Indian equity benchmark -- Nifty -- ended lower on Thursday amid India-US trade deal uncertainty. Index made a slightly positive start followed by firm cues from other Asian markets. Soon, index slipped below its neutral line. Some cautiousness came with the Reserve Bank of India’s latest monthly bulletin statement that net foreign direct investment (FDI) into India fell 98% year-on-year to $35 million in May 2025 amid higher repatriation by overseas investors and a fall in gross inflows. Investors opted to remain on sidelines ahead of weekly F&O expiry.
In afternoon session, index intensified its losses and continued its lacklustre trade for most part of the session. However, losses remained capped as some support came with the latest HSBC Flash India Composite Purchasing Managers' Index (PMI), compiled by S&P Global, showing that India's private sector showed robust growth in July, primarily fuelled by strong manufacturing performance and international demand. The index recorded a score of 60.7 in July. While slightly down from June's 61.0, it remained firmly above the 50-mark, indicating continuous expansion for the fourth consecutive year. Finally, index closed below 25,100 mark.
Traders were seen piling up positions in PSU Bank, Pharma and Auto stocks, while selling was witnessed in IT, FMCG and Realty. The top gainers from the F&O segment were Canara Bank, Indian Bank, and Samvardhana Motherson International. On the other hand, the top losers were Indian Energy Exchange, Coforge and Persistent Systems. In the index option segment, maximum OI continues to be seen in the 25900 - 26100 calls and 23900 - 24100 puts indicating this is the trading range expectation.
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