The market snapped a four-week winning streak in the week ended October 31, closing with moderate losses on profit booking, especially after the strong rally seen since the start of October. The benchmark indices rallied over 6 percent to hit a fresh 52-week high in October, before getting into a small correction may be due to diminishing prospects of another Fed funds rate cut in December, which pushed the US 10-year Treasury yield higher by 1.95 percent during the week to 4.08 percent.
On the precious metals front, there was extreme volatility, extending a fall for another week with gold futures declining 3.41 percent and silver futures losing 0.88 percent, owing to a strengthening US dollar and aggressive profit-booking after the strong rally.
In the week starting November 3, the market will first react to corporate earnings and monthly auto sales data (reflecting festive-season demand trends) announced over the weekend. Overall, the benchmark indices are expected to remain range-bound and consolidative, with a focus on quarterly earnings (which have so far been mixed), management commentaries for the second half of FY26, further developments related to India–US trade talks as well as US–China trade, the mood of foreign institutional investors (FIIs), and global cues.
The BSE Sensex declined 273 points (0.32 percent) during the October 31 week to close at 57,776, and the Nifty 50 fell 73 points (0.28 percent) to 25,722, while the broader markets outperformed the benchmark indices with the Nifty Midcap and Smallcap 100 indices gaining 1 percent and 0.7 percent, respectively.
"Going ahead, markets are likely to remain range-bound with a positive bias as investors monitor global developments, foreign fund flows, alongside quarterly results," Siddhartha Khemka - Head of Research, Wealth Management at Motilal Oswal Financial Services said.
Resilient domestic fundamentals continue to offer support, even as external uncertainties may cap near-term upside, he believes.
According to Vinod Nair, Head of Research at Geojit Investments, the market will closely monitor the nations’ trade talks with the US. Moreover, "any dips are expected to attract buying interest across core sectors, given the expectation of a better H2, being supported by monetary and fiscal support," he said.
Here are 10 key factors to watch this week:
The September quarter earnings season will enter into the fifth week with over 650 companies releasing their results scorecard, including Nifty 50 names like State Bank of India, Bharti Airtel, Power Grid Corporation of India, Tata Consumer Products, Titan Company, Adani Enterprises, Adani Ports and Special Economic Zone, Mahindra & Mahindra, Grasim Industries, Sun Pharmaceutical Industries, Apollo Hospitals Enterprise, Bajaj Auto, and Hindalco Industries.
Among others, Lupin, One 97 Communications, InterGlobe Aviation, Britannia Industries, Life Insurance Corporation of India, FSN E-Commerce Ventures Nykaa, One Mobikwik Systems, UPL, Zydus Lifesciences, Ambuja Cements, Bharti Hexacom, Gland Pharma, Wockhardt, Alembic Pharmaceuticals, Escorts Kubota, Indian Hotels, Metropolis Healthcare, Aurobindo Pharma, Blue Star, CSB Bank, Delhivery, ABB India, Amber Enterprises, Aster DM Healthcare, Cummins India, Godrej Properties, Hexaware Technologies, Mankind Pharma, Multi Commodity Exchange of India, Divis Laboratories, JSW Cement, Kalyan Jewellers India, National Aluminium Company, Power Finance Corporation, Torrent Pharmaceuticals, and Trent will also announce their numbers this week.
Global Economic Data
On the global front, apart from US-China trade-related developments, the focus will be on the manufacturing & services PMI numbers by several key nations, including the US, China, Japan, and the UK.
Further, minutes of the recent Bank of Japan’s monetary policy meeting, Europe's retail sales data, and China's inflation numbers will also be watched.
The market participants will not see several economic data points from the U.S., like auto sales, jobless claims, factory orders, unemployment rate, non-farm payrolls, balance of trade, wholesale inventories, etc, as the shutdown in the world's largest economy continued for Day 33.
Meanwhile, the numbers like total household debt for Q3-2025, weekly MBA mortgage applications, Challenger job cuts for October, and Michigan inflation expectations (preliminary numbers) for November will only be disclosed.
