The Indian stock markets extended their losing streak to eight consecutive sessions, with the Nifty closing at 24,611.10 (down 0.10%) and Sensex settling at 80,267.62 (down 0.12%). This decline comes despite expectations that largecap pharma, IT, and FMCG sectors could drive future market gains amid range-bound trading.

Market Overview

The decline was driven by selling pressure in consumer, realty, and IT stocks, while auto, banking, and metals sectors provided some support. Among sectoral indices, Nifty Media led losses at 1.23%, while Nifty PSU Bank topped gains at 1.80%.

Notably, Tata Investment surged 16.00% to hit an all-time high of Rs 10,391.50, and Ola Electric gained 5.00%. Trading remained subdued ahead of the RBI policy outcome.

Currency and Global Markets

The Indian rupee hit a record low of 88.79 against the dollar, marking its fifth consecutive monthly decline. Asian markets showed mixed performance, with Japan's Nifty down 0.25% while Hong Kong's Hang Seng and China's Shanghai Composite gained 0.90% and 0.50% respectively.

Sector Performance and Outlook

Despite the current downturn, analysts remain optimistic about certain sectors:

Pharma and IT Sectors

Pharmaceutical and IT stocks are expected to play a crucial role in driving the market higher. Experts recommend overweighting these sectors during this stock picker's market.

• Pharma remains a secure investment despite sector volatility.
• IT presents opportunities with multi-year low valuations and potential AI-driven growth.

FMCG Sector

FMCG shows signs of rural demand revival and may be bottoming out after downgrades. Notably, IT and FMCG currently have some of the lowest weights in Nifty indices, making positioning attractive.

Banking Sector

The Nifty PSU Bank index has shown strength, surging over 1% in recent trading sessions.

Market Trends and Expectations

The market is currently 12 months into a concentration cycle, which historically lasts 24-30 months. Experts expect largecap outperformance to continue while midcaps and smallcaps may underperform.

Looking Ahead

Investors and traders are likely to keep a close watch on the upcoming Reserve Bank of India (RBI) meeting, which could provide further direction to the market. The performance of metal, pharma, IT, and FMCG stocks, along with the banking sector, will be crucial in determining the market's trajectory in the short term.

As global factors come into play and FII selling continues, market participants will need to navigate these challenges while capitalizing on sector-specific opportunities in the Indian equity market. Crude oil prices have declined on OPEC+ plans to increase output in November, which could also impact market dynamics in the coming days.

The Indian stock market witnessed another day of subdued performance, with the benchmark indices closing marginally lower. The Nifty 50 extended its losing streak to seven consecutive sessions, while broader markets showed resilience.

Market Performance

The Nifty 50 declined by 20.00 points (0.08%) to close at 24,634.00, marking its seventh straight session of losses. Similarly, the Sensex dropped 61.00 points (0.08%) to end at 80,364.00. The weakness in the market was primarily driven by large-cap stocks.

However, broader markets outperformed the benchmarks:

• Nifty Midcap 100 gained 154.00 points, closing at 56,533.00
• Nifty Bank rose by 72.00 points, ending at 54,461.00

The market breadth remained mixed, with an advance-decline ratio of 1:1, indicating a balanced sentiment among investors.

Sector-wise Performance

Oil Marketing Companies Rally

Oil marketing companies saw significant gains, rallying 3-5% after Oil Minister Hardeep Singh Puri highlighted their undervaluation. This statement from the minister seems to have boosted investor confidence in the sector.

Banking Sector

IndusInd Bank stood out in the banking sector, gaining 1.00% following an upgrade from Morgan Stanley. This positive outlook from a major financial services firm likely contributed to the stock's upward movement.

Notable Gainers

Several stocks saw notable gains during the trading session:

1. Bharat Electronics: Up 1.00% on securing a ₹30,000 crore order from the Indian Army
2. Muthoot Finance and Manappuram Finance: Both up 2.00% each, benefiting from rising gold prices
3. Oil India: Gained 2.00% following a natural gas discovery
4. Indian Railway Finance Corporation: Rose 2.00% after announcing ₹20,000 crore loan agreements

Significant Movers

Some stocks experienced substantial movements:

1. Vascon Engineers: Surged 20.00% after signing a Memorandum of Understanding (MoU) with Adani Infra
2. Paradeep Phosphates: Jumped 7.00% on the commissioning of a new plant
3. Wockhardt: Soared 15.00% following US pharma tariff exemptions

Decliners

Garden Reach Shipbuilders saw a decline of over 4.00%, primarily due to profit-taking by investors.

Conclusion

The Indian stock market displayed a mixed sentiment, with benchmark indices slightly down but broader markets showing resilience. While large-cap stocks faced some pressure, several mid-cap and sector-specific stocks demonstrated strength, driven by company-specific developments and sectoral factors. Investors should continue to monitor global cues and domestic economic indicators for further market direction.