Last Updated on November 4, 2026 7:44 pm by INDIAN AWAAZ
By Our Business Correspondent
Domestic equity markets extended their winning run to a fifth consecutive session on Wednesday, with benchmark indices closing higher amid easing crude oil prices, renewed foreign portfolio investor (FPI) inflows and broad-based buying across sectors. The recovery gathered momentum in the broader market, while realty and metal stocks attracted strong investor interest. Information technology (IT) shares, however, remained under pressure amid concerns over global technology valuations and the potential implications of the changing political landscape in the United States.
The S&P BSE Sensex advanced 383.55 points, or 0.50 per cent, to settle at 77,301.40. The NSE Nifty 50 gained 149.75 points, or 0.63 per cent, to close at 23,960.60, comfortably above the 23,950 mark. Over the five consecutive sessions, the Sensex and Nifty have gained 5.54 per cent and 5.56 per cent, respectively, reflecting a sustained improvement in market sentiment.
The rally was supported by a combination of domestic and global factors. Brent crude prices eased below $102 per barrel, offering some relief to India, which meets a substantial portion of its crude oil requirements through imports. Lower oil prices can help moderate imported inflation, reduce pressure on the country’s import bill and provide some relief to sectors sensitive to energy and transportation costs.
Foreign portfolio investors have also returned as net buyers of Indian equities in November, helping improve liquidity and investor confidence after a period of substantial overseas outflows. According to market data, foreign investors purchased around $821 million worth of Indian shares during the month, although their cumulative net outflows for the year remained significant.
Investors also assessed the outcome of the US midterm elections, in which the Democratic Party secured control of both chambers of Congress. The political shift has raised questions about the future direction of US trade policy, technology regulation and artificial intelligence-related investment. However, the Indian market largely maintained its upward momentum, supported by domestic buying and improving global cues.
Broader Market Outperforms Frontline Indices
The broader market performed better than the benchmark indices, indicating that the recovery was not confined to a handful of heavyweight stocks. The Nifty MidCap 150 index advanced 1.60 per cent, while the Nifty SmallCap 250 index gained 1.97 per cent.
Market breadth remained firmly positive on the NSE, with 2,720 shares advancing against 884 declining, while 100 stocks ended unchanged. The strong breadth reflected widespread buying interest across market segments.
The India VIX, which measures the market’s expectation of near-term volatility, declined 2.89 per cent to 15.27. A fall in the volatility gauge generally indicates reduced expectations of sharp market fluctuations and comparatively improved investor confidence.
Among the major contributors to the Nifty’s gains, Titan Company rose 4.22 per cent, Bajaj Finance advanced 2.47 per cent and HDFC Bank gained 1.54 per cent. Realty and metal stocks also attracted buying, while IT counters remained among the weaker performers.
Services Activity Accelerates, but Hiring Remains Moderate
India’s services sector recorded a stronger expansion in October, supported by domestic demand and an improvement in new business orders. The HSBC India Services Purchasing Managers’ Index (PMI) rose to 55.8 from 55.2 in September, marking the fastest expansion in four months. However, the final reading remained below the preliminary estimate of 56.2.
The improvement was largely driven by domestic demand, with new business and sales recording their strongest increase since June. Companies reported better demand conditions, new customer acquisitions and successful promotional campaigns as factors supporting business growth.
However, the external demand picture remained less encouraging. Growth in new export orders slowed to its weakest pace since February 2023, indicating that domestic consumption continued to play a more prominent role in sustaining services activity.
Employment growth also moderated, with hiring reaching its weakest pace in the latest 10-month period of expansion. Business confidence weakened compared with September and remained below its long-term average, suggesting that companies continued to exercise caution despite improved business conditions.
One encouraging development was the moderation in cost pressures. Input cost inflation in the services sector eased to its lowest level since August 2020, while the pace of increase in selling prices slowed to its weakest level since June.
The HSBC India Composite PMI Output Index, which measures activity across manufacturing and services, increased to 56.2 in October from 55.9 in September. This represented the fastest expansion in private-sector activity since June, although the reading was below the flash estimate of 56.7.
