Macro Economic Events such as GDP Growth Rate ( Provisional Estimate of GDP ) , inflation numbers, RBI Interest Rates, Government Budgets, global oil prices directly or indirectly affects Indian Stock Market. Positive Events like strong GDP growth or Tax rate cuts boost the confidence of investors and push the stock market up, while any negative events like high inflation rate, decline in GDP growth rate negatively affects the sentiment of the investors and pushes the market down.
Tracking these events is very crucial as it directly affects each stock's momentum, and sometimes an individual company's fundamental performance does not push it as much as these metrics may push. Below blogs explain more in detail about Macro economic events and how to track them.
What are Macro Economic Events?
Macro Economic Events are major announcements which affect the overall economy of the country rather than a single company. Some of the examples are GDP Growth Rate ( Provisional Estimate of GDP ), inflation, interest rate changes, unemployment rate, budget announcement, global oil prices, currency fluctuation, and RBI policies. As these impact the overall sentiment of the investors and can impact the entire stock market.
Why are Marco Events Important for the Stock Market?
Macro Economic events are very crucial for the stock market as it shapes the overall economic condition around which every company operates. Factors like Inflation, GDP growth, and government policies affect the profitability and money flow in the market which eventually affects the stock prices of stocks in the market. In short Macro events acts as a big driver for change in momentum of the stock market.
Where can I track upcoming macro events relevant to Indian investors and what are the key macro events this week affecting the Indian stock market?
Macro economic activities can be tracked from various government official websites, but as it is a tedious process, we have consolidated all the Macro Economic event data in one place.
Click here to check Upcoming Macroeconomic events.
Conclusion
Macro Economic events greatly affect the overall stock market and it makes it very important to track upcoming macro economic events, along with this it is important to track past performance and expected performance of the same. Knowing expected values of upcoming events makes it handy to quickly gauge the results when announced and take action.
All the analysis of stock market India along with Macro Economic events can be found here