Weekly Market Update05 Jan 2026

By Alpha Research

Weekly Market Update05 Jan 2026

Jan 07, 2026

Domestic Equity Market Performance

•Nifty 50 closed at 26,328.55, up 1.10% w/w; Sensex +0.85%; Midcap 150 +1.75%, Small cap 250 +1.09%, indicating broad-based rally.

•Gains supported by optimism for robust Q3FY26 earnings, strong Dec auto sales (Mahindra & Mahindra +25% to 86,090 units; Maruti Suzuki +22% to 217,854 units), and mild crude decline easing inflation fears.

•India VIX rose 3.28% to 9.45, still near multi-year lows, signaling subdued volatility.

•FIIs net buyers (~Rs. 2,300 crore), DIIs added (~Rs. 1,800 crore), reflecting confidence.

Fixed Income Market

•Sentiment cautious ahead of Jan-Mar 2026 state borrowing calendar; losses contained as issuance met expectations.

•INR hovered near Rs. 90.20/USD, weakening slightly.

Commodities

•Brent crude firmed to ~$61/bbl (close $60.08), up marginally; WTI +0.5% w/w amid global surplus forecasts (IEA: 3.8 Mn bpd in 2026), but supported by OPEC+ pause expectations and risks in Venezuela/Nigeria/Russia.

•Gold down >4% w/w to Rs. 1,33,883/10g, but +65% YTD on geopolitics, lower US rates, central bank buys, ETF inflows.

•Silver down >8% w/w (from $83.8 high), but +148% YTD on supply constraints, industrial /investment demand.

•Copper (Comex) -2.5% w/w, +8% YTD; supply pressures from Grasberg mine halt (3% global), Chile/Peru protests, US tariff threats driving warehouse shifts.

Economy

•Index of Industrial Production (IIP) surged 6.7% YoY in Nov 2025, up from revised 0.5% in Oct, driven by basic metals, fabricated metals, pharmaceuticals, and motor vehicles; Mining +5.4%, Manufacturing +8.0%, Electricity -1.5%.

•Fiscal deficit for Apr-Nov FY26 at Rs. 9.77 lakh crore (62.3% of BE), vs. 52.5% last year; total expenditure Rs. 29.26 lakh crore (57.8% of BE).

•GST collections rose 6.1% YoY to Rs. 1.75 lakh crore in Dec 2025.

•Manufacturing PMI eased to 55.0 in Dec 2025 (from 56.6 in Nov), slowest in 24 months due to softer output and orders; alternative reading showed rise to 57.3, a three-month high.

•Money supply grew 9.3% YoY for fortnight ended Dec 15, 2025 (vs. 10.4% prior year); bank credit to commercial sector up 11.8% (vs. 11.0%).

•Geopolitical risks elevated with US enforcement on Venezuela oil, Russia-Ukraine strikes; ongoing India-US trade talks in focus.

Disclaimer: The information on this document is provided for information purpose only and is available in the public domain. It does not constitute any offer, recommendation. The views expressed by the Alpha Capital Research are based on current market conditions and information available publicly