Indian markets opened higher on Monday as the Sensex started trading at 84,671.89 or more than 100 points higher and the Nifty opened above 25,900, inching-up 18 points.
In the pre-open session around 9:03 AM, the Sensex was trading above 84,900 rising over 350 points and the Nifty tested 26,000 rising nearly 46 points.
At 8:32 AM, the Gift Nifty was trading at 26,018 or 13 points higher.
What Factors Will Influence Markets This Week?
Among the major factors that will influence Indian markets are domestic PMI data as well as the minutes of the US Federal Reserve’s meeting and the progress on India-US trade deal negotiations, as per analysts.
Additionally, equity market trends will also be influenced by the trading activities of foreign investors.
What Do Experts Say?
Vinod Nair, Head of Research at Geojit Investment Services, said the market’s near-term trajectory will be shaped by major macroeconomic cues, including India’s PMI data, US jobless claims, the FOMC minutes and developments in US–India trade talks. “A prudent approach would be to focus on sectors with strong fundamentals, clear earnings visibility, and structural tailwinds… positioning portfolios for potential upgrades in H2FY26,” he noted.
Last week, the BSE Sensex rose 1,346.5 points, or 1.62 per cent, while the NSE Nifty gained 417.75 points, or 1.64 per cent. Siddhartha Khemka, Head of Research, Wealth Management at Motilal Oswal Financial Services, said Indian markets wrapped up the week on a firm footing. He attributed the gains to the resolution of the US government shutdown, resilient domestic fundamentals, better-than-expected Q2 earnings and moderating inflation.
He added that capital-market-oriented stocks were active, supported by healthy retail participation, strong SIP inflows and interest in recent and upcoming IPOs. Khemka also said equities are expected to retain their positive momentum this week, buoyed by steady domestic indicators, robust earnings and the strong electoral mandate for the ruling NDA in Bihar, which underscores political stability at the Centre.
According to him, with the earnings season drawing to a close, investor focus will shift towards broader domestic cues, including initial signs of festive and wedding-season demand, the evolving interest-rate outlook and prospects of increased capital expenditure in the latter half of the fiscal. He added that the reopening of the US government and improving global risk sentiment further strengthen the backdrop. Sector-wise, he expects information technology, metals and capital market-linked stocks to stay in focus, supported by better earnings visibility, positive policy signals and stable domestic liquidity.
Ajit Mishra, SVP, Research at Religare Broking Ltd, said markets bounced back strongly during the week, finishing decisively higher after a period of weakness. He said investor sentiment improved markedly after India’s retail inflation dropped to 0.25 per cent in October from 1.44 per cent in September, helped by GST rate cuts and softening food prices.
Mishra added that, with the earnings season now concluded, attention will turn to high-frequency indicators such as Services PMI, foreign exchange reserves and infrastructure output figures. He said global sentiment will be influenced by forthcoming US economic data, including the minutes of the latest Federal Open Market Committee meeting. Additionally, he noted that ongoing fluctuations in AI-linked stocks will be a key factor to watch, given their potential impact on broader market trends.
