Indian equity benchmarks Sensex and Nifty 50 closed the shortened trading week on a strong note, marking a second week of gains. The Sensex rose 1.21% and the Nifty 50 climbed 1.25%, supported by receding geopolitical tensions and increased investor risk appetite. Hopes for a U.S.-Iran peace agreement provided a significant boost, alongside stable domestic economic fundamentals. This broad market rally saw eight of the top-10 most valued firms collectively add ₹1,87,497.45 crore to their market capitalization. Bharti Airtel was the biggest gainer, adding ₹58,831.52 crore to reach ₹11,25,125.21 crore, while Reliance Industries saw a substantial gain of ₹20,231.05 crore, hitting ₹18,47,317.84 crore.
Several major banking stocks are expected to remain in focus as they announce their quarterly results. HDFC Bank, India's largest private lender, posted a net profit of ₹20,350.76 crore for the March quarter, reflecting an 8.04% rise from the previous year. However, the bank has seen sustained selling from foreign institutional investors, with its stock in bearish technical territory since February 2026. Bajaj Finance's valuation also fell by ₹9,769.3 crore, while specific recent triggers for the decline are less clear, pointing to potential sector weaknesses or investor worries about its retail finance business amid economic uncertainties. ICICI Bank reported a net profit of ₹13,702 crore for Q4 FY26, registering an 8% year-on-year rise compared to ₹12,630 crore in the corresponding period last year.
Despite strong Q4 performance, HDFC Bank's significant valuation drop and underperformance compared to peers signal deeper issues. The bank has seen sustained selling from foreign institutional investors, with its stock in bearish technical territory since February 2026. Atanu Chakraborty's resignation on March 18, 2026, over ethical disagreements, further shadowed the stock and contributed to pressure. Although the bank reported an 8.04% rise in consolidated net profit, this was tempered by caution about the West Asia conflict's effect on small-business borrowers. Additionally, regulatory actions like the RBI's recent forex restrictions could cause one-off losses and lower future recurring income. Competition for deposits and slower credit demand also pressured net interest margins, which fell to 3.38% in Q4 FY26. Reports show HDFC Bank's market capitalization decreased by ₹16,163.04 crore to ₹12,31,315.53 crore, with the stock down around 20% year-to-date and down over 26% in Q1 2026.
Trent notified the exchanges that its board is scheduled to meet on April 22 to consider issuing bonus shares to investors, subject to shareholders' approval. According to Hindustan Times, Jio Financial Services reported a 14% year-on-year drop in its consolidated net profit for Q3 FY26, posting ₹272 crore versus ₹316 crore in the corresponding period last year. BHEL posted a provisional turnover of ₹32,350 crore for FY2026, reflecting an 18% increase compared to the previous year. Reliance Industries is set to announce its Q4FY26 results on April 24, and its board is expected to review and approve the final dividend for the financial year ending March 2026.
Lupin Limited received three observations from the US Food and Drug Administration following an inspection of its Somerset facility, which was carried out from April 13 to 17. As reported by Hindustan Times, Cipla notified the exchanges that the USFDA carried out a pre-approval inspection at its manufacturing facility in Goa and issued a Form 483 with two observations. Reliance Industries is set to announce its Q4FY26 results on April 24, and its board is expected to review and approve the final dividend for the financial year ending March 2026.
On Friday, the domestic market saw a robust rally with the benchmark Nifty 50 ending above the 24,300 level. The positive momentum came despite renewed geopolitical tensions, with a two-week ceasefire having offered some earlier relief before recent developments in the US-Iran conflict. In the past week, the Nifty 50 soared 303 points (1.26%) to 24,354, while the BSE Sensex surged 943 points (1.22%) to 78,494. The broader markets outperformed with the Nifty Midcap 100 gaining 3.55% and Smallcap 100 rising 4.3%. Looking ahead, the market's direction will likely depend on the continued de-escalation of geopolitical tensions, sustained foreign investor inflows, and the path of inflation and crude oil prices. For the banking sector, credit growth is expected to stay healthy, but margin compression and managing unsecured loan portfolios will be key challenges.
