Markets On Edge: Earnings Flood Hits As India-US Deal Sparks Rally

This Tuesday feels different. There’s an almost electric buzz on Dalal Street not just because traders are dissecting the newly announced India-US trade deal, but because close to 100 companies are rolling out their Q3 results today, creating an overlay of corporate earnings noise against broader macro optimism.

Investors woke up to sharp gains in the indices. The Sensex rocketed nearly 2,500 points higher at the open, while the Nifty jumped more than 1,000 points, driven by optimism around tariff cuts and trade opening with the US, which is boosting auto, textile, and export-linked names. Midcaps and small caps are also catching bids.

It feels like a tug-of-war, one side fueled by economic policy headlines, the other by fundamental earnings releases breaking across sectors.

Today’s Earnings Roster: What’s On The Table

This quarter’s result calendar is thick. Not a handful of names but a wide cross-section of industries reporting today.

Among the headline watchers releasing Q3 numbers on Feb. 3:

• Bajaj Finance Ltd—a bellwether in financials

• Adani Ports & SEZ—infrastructure and trade play

• Castrol India—industrial oils

• Nazara Technologies—gaming and digital content

• NMDC Ltd—mining

• Aarti Drugs, Firstsource Solutions, HFCL, Pidilite Industries—a blend from chemicals to IT services

• Mobikwik Systems and others adding tech/fintech flavour to the mix

• Plus a slew of mid- & small-cap results that could stir intraday volatility.

And that’s just the tip of the iceberg. Earlier in the week, firms like PB Fintech and Indus Towers already dropped numbers, setting the tone.

Early Reaction: PB Fintech Sugar Rush or Hangover?

Numbers from PB Fintech (Policybazaar), which reported Q3 results after hours last evening, show a strong profit surge, but markets are treading cautiously.

The company posted net profit up to 165% YoY, a serious beat. Yet PB Fintech’s stock was trading lower in early deals, suggesting costs, competitive pressures, or strategic outlays (like planned QIP & healthcare expansion) are tempering enthusiasm.

This is the kind of mixed signal the Street dislikes: strong earnings but a soft share reaction.

Broader Q3 Themes Emerging

While we’re still collecting context from today’s live releases, recent earnings trends provide a useful backdrop:

• Sun Pharma reported a solid 16% YoY profit jump, driven by branded and innovative businesses reinforcing pharma’s defensive allure.

• New India Assurance saw profit climb (29% YoY), with the health insurance segment now nearly half the business.

• Nestlé India posted a big profit rise and offered an interim dividend, showing strength in consumer staples.

These numbers give a hint of disparity across sectors: defensive, staples, and pharma holding up well, while financials and tech are in the spotlight.

Sector Sentiment: Trade Deal Boost Meets Earnings Calendar

The India-US trade deal has changed market psychology. Stocks with strong export linkages, auto ancillaries, textiles, and even engineering firms are getting bought ahead of earnings. Stock moves suggest traders are pricing in optimism*, even if fundamentals aren’t all in yet.

It’s still early in the session, but the momentum is broadening beyond just big caps into midcaps and specific earnings stories.

Watch for intraday volatility to spike as a result of headlines dropping one after another, especially from Bajaj Finance, Adani Group companies, and other names with outsized weight in sectoral indices.

What To Watch Today

Real-time catalysts that could move markets:

• Earnings beats/misses relative to Street estimates across key financials and industrials

• Management commentary on demand outlooks, interest rate impact, cost inflation

• Any guidance shifts, especially for FY26 guidance ranges

• Sector rotation signals suggest investors are weighing a return to defensives against staying with cyclicals amid trade optimism.

All this matters because the backdrop isn’t just earnings; it’s markets recalibrating around a major geo-economic shift with the trade deal.