Post Session: Quick Review

Indian equity benchmarks snapped a three-day losing streak on Tuesday, with both the Nifty and Sensex closing near day’s high points, supported by broad-based buying across sectors. Markets made a cautious start and hovered near the flat lines amid uncertainty surrounding the India-US trade deal and continued foreign fund outflows. However, in afternoon session, indices added gains and ended significantly higher. 

Some of the important factors in today’s trade:

Indian economy has look and feel of steady for FY26: Traders took some support with the finance ministry stating that despite concerns over slowing credit growth, Indian economy has the look and feel of 'steady as she goes' for the current fiscal. 

Finance ministry sees room for more rate cuts as inflation remains below RBI's target: Sentiments were upbeat as finance ministry said that there is room for further easing of interest rate by the Reserve Bank of India (RBI) as the inflation is comfortably below the central bank's median target of 4 per cent.

India's Industrial output growth slows to 10-month low of 1.5% in June: Traders overlooked the government data showed that India's industrial production growth slowed to a 10-month low of 1.5 per cent in June 2025 due to poor performance of mining and power sectors, which were impacted by excess rains especially in second half of the month.

Global front: European markets were trading in green lifted by positive earnings reports and easing concerns over a potential trade war. Asian markets ended mixed as investors looked past the US-EU trade deal and awaited the outcome of ongoing U.S.-China talks in Stockholm.

The BSE Sensex ended at 81375.01, up by 483.99 points or 0.60% after trading in a range of 80575.45 and 81429.88. There were 21 stocks advancing against 9 stocks declining on the index. (Provisional)

The broader indices ended in green; the BSE Mid cap index was up by 0.86%, while Small cap index up by 1.13%. (Provisional)

The top gaining sectoral indices on the BSE were Realty up by 1.62%, Telecom up by 1.49%, Energy up by 1.27%, Industrials up by 1.26% and Healthcare up by 1.15%, while no losing sectoral indices on the BSE. (Provisional)

The top gainers on the Sensex were Reliance Industries up by 2.31%, Larsen & Toubro up by 2.17%, Asian Paints up by 2.04%, Adani Ports and Special Economic Zone up by 1.62% and Tata Motors up by 1.52%. On the flip side, Axis Bank down by 0.78%, TCS down by 0.73%, ITC down by 0.40%, Titan Company down by 0.27% and Infosys down by 0.24% were the top losers. (Provisional)

Meanwhile, the Crisil Intelligence has said that the revenue growth of India's corporate sector is estimated at a modest 4-6 per cent in the first quarter of this fiscal year (Q1FY26), down from about 7 per cent in the previous two quarters, due to sluggish performance by power, IT services and steel sectors. The power, coal, IT services and steel sectors collectively account for a third of the revenue of over 600 companies analysed. Nevertheless, five sectors -- pharmaceuticals, telecom services, organised retail, aluminium and airline -- likely drove revenue growth for India Inc in the first quarter. 

It said the steel sector's revenue is expected to have grown a moderate 1-3 per cent on-year, due to planned maintenance shutdowns at major steel mills and a 2-4 per cent on-year decline in prices. On the other hand, the auto sector's revenue is estimated to rise by 4 per cent on-year owing to higher retail sales, partially offset by high inventory. It said an increase in prices stemming from changes in product mix and higher export realisations likely helped revenue grow. The construction sector revenue is expected to climb up 6 per cent on-year as engineering, procurement and construction (EPC) companies benefited from a low base effect caused by disruptions from general elections in the first quarter of last fiscal despite no significant increase in the Union Budget allocation for the sector. 

It said in the first quarter, revenue for pharmaceuticals sector is seen up 9-11 per cent on-year, higher than corporate India's revenue growth for the past 10 quarters, driven by strong export demand and a stable domestic market. It further said telecom services revenue is expected to grow 12 per cent on-year, fuelled by higher realisations of around 11 per cent on account of costlier subscription plans. Organised retail revenue likely rose 15-17 per cent in the first quarter, led by the value fashion and food and grocery segments. Revenue expansion in the steel, cement and FMCG sectors was likely driven by volume growth of 7-9 per cent, 3-4 per cent and 4-5 per cent respectively.

It further said in the cement sector, a low base, the pre-monsoon construction spree and healthy domestic demand pushed volume higher, despite the shutdown of a few mills, while a pick-up in rural demand supported the FMCG sector's volume growth. Aluminium sector's revenue is seen up at 23 per cent, owing to higher domestic demand, particularly through transmission lines, higher domestic output after Bharat Aluminium Company's expansion, more export opportunities from lower trade volatility between major economies, and an improvement in realisations due to a higher share of downstream products. Likewise, airline revenue is expected to rise 15 per cent on-year, driven by an increase of 10-12 per cent in volume owing to expanded supply on account of reduced aircraft groundings and addition of new aircraft.

The CNX Nifty ended at 24821.10, up by 140.20 points or 0.57% after trading in a range of 24598.60 and 24847.15. There were 36 stocks advancing against 14 stocks declining on the index. (Provisional)

The top gainers on Nifty were JIO Financial Services up by 4.47%, Larsen & Toubro up by 2.14%, Reliance Industries up by 2.13%, Asian Paints up by 1.78% and Eicher Motors up by 1.57%. On the flip side, SBI Life Insurance down by 0.92%, Axis Bank down by 0.88%, TCS down by 0.76%, HDFC Life Insurance down by 0.64% and Titan Company down by 0.41% were the top losers. (Provisional)

European markets were trading higher; France’s CAC rose 111.62 points or 1.43% to 7,912.50, Germany’s DAX gained 312.04 points or 1.3% to 24,282.40 and UK’s FTSE 100 increased 54.46 points or 0.6% to 9,135.90. 

Asian markets ended mostly down on Tuesday as global investors awaited the outcome of ongoing US-China talks in Stockholm, and also braced for big tech earnings, key US economic indicators and upcoming Federal Reserve and Bank of Japan interest rate decisions. Hong Kong shares declined, with technology stocks falling, following reports of the US Commerce Department delaying approvals for Nvidia's export licenses to China. Moreover, Japanese shares dropped as Japanese Prime Minister Shigeru Ishiba faced renewed calls to resign over last week's historic election loss.