There was yet another dose of the volatility that has been infecting both India stock market and cryptocurrency space today, as per a mix of global economic vibes, as well as some other market-related happenings in both the sectors too. Nifty 50 got traction in an intra day, while Cryptocurrency market was volatile as per regulatory news and sentiment on investor front.
Indian Stock Market Summary:
The Nifty 50 hit the floor initially as concerns about global economic weakness lingered on. As the day went on, the index would get volatile sector news that would drive much of the pricing. The IT sector rally was in the positive earnings reports by some of the companies while banking and financial services sector was under pressure. With investors focusing on the strong companies at the mid and small-cap levels, most stocks showed a mixed performance, and volume were light (approach would be conservative)
Factors That Affect Stock Market
Global Economic Upbeat: The worries on interest rate hikes by major economies and geopolitical stickiness still influenced the mood of investors.
DOMESTIC: Release of Industrial Production, Inflation data provided mixed signals and thus uncertainty to the market
Corporate Earnings: Stock-specific movements remained due to the sustained earning season, as investors processed company fundamentals.
FII Flows: FII movement were an important variable this week to note with changes in flow driving the direction of the market.
Also Check:- Nifty Fluctuate: Today Stock Market Overview and Key Trends
Cryptocurrency Market Trend
Cryptocurrency markets were still wildly volatile, bitcoin selling around wildly and the other top coins taking price jitters.Changes in regulation and moves by investors fueled the market instability.
Regulatory — News: Various reports of potential regulatory events in major jurisdictions such as the US and Europe sent volumes soaring.
Market Sentiment: Macroeconomic fundamentals as well news on inflation/interest rates continue to be market sentiment’s primary driver.
Decentrfinancial, Decentralized Finance (DeFi) and Delta-Notations: The DeFi and NFTs space remained a big topic as new projects implemented in the field.
Technical Analysis: The overwhelming use of technical analysis by traders and investors in order to find possible trading opportunities.
Convergence and Divergence:
Although the stock and cryptocurrency markets are conceptually independent, they are highly correlated in practice due to common macroeconomic influences. Both are prone to news around the globe, economic uncertainty and inflation fears as well as regulatory news. Nonetheless, their differences and risk profiles will have other implications in trading.