BoE Interest Rate Decision
The interest rate decision by the Monetary Policy Committee of the Bank of England will also be watched this week on November 6. Most economists expect the central bank to hold rates at 4 percent not only in the November but also in the December meeting as the inflation at 3.8 percent in September remained above its long-term target of 2 percent.
Domestic Economic Data
Back home, HSBC Manufacturing and Services PMI final numbers for the month of October will be disclosed on November 3 and 6, respectively, while the foreign exchange reserves for the week ended October 31 will be released on November 7.
According to the preliminary estimates, the manufacturing PMI increased to 58.4 in October (from 57.7 in September) and the services PMI dropped to 58.8 (against 60.9 in September).
The market participants will keep an eye on the mood at the FIIs (Foreign Institutional Investors) desk as the selling has slowed down considerably in the past few weeks, possibly on hopes of an earnings recovery. They have net sold Rs 2,103 crore worth shares in the week gone by, taking the net selling for October to Rs 2,347 crore, which is far less compared tothe outflow seen in the past three months.
On the other side, the support from DIIs (Domestic Institutional Investors) continued as they net bought shares worth Rs 18,804 crore in the recent week, and Rs 52,794 crore for October, remaining net buyers since August 2023.
Meanwhile, the rupee depreciated after strengthening for the previous couple of weeks from a record low, weakening by 1.05 percent to 88.72 against the US dollar, possibly amid caution due to absence of further progress in the US-India trade deal talks. The US Dollar index has gradually been rising despite intermittent corrections, climbing 0.79 percent for the week to 99.716.
The healthy action will continue in the primary market this week as six new initial public offerings (IPO) worth Rs 10,733.5 crore will hit Dalal Street, including Groww and Pine Labs, offering amounts to Rs 10,532.2 crore from the mainboard segment.
Billionbrains Garage Ventures, the parent of the leading stock broking platform Groww, will open its Rs 6,632.3-crore IPO on November 4 with a price band of Rs 95-100 per share, while the Rs 3,900-crore IPO of fintech company Pine Labs will be launched for the public on November 7 with a price band of Rs 210-221 per share.
In the SME segment, Shreeji Global FMCG will open its Rs 85-crore public issue on November 4, followed by Finbud Financial Services' Rs 72-crore IPO on November 6, while the Rs 27.5-crore offer of pharma company Curis Lifesciences, and solid carbide cutting tools manufacturer Shining Tools' issue worth Rs 17.1 crore will be launched on November 7.
Meanwhile, helmet maker Studds Accessories will close its public issue on November 3, followed by the eyewear company Lenskart Solutions on November 4.
Orkla India will make its market debut on November 5, followed by Studds Accessories on November 6 and Lenskart Solutions on November 7, while Jayesh Logistics will list its shares on November 3, followed by Game Changers Texfab and Safecure Services on November 4 and November 5, respectively.
Technicals
Technically, given the weakening momentum indicators, the Nifty 50 may see some more correction and consolidation before starting a new leg of upmove. If it breaks 25,670, the crucial support is placed at 25,500-25,400 as below these levels, the bears may gain strength and drive the index down toward 25,300 (10-week EMA) followed by 25,000 (20-week EMA) but as long as it holds the same, the possibility of rebound toward 26,000-26,100 can't be ruled out after ongoing consolidation, experts said.
F&O Cues
The weekly options suggest that the Nifty 50 may trade in the 25,500–26,000 range in the short term, as a breakout on either side could provide a firm directional move.
On the Call side, the maximum open interest was placed at the 26,000 strike, followed by the 25,900 and 26,500 strikes, with the maximum Call writing at the 25,800, 25,900 and 26,000 strikes, while the 25,500 strike holds the maximum Put open interest, followed by the 25,700 and 25,800 strikes, with the maximum Put writing at the 25,700, 25,750 and 25,800 strikes.
India VIX
Meanwhile, the India VIX, which is also known as the fear gauge, rose 4.85 percent during the week to 12.15, signalling some caution for bulls. Climbing and sustaining above 13 can give discomfort for bulls.
Corporate Action
Here are key corporate actions taking place this week:
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