**Weekly Market Review: India Equities**

Last week, while the markets experienced a significant downturn, breaking their 3-week winning streak, the downward momentum continued into this abbreviated trading week — until the RBI MPC meeting outcome was announced, which lifted market sentiment.

The drop in indices was largely due to several factors: Foreign Institutional Investors (FIIs) selling, with more than $22 billion withdrawn from the Indian market since the beginning of 2025; restrictions on US H-1B visas; President Trump announcing a 100% tariff on imports of branded and patented pharmaceutical products; delays in the US-India trade agreement; a record low rupee; uncertainty ahead of the September quarter earnings; and liquidity constraints in the secondary market caused by a slew of new IPOs set to debut on Dalal Street, including the much-anticipated Tata Capital IPO.

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### RBI MPC Meeting Outcome: A Market Roller Coaster

Mid-week presented a roller coaster ride with the RBI Monetary Policy Committee (MPC) meeting outcome. The RBI Governor kept repo rates unchanged at 5.50%. As communicated earlier, a rate cut was unlikely due to low inflation and strong GDP growth in Q1FY26.

While rates remained unchanged, the RBI Governor’s commentary caught everyone’s attention. The central bank projected a favorable growth-inflation outlook, lowering its inflation forecast from 3.1% to 2.6%, and raising GDP growth expectations from 6.5% to 6.8%. This positive outlook, combined with robust September auto sales and strong GST collections (which rose over 9% to Rs 1.9 lakh crore), sparked a market rally.

Consequently, the Sensex surged over 700 points, and the Nifty closed above the 24,800 mark, snapping a 9-day losing streak and boosting market sentiment.

Additional positives included measures to improve liquidity, speculation around a possible rate cut in December, infrastructure status granted to NBFCs, and Brent crude prices falling to a 4-month low, all expected to support market performance.

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### Looking Ahead: Q2FY26 Earnings and Market Drivers

As we approach the Q2FY26 earnings season, provisional business updates from banks, NBFCs, realty, and FMCG sectors will be closely monitored. Despite ongoing global and domestic uncertainties, we remain positive over the medium to long term. Recent GST cuts have stimulated positive sentiment across various sectors, which is expected to fuel volume growth and support GDP expansion in the upcoming period.

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### How Did the Markets Fare Last Week?

For the week ending Friday, the Indian benchmark indices closed in green. The Sensex and Nifty gained nearly 1.0% each, while midcaps outperformed, rising approximately 2.1%.

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### What to Watch in the Coming Week?

The upcoming week is packed with key economic data releases from both domestic and global markets, likely to influence market direction.

**Domestic data releases include:**
– Foreign Exchange Reserves
– Bank Loan Growth
– HSBC Composite, Manufacturing, and Services PMI

With the September quarter earnings approaching, select companies in FMCG, banking, and other sectors will provide crucial business updates. These results will help set expectations for the full earnings season.

**On the global front, key events include:**
– Fed Officials’ speeches
– US Nonfarm Payrolls data
– Important FOMC minutes, providing insight on future policy direction
– Initial Jobless Claims figures

Additionally, progress in India-US trade talks and any comments from President Trump regarding tariffs will be market-moving. Tracking Foreign Institutional Investors’ positions will remain essential in the near term.

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### Crude and Foreign Institutional Investor (FII) Flows

Brent crude oil prices declined to $64/bbl ahead of an OPEC+ meeting expected to increase output by bringing more idled barrels back online, intensifying oversupply concerns.

Meanwhile, FIIs continued to be net sellers during the week, contributing to market volatility.

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### Sectors in Focus

Metals, PSU banks, and realty sectors were under the spotlight throughout the week.

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### Stocks That Made Headlines

**Sammaan Capital**
Avenir Investment is set to invest Rs 8,850 crore via shares and warrants at Rs 139 apiece — an 18% discount to the current market price. Post-investment, Avenir will hold 43.46% and initiate an open offer, with Rs 4,587 crore via shares and the balance via warrants in two tranches.

