Post Session: Quick Review

Indian equity benchmarks reversed their initial gains to settle lower on Thursday, tracking mixed cues from global markets. Traders remained cautious as U.S. inflation rose more than expected in July, adding uncertainty to the Federal Reserve’s September policy decision. Meanwhile, investors were also reacting to Nvidia’s upbeat quarterly results and fresh signs of diplomatic progress in the Middle East.

Both the Sensex and Nifty ended in negative territory, with the Sensex closing around three-fourths of a percent lower amid selling pressure due to the monthly F&O expiry, while Nifty settled around half a percent lower amid selling pressure in heavyweight stocks. Selected IT, auto, and banking heavyweight stocks emerged as the key laggards, weighing on overall market sentiment. 

Some of the important factors in trade:

Deposits by non-resident Indians fall over 23% YoY to $2.775 billion in Q1FY27: Sentiments remained downbeat as Reserve Bank of India (RBI) data showed that deposits by non-resident Indians (NRIs) declined by over 23% year-on-year to $2.775 billion during April-June quarter of 2026-27.

FIIs return as net buyers: Traders overlooked capital inflows from foreign institutional investors (FIIs). FIIs were the net buyers on Wednesday’s session, buying securities worth Rs 502.63 crore.

India on track to become world’s third largest economy despite global crisis: Traders paid no heed to the Defence Minister Rajnath Singh's statement that India is one of the top five economies of the world and would have become world’s third largest economy within six months or a year if the recent west Asia Crisis had not disrupted its progress. 

On the global front: European markets were trading mostly in red, amid lingering geopolitical tension as well as uncertainty surrounding the Federal Reserve's rate outlook. Asian markets ended mostly higher, as traders are optimistic about the opening of the Strait of Hormuz.

The BSE Sensex ended at 76933.59, down by 539.35 points or 0.70% after trading in a range of 76933.59 and 77694.97. There were 10 stocks advancing against 19 stocks declining on the index, while one stock remained unchanged. (Provisional)

The top gaining sectoral indices on the BSE were Capital Goods up by 0.58%, Telecom up by 0.45%, Healthcare up by 0.39%, Power up by 0.20% and Industrials up by 0.17%, while Bankex down by 1.67%, Metal down by 1.10%, PSU down by 0.87%, and Basic Materials down by 0.81%, FMCG down by 0.75% were the top losing indices on BSE. (Provisional)

The top gainers on the Sensex were Kotak Mahindra Bank up by 1.97%, ICICI Bank up by 1.10%, Tech Mahindra up by 1.09%, Asian Paints up by 0.84% and Adani Ports and Special Economic Zone up by 0.80%. On the flip side, NTPC down by 1.77%, Mahindra & Mahindra down by 1.70%, HDFC Bank down by 1.70%, HCL Technologies down by 1.15% and Interglobe Aviation down by 1.14% were the top losers. (Provisional)

Meanwhile, expressing optimism over India’s trade relations with Japan, industry body -- The Associated Chambers of Commerce and Industry of India (Assocham) has said that bilateral trade between the two countries is likely to reach $50 billion by 2030, up from $27.47 billion in 2025-26, driven by growing economic complementarities and deeper business engagement.

Assocham said India-Japan trade relations have expanded significantly in recent years, with increased exchanges of high-level delegations. It noted that a range of bilateral trade initiatives, along with promising investment announcements, is expected to further boost economic and commercial ties between the two countries.

Assocham President Nirmal Kumar Minda said India-Japan relations have strengthened considerably over the years, encompassing development cooperation, infrastructure, manufacturing, technology, investment and trade. Given the pace of technological advancements shaping the global economic order, he said Japan could consider establishing more research and development and innovation centres, as well as global capability centres (GCCs), and creating engineering partnerships with Indian academia.

The CNX Nifty ended at 24090.85, down by 116.90 points or 0.48% after trading in a range of 24090.85 and 24297.45. There were 18 stocks advancing against 31 stocks declining on the index, while one stock remained unchanged. (Provisional)

The top gainers on Nifty were Adani Enterprises up by 1.83%, Kotak Mahindra Bank up by 1.80%, Adani Ports and Special Economic Zone up by 1.33%, Cipla up by 1.23% and Bharat Electronics up by 1.01%. On the flip side, Hindalco Industries down by 2.75%, HDFC Bank down by 2.23%, Mahindra & Mahindra down by 2.01%, Shriram Finance down by 1.48% and Grasim Industries down by 1.27% were the top losers. (Provisional)

European markets were trading mostly in red; UK’s FTSE 100 decreased 65.62 points or 0.6% to 10,812.50 and France’s CAC fell 84.49 points or 1% to 8,377.90, while Germany’s DAX gained 65.04 points or 0.25% to 26,351.00. 

Asian market ended mixed on Thursday as firmer-than-expected US inflation data slightly lifted expectations for a Fed rate hike by year-end, while investors turned their focus to the Federal Reserve Chair Kevin Warsh's first Jackson Hole speech for clues on the US central bank's rate path. South Korea’s Kospi surged, supported by Nvidia’s stronger-than-expected Q2 earnings, which eased global anxieties surrounding artificial intelligence and semiconductor demand. Chinese markets climbed as traders awaited fresh policy support during the ongoing National People's Congress Standing Committee meeting following a slowdown in July industrial profit growth. China's industrial profits increased 17.6% YoY to 4.58 trillion Chinese Yuan in the first seven months of 2026, easing from an 18.7% rise in the January-June period.