It’s a beautiful looking screen, and at the outset of this, let me wish all of you, your families a very happy Dhanteras and festive greetings. Wealth, prosperity and of course most importantly health to all of you. Markets too are actually doing just that celebrating in those festivities. As we write, we are seeing Nifty conquering the 25600 mark and closing in towards the 25700 mark as it hits at 1-year high levels. However, most important is the Nifty Bank as it made new record high levels in Friday’s session.
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From last Diwali to this Diwali it would be suffice to say that bulls have had a tough time because be it your front line indices Nifty and Sensex up 5.5 % and Bank Nifty up 11% but the real pains were visible in the midcap is up 0.5% and smallcap indices down 4% with individual stocks falling more than 20-25% from the highs. If we look at sectors that did well, gold one would say from last Dhanteras to now has been a real fire cracker followed by the Silver. On a sectoral basis, Banks, NFCS, Auto and Metal were top gainers as they were up more than 10% while Media, Energy and IT were top losers and were down more than 10%.
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As mentioned, the last one year has been quite unusual for Indian Markets. For the longest time since 2020, we have been among the best performing markets globally but that seems to have changed lately and if we compare with some of the peers like US, China, Japan, Korea, Taiwan or to even say Europe, Indian markets have not kept pace.
What makes this period unusual is that despite strong macros like the GDP growth being at 7.8%, fiscal deficit at 4.4%. inflation under RBI’s band and at 8-year low at 1.54% , equity performance remained subdued. Government’s recent GST reform, Income Tax relief up 12 lakhs, Interest rate cut and CRR cut by 100bps in FY26 are booster shots at the right time and as result we see earnings to improve in the coming quarters. Additionally with the kind of structural reforms taking place in the manufacturing and infra sector, the economic cycle looks stronger as we move ahead.
Investors who have particularly come in the markets after 2020 are not used to seeing markets underperforming for this long and this reversal in terms of performance seems to be a bit uncomfortable for them but if we go back in history such phases opportunities often emerge. For the ones who are seeing no or negative returns even after a year, we still believe that asset allocation is the way to go, so one has to remain disciplined and continue to build a balanced portfolio.
With this let me present to you our weekly market review.
How Did the Markets Fare Last Week?
On a weekly basis ending on Friday, the Indian benchmark indices ended in green. Sensex and Nifty were up 1.8% each while Midcaps ended flat with 0 % during the week.
What Might Keep the Markets Busy Into the Next Week?
The coming week will be a truncated week on account of Diwali celebration there will still be key data points that will be released during the week and that will be important to gauge. Firstly, over the weekend we have a whole lot of banking stocks that will come up with their Q2FY26 earnings so markets especially Bank Nifty will likely react on those numbers. We also have some of the large cap companies that will release their numbers post market hours on Friday and all of this will give direction in Monday’s session.
In terms of data, on the domestic front we have Infrastructure Output, HSBC Composite/Manufacturing/Services PMI, FX Reserves, Bank Loan Growth etc. Globally data releases like IMF Meeting, Fed Official Speech, Initial Jobless Claims, Existing Home Sales, key inflation data, S&P Global Composite/Manufacturing/Services PMI etc. will be important to track.
Apart from this, the progress towards India-US trade and any commentary from President Trump on the tariff front will also keep markets busy. Lastly, Foreign institution positions continue to be important. We have seen them being net buyers last week and it will be important to track the movement in the near term.
Crude and FII Flows
Brent Crude Oil Prices fell to 1-year low at around $61/bbl as investors weighed the International Energy Agency’s warning of a supply surplus in 2026. On the other hand, FIIs continue to remain Net Buyers for the week.
Sector in Focus
Realty, Banks & FMCG remained in focus during the week.
Stocks That Remained in Focus During The Week
Aeroflex Industries:
The Aeroflex Bellow Division has received a new order worth approximately Rs 7.8 crore under the existing global agreement to supply advanced liquid cooling solutions for data centers. This order is for a subsidiary of a U.S.-based corporation with a market cap over USD 50 billion.
Central Bank of India:
Central Bank of India has partnered with Godrej Housing Finance Ltd. in a strategic co-lending agreement to offer competitive housing loans as per RBI guidelines. Godrej will originate and manage the loans, while Central Bank will retain up to 80% on its books. This collaboration aims to improve customer convenience, increase housing loan penetration, and expand both institutions’ reach across India.
Jyoti Structures:
The company has received a Notification of Award from AESL Projects Limited for supply of Towers, Survey, Soil Investigation, Foundations, Erection, Stringing, Testing and Commissioning of a portion of + 800 kV HVDC Bhadla 3 – Fatehpur Transmission Line on turnkey basis amounting to Rs 288.36 crore. The order received is for Central part of India and is to be executed in 36 months from letter of award.
Bharat Electronics:
Bharat Electronics Limited (BEL), has secured additional orders worth Rs 592 crore since the last disclosure on 29th September 2025. Major orders received include tank subsystems and overhauling, communication equipment, combat management system, ship data network, train collision avoidance system (Kavach), laser dazzler,jammers, upgrades, spares, services etc.
KEC International:
KEC International Ltd., a global infrastructure EPC major, an RPG Group Company, has secured a new order of Rs 1,038 crore for Design, Supply and Installation of 380 kV GIS Substation in Saudi Arabia. In a landmark achievement, the company has secured its largest ever substation order. This prestigious order in the Middle East has widened the portfolio and strengthened their presence in the region. With this strategic win, the YTD order intake has surpassed Rs 16,000 crore, representing a healthy growth of ~20%.
Hero MotoCorp:
Hero MotoCorp, the world’s largest motorcycle and scooter manufacturer, has officially entered the Spanish market in partnership with Noria Motos, part of the ONEX Group. This marks Hero’s 50th international market and strengthens its presence in Europe. Noria Motos will offer Hero’s Euro 5+ models through 30+ sales and service outlets across Spain, aiming to expand to 50+ locations by 2026 and fully deploy its network by 2028.
LG Electronics:
LG Electronics India Ltd has launched the LG Essential Series, a new line of home appliances designed specifically for Indian consumers. This series includes refrigerators, washing machines, air conditioners, and ovens with Indian auto cook menus, starting at around Rs 18,000. The nationwide rollout begins in November 2025, with products available through LG stores, multi-brand retailers, and major e-commerce platforms.
HCL Technologies:
HCL Tech has partnered with GSMA to advance the GSMA Open Gateway initiative, aimed at improving customer experiences, simplifying app development, and unlocking new revenue for the global telecom industry. As the first global tech company in the initiative, HCL Tech strengthens its commitment to openness, monetization, and innovation across telecom networks.
Kolte-Patil Developers:
The company reported strong sequential growth with a 9% rise in pre-sales and an 8% increase in collections, supported by robust economic conditions. It strengthened its portfolio with a 7.5-acre land acquisition in Pune valued at Rs 1,400 crore. Additionally, Blackstone-affiliated funds increased their stake to 40%, boosting expansion and long-term value creation.
Nestle:
Domestic sales grew at a double-digit rate, led by volume growth. Three out of four product groups delivered strong volume led double-digit growth. The domestic sales reached Rs 5,411 crore, the highest ever recorded in any quarter.
