Post Session: Quick Review

Indian equity benchmarks extended their winning streak to a fourth consecutive session, driven by broad-based buying in IT, auto, and banking stocks. Markets made gap-up opening and maintained a positive momentum throughout the session, amid growing hopes of easing geopolitical tensions in West Asia after U.S. President Donald Trump stated that negotiations with Tehran are expected to resume. 

However, the Nifty witnessed a sharp spike in fag end of trade following introduction of Closing Auction Session (CAS). Effective August 3, 2026, the Securities and Exchange Board of India introduced CAS for F&O-eligible stocks, with regular cash market trading in these stocks ending at 3:15 PM, followed by an auction to determine the closing price. Trading in non-F&O stocks continues until 3:30 PM, while the Futures & Options (F&O) trading session has been extended by 10 minutes, now concluding at 3:40 PM. The changes aim to improve price discovery, enhance market transparency, and reduce the scope for end-of-day price manipulation.

Some of the important factors in trade:

Govt’s gross GST collections jump 15% to Rs 2,11,205 crore in July: Sentiments got boost as the government data has showed that gross goods and services tax (GST) collections jumped 15.4 per cent to Rs 2,11,205 crore in July 2026 as compared to Rs 1,83,065 crore in July 2025. 

Bank credit to industry registers 19.2% growth in June: Traders took support with the Reserve Bank of India’s (RBI) data showeing that bank credit to industry grew 19.2 per cent year-on-year (y-o-y) by the end of June 2026, a sharp acceleration from 6.3 per cent recorded in the corresponding period last year, as large companies as well as MSMEs displayed broad-based expansion.

Continued FIIs inflows: Foreign fund inflows also added to markets' optimism during the trade. Foreign Institutional Investors (FIIs) bought equities worth Rs 277.48 crore on Friday, according to exchange data. 

On the global front: European markets were trading mostly in green, as growing hopes for peace in the Middle East sent oil prices sharply lower, easing concerns over inflation and interest rates. Asian markets closed mostly in red as heavyweight semiconductor and artificial intelligence-related stocks came under selling pressure following Friday's record-breaking gains.

The BSE Sensex ended at 78639.03, up by 544.39 points or 0.70% after trading in a range of 78497.34 and 78895.10. There were 25 stocks advancing against 5 stocks declining on the index. (Provisional)

The top gaining sectoral indices on the BSE were IT up by 2.53%, TECK up by 1.27%, Industrials up by 1.23%, Basic Materials up by 1.20%, and Metal up by 1.14%, while Healthcare down by 0.08% and Oil & Gas down by 0.01% were the few losing indices on BSE. (Provisional)

The top gainers on the Sensex were Interglobe Aviation up by 4.42%, Infosys up by 3.32%, TCS up by 2.91%, Eternal up by 2.33% and Bajaj Finserv up by 2.31%. On the flip side, Sun Pharma down by 2.10%, Bharti Airtel down by 0.95%, Maruti Suzuki India down by 0.71%, Tech Mahindra down by 0.61% and Mahindra & Mahindra down by 0.23% were the top losers. (Provisional)

Meanwhile, India’s manufacturing sector activity continued expansion but at its slowest pace in nearly five years in the month of July as growth in total sales, input purchasing and employment weakened. According to the survey report, the seasonally adjusted HSBC India Manufacturing Purchasing Managers’ Index (PMI) eased from 54.2 in June to 53.5 in July. 

The survey report noted that the rate of growth in new orders was the second-weakest in over four years, as advertising and demand resilience supported sales, which were somewhat curbed by increasingly challenging market conditions and reduced client interest for key items. But there was a marked and accelerated upturn in external orders. Among many, firms noted gains from Canada, Egypt, Indonesia, Kenya, Nepal, South Africa, Thailand and the UAE.

Further, operating expenses rose further, especially for transportation, but the overall rate of cost inflation eased to a five-month low. Hence, output charges increased only moderately. Meanwhile, business sentiment strengthened from June's recent low, with firms signalling a positive outlook for demand, infrastructure projects and new client enquiries. Some businesses expected market conditions to improve and hoped their marketing initiatives would pay off.

The CNX Nifty ended at 24774.30, up by 390.70 points or 1.60% after trading in a range of 24515.15 and 24774.30. There were 44 stocks advancing against 6 stocks declining on the index. (Provisional)

The top gainers on Nifty were Grasim Industries up by 5.13%, TCS up by 4.57%, Interglobe Aviation up by 4.43%, Infosys up by 4.42% and Shriram Finance up by 4.16%. On the flip side, Apollo Hospital Ent. down by 1.53%, Sun Pharma down by 1.36%, Maruti Suzuki India down by 0.59%, ONGC down by 0.22% and Tech Mahindra down by 0.14% were the top losers. (Provisional)

European markets were trading mostly in green; Germany’s DAX gained 373.86 points or 1.46% to 26,003.10 and France’s CAC rose 118.66 points or 1.39% to 8,628.30, while UK’s FTSE 100 decreased 29.22 points or 0.27% to 10,868.05.

Asian stocks ended mostly lower on Monday, even though Brent crude oil prices fell about 5%, US Treasury bond yields dipped, and the US dollar index slipped below the 100-point threshold after Trump held off on a fresh attack on Iran. Trump stated that an agreement was close, signalling renewed diplomatic momentum ahead of the resumption of peace talks, and noted that a planned large-scale military strike on Iran was called off on the condition that efforts to quickly reach an agreement to reopen the Strait of Hormuz and resolve the impasse over Tehran's nuclear capabilities move forward. Seoul shares plunged by more than 5%, driven by selling pressure on heavyweight semiconductor and artificial intelligence-related stocks following Friday's record gains. Japan’s Nikkie dropped as the yen surged against the dollar after Japan and the United States conducted coordinated yen-buying intervention and vowed that they will not hesitate to take further action.