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Key factors likely to shape equity markets as 2026 begins

Market participants are assessing multiple structural and macro factors, including earnings, liquidity, valuations, and global cues, that could influence Nifty’s direction and overall equity market performance in 2026.
As markets head into 2026, investor focus is shifting toward structural and cyclical drivers influencing the Nifty’s trajectory. Market participants are tracking earnings growth trends, valuation comfort, liquidity conditions, global rate signals, domestic policy direction, sector rotation, and retail participation levels. Together, these factors are expected to guide market behaviour in the new year amid evolving global and domestic macroeconomic conditions.