Where is the market headed?
As the week comes to an end, many people seem relieved that there has been no fresh tantrum from the US so far. Donald Trump, however, has lost the race for the Nobel Peace Prize, so there’s always that worry that he might react in some unpredictable way over the weekend — something we’ll find out by Monday.
The good news from yesterday was that FIIs finally turned buyers after a very long time, and the markets welcomed that move with cheer. Whether this buying will continue as a new trend or it’s just a one-day event, we’ll know only in the coming days.
On the corporate side, the results are coming through quite well. The announcement of a new data center by TCS added excitement, and most other company updates are meeting expectations. Overall, the market seems steady and range-bound for now.
Market Overview
Looking at the charts, after a small lull, we have seen two days of continuity, which is a positive sign. Usually, there’s a small run-up in the markets as we move closer to Diwali, which is now just 10 days away.
If the market crosses its current pivot point, we could see a burst of energy and optimism return. Today’s numbers show Nifty up by 0.41%, Nifty Junior by 0.24%, and midcaps doing well with a 0.41% rise. Small caps also moved up 0.62% after being stuck for five days, marking their highest level in over a week.
Nifty Next 50
Nifty Mid and Small Cap
Bank Nifty
Nifty Bank had a strong 0.74% gain, helped by the inverse head and shoulders pattern that has been forming in the last few sessions. This pattern, if it continues, could take the index to around 57,600 levels.
GOLD
Gold, despite a big $100 move down globally, held steady around ₹1,020,700 per kg, showing no major weakness. Silver, however, has been a completely different story. There’s been chaos in the market, with silver trading at crazy premiums due to lack of availability. Even though Kotak AMC recently said they won’t add more fund-of-funds allocation to Silver ETFs, the ground reality is that silver is scarce. Premiums had crashed in the morning but quickly bounced back as buyers rushed in.
If this continues, it could create a serious shortage situation, especially with paper shorts in MCX and global markets scrambling for cover. Gold, on the other hand, remains relatively available at a small premium of ₹3,000–₹5,000 per 10 grams.
Advance Decline Ratio
On the stock front, the advance-decline ratio was positive at 314 to 186.
Heat Maps
Top performers in the Nifty were SBI, Maruti, Bajaj Auto, and Cipla. In the next Nifty group, we saw gains in Real Estate and pharma stocks — Lodha, DLF, Divi’s Lab, and PNB were some of the strong movers. Metals, which had risen yesterday, saw mild profit booking today, with Jindal Steel and Hindustan Zinc among those cooling off.
Mover Of The Day
The biggest mover of the day was Tata Communications, which surged over 10% after Tata Capital’s listing and ahead of its own results. Yes Bank also rallied sharply from ₹18–20 recently to ₹24, with talks about a possible stake sale by SBI fueling the move.
Sectoral Overview
Among sectors, PSU banks, real estate, pharma, and capital markets were the strongest. There’s a growing belief that weekly expiries are here to stay, and the market’s narrative keeps swinging with every development. Real Estate stocks like Godrej, Signature, Brigade, Prestige, and Lodha are trading above averages, signaling strength.
PSU banks are at new highs with names like UCO Bank, Indian Overseas Bank, PNB, and Central Bank of India leading the charge. Earlier it was autos driving the rally, but now PSU banks and metals are taking the lead.
Sector of the Day
Nifty Realty Index
Nifty PSU Bank Index
U.S. Market
In the US, markets were slightly down overnight — S&P 500 slipped 0.28%, Dow Jones fell 0.52%, and Russell 2000 lost 0.61%.
Stocks like Boeing, Charter, RTX, Honeywell, and Comcast were among the bigger losers, down 2–4%. Some of these major names seem to be in a distribution phase on the charts, which may indicate near-term weakness.
Tweets Of the Day
Silver ETFs saw wild swings yesterday with massive premiums of 20–30%, but today things cooled off a bit as investors realized they were overpaying blindly.
On the geopolitical front, China and the US are on a more combative path again. China has started imposing special port fees on US vessels and may further restrict exports of rare earth metals to the US.
