Trade talks, Q2 earnings and global cues likely to drive Sensex, Nifty next week

Mumbai, Nov 2 The coming week is expected to be action-packed for the Indian stock markets as investors turn their focus to key corporate earnings, a series of upcoming IPOs, and crucial trade negotiations between India and the United States.

These factors are likely to set the tone for the Sensex and Nifty after both indices ended the last week with minor losses.

The Sensex fell 465.75 points, or 0.55 per cent, to settle at 83,938.71, while the Nifty closed 155.75 points, or 0.60 per cent, lower at 25,722 on Friday.

Weak global cues and profit booking amid mixed corporate earnings weighed on investor sentiment. Over the month, the Sensex rose 4.6 per cent and the Nifty gained 4.5 per cent.

Broader markets also ended lower, with the BSE Midcap index declining 0.55 per cent and the Smallcap index falling 0.40 per cent.

Next week, several heavyweight companies such as Bharti Airtel, Titan Company, Adani Enterprises, Adani Ports, InterGlobe Aviation, Mahindra & Mahindra, Paytm, SBI, Britannia, Lupin, Bajaj Auto, and Hindalco Industries are set to announce their quarterly results.

The market is likely to take cues from these earnings reports for further direction.

On the policy side, Commerce Minister Piyush Goyal said India is in the final stages of negotiations with the United States for a bilateral trade agreement.

Goyal added that talks with the European Union are also progressing well.

Meanwhile, the primary market is gearing up for a busy week with five IPOs opening for subscription -- two on the mainboard and three in the SME segment.

Additionally, five new companies will make their stock market debut next week, further adding to market buzz.

With a mix of corporate earnings, trade negotiations, and IPO activity, investors can expect volatility in the markets next week, analysts said.

“Global cues and updates on US-India trade talks will also play a key role in shaping investor sentiment,” they added.

In terms of levels, the Nifty has immediate support at 25,600 and 25,500, which could provide buying opportunities on declines.

“On the upside, resistance is seen at 25,800 and 26,000, with the latter acting as a key hurdle. A sustained breakout above 26,000 could trigger a bullish move, potentially targeting the 26,100–26,300 zone in the coming weeks,” market watchers added.

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