🇮🇳 Indian Markets Pre Market Report (Feb 3, 2026) — Cautious Optimism Sentiment
🌍 Global Cues (Overnight) — What’s Driving Mood
🇺🇸 US Markets (Feb 2 close)
Dow: 49,408 (+1.05%)
S&P 500: 6,976.44 (+0.54%)
Nasdaq Composite: 23,592 (+0.56%)
One-line reason: US markets bounced as risk appetite returned, while commodities stayed volatile and investors tracked fresh macro/earnings cues.
🇪🇺 Europe (latest close)
STOXX 600: 617.31 (+1.03%)
DAX: 24,784.92 (+1.0%)
FTSE 100: 10,341.56 (+1.15%)
CAC 40: 8,181.17 (+0.67%)
🌏 Asia (early trend)
Asian risk tone improved, with MSCI Asia Pacific up ~1.5% led by tech; volatility cooled after sharp swings.
🤝 India–US Trade Deal — Why It Matters Today
The big headline is the preliminary US–India trade deal: the US side indicated lower reciprocal tariffs (25% → 18%) tied to conditions (including India reducing Russian oil purchases). Expect this to support sentiment for exporters and globally-linked names, but markets may still wait for fine print and timelines.
📌 GIFT Nifty Check (Early Indication)
GIFT Nifty (early): ~25,939 (mildly positive bias)
🇮🇳 Last Session Recap (Feb 2) — India’s Setup Into Today
Nifty 50: 25,088.40 (+1.06%)
Sensex: 81,666.46 (+1.17%)
Bank Nifty: 58,619.00 (+0.35%)
What happened: After the Budget-day shock, the market staged a rebound driven by selective buying and short-covering. Even so, the undertone remains “trade-to-trade” because derivative-cost changes have made participants cautious.👉🗓️ Indian Markets Post Market Report-Feb 02, 2026
🎯 Indian Markets Pre Market Report-Key Levels to Track Today (Nifty, Bank Nifty, Sensex)
✅ Nifty 50 (Spot)
Support: 24,900 / 24,825
Resistance: 25,160–25,200 (big zone), then 25,450–25,500
If Nifty sustains above 25,160–25,200, the rebound can extend; otherwise, expect range-bound swings.
🏦 Bank Nifty
Support: 58,000 / 57,800
Resistance: 58,700 / 59,200
Bank Nifty underperformed vs Nifty recently—watch private banks for leadership today.
📍 Sensex
Support: 81,000 / 80,550
Resistance: 81,750 / 82,250
(Use as “zone view” because Sensex behaves more stock-driven than level-driven.)
📊 Derivatives Pulse — OI, PCR, and VIX
🔥 Put–Call Ratio (Nifty PCR)
PCR jumped to ~0.98 on Feb 2 vs 0.59 in the prior session — a quick sentiment normalization after panic positioning.
🌪️ India VIX (Volatility)
India VIX eased to ~13.58 on Feb 2 (cooling off after the Budget spike).
What it means: Volatility is cooling, but it’s not “normal calm” yet—expect sharper intraday moves, especially around banks, infra, and F&O-heavy counters.
💰 FII & DII Activity (Cash Market)
FII: -₹1,832.46 Cr (net sell)
DII: +₹2,446.33 Cr (net buy)
Read-through: Domestic hands are still providing the cushion; FIIs remain cautious around global policy + trade headlines.
🛢️ Commodities & Currencies (Latest)
🛢️ Crude Oil
WTI: ~$61.74/bbl (sharp drop recently)
Brent: ~$65.86/bbl (marginal up today after the fall)
India impact: Softer crude is generally supportive for India (inflation + current account), but watch energy stocks for mixed reactions.
🥇 Gold & 🥈 Silver
Gold : around ₹1,43,000/10g(still volatile after a big move)
Silver: around ₹2,32,500/kg (also volatile)
💱 Currency (USD/INR)
Rupee closed stronger at ~91.51/$ on Feb 2 vs ~91.99 prior close.
USDINR futures shown near ~91.65 early.
🏛️ Union Budget 2026 Outlook — Financial Positives & Negatives (Market View)
Budget reaction is still fresh, and the market is now trying to separate short-term trading pain from medium-term growth signals.
