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Benchmarks likely to get positive start on Tuesday
Oct-28-2025

Indian equity markets are likely to make a positive start on Tuesday ahead of release India's Industrial Production data. However, traders may take a cautious approach ahead of the Federal Reserve's monetary policy announcement. Further, selling by FIIs may weigh on trading sentiments.  

Some of the key factors to be watched:

India, EU review progress of FTA talks: India and the 27-nation bloc European Union have reviewed the progress of the ongoing negotiations for the proposed free trade agreement (FTA).

MSMEs play key role in economic growth, employment generation: Reserve Bank Deputy Governor Swaminathan J has acknowledged the critical role of the MSME sector and asserted that it is the key driver of India's economic growth and employment generation.

India's crude import from US surges to highest since 2022: India's crude oil imports from the United States climbed to their highest level since 2022 in October, a move seen as part of New Delhi's effort to diversify supplies away from Russia and ease trade tensions with the Trump administration.

Acquisition cost of fleet operators to decline after GST reduction: Crisil Ratings has said that post the rationalisation of GST on commercial vehicles, acquisition of new fleet by the operators would decline substantially.

Electronics components will be in focus: Union Electronics and IT Minister Ashwini Vaishnaw has said that the government has approved seven projects worth Rs 5,532 crore, out of 249 proposals received under the Electronics Components Manufacturing Scheme. He added that the production of electronics components from the approved projects is likely to reduce the import bill of around Rs 20,000 crore.

On the global front: The US markets ended in green on Monday amid hopes of US-China trade deal. Asian markets are trading mixed on Tuesday as traders remain cautious ahead of the monetary policy announcements from the European Central Bank, the US Fed and the Bank of Japan this week.

Back home, Indian equity benchmarks ended higher by over half percent on Monday following a sharp rally in global markets, as softer-than-expected US inflation reignited hopes of Fed rate cuts this year. Prospects of a US-China trade deal and fresh foreign fund inflows also added to the markets' optimism. Foreign Institutional Investors (FIIs) bought equities worth Rs 621.51 crore on Friday, according to exchange data. Finally, the BSE Sensex rose 566.96 points or 0.67% to 84,778.84 and the CNX Nifty was up by 170.90 points or 0.66% to 25,966.05. 

Some of the important factors in trade:

FY26 growth outlook strong despite global uncertainties: A finance ministry report said the growth outlook for FY26 remains strong, supported by domestic demand, lower inflation, monetary easing, and the positive effects of GST reforms despite global economic and trade policy uncertainties.

Forex reserves jump by $4.49 billion to $702.28 billion: India's forex reserves increased by $4.49 billion to $702.28 billion for the week ended October 17, as the value of gold reserves rose further.

Auto stocks in watch: The SIAM in its latest data has showed that total passenger vehicle exports rose to 4,45,884 units in H1 FY26 as compared with 3,76,679 units in the year-ago period, an increase of 18.4 per cent, with Maruti Suzuki leading the segment with shipment of over 2 lakh units.

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