Indian Markets End Week Flat As Earnings Optimism Offsets Global Risks

Indian equity benchmarks ended the week largely unchanged as optimism over Q3 corporate earnings and renewed India-US trade discussions balanced investor caution over rising geopolitical tensions.

The Nifty rose 0.04 per cent over the week and gained 0.11 per cent on Friday, closing at 25,694. The Sensex closed at 83,570, up 187 points or 0.23 per cent on the last trading day, while dipping 0.01 per cent for the week.

Profit-booking in pharma, consumer durables, and autos weighed on indices, whereas PSU banks and metals outperformed.

Analysts noted that IT and banking sector earnings provided confidence in domestic growth and demand, helping sustain investor optimism.

The IT sector attracted attention after a major industry bellwether revised its revenue guidance upward, while the broader IT space reported better-than-expected earnings growth.

Banking stocks also showed encouraging trends, with early results indicating improved asset quality and stronger earnings performance.

Bank Nifty closed confidently, forming a bullish candlestick. The Relative Strength Index (RSI) confirmed the sector’s strength with a bullish crossover, currently placed near 61.

Broader indices outperformed the benchmarks, with the Nifty Midcap 100 rising 0.20 per cent and Nifty Smallcap 100 advancing 0.46 per cent.

Investors remain alert to the upcoming US Supreme Court verdict on the legality of President Donald Trump’s tariffs, although the timeline is uncertain.

Global macroeconomic indicators, including US PCE inflation and GDP data, are also being closely monitored as they will influence the Federal Reserve’s rate outlook.

Analysts said that despite geopolitical uncertainties, Q3 earnings trends and positive trade discussions continue to support investor confidence in India’s equity markets.

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