Global market sentiment is mixed as investors await key meetings and economic data releases.
Factors Influencing Market Sentiment
| Factor | Influence | Evidence |
|---|---|---|
| Upcoming Central Bank Meetings | Central bank decisions on interest rates and monetary policy can significantly impact market sentiment. Investors are awaiting guidance from the Federal Reserve’s Jackson Hole symposium (August 21-23). | Market expectations for a Fed rate cut have shifted, with the probability of a quarter-point cut decreasing from 98% to 84%. |
| Economic Data Releases | Key indicators like GDP growth, inflation, and unemployment influence investor confidence. | A global survey indicates concerns about stagflation, with a net 41% of respondents expecting the global economy to weaken. |
| Geopolitical Events | Events like the US-Russia summit and ongoing trade tensions can create uncertainty and impact market sentiment. | The US President signaled that Washington may not impose secondary tariffs on countries continuing to buy Russian crude, easing concerns of a potential hit to India. |
| Company-Specific News | Earnings reports, new orders, and corporate announcements can drive stock-specific movements. | KEC International’s stock surged after the company secured new orders worth ₹1,402 crore. |
Impact on Different Markets
| Market | Performance | Evidence |
|---|---|---|
| Asian Markets | Mixed performance with some indices reaching record highs. | Japan’s Nikkei 225 climbed 0.62% and the Topix index was up 0.42%. South Korea’s Kospi slipped 1.06% and the Kosdaq shed 1.44%. |
| European Markets | Modest gains expected with Euro Stoxx 50 and FTSE futures up 0.2% and Germany’s DAX futures 0.1% higher. | The Euro Area’s main stock market index, the EU50, fell to 5421 points on August 18, 2025, losing 0.51% from the previous session. |
| US Markets | The S&P 500 exhibited volatility. | The S&P 500 closed at 6468.83 on August 15, 2025 and experienced fluctuations throughout the trading day. |
Key Meetings to Watch
- Federal Reserve’s Jackson Hole Symposium (August 21-23):Â Investors will be closely watching for signals on future interest rate policy.Â
