Mumbai’s stock market is bracing for a rollercoaster ride next week as a trio of high-stakes events looms large: the Union Budget 2026, the US Federal Reserve’s policy meeting, and a flurry of corporate quarterly results. Investors, already rattled by last week’s sharp declines amid global jitters, are expected to tread cautiously while eyeing these pivotal developments.
The previous week ended on a sour note, with the Sensex plunging 770 points or 0.94% to close at 81,537.70, and the Nifty shedding 241 points or 0.95% to settle at 25,048.65. Profit-booking, sustained foreign investor sell-offs, and geopolitical uncertainties fueled the downturn, capping off a volatile session on Friday.
Market analysts point to 25,300 as immediate resistance for the Nifty, with 25,400 and 25,600 as key upper thresholds. On the downside, support levels lie at 24,880 and 24,587; a break below 24,350 could trigger deeper corrections.
At the forefront is Finance Minister Nirmala Sitharaman’s presentation of the Union Budget 2026 on February 1 in Parliament. All eyes will be on tax reforms, government spending plans, infrastructure pushes, and measures to spur economic growth. These announcements could set the tone for market direction, reflecting the government’s core priorities.
Globally, the Fed’s January 27-28 meeting holds sway. Experts anticipate no rate changes, but forward guidance from officials could sway investor sentiment and capital flows worldwide.
Corporate India’s Q3 earnings season rolls on, with major firms unveiling financial year 2026 results that could sway sector-specific trends. Meanwhile, progress on India-US trade talks adds intrigue, bolstered by recent positive remarks from Union Minister Ashwini Vaishnaw and US President Donald Trump.
Precious metals are stealing the spotlight too, with gold surging past $4,967 per ounce to near $5,000 amid geopolitical tensions and a softening dollar. Silver hit around $100 per ounce, underscoring safe-haven demand.
As these events unfold, traders will navigate heightened volatility, balancing domestic policy signals with global cues to chart the market’s path forward.