Indian benchmark indices, the Nifty 50 and the Sensex, opened higher on Monday, November 2. The Sensex gained 800 points, while Nifty neared 23,350. Reliance Industries zoomed 6% as investors tracked positive domestic cues. "The near-term direction of domestic equities is likely to remain closely linked to developments in the Middle East."

Indian benchmark indices, the Nifty 50 and the Sensex, opened higher on Monday, November 2, supported by positive domestic cues, including upbeat October auto sales, strong earnings from Reliance Industries, and easing crude oil prices, despite mixed global market signals.

The BSE Sensex opened at 75,178.24 against previous close of 74,459.53, while the NSE Nifty 50 started the session at 23,222.30 against its previous close of 23,053.10.

Analysts believe Indian equity markets may attempt to extend their recent recovery, with investors drawing some encouragement from renewed diplomatic efforts to de-escalate the US-Iran conflict.

"Discussions involving Iranian officials and Qatari mediators have raised hopes of a possible breakthrough that could ease supply concerns and improve the outlook for global energy markets. Any tangible progress on this front could help reduce the geopolitical risk premium in crude oil and offer near-term support to domestic equities. However, WTI crude continues to trade near $102 a barrel, while Brent remains above $110, keeping energy costs elevated and broader macroeconomic concerns in focus," said Ponmudi R, CEO of Enrich Money.

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He added that with oil prices still elevated, the near-term direction of domestic equities is likely to remain closely linked to developments in the Middle East. Investors will look for tangible signs of diplomatic progress before viewing the latest optimism as a sustained improvement in the global risk environment.

Investors will also keep an eye on the final October Manufacturing Purchasing Managers' Index (PMI) data, along with developments in the US-Iran conflict, crude oil prices and the ongoing September quarter earnings season.

Top Gainers, Losers

On the 30-share BSE Sensex, RIL, Tata Steel and NTPC were the top gainers, rising up to 6%. On the other hand, Sun Pharma, Infosys and Tech Mahindra were among the top laggards.

Broader Markets

Broader markets, too, traded higher. The Nifty Midcap 100 index was up 0.68%, while the Nifty Smallcap 100 index gained 0.06%.

Sector Check

Barring Nifty Pharma and Media indices, all sectors were in green. Nifty Oil and Gas emerged as the top-performing sector, rising 2.5%, followed by PSU Bank (1.6%) and Auto (1.2%)

Technical View

According to technical analysts, the Nifty 50 is showing signs of improving short-term momentum following its recent recovery. However, the index continues to trade below its 50-day, 100-day and 200-day exponential moving averages (EMAs), suggesting that the broader technical structure remains weak.

On the upside, 23,200 is the immediate resistance level, followed by 23,400. A sustained breakout above 23,200, backed by stronger buying participation, could extend the ongoing recovery towards higher levels.

On the downside, the 23,000–22,900 zone is expected to act as immediate support. Holding above 22,800 will be crucial to sustaining the recovery, while a decisive break below this level could undermine the improving momentum and expose the index to further downside.

Overall, the near-term outlook has turned cautiously positive. However, a sustained move above 23,200 will be key to confirming a stronger recovery and improving the broader technical outlook.

Previous Session Highlights

In the previous trading session (Friday), the Nifty 50 ended at 23,053.10, up 116.35 points, or 0.51%. The BSE Sensex settled at 74,459.53, gaining 308.49 points, or 0.42%.

Global cues

Asian markets traded largely lower on Monday, November 2, tracking losses on Wall Street, as investors assessed geopolitical developments in the Middle East and awaited a fresh batch of manufacturing activity data.

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Japan's Nikkei 225 and Topix declined 0.31% and 0.84%, respectively, while Australia's S&P/ASX 200 slipped 0.68%. Bucking the trend, South Korea's Kospi traded over 1% higher, while New Zealand's NZX 50 fell 0.98%, when last checked.

US markets ended Friday's session sharply lower, with all three major benchmarks posting losses. The Dow Jones Industrial Average declined 1.09%, while the S&P 500 fell 1.82%. The tech-heavy Nasdaq Composite plunged 2.86%.

The losses followed a weak week on Wall Street, with technology stocks facing sustained selling pressure as investors reassessed valuations and scrutinised companies linked to the artificial intelligence (AI) infrastructure buildout.

Q2 Results Today

As many as 203 companies are scheduled to announce their September quarter (Q2 FY27) results on Monday, November 2.

Some of the key companies reporting their earnings include ITC, Marico, National Aluminium Company, Petronet LNG, UPL, NLC India, Container Corporation of India, Wockhardt, Escorts Kubota, Tata Investment Corporation, Granules India, Carborundum Universal, TBO Tek, Choice International, Fine Organics Industries, Devyani International, Amara Raja Energy & Mobility, DOMS Industries, PCBL Chemical, KEC International, JK Paper, Eureka Forbes, Sheela Foam, Balaji Amines, Triveni Engineering and Industries, Arvind Fashions, VRL Logistics, Happiest Minds Technologies, MOIL, PTC India, Thomas Cook (India), Capillary Technologies, Sanghvi Movers, Wonderla Holidays, PSP Projects, Krsnaa Diagnostics, Zuari Agro Chemicals and TV Today Network.

Oil Prices Today

Brent crude prices fell towards $111 per barrel on Monday, retreating from four-year highs as investors weighed hopes of a diplomatic breakthrough in the Middle East against the risk of renewed US military action against Iran.

Qatari and Iranian officials continued discussions for a third consecutive day, seeking an agreement to end the US-Israel war on Iran ahead of this week's US midterm elections. However, Tehran has repeatedly warned that any fresh attacks could trigger retaliatory strikes against US and Israeli targets in neighbouring countries.

US President Donald Trump said Washington would refrain from launching fresh attacks on Iran before the elections, adding that negotiations with Tehran were progressing. However, he has not ruled out further military action after the elections.

Meanwhile, OPEC+ agreed over the weekend to maintain its existing oil production targets through December as the group continues to assess global supply and demand conditions.

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Developments in US-Iran negotiations, the risk of further escalation in the Middle East and OPEC+'s production policy will remain key drivers for crude oil prices in the near term.