Post Session: Quick Review

Indian equity benchmarks ended in negative territory on Tuesday, amid caution surrounding June quarter earnings. After making a positive start, soon indices pared gains and hovered around the flatline for most of the session, as investors awaited clarity on trade developments ahead of the August 1 deadline for U.S. reciprocal tariffs. 

Some of the important factors in today’s trade:

FIIs offload equities worth Rs 1,681.23 crore: Some concerns came as exchange data showed that foreign institutional investors (FIIs) offloaded equities worth Rs 1,681.23 crore on a net basis on Monday. 

India's eight core infrastructure sectors' growth slowed down to 1.7% in June: Traders were cautious with the government data which showed that India's eight core infrastructure sectors' growth slowed down to 1.7 per cent in June 2025 from 5 per cent in the same month last year. 

India's sustained economic growth positions it as global stability anchor: Traders took note of report that Vice Chairman (VC) of NITI Aayog Suman Bery has said that India's sustained economic growth makes it an anchor of stability for the world, which needs new engines of growth and development models that can be scaled and shared. 

Global front: European markets were trading mostly in red as traders remained cautious amid disappointing earnings reports. Asian markets ended mostly in red amid continued uncertainty over U.S. President Donald Trump's reciprocal tariffs on imports from trading partners, though he set a deadline of August 1 to reach deals.

The BSE Sensex ended at 82186.81, down by 13.53 points or 0.02% after trading in a range of 82110.63 and 82538.17. There were 12 stocks advancing against 18 stocks declining on the index. (Provisional)

The broader indices ended in red; the BSE Mid cap index was down by 0.62%, while Small cap index down by 0.17%. (Provisional)

The only gaining sectoral index on the BSE was Consumer Discretionary up by 0.22%, while Realty down by 1.01%, Telecom down by 0.87%, Auto down by 0.78%, Healthcare down by 0.63% and IT down by 0.53% were the top losing indices on BSE. (Provisional)

The top gainers on the Sensex were Eternal up by 10.60%, Titan Company up by 1.07%, Bharat Electronics up by 0.90%, Hindustan Unilever up by 0.74% and Maruti Suzuki up by 0.66%. On the flip side, Tata Motors down by 1.83%, Adani Ports and Special Economic Zone down by 1.72%, SBI down by 1.12%, Reliance Industries down by 1.01% and ITC down by 0.99% were the top losers. (Provisional)

Meanwhile, expressing an optimism over India’s economic growth prospects, Minister of State for Finance Pankaj Chaudhary said that the government has been taking a multi-pronged approach to sustain economic growth amid trade tensions, uncertain capital flows, and geopolitical risks. He said ‘The estimate of fiscal deficit for the year 2025-26, as presented in the Union Budget 2025-26, is at 4.4 per cent. There is no requirement felt for revision of fiscal deficit target at this stage, and neither is it considered appropriate’.

He said India's economic resilience is underpinned by strong macroeconomic fundamentals such as steady growth, price stability, credible fiscal consolidation, resilient external sector performance, robust foreign exchange reserves, a strong and well-capitalised banking sector, and robust physical and digital infrastructure. Additionally, he said, India's well-regulated financial system, credible inflation-targeting regime, and flexible exchange rate contribute to the economy's resilience to shocks. Spelling out some of the steps taken to propel growth, he said liberalisation of FDI, bilateral engagement with countries for the finalisation of various trade agreements, credit guarantee schemes, and increased public expenditures, particularly capex. In the Union Budget 2025-26, an outlay of Rs 1.5 lakh crore has been proposed in this regard. 

To strengthen power sector resilience, he said the Budget also proposed incentives for electricity distribution reforms and augmentation of intra-state transmission capacity, with an additional borrowing of 0.5 per cent of gross state domestic product (GSDP) allowed for states, contingent on undertaking these reforms. Moreover, the Budget also proposed to launch a comprehensive multi-sectoral 'Rural Prosperity and Resilience' programme in partnership with states, which aims to address under-employment in agriculture.

The CNX Nifty ended at 25060.90, down by 29.80 points or 0.12% after trading in a range of 25035.55 and 25182.00. There were 16 stocks advancing against 33 stocks declining on the index, while one stock remained unchanged. (Provisional)

The top gainers on Nifty were Eternal up by 10.32%, HDFC Life Insurance up by 1.55%, Hindalco up by 1.08%, Titan Company up by 0.96% and Bharat Electronics up by 0.88%. On the flip side, Shriram Finance down by 2.28%, Eicher Motors down by 2.09%, JIO Financial Services down by 2.03%, Tata Motors down by 1.81% and Adani Ports and Special Economic Zone down by 1.77% were the top losers. (Provisional)

European markets were trading mostly in red; Germany’s DAX lost 206.8 points or 0.85% to 24,101.00 and France’s CAC fell 38.62 points or 0.5% to 7,759.60, while UK’s FTSE 100 increased 5.17 points or 0.06% to 9,018.16.

Asian markets settled mostly down on Tuesday as trade tensions persisted and growing market caution ahead of a key speech by US Federal Reserve Chair Jerome Powell. Seoul shares fell, dragged down by technology shares amid uncertainties surrounding US tariff policies and upcoming corporate earnings. Japanese shares declined after the ruling coalition lost its majority in the upper house over the weekend. However, Chinese and Hong Kong shares gained after China announced over the weekend the start of construction on a $170 billion hydropower dam in Tibet.