Stock Market Movement Analyzed: Key Drivers This Week

Key Points

• US H-1B fees rise to $100k – impacting IT exports and costs.
• GST rate cuts on 375 items start Monday, boosting consumer prices.
• Trade talks between India and the US continue, seeking a trade deal.
• Global economic data from the US will be closely watched by investors.
• Foreign investors are buying Indian stocks, indicating confidence.
• IT companies could see reduced demand and revenue due to the new fees.

What’s Happening in the Market

This week, the stock market will be watching several important events closely. The most significant factor is a change in the United States’ H-1B visa fees, which have been raised to a hefty $100,000. This will likely make it more expensive for American companies to hire Indian tech workers.

Meanwhile, the Indian government is working to finalize a trade agreement with the United States. Talks are expected to continue, with the goal of securing a beneficial deal for both countries.

Back home, a change in tax rates – called GST – is also expected to impact prices. The government has reduced taxes on many goods and services, starting September 22nd. This should make things cheaper for consumers.

Investors will be keeping a close eye on the US economy, paying attention to things like its GDP, manufacturing, and the price of goods. They’ll also be watching how foreign investors are behaving in the Indian market.

The IT sector, which relies heavily on H-1B visas, is particularly vulnerable. Companies like TCS, Infosys, and Wipro could see a decrease in demand if it becomes more expensive for US companies to hire their workers.

Finally, traders will be monitoring the value of the Indian rupee and the price of oil, both of which have a big effect on the stock market. These factors combined will shape the direction of the market this week.

The combination of these events – new visa fees, tax cuts, and global economic data – will determine whether the stock market rises or falls.