Wall Street ended Friday on a sour note, with the Nasdaq plunging by its largest single-day percentage since June. The sell-off was fueled by weak earnings reports from tech giants Intel and Amazon, which heightened concerns over excessive AI-related spending. Month-end profit-taking and caution ahead of the US midterm elections further exacerbated the downturn.
Asian markets are trading mixed today, but India’s GIFT Nifty suggests a gap-up start for the Nifty, which recently reclaimed the 23,000 mark. Analysts are closely watching foreign and domestic institutional investor flows, US Treasury yields, and the potential impact of the global tech sell-off on Indian equities.
On the commodities front, Brent crude has eased to around $111 per barrel, retreating from four-year highs. Investors are balancing diplomatic efforts in West Asia against fears of renewed US action against Iran. Meanwhile, OPEC+ has decided to maintain its production targets through December. Precious metals are under pressure, with gold hitting a one-year low and silver slipping below $50.
Earnings season continues with Reliance reporting its strongest quarterly performance, driven by record consolidated revenue and solid results from Jio Platforms. Other companies releasing results include BEL, Dixon Technologies, Bank of Baroda, Syrma SGS, and Ramkrishna Forgings. Additionally, ITC is set to announce its earnings today. The festive season kicks off today, with special Diwali programming scheduled on Moneycontrol throughout the week.