Indian benchmarks managed a modest gain on Friday. Earnings optimism from information‑technology and state‑owned banks outweighed persistent foreign‐fund outflows and worries around a pending U.S.–India trade deal. The S&P BSE Sensex added ~188 points to close at 83,570.35, while the NSE Nifty 50 rose 28.75 points to 25,694.35. Broader indices fared better: the Nifty Midcap 100 and Smallcap 100 advanced ~0.5% and ~0.2%, respectively.
Index (16 Jan 2026)
Close
Change (pts)
Change (%)
Nifty 50
25,694.35
+28.75
+0.11%
Sensex
83,570.35
+187.74
+0.23%
Nifty Bank
~59,600
+0.1%
+0.1% (approx; reclaimed the 59,500–59,600 zone)
Nifty Midcap 100
~52,120
+0.5%
+0.5%
Nifty Smallcap 100
~13,440
+0.2%
+0.2%
Sectoral performance
• IT: Top gainer as Infosys, HCLTech and TCS posted better‑than‑expected Q3 results; the Nifty IT index jumped ~3.3%. • Metals: Extended gains (up roughly 1% on the day and 4.6% for the week) on higher global metal prices; Tata Steel and Hindalco were active. • PSU Banks: Continued their rally, rising ~2% as Union Bank of India and Central Bank of India reported strong earnings and improved asset quality. • Private Banks/Financials: Largely flat; Bank Nifty reclaimed the 59,500–59,600 area but remained below the psychological 60,000. • Oil & Gas/Power: Mixed; ONGC and NTPC gained, while Reliance Industries traded cautiously ahead of results. • FMCG & ITC: Slight profit‑taking weighed; HUL and Asian Paints slipped ~2–3%. • Pharma/Healthcare: Soft, with Cipla falling after a brokerage downgrade. • Auto & Realty: Marginally negative, reflecting profit‑booking after recent gains.
Top gainers and losers (Nifty 50 constituents)
Top gainers
Price movement (approx.)
Key drivers
Infosys
▲5.6%
Upgraded FY26 revenue forecast and strong Q3 earnings.
Tech Mahindra
▲5.2%
Better‑than‑expected earnings, optimism for digital transformation spending.
Wipro
▲2.8%
Positive guidance; benefited from sector‑wide rally.
Shriram Finance
▲1.8%
Stock benefited from MUFG deal progress and a broker’s “overweight” rating.
Tata Consumer Products
▲1.6%
Strength in beverages business and expansion plans.
Union Bank / Central Bank
▲13–14% intraday
Strong Q3 results and improved NPAs boosted PSU bank names.
Federal Bank
▲13% intraday
Q3 earnings beat; NPAs declined.
Top losers
Price movement (approx.)
Key drivers
Eternal Ltd
▼3.1%
Profit‑taking after recent gains.
Cipla
▼2.7%
Brokerage downgrade citing margin pressures and supply‑chain risks.
Hindalco
▼2.5%
Minor correction after a metal‑led rally.
Asian Paints
▼2.5%
Profit‑booking in FMCG; concerns over raw‑material costs.
Earnings-driven IT rally: Positive results from Infosys, HCLTech and TCS and upgrades to revenue guidance sparked a broad rally in information‑technology stocks, sending the Nifty IT index up more than 3%. All 10 constituents traded in the green, with Infosys posting its biggest single‑day gain in eight months.
Strength in metals and PSU banks: Global supply concerns pushed metal prices higher, lifting domestic metal stocks. State‑owned banks such as Union Bank and Central Bank rallied after reporting better asset quality and profit growth.
Profit‑booking and FII outflows: Mid‑session profit‑booking capped gains as foreign portfolio investors continued to sell; FIIs have withdrawn roughly ₹4,800 crore from the cash market since early January, while domestic institutions have bought ₹5,200 crore—helping to stabilize markets. The advance/decline ratio remained mixed (~1:1), showing selective participation.
