Post Session: Quick Review

Indian equity benchmarks ended with strong gains on Thursday, led by robust buying in IT stocks. Markets made a slightly positive start and maintained steady upward momentum throughout the session, as investors’ sentiments improved following the easing of geopolitical tensions in the Middle East after the US and Iran concluded talks in Doha.

Some of the important factors in trade:

India, Japan unveil transformative agenda to boost ties: Sentiments remained upbeat as India and Japan have unveiled a raft of initiatives, including an economic partnership framework and a defence pact to co-develop military hardware following talks between Prime Minister Narendra Modi and his Japanese counterpart Sanae Takaichi.

Crisil expects MFI AUM growth to accelerate to 20% in FY27: Traders took support with Crisil Ratings’ report stated that microfinance institutions' (MFIs) assets under management growth is set to accelerate to 20 per cent in FY27 after a tepid 4 per cent increase in the past fiscal. 

RBI's concessional swap facility to boost financial institutions' overseas borrowing: Traders took note of S&P Global Ratings said that the concessional swap facility provided by the RBI would lower funding costs for many government-owned financial institutions that are now likely to increase their external borrowings.

On the global front: European markets were trading higher amid eased inflation and interest-rate concerns. Asian markets closed mixed after Qatar said that indirect U.S.-Iran talks have made ‘positive progress’.

The BSE Sensex ended at 77502.12, up by 579.48 points or 0.75% after trading in a range of 77063.95 and 77578.93. There were 20 stocks advancing against 10 stocks declining on the index. (Provisional)

The top gaining sectoral indices on the BSE were IT up by 4.37%, TECK up by 2.68%, Consumer Durables up by 1.45%, Realty up by 1.43% and Auto up by 1.33%, while Capital Goods down by 0.73%, Telecom down by 0.67%, Power down by 0.64%, and Industrials down by 0.27% were the top losing indices on BSE. (Provisional) 

The top gainers on the Sensex were Infosys up by 5.84%, Tech Mahindra up by 4.61%, HCL Technologies up by 4.44%, TCS up by 4.43% and Bajaj Finserv up by 3.47%. On the flip side, Larsen & Toubro down by 0.87%, Maruti Suzuki India down by 0.74%, Bharat Electronics down by 0.67%, Axis Bank down by 0.56% and Kotak Mahindra Bank down by 0.51% were the top losers. (Provisional)

Meanwhile, with an aim to deepen the India-France strategic partnership, strengthen economic cooperation, and promote investment, Finance Minister Nirmala Sitharaman is on a four-day official visit to France, where she will participate in a series of high-level engagements. A key highlight of the visit will be the India-France Economic and Financial Dialogue (EFD) in Aix-en-Provence, which she will co-chair alongside France’s Minister for the Economy, Finance and Industrial and Energy Sovereignty, Roland Lescure. During the dialogue, both countries are likely to explore opportunities for expanding bilateral cooperation across various sectors and further strengthening economic ties between India and France.

As part of visit, Sitharaman will hold one-on-one meetings with select global chief executive officers and participate in a roundtable discussion with leading business executives. These engagements will provide an opportunity to showcase India’s strong macroeconomic fundamentals, ongoing structural reforms, expanding investment opportunities, and long-term growth potential. The Finance Minister will also participate in a panel discussion titled “How to Promote the Growth of a New Middle Class” at Les Rencontres Economiques d’Aix-en-Provence, one of Europe’s premier annual forums focused on global economic and public policy issues.

In addition, Sitharaman will visit the International Thermonuclear Experimental Reactor (ITER) project at Cadarache, one of the world’s largest international scientific collaborations in nuclear fusion, involving more than 30 partner countries, including India and France. She will also visit Campus Cyber, France’s national hub for cybersecurity innovation, research, and skill development, where discussions are likely to focus on sharing best practices for strengthening cyber resilience and fostering innovation in the digital economy. Furthermore, she is scheduled to meet Renaud Muselier, President of the Provence-Alpes-Cote d’Azur (PACA) Region, to discuss collaboration in areas such as investment, innovation, clean energy, technology, and regional economic partnerships. During the visit, the Finance Minister will also interact with members of the Indian diaspora in France.

The CNX Nifty ended at 24175.70, up by 169.85 points or 0.71% after trading in a range of 24058.80 and 24194.55. There were 36 stocks advancing against 14 stocks declining on the index. (Provisional)

The top gainers on Nifty were Infosys up by 5.77%, Tech Mahindra up by 4.58%, HCL Technologies up by 4.48%, TCS up by 4.31% and Bajaj Finserv up by 3.47%. On the flip side, Max Healthcare Inst. down by 1.21%, Larsen & Toubro down by 0.87%, Axis Bank down by 0.69%, Nestle India down by 0.56% and Kotak Mahindra Bank down by 0.47% were the top losers. (Provisional)

European markets were trading higher; France’s CAC rose 63.31 points or 0.75% to 8,400.60, Germany’s DAX gained 155.32 points or 0.62% to 25,195.60 and UK’s FTSE 100 increased 43.21 points or 0.41% to 10,521.55.

Asian markets ended mixed on Thursday tracking Wall Street's slight fall overnight as AI-related concerns triggered a sharp sell-off in semiconductor shares. A survey showed that US manufacturing activity slowed in June after surging in the prior month. Additionally, ADP reported that US private businesses added 98,000 new jobs in June, missing street estimates of 110,000 and falling below the prior month's 122,000 increase. Investors remained cautious ahead of the widely watched US monthly labor market report, which is expected to provide fresh clues about labor market conditions and the Federal Reserve's interest rate outlook. Meanwhile, Federal Reserve Chair Kevin Warsh said inflation risks had eased over the past month while reaffirming the central bank's commitment to restoring price stability, signaling there was no urgency to raise interest rates. South Korea experienced acute selloffs after reports that Apple is in active negotiations to purchase chips from two Chinese semiconductor makers on a Pentagon blacklist, as the company seeks to ease the impact of a global memory shortage that has forced price increases across its product line-up.