New Delhi: Stock markets are expected to see volatility this week due to potential risk from Omicron variant and monthly derivatives expiry, say analysts.
“Markets will continue to see volatility and whipsaw-like movements as they respond to Omicron-related development and the monthly expiry,” said Yesha Shah, Head of Equity Research, Samco Securities.
Ajit Mishra, VP – Research, Religare Broking Ltd said, “Markets are closely eyeing the COVID situation and any positive news could only help the index to make any sustainable up move else volatility will continue.”
Investment trend of foreign investors, movement of the rupee and Brent crude would also be crucial for markets direction.
“While the relief rally might continue for some more time, volatility cannot be ruled out on account of potential risk from Omicron variant and fragile global cues,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services Ltd.
The BSE benchmark gained 112.57 points or 0.10 per cent in the last week.
“The Indian market has been undergoing a phase of consolidation for the past two months, which we believe is reaching its last phase in terms of price correction. Going forward, the market will continue to remain highly sensitive to developments surrounding the Omicron variant while closely monitoring macroeconomic data like the US jobless claims to be released this week,” Vinod Nair, Head of Research at Geojit Financial Services said.
PTI