Input prices increased slightly faster, but the impact on margins could be more than offset by the much-faster rise in output prices, of which the index jumped to the highest level since October 2013," Bhandari added. On the prices front, robust demand for Indian goods boosted firms' pricing power, with selling charges hiked to the greatest degree since October 2013. This was despite a modest uptick in input costs. Strong optimism regarding output prospects over the coming year was evident in the April data, driven by expectations of demand strength. Marketing efforts, efficiency gains, and new client enquiries also underpinned positive forecasts. The HSBC India Manufacturing PMI is compiled by S&P Global from responses to questionnaires sent to purchasing managers in a panel of around 400 manufacturers.
News18
02-05-2025
- Business
- News18
India's Manufacturing Sector Growth Hits 10-Month High In April: PMI
The seasonally adjusted HSBC India Manufacturing PMI rises from 58.1 in March to 58.2 in April, indicating the strongest improvement in the health of the sector for 10 months. The growth momentum in the Indian manufacturing sector improved in April, with output increasing at the fastest pace since June 2024, on the back of another strong expansion in order books, a monthly survey said on Friday. The seasonally adjusted HSBC India Manufacturing Purchasing Managers' Index (PMI) rose from 58.1 in March to 58.2 in April, indicating the strongest improvement in the health of the sector for 10 months. In PMI parlance, a print above 50 means expansion, while a score below 50 denotes contraction. A key factor contributing to the latest improvement in output growth was a sharp rise in new business. The manufacturing sector's rate of expansion was supported by better domestic and international demand. According to the survey, the total sales were supported by a sharp rise in international orders. New business from abroad grew to the greatest degree in over 14 years at the start of the 2025-26 fiscal year and this demand was led by Africa, Asia, Europe, the Middle East, and the Americas, the survey participants said. 'The notable increase in new export orders in April may indicate a potential shift in production to India, as businesses adapt to the evolving trade landscape and US tariff announcements," Pranjul Bhandari, Chief India Economist at HSBC, said. This positive trend was accompanied by notable rises in employment and purchasing activity. 'Manufacturers continued to enhance their staffing levels in April to meet growing output requirements. Exactly 9 per cent of survey participants took on extra workers, with a combination of permanent and temporary contracts reportedly being offered," the survey said. Purchasing activity rose in tandem with new business growth, and the latest sharp expansion in input buying was also partly attributed to stock-building initiatives. 'Manufacturing output growth strengthened to a ten-month high on robust orders. Input prices increased slightly faster, but the impact on margins could be more than offset by the much-faster rise in output prices, of which the index jumped to the highest level since October 2013," Bhandari added. On the prices front, robust demand for Indian goods boosted firms' pricing power, with selling charges hiked to the greatest degree since October 2013. This was despite a modest uptick in input costs. Strong optimism regarding output prospects over the coming year was evident in the April data, driven by expectations of demand strength. Marketing efforts, efficiency gains, and new client enquiries also underpinned positive forecasts. The HSBC India Manufacturing PMI is compiled by S&P Global from responses to questionnaires sent to purchasing managers in a panel of around 400 manufacturers. (This story has not been edited by News18 staff and is published from a syndicated news agency feed - PTI) Stay updated with all the latest business news, including market trends, stock updates, tax, IPO, banking finance, real estate, savings and investments. Get in-depth analysis, expert opinions, and real-time updates—only on News18. Also Download the News18 App to stay updated! First Published: May 02, 2025, 13:32 IST News business » economy India's Manufacturing Sector Growth Hits 10-Month High In April: PMI
