**Market Brief: Tuesday, January 27, 2026** **Volatile Session: Indices Rebound After Weak Start** Indian equity benchmarks opened lower today, tracking weak global cues, but staged a sharp recovery in mid-morning trade. The **BSE Sensex** initially slumped over **400 points** to an intraday low of **81,088**, while the **Nifty50** dipped below the crucial **25,000** mark. By noon, bulls regained control, with the **Sensex** trading up **~298 points** at **81,814**, and the **Nifty** reclaiming **25,151** (+91 points). Buying interest in select banking and IT majors helped offset early losses driven by tariff fears. --- **Top Corporate Developments** * **Axis Bank Surges:** Shares jumped **4–6%** to hit an 18-month high after reporting a robust Q3 FY26 net profit of **₹6,490 crore** (+3% YoY). The lender saw a massive **27%** sequential jump in profit, surpassing analyst estimates. * **Kotak Mahindra Bank Slides:** The stock tanked over **5%**, marking its steepest single-day fall since July 2025. Despite a **4%** YoY rise in Q3 net profit to **₹3,446 crore**, the numbers missed street expectations, dampened by margin compression. --- **Key Drivers & Global Cues** * **Tariff Jitters:** Sentiment remains fragile following new US tariff threats on South Korea and Canada, keeping Asian markets on edge. * **Fed Watch:** Investors are cautious ahead of the US Federal Reserve’s upcoming policy decision, widely expected to keep interest rates unchanged. * **Oil Prices:** Crude remains stable, with **WTI** hovering near **$60.27** per barrel, offering some respite to India's import bill. --- **Institutional Flows** * **FIIs:** Foreign Institutional Investors remain net sellers, offloading equities worth **~₹4,113 crore** in the previous session. * **DIIs:** Domestic Institutional Investors continue to support the market, buying **~₹4,102 crore** to absorb foreign outflows. --- **Market Outlook** Traders are eyeing the impending India-EU Free Trade Agreement announcement for further direction. Volatility is expected to persist as the market digests earnings and awaits the Federal Reserve's commentary later this week.