Post Session: Quick Review

Indian equity benchmarks staged a strong rebound on Wednesday after falling for two consecutive sessions, as oil prices remained subdued despite uncertainty surrounding ongoing U.S.-Iran negotiations. Markets made a slightly positive start and extended their gains throughout the session, supported by gains in realty, FMCG and auto stocks. Sentiments remained upbeat as the Reserve Bank of India (RBI) stated that the Indian financial system remains resilient, underpinned by strong bank and non-bank balance sheets.

Some of the important factors in trade:

GST collections rise 14% to Rs 1.95 lakh crore in June: Sentiments remained positive as government data showed that GST collections rose 14 per cent to about Rs 1.95 lakh crore in June on higher tax mop-up from imports as well as domestic supplies.

Govt extends temporary customs duty relief on key petrochemical imports till July 15: Traders took support after the Finance Ministry extended nil customs duty on imports of around 40 critical petrochemical products by another 15 days till July 15, 2026, providing temporary relief to industries facing supply uncertainties arising from geopolitical tensions in West Asia. 

India manufacturing PMI slips to 54.2 in June: Traders shrugged off data showing that the seasonally adjusted HSBC India Manufacturing Purchasing Managers' Index (PMI) fell to 54.2 in June from 55.0 in May.

On the global front: European markets were trading mostly lower, despite Eurozone inflation eased to a three-month low in June, boosting expectations of further monetary policy easing by the European Central Bank. Asian markets closed mostly higher despite uncertainty over the progress of U.S.-Iran peace negotiations. 

The BSE Sensex ended at 76922.64, up by 443.97 points or 0.58% after trading in a range of 76538.37 and 77110.08. There were 22 stocks advancing against 8 stocks declining on the index. (Provisional)

The top gaining sectoral indices on the BSE were Realty up by 3.56%, FMCG up by 1.76%, Consumer Disc up by 1.20%, Auto up by 1.10% and Consumer Durables up by 0.66% while, IT down by 1.94%, TECK down by 1.03%, Metal down by 0.87%, Healthcare down by 0.38% and Telecom down by 0.34% were the top losing indices on BSE. (Provisional)

The top gainers on the Sensex were Eternal up by 5.89%, Asian Paints up by 3.13%, Hindustan Unilever up by 2.74%, Mahindra & Mahindra up by 2.05% and Adani Ports and Special Economic Zone up by 1.96%. On the flip side, HCL Technologies down by 3.45%, Tech Mahindra down by 3.22%, TCS down by 2.51%, Tata Steel down by 1.73% and Infosys down by 1.41% were the top losers. (Provisional)

Meanwhile, data released by the Controller General of Accounts (CGA) showed that India's fiscal deficit touched 9.6 per cent of the current financial year (FY27) budget target at the end of May 2026. The fiscal deficit, or gap between the government’s expenditure and revenue, was Rs 1.62 lakh crore in value terms at the end of May. 

According to the CGA data, net tax receipts amounted to Rs 3.48 lakh crore, while non-tax revenue stood at Rs 3.51 lakh crore. Total expenditure of the central government reached Rs 8.81 lakh crore by the end of May, of which Rs 2.51 lakh crore was capital spending.

The Centre has set a fiscal deficit target of 4.3 per cent of Gross Domestic Product (GDP) or Rs 16.96 lakh crore in the current fiscal. At the end of May, 2025, the Centre’s fiscal deficit had reduced to 0.8 per cent of the BE of 2025-26 or Rs 13,163 crore.

The CNX Nifty ended at 24005.85, up by 140.10 points or 0.59% after trading in a range of 23895.10 and 24049.90. There were 33 stocks advancing against 17 stocks declining on the index. (Provisional)

The top gainers on Nifty were Eternal up by 5.71%, Adani Enterprises up by 3.54%, Nestle India up by 3.46%, Asian Paints up by 3.06% and Hindustan Unilever up by 3.01%. On the flip side, HCL Technologies down by 3.51%, Tech Mahindra down by 3.03%, TCS down by 2.41%, Hindalco Industries down by 1.77% and Tata Steel down by 1.54% were the top losers. (Provisional)

European markets were trading mostly in red; UK’s FTSE 100 decreased 37.49 points or 0.36% to 10,459.63 and France’s CAC fell 42.59 points or 0.51% to 8,361.40, while Germany’s DAX gained 97.29 points or 0.39% to 25,093.10. 

Asian markets ended mostly higher on Wednesday tracking Wall Street’s gains overnight, while investors focus shifted to US labour market data alongside upcoming remarks from Federal Reserve Chair Kevin Warsh later today at the annual European Central Bank Forum in Sintra, Portugal. The June US ADP employment data, due later in the day, and US nonfarm payroll figures on Thursday, might provide fresh insights into the Fed's rate path going forward. Japanese shares gained as the yen slid to a fresh 40-year low against the US dollar, while investors cheered the results of a quarterly survey from the BoJ, which showed business sentiment among major Japanese manufacturers improved for a fifth straight quarter. However, South Korea’s Kospi tumbled as investors booked profits following recent artificial intelligence-fuelled rallies in semiconductor shares. Hong Kong markets were closed for Establishment Day. Meanwhile, ongoing geopolitical uncertainties are fuelling inflation worries and increasing the likelihood of Federal Reserve interest-rate hikes. Iranian Parliament Speaker and chief negotiator, Mohammad Bagher Ghalibaf, said Iran will not enter negotiations with the United States on a final agreement unless five preliminary paragraphs of a recently signed pace memorandum of understanding are fulfilled. These include provisions for ending the war on all fronts, including Lebanon, lifting the US naval blockade, reopening the Strait of Hormuz, issuing US waivers for Iranian crude oil exports, and releasing frozen Iranian assets.