Nvidia Earnings Take Centre Stage this week, PSU Buying and Political Clarity Support Indian Markets.

The Nasdaq and the S&P 500 climbed well off their low sand into positive territory before eventually ending the day roughly flat.

Recent comments from Federal Reserveofficials, aswell as indicationsthatkeyU.S.economicdatamayneverbereleased duetoth egovernment shutdown, have reduced confidence that the central bank will continue lowering interest rates next month.

Overall results remainedwell above analysts’ expectations relative to forecasts before the release of third-quarter numbers.

S&P 500 companies’ earnings are expected to rise by an averageof 13.1%versus a forecast for about 8.0%growth entering earning sseason.

Bond market traders dialled back their expectations of an interest rate cut at the U.S.Federal Reserve meeting scheduled to conclude on December10.

Investors inrecent days have fretted about the pace of rate cuts and the pricey valuations of heavyweight artificial intelligence stocks that have fueledmuchof theU.S. stock market’sgains over the past few years.

The most important earnings release this week will be from Nvidia. Nvidia carries an8%weight in the S&P 500 and a roughly10% weight in the widely followed Nasdaq100.

Nvidia is the”epicentre”of AI build-out,soitsr esults after the bellon Wednesday will be sigificant for the tech sector.

Indian equity markets ended lastweek on a positive note, buoyed by late buying in PSU stocks, despite volatility from global factors and sector-wide profit booking.

Midcap and smallcap indices under performed, with market breadth staying negative profit-taking dominated, as advance slagged declines.

The NDA’s decisive victory in the Bihar assembly elections boosted sentiment and drove late buying, especially in PSU banks.

Despite sustained foreigns elling, strong domestic inflows and resilient macro data kep tthe rupee off record lows.

Nifty partially filled the upward gap between 25,715 and 25,781 recorded on November 12, underscoring the importanceof this regionasakey support zone. Thesharp rebound from this level reaffirms the prevailing uptrend, suggesting strong buying interest at lower levels.

Immediate resistance liesat 26,100, followed by26,277,while the 25,715–25,740 range now serves as a crucial support band.

Indian markets are poised to open mildly higher onpositive cues.

Source – HDFC Securities, Prime Weekly, Nov 17 2025