Benchmarks trade under pressure amid elevated crude prices, global uncertainty

Indian markets started the session in red on Friday as investors remained cautious amid persistent geopolitical uncertainty, elevated crude oil prices and mixed global signals. Crude oil prices rose after the United States threatened an indefinite naval blockade of Iran, reviving concerns about supply of crude after the previous session's fall on a weaker outlook for demand and a large build in US stocks. Meanwhile, investors eyeing the Wholesale Price Index (WPI) data to be out later in the day.

Both the Sensex and Nifty were trading lower, down around 0.30%, in early deals as foreign institutional investors (FIIs) extended their selling for a second consecutive session on Thursday, offloading equities worth Rs 510.69 crore. Selling was witnessed across a majority of sectors on BSE, except Consumer Durables and Consumer Discretionary. In stock-specific development, Tata Motors Passenger Vehicles led the losers on the Nifty after reporting a weak performance for the April-June quarter (Q1FY27), mainly due to underperformance in its JLR segment.

On the global front, Asian stocks were trading mixed as benign inflation data dented expectations of an imminent US rate hike, although faltering talks to end the war in the Middle East are likely to keep risk sentiment in check.

The BSE Sensex is currently trading at 77842.29, down by 237.67 points or 0.30% after trading in a range of 77722.93 and 77923.58. There were 6 stocks advancing against 24 stocks declining on the index.

The only gaining sectoral indices on the BSE were Consumer Durables up by 0.14% and Consumer Discretionary up by 0.01%, while Metal down by 1.21%, Basic Materials down by 0.84%, PSU down by 0.50%, Auto down by 0.48% and IT down by 0.41% were the top losing indices on BSE.

The top gainers on the Sensex were Eternal up by 1.98%, Bajaj Finance up by 0.54%, Titan Company up by 0.49%, Adani Ports & SEZ up by 0.37% and Bharti Airtel up by 0.20%. On the flip side, Tata Steel down by 1.38%, Power Grid down by 1.17%, NTPC down by 1.16%, Mahindra & Mahindra down by 1.13% and Interglobe Aviation down by 1.10% were the top losers.

Meanwhile, NITI Aayog, in its report titled ‘Key Sectors to Position India as a Global Manufacturing Hub’, has said that India's aspiration to become a global manufacturing hub by 2047 will require a focused strategy that combines scale, competitiveness, innovation and integration into global value chains. The report said chemicals, textiles, telecom and network equipment, and solar PV manufacturing represent four distinct yet complementary pathways through which India can accelerate industrial growth, generate employment, enhance technological capabilities, strengthen self-reliance and expand its presence in international markets. Together, these sectors capture the breadth of India's manufacturing opportunity - from employment-intensive industries and foundational industrial inputs to advanced technology products and strategic sectors of the future.

The report noted a common theme emerging across all four sectors is that India possesses significant inherent advantages, including a large domestic market, a favourable demographic profile, an improving policy environment, growing infrastructure investments and increasing global interest in supply-chain diversification. However, the report said these strengths alone will not be sufficient to secure global leadership. Across sectors, challenges such as import dependence on critical inputs, fragmented supply chains, infrastructure and logistics gaps, limited domestic value addition, technological constraints and skill shortages continue to constrain India's competitiveness.

NITI Aayog Vice Chairman Ashok Kumar Lahiri said, “India stands at a defining moment in its economic and industrial journey. As the nation moves forward with the vision of Viksit Bharat 2047, manufacturing will play a central role in shaping the country's future growth trajectory.” Lahiri said the experience of every major industrial economy around the world has demonstrated that sustained economic transformation is built on a strong and globally competitive manufacturing base. He added manufacturing not only drives investment, innovation and exports, but also creates quality employment, raises productivity and strengthens linkages across multiple sectors of the economy.

The CNX Nifty is currently trading at 24332.05, down by 63.80 points or 0.26% after trading in a range of 24304.30 and 24365.00. There were 18 stocks advancing against 32 stocks declining on the index.

The top gainers on Nifty were Apollo Hospital up by 2.21%, Eternal up by 1.65%, Adani Ports & SEZ up by 0.77%, Wipro up by 0.73% and Cipla up by 0.58%. On the flip side, Tata Motors Passenger Vehicles down by 4.86%, Max Healthcare down by 1.92%, Hindalco Industries down by 1.84%, Tata Steel down by 1.49% and JIO Financial Services down by 1.23% were the top losers.

Asian markets were trading mixed; Nikkei 225 surged 377.41 points or 0.55% to 68,686.00, KOSPI rose 106.87 points or 1.57% to 6,920.21, Taiwan Weighted gained 105.74 points or 0.23% to 46,127.22 and Straits Times added 2.19 points or 0.04% to 5,722.24. On the other hand, Hang Seng declined 237.51 points or 0.94% to 25,159.00, Shanghai Composite fell 8.31 points or 0.21% to 3,918.65 and Jakarta Composite was down by 1.13 points or 0.02% to 6,286.68.