Middle East Tensions Fuel Crude Rally; Nestlé Boosts FMCG, Bandhan Bank Drags Banking Stocks - Paper by Pocketful
Market Recap: 22th July, 2026
Stock News Highlights
Bandhan Bank (-16.92%): Shares tumbled after the company reported Q1 FY27 net profit of ₹502 crore, up 35% YoY, and net revenue of ₹3,524 crore, while management’s weaker profitability outlook weighed on investor sentiment.
Nestlé India (+2.87%): Shares gained after the FMCG major reported a 47.9% YoY rise in Q1 FY27 standalone net profit to ₹975 crore, while revenue from operations increased 25.2% YoY to ₹6,378 crore, driven by strong domestic demand and export growth.
Anant Raj (+1.23%): Shares gained after the company’s board approved the demerger of its data centre and cloud services business into Ashok Cloud Pvt. Ltd., creating two separately focused listed entities, subject to NCLT and other regulatory approvals.
Adani Power (-1.55%): Shares declined despite the company reporting a record Q1 FY27 performance, with consolidated net profit rising 42% YoY to ₹4,806 crore and revenue increasing 34% to ₹18,902 crore. The board also approved raising up to ₹15,000 crore through a QIP to support future expansion plans.
Sectoral Performance
Nifty FMCG (+0.65%): The index advanced after strong Q1 FY27 results from Nestlé India boosted investor sentiment. Gains were led by Nestlé India, Hindustan Unilever (HUL), and Tata Consumer Products, as optimism over resilient consumer demand outweighed concerns about rising input costs.
Nifty Auto (+0.18%): The index ended marginally higher despite more stocks declining than advancing, as strong gains in heavyweight Bajaj Auto and TVS Motor Company following their robust Q1 FY27 results this week outweighed losses in other auto stocks, lifting the sector.
Nifty Media (-2.68%): The index declined for a second consecutive session, pressured by escalating Middle East tensions and broad market weakness. Losses were led by Tips Music, Zee Entertainment, and Saregama India, making it the worst-performing sector of the day.
Nifty Realty (-2.63%): The index declined sharply as escalating Middle East tensions pushed crude oil prices higher, raising concerns over persistent inflation and elevated borrowing costs. The sector ended with 1 gainer and 9 losers, reflecting broad-based weakness in real estate stocks.
Market Insights
Technical Level: Nifty opened with a minor gap-down and remained under sustained selling pressure throughout the first half, facing immediate resistance near 24,160. Selling intensified further dragging the index to a support around 23,960. It then consolidated in a narrow range near this level and closed near day’s low, indicating continued weakness in market sentiment.
Advance-Decline Ratio: Market breadth remained positive, with 1,810 stocks advancing against 1,504 declining, indicating broader buying interest despite weakness in the benchmark indices.
The Big Picture: Asian markets ended mostly lower after a sharp sell-off in global technology stocks, triggered by weakness in AI-linked semiconductor shares on Wall Street. Rising geopolitical tensions in the Middle East also kept investors cautious, while elevated crude oil prices added to concerns over inflation and global economic growth.
FII/DII Activity (July 21, 2026): FIIs turned net buyers with inflows of ₹1,650 crore, while DIIs turned net sellers with outflows of ₹657 crore, reflecting a divergence in institutional activity during the session.
Watch Out For Tomorrow
Market Watch: Markets remained under pressure as escalating Middle East tensions pushed Brent crude above $95 per barrel and WTI crude near $88 per barrel, raising concerns over inflation and India’s import bill. Strong Q1 earnings from Nestlé India and Bajaj Auto provided limited support, while investors now await results from Infosys, NTPC, and BPCL. Technically, the next key support is seen at 23,830, while resistance is placed near 24,200.
Word of the day
EBITDA (Earnings Before Interest, Taxes, Depreciation & Amortization)
Meaning: EBITDA measures a company’s operating profitability by excluding interest, taxes, depreciation, and amortization. It helps investors evaluate a company’s core business performance before financing and accounting expenses.
Example: Adani Power reported an EBITDA of ₹8,369 crore in Q1 FY27, reflecting strong operating performance driven by higher power generation and improved plant utilisation.