Week of November 10 – November 14, 2025
The Indian equity market staged a decisive rebound during the week, snapping a two-week losing streak. Supported by a profoundly positive shift in the domestic inflation outlook and a clearing of global headwinds, benchmark indices reclaimed key technical levels.
The rally was built on four key pillars: a historic collapse in CPI inflation to 0.25%, a successful technical bounce from the 50-day EMA, the resolution of the U.S. government shutdown, and record buying from DIIs that overwhelmed FII selling. Sectoral leadership rotated to defensive and rate-sensitive sectors like IT and Pharma.
| Index | Previous Week Close | 14 Nov Close | Absolute Change | % Change | Direction |
|---|---|---|---|---|---|
| Nifty 50 | 25492.30 | 25910.05 | +417.75 | +1.64% | Up |
| Nifty Midcap 150 | 22026.40 | 22331.25 | +304.85 | +1.38% | Up |
| Nifty Smallcap 100 | 18075.95 | 18252.50 | +176.55 | +0.98% | Up |
| BSE Sensex | 83216.28 | 84562.78 | +1346.50 | +1.62% | Up |
India's headline CPI inflation for October fell to a record low of 0.25%, far below consensus. This has decisively shifted expectations, with markets now fully pricing in an RBI repo rate cut in December.
A historic "tug-of-war" saw FIIs sell -₹12,019 Cr, which was completely absorbed by a massive +₹24,674 Cr inflow from DIIs, demonstrating the rising power and confidence of domestic capital.
The resolution of the record 43-day U.S. government shutdown was a crucial global catalyst, restoring "risk-on" sentiment and removing a major source of policy uncertainty for global markets.
Growing optimism for a U.S. Fed rate cut, based on cooling labor market data, de-risked the earnings outlook for Indian IT companies and was the primary driver for the Nifty IT index's 3.37% surge.
| Sector | Weekly % Change | Key Driver |
|---|---|---|
| Nifty IT | +3.37% | The week's star, surging as U.S. Fed rate cut hopes and the end of the U.S. shutdown improved the client spending outlook. |
| Nifty Pharma | +2.94% | A defensive leader, rallying on a flight to quality and a potential new tailwind from the revival of the U.S. Biosecure Act. |
| Nifty Infra | +2.40% | Showed robust outperformance, underlining the market's strong belief in the domestic capex theme. |
| Nifty Auto | +1.72% | Reacted positively to the collapse in domestic CPI, which promises lower financing costs and a boost to consumer sentiment. |
| Nifty FMCG | +0.22% | The worst-performing gainer, as fears of a rural income slowdown (due to food deflation) offset input cost benefits. |
| Nifty Realty | -0.55% | The only sector in the red, driven by healthy profit-booking after a stellar, multi-month rally. |
| Company |
|---|
| HCL Technologies |
| Sun Pharmaceutical |
| Tata Consultancy Services |
| Ipca Laboratories |
| Infosys |
| Company |
|---|
| Trent Ltd. |
| Eicher Motors |
| Tata Steel |
| Tata Motors |
| Nifty Realty Stocks |
The market has successfully navigated a major macro-data week, a technical test, and a significant FII/DII rotation, demonstrating clear underlying strength. The bias for the coming week remains "sideways to bullish," with the market likely to consolidate its gains.
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