Sensex, Nifty end week flat as investors bet on Q3 earnings amid global caution
Sensex and Nifty end the week nearly flat as Q3 earnings optimism in IT and banks offsets profit-booking, global risks and geopolitical uncertainty.
Sensex, Nifty end week flat as investors bet on Q3 earnings
Indian equity benchmarks ended the week largely unchanged as optimism around Q3 earnings in IT and banking offset profit-booking and geopolitical concerns, keeping investors cautious despite broader market outperformance.
Indian equity markets closed the week on a flat note as expectations of a stable Q3 earnings season supported sentiment, even as global uncertainties and profit-booking in select sectors capped gains.
The Nifty 50 rose marginally by 0.04 per cent over the week, adding 0.11 per cent on the final trading day to close at 25,694. The Sensex ended Friday higher by 187 points, or 0.23 per cent, at 83,570, though it slipped 0.01 per cent for the week.
Market participants remained focused on Q3 earnings, with early results from the IT and banking sectors providing comfort on growth visibility and demand conditions. Analysts said upward revisions to revenue guidance by an IT bellwether lifted sentiment across the technology space, which delivered better-than-expected earnings growth.
The banking sector also reported encouraging trends, with improving asset quality and stronger earnings performance in early disclosures. These factors helped reinforce confidence in a gradual recovery in domestic corporate earnings during Q3 FY26.
Sectorally, PSU banks and metal stocks outperformed during the week, while profit-booking in pharma, consumer durables and automobile stocks weighed on benchmark indices.
From a technical perspective, Bank Nifty ended the week on a strong note, forming a bullish candlestick pattern. The Relative Strength Index (RSI) signalled strength with a bullish crossover and hovered near the 61 mark, indicating positive momentum.
Broader markets outperformed the benchmarks, with the Nifty Midcap 100 gaining 0.20 per cent and the Nifty Smallcap 100 rising 0.46 per cent during the week.
Globally, investor sentiment remained cautious as geopolitical tensions persisted, making foreign institutional investors risk-averse towards emerging markets and pushing bond yields higher. Investors are also tracking the US Supreme Court’s expected verdict on the legality of tariffs imposed by President Donald Trump, along with key macro indicators such as US PCE inflation and GDP data for cues on the Federal Reserve’s interest rate trajectory.
