Domestic equity markets altered between positive and negative territories and were trading slightly in the red in late morning deals. Weak cues from the global markets weighed on domestic sentiments. Further, depreciation in Indian rupee against dollar also weighed down sentiments. Rupee weakened by 22 paise to 95.15 against the dollar. Meanwhile, market participants remained on sidelines as the U.S. Federal Reserve, the European Central Bank and the Bank of Japan will announce their rate decisions on Wednesday, Thursday and Friday, respectively.
On the global front, Asian markets were trading mostly in the red following the negative cues from US markets on Friday, on rising oil prices and global inflation worries amid uncertainty in the Middle East conflict. Back home, on the BSE sectoral front, traders were seen building positions in metal, oil & gas, energy, healthcare and realty, while selling was witnessed in Bankex, FMCG, consumer durables, auto and IT.
The BSE Sensex is currently trading at 73085.53, down by 38.30 points or 0.05% after trading in a range of 72514.57 and 73491.97. There were 17 stocks advancing against 13 stocks declining on the index.
The top gaining sectoral indices on the BSE were Metal up by 1.00%, Oil & Gas up by 0.82%, Energy up by 0.80%, Healthcare up by 0.69% and Realty up by 0.65%, while Bankex down by 0.61%, FMCG down by 0.44%, Consumer Durables down by 0.43%, Auto down by 0.23% and IT down by 0.13% were the top losing indices on BSE.
The top gainers on the Sensex were Adani Ports up by 2.28%, Kotak Mahindra Bank up by 2.07%, Eternal up by 1.56%, Interglobe Aviation up by 1.39% and Trent up by 0.71%. On the flip side, Asian Paints down by 1.27%, Infosys down by 1.23%, Hindustan Unilever down by 1.14%, Bajaj Finance down by 0.86% and ICICI Bank down by 0.83% were the top losers.
Meanwhile, the article published in the Reserve Bank of India's (RBI) October Bulletin has said that strong macroeconomic fundamentals and targeted policy interventions are helping cushion India against global headwinds, including rising inflation due to the West Asia crisis and ongoing trade tensions. It said renewed geopolitical frictions in West Asia and supply chain disruptions have amplified inflationary pressures, prompting major central banks to raise policy rates. It said elevated sovereign bond yields in advanced economies (AEs) have also brought into focus concerns about fiscal sustainability and its implications for financial stability.
The article on 'State of the Economy' noted that Indian economy continued to demonstrate strength, as evidenced by high-frequency indicators across industry and services. The headline Consumer Price Index (CPI) inflation edged up in September driven by a broad-based increase in food, fuel, and core components. Double-digit growth in merchandise exports during the first six months of 2026-27 helped in narrowing the trade deficit. FDI, ECB and remittance flows strengthened in August. Strong inflows under the FCNR(B) swap window augmented reserves. It further said rising inflationary pressures induced by the West Asia crisis and recurrent trade tensions, alongside multi-decade-high sovereign bond yields, elevated public debt, and broader fiscal sustainability concerns are looming large. Some silver linings are evident in the form of positive technology shocks and related dividends from AI. It added that despite being a net energy importer, GDP growth has been supported by sustained domestic demand and services.
The article also said the rupee exhibited a depreciating bias since late September owing to a stronger US dollar and surging crude oil prices. The domestic currency appreciated subsequently in mid-October, supported by the Reserve Bank's measures to curb speculative dollar demand and a softer greenback. FDI flows continued to remain robust in August 2026, supported by strong gross inflows and moderation in outward FDI. Communication, miscellaneous services and manufacturing received more than two-thirds of the FDI inflows.
The CNX Nifty is currently trading at 22573.55, down by 26.45 points or 0.12% after trading in a range of 22387.35 and 22706.15. There were 25 stocks advancing against 25 stocks declining on the index.
The top gainers on Nifty were Dr. Reddy's up by 3.93%, BSE up by 3.81%, JSW Steel up by 2.67%, Kotak Mahindra Bank up by 2.00% and Adani Ports up by 1.92%. On the flip side, Shriram Finance down by 4.62%, Tata Consumer down by 3.29%, HDFC Life Insurance down by 1.86%, SBI Life Insurance down by 1.15% and Asian Paints down by 1.13% were the top losers.
Asian markets were trading mostly in the red; Nikkei 225 slipped 218.16 points or 0.35% to 62,475.00, Jakarta Composite plunged 54.29 points or 1.01% to 5,384.97, Shanghai Composite weakened 3.12 points or 0.08% to 3,687.36, KOSPI dropped 38.77 points or 0.7% to 5,511.53 and Straits Times fell 25.11 points or 0.46% to 5,397.05. However, Hang Seng advanced 110.63 points or 0.48% to 23,204.00.