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Below is on Weekly Market Outlook By Vinod Nair, Head of Research at Geojit Financial Services

Both domestic and global markets have gone through a data-loaded week. The sustained flow of better-than-expected macroeconomic data helped maintain positive sentiments across domestic equities. Notably, the healthy CPI,WPI, and IIP data contributed to investor optimism. The domestic CPI data moderated, moving closer to the target set by the RBI, primarily due to a tone-down in food inflation and a favourable base, which increased the likelihood of a rate cut before the year ends. The headline indices were outperformed by mid- and small-caps, with the Nifty Mid-cap index trading at an all-time high. Although concerns arose in the global market due to the Fed's comments regarding a potential future rate hike increasing their year-end rate projection, these worries were short-lived. Elevated jobless claims data and a decline in import prices provided hope for an extended pause in rate changes by Fed. The optimism was further boosted by better-than-anticipated retail sales, reflecting the robustness of the US economy.

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