Stronger services activity offset some moderation in manufacturing output. New business orders across the private sector increased at their fastest pace since June. At the same time, employment growth and business optimism moderated. Overall input cost inflation eased to an 11-month low, while selling price inflation declined to its weakest level since February 2022. Price pressures, however, remained more pronounced in manufacturing than in services.
Commodities, Currency and Bond Market
Crude oil prices remained a key variable for domestic financial markets. Brent crude futures for December 2026 delivery declined $1.95, or 1.88 per cent, to $101.65 per barrel. The decline offered some relief to oil-importing economies, although prices remained elevated amid continuing geopolitical uncertainties.
Investors continued to monitor prospects for a possible agreement between the United States and Iran to end the conflict. However, a senior Iranian official indicated that the two sides remained some distance from reaching an agreement. Market participants were also awaiting official US inventory figures after the American Petroleum Institute reported an unexpected decline of 5.27 million barrels in crude stocks for the week ended October 30.
In the domestic bond market, the yield on India’s 10-year benchmark government security declined to 7.223 per cent from the previous close of 7.297 per cent, indicating a rise in bond prices.
The rupee edged higher against the US dollar. The partially convertible currency was trading at 94.5925 per dollar compared with its previous close of 94.7500.
On the commodity exchanges, MCX gold futures for December 4, 2026, delivery rose 2.37 per cent to Rs 1,42,789. The US Dollar Index, which measures the greenback against a basket of major currencies, declined 0.47 per cent to 101.38.
The yield on the US 10-year Treasury bond eased 0.51 per cent to 4.924 per cent, providing an additional factor for investors assessing global financial conditions.
Global Markets: Technology Concerns Continue
European equity markets traded higher on Wednesday as investors evaluated the outcome of the US midterm elections. The Democrats’ victory in both chambers of Congress raised concerns about possible tighter regulation of artificial intelligence and its implications for technology companies and investment in the sector. Nevertheless, greater clarity on the election outcome helped markets assess the potential consequences for corporate policy and the broader economy.
Asian markets recovered from early losses and ended mostly higher. Technology stocks continued to face selling pressure amid concerns over elevated valuations, substantial capital expenditure on artificial intelligence infrastructure and uncertainty about the returns on such investments.
US equity futures rebounded sharply following the initial weakness, with Dow futures rising 763 points. Investors reassessed the implications of the election results, particularly for corporate regulation, technology investment, trade policy and government spending.
Wall Street had ended mixed in the previous session on November 3. The Dow Jones Industrial Average declined 197.26 points, or 0.38 per cent, to 51,786.72. In contrast, the S&P 500 gained 27.52 points, or 0.36 per cent, to 7,568.92, while the Nasdaq Composite advanced 207.65 points, or 0.83 per cent, to 25,372.01.
A recovery in major technology stocks supported the S&P 500 and Nasdaq, although the broader market remained relatively subdued, with declining stocks outnumbering advancing ones on the S&P 500.
Nvidia gained 2.29 per cent, Microsoft rose 2.74 per cent and Amazon advanced 2.06 per cent. Broadcom added 3.07 per cent, while Micron Technology climbed 2.6 per cent. The Philadelphia Semiconductor Index gained around 3 per cent, helping the Nasdaq end a three-session losing streak.
Apple, however, declined 1.90 per cent after warning that higher memory-chip costs could put pressure on its December-quarter gross margin. The company reported fiscal fourth-quarter revenue of $114.5 billion, up 12 per cent year-on-year and above market expectations of $113.4 billion. Net income increased 12 per cent to $30.71 billion, while earnings per share stood at $2.10 against the estimated $1.99.
However, Apple’s December-quarter gross margin guidance of 45-46 per cent was below the 47.9 per cent reported in the September quarter, raising concerns about the impact of rising component costs on profitability.
AMD Results Highlight Strong AI and Data Centre Demand
Advanced Micro Devices (AMD) remained in focus after announcing record third-quarter 2026 financial results. The semiconductor company reported revenue of $13.38 billion, representing a 45 per cent increase from a year earlier. Net income under generally accepted accounting principles (GAAP) rose 95 per cent to $2.43 billion, while diluted earnings per share increased to $1.46 from $0.75.
