After opening the day higher, Indian benchmark indices remained positive as the session progressed and ended the day on firm footing.

Benchmark equity indices BSE Sensex and Nifty 50 extended their gains following a higher open on Wednesday, as trends showed Donald Trump leading the race to become the next US President.

At the closing bell, the BSE Sensex stood higher by 901 points (up 1.1%).

Meanwhile, the NSE Nifty closed higher by 273 points (up 1.1%).

Adani Enterprises, TCS, and Wipro are among the top gainers today.

Titan, IndusInd Bank, and Trent on the other hand, were among the top losers today.

The GIFT Nifty was trading at 24,593 up by 324 points at the time of writing.

The BSE MidCap index ended 2.3% higher and the BSE SmallCap index ended 1.9% higher.

Sectoral indices were trading positively with stocks in the media sector, IT sector and oil & gas sector witnessing the most buying speer.

Coforge, P&G Health, and Gillette India hit their respective 52-week highs today.

The rupee is trading at 84.27 against the US$.

Gold prices for the latest contract on MCX are trading 0.4% lower at Rs 78,179 per 10 grams.

Meanwhile, silver prices were trading 1% lower at Rs 93,651 per 1 kg.

Here are the three key factors that drive the market's momentum.

#1 Positive Global cues

Wednesday saw a largely firm trade in Asia with Japan's Nikkei up 2.61 percent, China's mainline was down 0.50 percent, Shanghai was flat with a negative bias, and Hong Kong's Hang Seng was down 2.2%.

Past suggests Trump's victory could be negative for the Chinese markets due to his anti-China policies.

#2 US Index Futures

On Tuesday, the Dow Jones closed up 1%, S&P 500 finished up 1.2%, and the Nasdaq Composite ended up 1.4%.

Similarly, the US futures, too, were trading in the positive territory with Dow Jones futures up over 2%, and S&P 500 Futures and Nasdaq futures up over 1% each.

#3 HSBC PMI Data

Growth in India's dominant services industry, which picked up last month after dipping to a 10-month low rate in September amid a marked expansion in demand, also boosted sentiment.

The HSBC final India Services Purchasing Managers' Index, compiled by S&P Global, rose to 58.5 in October from September's 57.7, exceeding a preliminary estimate of 57.9.

#4 Sectoral Gains

All sectoral indices rose in trade, led by the Nifty IT index, which surged 4 per cent, followed by Nifty Realty, which jumped 3%.

Oil and Gas, Consumer Durables rose 2% while Auto, Media, Metal, Pharma and PSU Bank rose over a 1% each.

#5 The Trump Factor

Early election trends indicate a favourable outcome for Republican candidate Donald Trump in the 2024 US presidential race. Trump is currently leading with 266 electoral votes and holds a strong position in over 27 states.

Experts observe that a Trump-led Republican government could greatly impact trade, likely increasing tariffs and adopting a more protectionist stance on international trade.
 

Triveni Engineering Drops 5%. Here's Why

In news from the sugar sector, shares of Triveni Engineering and Industries dropped as much as 5% on 6 November, weighed down by the company's dismal earnings performance for the July-September quarter.

The company reported a consolidated net loss of Rs 224 m for the September quarter, a sharp downturn from a net profit of Rs 291 m in the same period last year, due to subdued profitability in its sugar and alcohol businesses.

Revenue grew 8.1% on year to Rs 17.5 bn in Q2 of FY25, compared to Rs 16.2 bn in the previous year.

The operational performance took a sharp hit as the EBITDA margin contracted to a mere 1.2% in Q2, a steep fall from 5.3% reported in the year-ago period.

The profitability was dragged down by the sugar and alcohol segments, while the engineering businesses contributed to higher profitability.

Profitability for the sugar business took a hit in Q2 and H1 FY25 and remains subdued as there were no manufacturing operations during the quarter and all off-season expenses were spent during the period.
 

Why RITES Share Price is Rising

Moving on to news from the engineering sector, shares of RITES rose around 2% after the PSU announced securing a significant order from Delhi Metro Rail Corporation Limited (DMRC) for retrofit work on RS-1 trains.

The contract was awarded via a letter of acceptance (LOA) received on November 5, following RITES emerging as the lowest bidder in a DMRC tender issued on 26 September.

The contract, valued at Rs 363.6 m (excluding GST), is expected to be completed within three years from the LOA issuance.

The retrofit work focuses on making modifications and upgrades to improve the performance and longevity of DMRC's RS-1 trains.

This award involves no related party transactions and is executed entirely with DMRC as a domestic client.

Previously, in September, a RITES-led consortium was the lowest bidder in a DMRC tender valued at Rs 875.8 m. RITES holds a 49% share of this tender, or approximately Rs 429.1 m, including GST.

On 28 October, RITES also announced emerging as the lowest bidder in a separate tender floated by UP State Bridge Corporation Ltd.

This project, valued at Rs 591.3 m (excluding GST), is similarly slated for completion within three years.

Waaree Energies Hits Record High

Moving on to news from the renewable energy sector, Waaree Energies share price hit a fresh peak on 6 November amid sustained buying in the solar power stock.

The stocks of the company were listed on the exchanges last week on 28 October (Monday), since then the shares have been on an upward trend to rise nearly 50%.

Shares of solar panel makers have been gaining for the last 7 sessions. On 28 October, the shares were listed at Rs 2,500 on the NSE, a premium of 66.3% against the issue price of Rs 1,503. Since then, the shares have surged 49.7%.

Waaree Energies is one of the major players in the solar energy industry in India which is focused on PV module manufacturing with an aggregate installed capacity of 12 GW as of 30 June 2023.

It operates five manufacturing facilities with one factory each, located at Surat, Tumb, Nandigram and Chikhli in Gujarat, and the IndoSolar Facility, in Noida, Uttar Pradesh.

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