Indian equity markets opened higher on Monday, with the Sensex starting at 81,770.02 and Nifty at 24,956.15, as positive global cues and strong quarterly results from major companies boosted investor sentiment.

Tech Mahindra emerged as the top gainer on the NSE, surging 3.16 per cent in early trade, followed by HDFC Bank which rose 2.80 per cent after reporting a 5 per cent year-on-year increase in Q2 net profit to ₹16,821 crore.

Gold prices touched a record high, crossing $2,700 per troy ounce, driven by geopolitical tensions in the Middle East and uncertainty surrounding the upcoming U.S. presidential elections. “The rising tensions in the Middle East and uncertainty surrounding the upcoming U.S. Presidential elections have contributed to the rally in gold and silver prices,” said Rahul Kalantri, VP Commodities at Mehta Equities Ltd.

In global markets, U.S. stocks concluded their sixth consecutive week of gains, with all three major indices closing higher on Friday. “All three major U.S. stock indexes closed higher Friday, each reporting a sixth straight week of gains as markets were boosted by an earnings-driven jump in Netflix shares and broader gains across technology stocks,” noted Deepak Jasani, Head of Retail Research at HDFC Securities.

China’s central bank announced a 25 basis point cut in its one-year loan prime rate to 3.10 per cent from 3.35 per cent, signaling continued efforts to stimulate its economy. The five-year LPR was similarly reduced to 3.60 per cent from 3.85 per cent.

Crude oil markets showed signs of recovery after last week’s significant decline, with Brent crude trading at $73.33, up 0.37 per cent, and WTI at $69.03, up 0.49 per cent. The previous week saw oil prices fall more than 7 per cent due to concerns over Chinese demand and OPEC+’s reduced global demand outlook.

Foreign institutional investors (FIIs) have sold a record $8.4 billion worth of Indian equities in October, surpassing the previous record outflow of $8.35 billion recorded in March 2020. However, as Prashanth Tapse, Senior VP at Mehta Equities noted, “Nifty’s upside may be limited by weak Q2 earnings and continued FII selling.”

Among major losers, Tata Consumer Products led the decline, falling 6.70 per cent, followed by Kotak Mahindra Bank, which dropped 3.66 per cent after reporting lower-than-expected Q2 results.

The market outlook remains cautiously optimistic, with technical analysts suggesting immediate resistance levels for Nifty at 25,100 and 25,440, while the 24,750-24,650 zone is expected to provide support. “The upcoming week may begin subdued,” said Ameya Ranadive, Sr Technical Analyst at StoxBox.

Investors will closely monitor upcoming quarterly results from companies including Ultratech, CG Power, and Union Bank of India, along with global economic indicators and central bank policies to determinefurther market direction.

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