Continued advancements in global trade negotiations are expected to alleviate near-term trade tensions

FPJ News Service mumbai

Equity markets demonstrated resilience on Wednesday despite a mixed start to Q1FY26 earnings. The 30-share BSE Sensex jumped 539.83 points to settle at 82,726.64. During the day, it surged 599.62 points to 82,786.43. The 50-share NSE Nifty gained 159 points to settle at 25,219.90.

“Markets, in general, are climbing 'the wall of worry', and valuation concerns have been put on the back burner. In the near-term this resilience is likely to continue. A significant takeaway from the early Q1 results is the improving prospects of banking and digital stocks. In banking, the market is very choosy with more focus on the high quality private sector banks, particularly ICICI Bank and HDFC Bank.

“Q1 results of Eternal and Paytm indicate steady growth potential of the digital stocks which have a long runway of growth. Investor interest in the digital segment will remain high despite the high valuations,” said Dr VK Vijayakumar, chief investment strategist at Geojit Investments. “The 11th new record high for 2025 set by S&P 500 on Tuesday is an indication of the direction and resilience of equity markets globally,” Dr VKV added.

“The Indian equity market demonstrated resilience despite a mixed start to Q1FY26 earnings. Positive global cues, underpinned by optimism surrounding the US-Japan trade agreement, have supported sentiment. Additionally, progress toward finalising the India-UK FTA has further contributed to the constructive outlook. 

"Continued advancements in global trade negotiations are expected to alleviate near-term trade tensions and foster greater market stability. While elevated valuations remain a concern, the prevailing market strength indicates potential for near-term earnings recovery. However, the pace and sustainability of this recovery will be critical in shaping the market’s forward trajectory,” said Vinod Nair, head of research at Geojit Investments.