Nifty, Sensex open flat; Global upgrades, IPO buzz and Bihar polls keep investors cautious

MUMBAI: The domestic stock market opened on a flat note on Monday, continuing its sideways movement as investors remained cautious ahead of key domestic and global events. Both benchmark indices registered marginal gains in early trade.

The Nifty 50 index opened at 25,503.50, up 11.20 points or 0.04 per cent, while the BSE Sensex started the session at 83,350.35, rising 134.07 points or 0.16 per cent.

Despite the muted start, experts believe that the market could see some positive momentum in the coming days, supported by foreign brokerage upgrades and ongoing earnings announcements.

Ajay Bagga, Banking and Market expert said that Indian markets are likely to benefit from the recent upgrade by two major international brokerages.

“Both Goldman Sachs and HSBC have put an overweight on Indian markets. This could lead to FPIs turning net buyers over the next few weeks,” Bagga said.

He added that the Bihar election exit polls, scheduled to be released after market hours on November 11, are likely to keep market positioning light in the earlier part of the week. The actual results of the election will be declared on November 14.

“IPO listings this week could see narrative stocks delivering negative listings which will impact sentiment,” Bagga added.

In the primary market, investors are keeping a close watch on two major IPO developments. The Lenskart Solutions IPO is set to be listed today after being oversubscribed 7.376 times in the retail category and 23.79 times in the QIB segment, despite valuation concerns.

Meanwhile, the Groww IPO allotment will be finalized today. The IPO was oversubscribed 9.27 times in the retail section, 10.9 times in the QIB category, and 13.96 times in the NII segment.

Apart from IPOs, several major companies are scheduled to announce their 2QFY26 results today. These include Ather Energy, Bajaj Consumer Care, Bajaj Finance, Balaji Amines, Carysil, Dynamatic Technologies, EIH Associated Hotels, Electrosteel Castings, Emami, Electronics Mart India, Esab India, Ganesha Ecosphere, among others.

Siddhartha Khemka, Head of Research at Wealth Management, Motilal Oswal Financial Services said, that the markets are likely to remain rangebound on account of mixed global cues and FII outflows. “Optimism around good earnings along with positive commentary could provide support. Any progress in India-U.S. trade talks can also act as a key catalyst,” he said. Khemka added that as the earnings season enters its final phase, focus may shift toward the domestic consumption theme, especially with the wedding season beginning soon.

On the global front, developments in the United States remained in focus. The U.S. Supreme Court is not expected to deliver its verdict on Trump tariffs until the end of the year. President Donald Trump stated that he has several options to levy tariffs and also announced that U.S. households could receive a payout of USD 1,000 to USD 2,000 from the tariff collections. However, the mechanism for this measure remains unclear as it would require approval from the U.S. Congress.

Trump further mentioned that under his proposed Trumpcare policy, the premium subsidy currently credited to health insurers under Obamacare would instead be directly credited to U.S. households, allowing them to choose their health insurance plans.

Meanwhile, global equity markets are monitoring the fallout from the AI bubble unravelling trade, which dominated sentiment last week. Major AI-related stocks across the U.S. and Asia witnessed a sharp decline, and traders are closely watching for any follow-through moves in the coming sessions.

Sunil Gurjar, SEBI-registered analyst and Founder of Alphamojo Financial Services, said that the Nifty 50 is currently approaching 25,250, a strong support level.

“A breakdown below this support would confirm a continuation of the downtrend. Technically, the index currently shows a bearish sentiment as it is trading below all short-term Key Exponential Moving Averages (EMAs) and is currently taking support at the 50-EMA. The upcoming weeks will be decisive for the Nifty’s trend,” he said.

In the Asian markets, sentiment remained largely positive. Japan’s Nikkei 225 index rose 0.88 per cent, Hong Kong’s Hang Seng index was up 0.55 per cent, Taiwan’s weighted index gained 0.56 per cent, and South Korea’s KOSPI index jumped 2.92 per cent. (ANI)