Dec qtr earnings, Budget to steer drive markets this week: Analysts

New Delhi: Equity markets are set for a crucial week ahead, with investors tracking a packed calendar of domestic and global triggers, including corporate earnings, the US Federal Reserve’s interest rate decision and the Union Budget for 2026-27, analysts said.

The Union Budget will be presented by Finance Minister Nirmala Sitharaman on February 1, with the NSE and BSE conducting live trading on Sunday to mark the occasion. Foreign investor activity, rupee-dollar movement and global trade developments will also influence market sentiment.

“This week is packed with important domestic and global triggers,” said Ajit Mishra, SVP, Research, Religare Broking Ltd, noting that key earnings from Axis Bank, L&T, Maruti Suzuki, ITC, NTPC and Bajaj Auto will be in focus. Globally, attention will be on US macro data and the Fed’s policy decision.

The rupee recently hit a record low of 92 against the dollar, while foreign portfolio investors continued heavy selling. “Sentiments remained very weak due to sustained rupee depreciation, uncertainty over the US-India trade deal and muted Q3 results,” said VK Vijayakumar, Chief Investment Strategist, Geojit Investments.

Market participants expect the focus to shift to Budget measures aimed at growth revival. “As markets head into the pre-Budget week, a mild technical rebound cannot be ruled out,” said Ponmudi R, CEO, Enrich Money, adding that expectations centre on fiscal prudence, capital expenditure and targeted sectoral support.

Markets will remain closed on Monday for Republic Day and reopen on Tuesday.