Caution over U.S.–India trade deal & global jitters: Uncertainty around a proposed India‑U.S. trade agreement and global risk‑off signals kept a lid on broader market participation. Market volatility (India VIX) stayed elevated though off recent highs.
Key economic data: Wholesale price index inflation eased slightly, but investors remained focused on upcoming corporate earnings and budget expectations.
Global cues
Global equity rally: Asian markets climbed on renewed enthusiasm for artificial‑intelligence plays after TSMC delivered upbeat results. MSCI’s Asia‑Pacific ex‑Japan index hit a record high. U.S. stock futures were up (Nasdaq +0.4%, S&P 500 +0.3%), while Japanese Nikkei dipped as the yen strengthened.
Fed rate expectations: Strong U.S. jobs data reduced the likelihood of near‑term rate cuts, pushing the dollar to a six‑week high; the euro lingered near a 1½‑month low. Traders now see about a two‑thirds chance the Federal Reserve will hold rates steady in April.
Commodities: Oil prices slipped (~$63.6 per barrel for Brent) as geopolitical risks receded after the U.S. adopted a wait‑and‑see stance on Iran. Gold and silver also dipped slightly.
China & Europe: Chinese stocks edged lower as regulators tightened margin financing; European equity futures were slightly negative after reaching record highs earlier in the week.
Corporate updates & stocks to watch
Results announcements: A slew of companies reported or were due to report Q3 FY26 results on Friday, including Infosys, HCLTech, Wipro, Tech Mahindra, Central Bank of India, Federal Bank, Reliance Industries, JSW Infrastructure, HDFC Life, L&T Technology Services and Sobha. Earnings momentum from IT majors and PSU banks drove intraday movements.
F&O ban:Steel Authority of India (SAIL) and Sammaan Capital were in the derivatives trading ban list due to crossing 95% of market‑wide position limits.
Upgrades/downgrades:Shriram Finance gained after a global broker reiterated an “overweight” rating with a ₹1,325 target; Cipla slid after a brokerage downgraded the stock and cut the target price due to supply disruptions and margin concerns.
Dividends:Central Bank of India declared its third interim dividend for FY26.
Other corporate news: – TVS Supply Chain Solutions appointed Vikas Chadha as global CEO effective 22 Jan 2026. – Transrail Lighting received orders worth ₹527 crore across MENA, Africa and India, taking FY26 order inflows above ₹5,600 crore. – RailTel Corporation bagged an ₹88 crore contract from Central Railway. – Bharat Coking Coal (BCCL) rescheduled its market debut to 19 Jan 2026 due to municipal election results. – IFCI rallied after comments from the privatisation regulator hinted that the long‑awaited NSE IPO could be cleared soon.
Technical levels & market outlook for the next trading day
Nifty 50: The index faces strong resistance at 25,800 and 26,000 (heavy call‑writing zones) and support at 25,500 and 24,500. Option data show a put/call ratio around 0.8, indicating cautious sentiment. With the index closing near 25,694, any recovery towards 25,800 is likely to attract selling, while dips toward 25,500 may find buying interest.
Bank Nifty: The banking index remains range‑bound between 59,000 and 60,000. Significant call open interest at 60,000 caps the upside, while support lies at 59,300 and 59,000 (active put levels). A break above 60,000 could trigger short-covering, while a drop below 59,000 may accelerate weakness.
Market tone: After Friday’s muted close, markets are expected to open cautiously in the next session (Monday, 19 Jan 2026). The focus will be on earnings from Reliance Industries, Wipro, HDFC Bank and ICICI Bank, along with any updates on the U.S.–India trade deal. Continued FII selling and global volatility suggest a consolidation‑to‑range‑bound tone, with a “sell‑on‑rise” approach near resistance levels and “buy‑on‑dips” at key supports. Sector rotation is likely; IT may remain firm if positive earnings momentum continues, while PSU banks and metals could extend gains. Traders should watch option open‑interest build‑ups and global cues for directional clues.
