New Delhi, Nov 1 (PTI) Geopolitical developments, especially growing concerns about renewed conflict between the US and Iran, crude oil prices, and quarterly earnings will be the major drivers for stock markets this week, analysts said.
In addition, US midterm elections, foreign investor trading activity, and macroeconomic data announcements will also be tracked by market investors.
"Markets will remain focused on the September quarter earnings season, key economic data releases and global developments this week. Investors will assess corporate performance for signs of sustained revenue growth, margin resilience and improving demand. Banking results will offer insights into credit growth, deposit mobilisation and asset quality, while automobile, consumer and industrial companies will provide a broader assessment of domestic demand conditions," Ajit Mishra, SVP – Research, Religare Broking, said.
Crude oil prices will remain an important variable, with elevated levels amid geopolitical uncertainty posing risks to imported inflation, the rupee and corporate margins, he said.
Movements in US Treasury yields, foreign institutional investor flows and currency markets will also influence near-term sentiment and the sustainability of the recent recovery, Mishra added.
"Key events to watch this week include the US midterm elections, US PMI and India's HSBC PMI. On the earnings front, M&M, Bajaj Finserv, ITC, Dabur, Apollo Hospitals, BSE, Cummins India and Hindalco will be in focus," Siddhartha Khemka - Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd, said.
Among other companies scheduled to announce their earnings this week are Lupin, NSE, State Bank of India, Apollo Tyres, LIC, ONGC and Titan.
Meanwhile, shares of Reliance Industries Ltd will be in focus on Monday after the firm posted a record quarterly profit of Rs 29,550 crore for July-September, up 33.8 per cent from a year earlier, as its oil-to-chemicals business rode a surge in global fuel margins and growth in its telecom arm offset the relatively subdued performance in retail.
Jio Platforms on Friday reported a 13.7 per cent rise in consolidated net profit to Rs 8,389 crore for the September 2026 quarter, driven by subscriber gains, higher realisations per user and healthy growth in digital services.
The September quarter scorecard is the company's first since its stellar listing earlier last week.
"Developments in the Middle East are likely to remain the principal external risk," Ponmudi R, CEO - Enrich Money, an online trading and wealth tech firm, said.
The trajectory of crude oil will also shape expectations for global inflation and monetary policy, with implications for US Treasury yields, the dollar and capital flows into emerging markets, he said.
"A further rise in yields or renewed dollar strength could dampen foreign investor appetite for Indian equities, while a moderation in both may offer some support. Investors will therefore track US bond-market movements and evolving expectations for the Federal Reserve's policy path alongside developments in international equities," Ponmudi added.
Last week, the BSE benchmark Sensex jumped 1,335.7 points, or 1.82 per cent, and the NSE Nifty climbed 453.1 points, or 2 per cent.
