Post Session: Quick Review

Indian equity benchmarks recouped early losses and ended flat with positive bias on Wednesday amid mixed global cues. After making a cautious start, markets remained below neutral lines in first half of the trading session following disappointing corporate earnings and uncertainty over US trade policy. In afternoon session, indices wiped out their losses and entered into green terrain led by gains in IT stocks. But markets failed to hold gains and ended near neutral lines amid concerns over potential India-US trade deal.

Some of the important factors in today’s trade:

Economy to grow at 6.5% in FY26 despite global tensions, trade uncertainties: Some support came as Economic Advisory Council to the Prime Minister (EAC-PM) Chairman S Mahendra Dev indicated that Indian economy is expected to grow at 6.5 per cent in the current financial year, despite geo-political tensions and trade policy uncertainties.

CPI inflation to average 4% in FY26, down from 4.6% in FY25: Traders took encouragement as rating agency Crisil’s latest research report stated that the consumer price index (CPI)-based inflation is expected to average 4% this financial year, as compared to 4.6% last fiscal. It noted that food inflation is expected to be softer given the forecasts of above-normal monsoon by the IMD.

India’s trade deficit narrowed to a four-month low in June: Traders took note of the government data showing India's merchandise exports remained almost flat at $35.14 billion in June 2025 as against $35.16 billion same month last year. Imports declined 3.71% to $53.92 billion in June 2025 as compared to $56 billion in June 2024. The country’s trade deficit narrowed to a four-month low of $18.78 billion in June.

On the global front: European markets are trading mostly higher with caution due to lingering tariff worries and disappointing earnings updates from the likes of ASML Holding NV and Renault SA. Asian markets ended mostly lower amid U.S. President Donald Trump announced a 19 percent tariff on Indonesian exports under a new bilateral pact. As per a private report, the deal is heavily skewed in favor of the U.S., requiring significant trade-offs.

The BSE Sensex ended at 82634.48, up by 63.57 points or 0.08% after trading in a range of 82342.94 and 82784.75. There were 14 stocks advancing against 16 stocks declining on the index. (Provisional)

The broader indices ended in green; the BSE Mid cap index rose 0.10%, while Small cap index was up by 0.28%. (Provisional)

The top gaining sectoral indices on the BSE were IT up by 0.66%, Realty up by 0.50%, TECK up by 0.49%, FMCG up by 0.43% and PSU up by 0.43%, while Metal down by 0.61%, Basic Materials down by 0.37%, Capital Goods down by 0.24%, Healthcare down by 0.15% and Industrials down by 0.01% were the top losing indices on BSE. (Provisional)

The top gainers on the Sensex were Mahindra & Mahindra up by 2.25%, Tech Mahindra up by 1.94%, SBI up by 1.63%, Infosys up by 1.57% and Adani Ports & SEZ up by 0.72%. On the flip side, Eternal down by 1.69%, Sun Pharma down by 1.49%, Tata Steel down by 1.07%, Tata Motors down by 0.88% and Bharat Electronics down by 0.75% were the top losers. (Provisional)

Meanwhile, rating agency ICRA in its latest report has said that the mining and construction equipment (MCE) sector which reported a marginal volume decline in the first quarter of this fiscal year (H1 FY26), is expected to witness an acceleration of new award activity in the second half of this financial year (H2 FY26), especially led the government initiatives. 

According to the report, early arrival of monsoons and unseasonal rains in some regions disrupted the construction and mining activities in the first quarter, which is also reflected in the flattish production data reported by Coal India during this period compared to a year ago. The tepid new award activity and slowdown in road construction and Jal Jeevan Mission (JJM) projects has also hampered demand for the earthmover segment, which constitutes a bulk of the Indian MCE (mining and construction equipment) sector demand.

Further, the report said several industries are set to witness continued industrial and warehousing construction demand because of domestic market focus, thereby supporting volumes. ICRA projects the industry to display a muted year-on-year (YoY) volume growth of 2-5 per cent in FY2026, corresponding to volumes of 1.43-1.47 lakh units. 

The CNX Nifty ended at 25212.05, up by 16.25 points or 0.06% after trading in a range of 25121.05 and 25255.30. There were 21 stocks advancing against 29 stocks declining on the index. (Provisional)

The top gainers on Nifty were Wipro up by 2.18%, Mahindra & Mahindra up by 2.17%, Tech Mahindra up by 1.87%, Nestle up by 1.73% and SBI up by 1.72%. On the flip side, Shriram Finance down by 2.37%, Eternal down by 1.63%, Sun Pharma down by 1.53%, Tata Steel down by 1.07% and Cipla down by 1.01% were the top losers. (Provisional)

European markets were trading mostly in green; Germany’s DAX rose 48.24 points or 0.2% to 24,108.53 and UK’s FTSE 100 added 12.83 points or 0.14% to 8,951.15, while France’s CAC was down by 4.64 points or 0.06% to 7,761.57.

Asian markets ended mostly lower on Wednesday after hotter than expected US inflation print. Data showed that US CPI increased 0.3% sequentially in June, putting the annual inflation rate at 2.7% and matching consensus estimates. The so-called core CPI grew 0.2% month over month and 2.9% year-on-year. Market sentiments weakened further after US President Donald Trump announced a 19% tariff on Indonesian exports under a new bilateral pact. Japanese shares ended almost flat with negative momentum due to US tariff worries and uncertainty surrounding the elections to the upper house.