Indian stock markets began November on a weak note, reversing some of the gains from a strong October rally. The S&P BSE Sensex declined by approximately 150 points, while the NSE Nifty 50 was testing the 25,700 level.

Market Performance:

The S&P BSE Sensex experienced a decline of 465.75 points, or 0.55%, settling at 83,938.71. The NSE Nifty 50 also dropped, falling 155.75 points, or 0.60%, to close at 25,722.10.

Factors Influencing the Market:

• Profit Booking: Investors engaged in profit booking after mixed corporate results and amidst cautious global sentiment.
• Global Cues: A stronger U.S. dollar and the Federal Reserve's restrained outlook on rate cuts impacted risk appetite.
• Sectoral Weakness: Weakness in private banking and fast-moving consumer goods (FMCG) stocks weighed on the market sentiment. Banking majors HDFC Bank and ICICI Bank also contributed to the decline after the market regulator issued a circular revising eligibility norms.

Technical Outlook:

During the last week, the market faced resistance near 26,100/85,300 and reversed sharply. Technically, daily and intraday charts suggest a double top-like pattern, and weekly charts indicate a shooting star-like formation, signaling potential further weakness. The short-term market outlook remains positive with the 25,700–25,650/83,900–83,700 zone expected to act as a crucial support level for traders. Resistance is anticipated around 26,000/85,000 and 26,100/85,300. A breakout above 26,100–26,300 could lead to new all-time highs.

Global Market Update:

Global markets presented a mixed picture. South Korea's Kospi rose by 1.04%, while Australia's S&P/ASX 200 slipped by 0.40%. Japan's markets were closed for a public holiday. On Friday, Wall Street's major indices closed higher, driven by Amazon's positive earnings forecast, although concerns about the Federal Reserve's stance on interest rate cuts tempered sentiment.

Urban Company Stock Performance:

Shares of Urban Company were in focus after the company reported a widening of its consolidated net loss for the second quarter of FY26. The stock is currently trading at ₹157.75, a 2.00% increase in the last 24 hours.

• Financial Results: Urban Company posted a net loss of ₹59 crore for Q2FY26, significantly higher than the ₹2 crore loss in the same quarter last year. Despite the losses, revenue from operations grew by 37% year-on-year, reaching ₹380 crore from ₹277 crore in Q2FY25.
• EBITDA: The company's adjusted EBITDA loss for the quarter was ₹35 crore, primarily due to losses from its new vertical, Insta Help. Excluding Insta Help, the business generated an adjusted EBITDA profit of ₹10 crore, or 0.9% of its Net Transaction Value (NTV).
• Segment Performance: In the India Consumer Services segment (excluding Insta Help), NTV increased by 19% YoY to ₹762 crore. Revenue from operations in this segment rose 24% YoY to ₹262 crore.
• Analysts' View: Analysts have provided future price estimates for Urban Company Limited, with a maximum estimate of ₹140.00 and a minimum estimate of ₹117.00.

Additional Factors:

The rupee rose 8 paise to close at 88.21 against the U.S. dollar.