On a non-GAAP basis, earnings per share climbed 74 per cent to $2.09. The company’s data centre business was a major growth driver, with revenue nearly doubling, rising 97 per cent year-on-year to approximately $8.55 billion.
AMD forecast fourth-quarter revenue of around $17 billion, plus or minus 3 per cent, with a non-GAAP gross margin of approximately 55 per cent. The revenue guidance implies year-on-year growth of around 66 per cent at the midpoint, highlighting expectations of continued demand for AI processors and data centre infrastructure.
Other notable US market movements included an 8.74 per cent decline in Shopify shares, while DuPont surged more than 9 per cent after reporting better-than-expected results and raising its outlook. Gartner and Thomson Reuters also declined following their earnings updates.
On the economic front, US job openings increased to 7.531 million in September from 7.147 million in August, according to the Bureau of Labor Statistics. The rise suggested stronger demand for labour, although the data alone did not establish the pace of actual hiring. Investors will assess the figures for their implications for the Federal Reserve’s interest-rate outlook.
New Listing: M.K. Sons Fine Jewels Makes Positive Debut
Shares of M.K. Sons Fine Jewels made a positive debut on the BSE, listing at Rs 171.60, a premium of 5.93 per cent over the issue price of Rs 162. However, the stock pared its initial gains and closed at Rs 162.20, marginally above the issue price.
During the session, the shares touched a high of Rs 174.90 and a low of Rs 162.10. Trading activity was substantial, with more than 16 lakh shares changing hands on the BSE.
Stocks in Spotlight
MCX: Shares of Multi Commodity Exchange of India (MCX) declined 5.02 per cent after gaining 9.45 per cent over the previous two sessions. The decline came despite the company reporting strong quarterly earnings. Consolidated net profit surged 130.8 per cent year-on-year to Rs 455 crore in Q2 FY27 against Rs 197 crore a year earlier. Revenue from operations jumped 113.9 per cent to Rs 800 crore from Rs 374 crore. On a sequential basis, profit increased 10.1 per cent and revenue rose 14 per cent.
Emcure Pharmaceuticals: The stock advanced 9.30 per cent after the pharmaceutical company reported a 29.3 per cent year-on-year increase in adjusted consolidated profit after tax to Rs 325.1 crore in Q2 FY27. Revenue from operations rose 24.3 per cent to Rs 2,820.5 crore. On a quarter-on-quarter basis, adjusted profit increased 11.8 per cent, while revenue grew 9.3 per cent.
Awfis Space Solutions: Shares surged 6.21 per cent after the company reported a 93 per cent year-on-year increase in consolidated profit after tax to Rs 31 crore for the September quarter. Revenue from operations grew 20 per cent to Rs 439 crore from Rs 367 crore. Normalised revenue, including adjustments for actual rent received under finance lease arrangements, increased 26 per cent to Rs 451 crore.
R Systems International: The stock jumped 8.62 per cent after adjusted net profit increased 53.1 per cent year-on-year to Rs 66.45 crore in Q3 2026, compared with Rs 43.40 crore in the corresponding quarter last year. Revenue from operations rose 24.3 per cent to Rs 615.20 crore. Sequentially, adjusted profit increased 5.7 per cent and revenue advanced 2.2 per cent.
Bata India: Shares declined 2.55 per cent after the company reported a sharp sequential fall in consolidated net profit. Profit dropped 71.69 per cent to Rs 18.11 crore in Q2 FY27 from Rs 63.98 crore in the preceding quarter. Revenue from operations declined 11.97 per cent year-on-year to Rs 861.78 crore. However, on an annual basis, consolidated net profit increased 30.78 per cent and revenue grew 7.54 per cent.
Saregama India: Shares rallied 13.27 per cent after the entertainment company reported a 47.62 per cent year-on-year jump in consolidated net profit to Rs 64.60 crore in Q2 FY27, compared with Rs 43.76 crore in the year-ago quarter. Revenue from operations increased 36.63 per cent to Rs 314.30 crore, reflecting strong growth in the company’s business.
Disclaimer: This report is for informational and news purposes only. The information presented is based on market data, company announcements and other available sources. It should not be construed as investment advice or a recommendation to buy or sell any security.