Indian Stocks Gear Up for Mixed Start; Key Q2 Earnings, Reliance-Google AI Pact, and Global Cues in Focus

Indian equity markets are expected to begin Friday's trading session on a flat to slightly positive note, with market sentiment influenced by a mix of global cues, September-quarter earnings, and institutional investor activity.

Globally, Asian markets showed strength, with Japan's Nikkei 225 reaching a record high, as investors reacted positively to easing U.S.-China trade tensions following a meeting between Presidents Trump and Xi, which led to a reduction in U.S. tariffs on Chinese goods. Conversely, U.S. markets saw declines, with the Nasdaq Composite and S&P 500 falling due to concerns over rising AI-related spending and a hawkish tone from the U.S. Federal Reserve.

Several companies are under the spotlight due to their September quarter (Q2FY26) results:

* **Hyundai Motor India** reported a 14.3% year-on-year increase in net profit, driven by strong exports, although domestic sales declined. * **ITC** posted a 2.7% rise in net profit, primarily supported by its cigarette business, while revenue saw a slight dip. * **Swiggy** reported a wider net loss, but its revenue from operations surged by 54.4% year-on-year. * **Pidilite Industries** recorded an 8.2% rise in consolidated net profit. * **Bandhan Bank** saw a sharp decline in its post-tax profit. * **United Spirits** announced a 36.1% year-on-year increase in consolidated net profit.

Other significant corporate developments include:

* **Reliance Industries** announced a strategic partnership with Google to accelerate AI adoption across India. * **Tata Consultancy Services** entered a five-year collaboration with Tata Motors to enhance its sustainability efforts through AI. * **Bharat Electronics** secured new orders worth ₹732 crore for various defense and technology equipment. * **Narayana Hrudayalaya**'s subsidiary is set to acquire a UK-based hospital company. * **Chennai Petroleum Corporation** saw a stake acquisition by BofA Securities Europe SA. * **Sunteck Realty**'s subsidiary is acquiring land in Mumbai.

Today, numerous other companies including Maruti Suzuki India, Vedanta, GAIL India, Bank of Baroda, and Bharat Petroleum Corporation are scheduled to release their Q2FY26 earnings.

Impact This news has a significant impact on the Indian stock market. The earnings reports provide insights into corporate performance, while strategic partnerships and new orders can influence future growth prospects. Global market movements also set the overall sentiment for domestic trading.

Impact Rating: 8/10

Difficult Terms: * **GIFT Nifty futures**: A futures contract for the Nifty 50 index traded in the special economic zone of Gujarat International Finance Tec-City (GIFT City), often used as an early indicator for the Indian market's opening. * **Consolidated net profit**: The total profit of a company and all its subsidiaries after all expenses and taxes are deducted. * **Y-o-Y (Year-over-Year)**: A comparison of a financial metric from the current period to the same period in the previous year. * **Primary market**: Where new securities are issued for the first time to investors, such as through Initial Public Offerings (IPOs). * **Institutional flows**: The movement of money into or out of the market by large institutional investors like mutual funds, pension funds, and foreign portfolio investors. * **Q2FY26 (Second Quarter of Financial Year 2025-2026)**: The period from July 1, 2025, to September 30, 2025. * **Consolidated gross revenue**: The total income earned by a company and its subsidiaries from all business activities before deducting any expenses. * **Consolidated net loss**: The total financial loss incurred by a company and all its subsidiaries after all revenues are offset by all expenses and taxes. * **Revenue from operations**: Income generated directly from a company's primary business activities. * **Consolidated net profit attributable to owners**: The portion of the consolidated net profit that belongs to the shareholders of the parent company. * **Navratna company**: A status granted by the Indian government to select state-owned enterprises, conferring greater autonomy and decision-making powers. * **Credit ratings**: An assessment by credit rating agencies of a borrower's creditworthiness, indicating the probability of timely debt repayment. * **Non-Convertible Debentures (NCDs)**: A type of debt security that cannot be converted into the issuer's equity shares. * **Commercial Paper (CP)**: An unsecured, short-term debt instrument typically issued by corporations to fund immediate liabilities. * **Share Purchase Agreement (SPA)**: A legally binding contract detailing the terms and conditions for the sale and purchase of company shares. * **ESG data**: Data related to Environmental, Social, and Governance factors, used to assess a company's sustainability and ethical impact.