✅ Positives (Supportive for medium/long term)
1) Fiscal discipline + credibility
The market typically rewards a predictable fiscal path because it helps keep bond yields anchored and lowers “policy surprise” risk. When yields behave, equity valuations—especially quality large caps—get breathing room.
2) Capex and infrastructure continuity
A sustained capex bias supports the broader investment cycle. The likely beneficiaries remain capital goods, engineering, infrastructure, logistics, cement, and select PSU themes. Even when markets wobble short-term, capex-heavy narratives often regain leadership once volatility cools.
3) Manufacturing and domestic value chain focus
If the policy push continues toward domestic value addition (MSMEs, industrial ecosystem, supply-chain buildout), it can support a longer runway for industrials, auto ancillaries, and strong mid-caps—but only the ones with clean balance sheets and execution.
4) Global investor signaling
A “stability-first” budget tends to matter to FIIs. It doesn’t mean immediate FII buying, but it can reduce the fear of runaway deficits, which often becomes a medium-term tailwind when global risk sentiment improves.
⚠️ Negatives (Short-term friction points)
1) Derivatives STT shock = immediate sentiment hit
The biggest near-term negative has been the higher trading cost for F&O participants. That impacts volumes, intraday liquidity, and encourages faster unwinds in high-beta names during risk-off moments.
2) Higher transaction costs can extend volatility
Even with VIX cooling, the market can remain “twitchy” because participants adjust strategies, hedge differently, and reduce aggressive leverage. This is why you may see sharp rallies and quick fades—sometimes in the same session.
3) Consumption expectations vs reality
If the street had priced in bigger near-term consumption boosters, the lack of a “wow” factor can keep consumption-linked stocks choppy until earnings visibility improves.
4) Pressure on market-linked businesses
Brokerages, trading platforms, and other market-volume-dependent businesses could see near-term narrative pressure until the market adapts to the new cost structure.
Bottom line:
Short term: expect swings and headline-driven moves (trade deal + global cues + earnings).
Medium term: capex + fiscal optics remain supportive, provided inflation/oil don’t re-spike.
🧾 Major Q3 Results — 2 Stocks to Watch Today
(Results season can flip sentiment fast—trade with discipline.)
1) Bajaj Finance (Q3 results due Feb 3)
What to watch: AUM growth, NIM stability, cost of funds, asset quality, and guidance tone. Any surprise on credit costs can move the stock and broader NBFC space.👉equitymaster.
2) Adani Ports & SEZ (Q3 results due Feb 3)
What to watch: cargo/volume trend, margin commentary, debt metrics, and management guidance. This can influence transport/infrastructure sentiment.
🧾 IPO Updates (Mainboard + SME)
SME IPOs in focus this week, including Brandman Retail and Grover Jewells with bidding dates Feb 4–6 (as per platform listings).
(Always check RHP, promoter background, and post-listing liquidity before applying.)
🛡️ SEBI Updates — What Investors Should Know
Special window for transfer-cum-dematerialisation of physical securities: Feb 5, 2026 to Feb 4, 2027 (helps investors regularise old physical holdings).
SEBI also eased some compliance burden for smaller brokers related to technical glitch framework (supportive for smaller intermediaries).
🧠 Trade Plan for Today (Feb 3)
If GIFT Nifty stays positive, market may open firm, but expect gap-up fade attempts if resistance zones hold.
Watch 25,160–25,200 on Nifty: that’s the pivot zone.
Keep an eye on VIX + PCR: cooling volatility + stable PCR supports dips getting bought.
🧭 Investment View (Short term vs Long term)
🔹 Short-term (Trading / 1–2 weeks)
Prefer risk-defined trades (hedged positions) due to policy + results-driven swings.
Avoid oversized leverage; keep strict stop-loss discipline.
🔸 Long-term (6–24 months)
Use volatility to accumulate quality leaders in sectors aligned with capex + domestic growth.
Stick to SIP-style approach in core portfolios; keep cash for staggered buying.
👉Further reading
Q3 FY26 Results Update: TCS, Infosys, HCLTech
Corporate Actions Made Simple for Beginners Stock Market 101-Lesson 15
How Much Should You Invest Every Month? A Simple Guide for Salaried People
⚠️ Disclaimer
This report is for educational/information purposes only and is not investment advice. Please consult a SEBI-registered advisor before taking any trade/investment decision.
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