Stock Market Next Week: Global Cues, FII Flows, Oil Among Key Triggers

Indian stock markets face headwinds next week from multiple global factors, including escalating U.S.-Iran tensions, crude oil price volatility, and U.S. inflation data. The BSE Sensex fell 749 points (0.96%) and NSE Nifty dropped 278 points (1.14%) last week, as Brent crude jumped over 8% and WTI crude rose 9% following U.S. military strikes on Iranian oil tankers and Iranian missile attacks on U.S. Navy vessels. Foreign institutional investors withdrew Rs 7,443 crore in early September but preliminary data shows net inflows of Rs 2,374 crore in the first four days of the month, suggesting potential recovery as rupee strength and shifting global capital flows redirect money to Indian equities.

Asian markets showed mixed performance: South Korea's Kospi declined 1.5% to 6,687 amid U.S.-Iran escalation, while Japan's Nikkei 225 gained 1.28% and Taiwan's index climbed 1.61%, supported by gains in banking, real estate, and textiles sectors.