Nifty, Sensex end 4-week winning streak amid profit booking

Mumbai, Nov 1 (IANS) Indian equity benchmarks ended their four-week winning streak, closing marginally lower this week amid profit-booking and mixed global cues.

Benchmark indices Nifty and Sensex dipped 0.65 and 0.55 per cent during the week to close at 25,722 and 83,938, respectively.

Market optimism was bolstered during the first three sessions by positive domestic economic data and China's approval for few Indian companies to import rare earth magnets.

However, sentiment turned cautious after the US Federal Reserve cut its benchmark interest rate by 25 basis points to the 3.75 per cent–4 per cent range.

"India’s industrial output rose 4 per cent YoY in September 2025, supported by strong manufacturing activity. The US Federal Reserve hinted that the 25-bps cut might be the final one in 2025, which dampened hopes of further near-term easing," said Ajit Mishra- SVP, Research, Religare Broking Ltd.

Further, steady corporate earnings and continued FII inflows through October helped cushion the downside, he added.

Metals, energy and realty stocks were the major contributors to the rally, while auto, pharma and IT stocks experienced profit-taking.

"While PSU banks surged on reports of a potential hike in foreign investment limits, metal counters gleamed on renewed optimism after China’s pledge to rein in steel overcapacity and signs of progress in US-China trade talks," added Vinod Nair, Head of Research, Geojit Investments Limited.

Analysts said that capital market stocks lost momentum as SEBI’s proposed overhaul of TER structures weighed on sentiment.

Support for the Nifty is currently located close to the 25,600 zone and the 25,400 zone, while resistance is seen around 26,100, analysts said.

In the upcoming holiday-shortened week, investors are looking for cues from the final readings of the HSBC Manufacturing PMI and HSBC Services and Composite PMI data.

Investors are also keen on the India-US trade deal and trends in developed markets, while on the earnings front, several index heavyweights are set to announce their quarterly results.

--IANS

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