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Below the Quote on Daily Market Commentary for August 3^rd 2026 by Siddhartha Khemka - Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd

Indian market started the week on a strong footing and is expected to maintain a positive bias, supported by encouraging Q1FY27 earnings, easing crude oil prices and improving global risk sentiment. Investor sentiment improved after US President Donald Trump indicated that negotiations with Iran were expected to resume, raising hopes of a diplomatic resolution following recent military tensions. Investor focus will remain on the ongoing RBI Monetary Policy Committee (MPC) meeting (3–5 August), with the policy decision scheduled to be announced at 10:00 AM on Wednesday, alongside movements in Brent crude oil prices, the next set of corporate earnings and India's Manufacturing and Services Purchasing Managers' Index (PMI) readings. The Q1FY27 earnings season has remained encouraging, with 49% of companies under Motilal Oswal Financial Services' coverage beating profit estimates. Excluding Oil Marketing Companies, aggregate earnings grew 17% YoY, led by Financials, Metals, Technology and Automobiles, while elevated crude oil prices continued to weigh on Oil Marketing Companies, alongside weakness in Cement, Healthcare and InterGlobe Aviation. Key companies scheduled to announce Q1FY27 results on Tuesday include Bharti Airtel, Godrej Consumer Products, Marico, Pidilite Industries, Motherson Sumi, UNO Minda, MCX, United Breweries, Zydus Wellness and Castrol India, among others. India's gross GST collections rose 15.4% YoY to ?2.11 lakh crore in July, marking the fastest growth in 14 months. The increase was driven by a 10.1% rise in domestic GST collections and a 28.8% jump in revenues from imports, reflecting resilient economic activity and improving tax compliance. The primary market activity will also remain in focus this week, with Manipal Health Enterprises, Juniper Green Energy and MV Electrosystems scheduled to list on the stock exchanges. Investors will monitor the ongoing RBI's monetary policy meeting, developments in the US-Iran conflict, crude oil prices and the ongoing earnings season for further direction. 

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