**Maruti Suzuki**
Maruti Suzuki sold 1,89,665 units in September 2025, aligning with estimates. Export volumes hit a record 42,204 units — up 52% YoY — although domestic sales fell 6.3%. Production grew 26% YoY to 2.01 lakh units, driven by strong passenger vehicle output. The company highlighted record festive demand with 1,65,000 deliveries in the first eight days of Navratri and a 50% uptick in daily bookings post recent price cuts. Exports in H1FY26 crossed 2.1 lakh units, including over 6,000 electric vehicles shipped in August–September.

**Lemon Tree Hotels**
Lemon Tree Hotels signed its newest property, Keys Select by Lemon Tree Hotels in Haridwar. The facility features 52 rooms, a restaurant, conference hall, and recreational amenities including a fitness center. This signing expands the company’s leisure portfolio in Uttarakhand, where it currently operates 8 properties with 9 more upcoming.

**KNR Construction**
The company received a Letter of Acceptance from the Greater Hyderabad Municipal Corporation for constructing two 3-lane flyovers at Kukatpally ‘Y’ junction on NH65 (towards Ameerpet and Miyapur) under an EPC/Turnkey contract, worth Rs 72.80 crore excluding GST. The project timeline is 24 months.

**Unimech Aerospace**
In its September quarter update, Unimech Aerospace reported a revenue slowdown for Q2FY26, expected to be marginally lower than Q1. This is attributed primarily to US tariffs impacting export realizations. Customers are delaying orders while monitoring tariff developments, pressuring profits. Given these headwinds, meeting full-year FY26 revenue guidance may be challenging.

**Nestlé India**
Nestlé India signed a Memorandum of Understanding (MoU) with the Ministry of Food Processing Industries to accelerate investments in greenfield and brownfield projects in Odisha and at existing manufacturing sites. These investments over the next 2–3 years aim to bolster the food processing sector, generate employment, and support the vision of Atmanirbhar Bharat.

**Time Technoplast**
Time Technoplast secured the BIS License under IS 14885:2022 for manufacturing PE pipes for gas distribution within Q2FY26. This milestone supports the company’s goal to expand its presence in the gas distribution sector, targeting 20+ firms and anticipating 30% growth in the PE pipe segment with enhanced capacity and minimal investment.

**RITES**
RITES signed an MoU with Etihad Rail and its UAE-based subsidiary NICC to collaborate on mobility infrastructure projects in the UAE and beyond. This partnership leverages RITES’ 50 years of expertise and NICC’s execution capabilities, strengthening RITES’ global footprint under its ‘RITES Videsh’ initiative.

**P N Gadgil Jewellers**
P N Gadgil Jewellers achieved record festive sales of ₹618 crore during Navratri and Dussehra, marking a 65% YoY growth. Navratri sales were ₹428 crore (+66% YoY), and Dussehra set a single-day record of ₹190 crore (+64% YoY). Gold sales drove growth despite a 50% YoY gold price surge, complemented by strong diamond (+47%) and silver (+133%) performance. Volume growth was significant: gold +10%, diamonds +53%, and silver +64%.

**Bharat Electronics (BEL)**
BEL secured additional orders worth Rs 1,092 crore since September 16, 2025. Major new orders include EW system upgrades, defense network upgrades, tank subsystems, TR modules, communication equipment, EVMs, spares, and services. As of April 1, BEL’s order book stands at Rs 71,650 crore. Since the start of FY26, the company has disclosed order inflows worth Rs 7,348 crore—27% of its full-year inflow guidance of Rs 27,000 crore (excluding a Rs 30,000 crore quick-reaction surface-to-air missiles order).

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### Closing Thoughts

Patience creates wealth! Despite near-term volatility, the fundamentals support a positive outlook for the Indian markets over the medium to long term. We will continue to monitor key domestic and global developments closely as the earnings season unfolds.

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*Stay tuned for more updates and insights in our next weekly market review.*
https://www.freepressjournal.in/business/weekly-market-review-top-stocks-in-focus-for-the-week-ended-october-3-2025