Nifty may pause its rally near record highs. Analysts suggest dips are buying opportunities. Banking and metals sectors are highlighted. Support is seen at 25,400-25,500. A potential breakout from a Cup and Handle pattern is noted. Medium-term outlook remains positive for quality stocks. Sectors like BFSI, auto, and metal are expected to outperform.

Muthoot Microfin is planning to raise ₹375 crore by selling bonds to high net worth individuals, following a recent $15 million fundraise from Swiss impact investor Blue Orchard. This move is part of the company s resource diversification strategy as stability returns to the microfinance sector.

Gold prices saw a sharp fall after hitting record highs. This drop has led to discussions about whether it marks a turning point for the precious metal s market. Despite the recent decline, interest from retail buyers remains strong. Professionals in the gold market are gathering for a conference, anticipating a consolidation phase before a potential return to a bullish trajectory.

Dr Reddy s Laboratories saw a high single-digit revenue increase in Q3, driven by India, emerging, and European markets, despite a muted US business. The company launched 24 new products, with a pipeline of 100 products expected to offset slowing Revlimid sales. Analysts remain cautious, with valuations factoring in earnings upside.

European Central Bank Governing Council member Jose Luis Escriva expressed satisfaction with current borrowing costs, deeming them appropriate as inflation has reached the 2% target. Policymakers are widely expected to maintain the deposit rate at 2% at the upcoming October 30 meeting and again in December, with no further rate adjustments anticipated.

Key tech giants, including Microsoft, Alphabet, Meta, and Apple, are set to report earnings this week, with investor focus on their artificial intelligence outlooks. Strong earnings season performance has bolstered the S&P 500, but sustained gains hinge on assurances from these companies regarding AI investment returns.

Markets saw a decline on Friday, with the Nifty slipping nearly 0.4% amid profit booking and FMCG sector weakness. Analysts remain bullish, advising selective stock picking in strong sectors. Several companies like LIC, Sobha, Ola Electric, and Kotak Bank are in focus due to news and earnings.

Recent market behavior shows fragility despite low overall volatility, with the VIX surging on minor S&P 500 drops. This extreme reaction, exceeding past events, was amplified by option market makers covering short positions and hedging. The pattern of calm punctuated by sharp swings highlights market dynamics influenced by ETP growth.

Overseas fund managers are exhibiting their most bullish sentiment towards Indian equities since July, significantly reducing bearish wagers in Nifty futures. This shift follows a recent market bounce, bringing indices close to all-time highs. Foreign portfolio investors have also turned net buyers in October after substantial September sales, potentially fueling further gains.

Adani Group companies are actively raising substantial funds through long-term corporate bonds. Mutual funds, insurers, and banks are investing heavily in these issuances. The group has tapped the domestic bond market multiple times, offering maturities of up to 19 years. These bonds are attractive to institutions seeking long-term, high-rated instruments.