Market Commentary End Session News Details

Indices end with modest gains; Nifty holds above 24,750

(08-Sep-25   16:54)

The key equity benchmarks closed with minor gains on Monday, supported by recent GST reforms and positive economic cues, though late profit-booking capped the upside.

The Nifty opened firm above the 24,800 mark and moved higher through most of the session before sharp selling in the final hour trimmed advances. The index eventually settled above the 24,750 level. Sectorally, auto stocks saw strong buying interest, driven by expectations of a demand recovery post-GST cuts. On the other hand, IT stocks remained under pressure amid speculation over possible restrictions on IT services exports.

Investor sentiment was buoyed by GST rate cuts, dovish signals from the US Federal Reserve after weak jobs data, and easing geopolitical risks. Optimism around India's domestic economic outlook also supported select sectors. However, persistent foreign institutional selling restricted the rally.

The S&P BSE Sensex added 76.54 points or 0.54% to 80,787.30. The Nifty 50 index rose 32.15 points or 0.13% to 24,773.15.

Tata Motors (up 3.97%), Mahindra & Mahindra (up 3.96%) and HDFC Bank (up 0.30%) supported gains in Nifty today.

The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index rose 0.33% and the S&P BSE Small-Cap index advanced 0.30%.

The market breadth was positive. On the BSE, 2,286 shares rose and 1,940 shares fell. A total of 191 shares were unchanged.

The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, rose 0.53% to 10.84.

Numbers to Track:

MCX Gold futures for 3 October 2025 settlement rose 0.31% to Rs 108,050.

The US Dollar Index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.02% to 97.75.

The United States 10-year bond yield rose 0.05% to 4.084.

In the commodities market, Brent crude for November 2025 settlement advanced $1.30 or 1.98% to $66.80 a barrel.

Global Market:

European market advanced as investors awaited France's imminent confidence vote due to take place later in the session.

Investors will be keeping a close eye on France on Monday, as French Prime Minister Francois Bayrou is widely expected to lose a confidence vote. Bayrou called for the vote himself after ongoing wrangling with rival political parties over around 44 billion euros ($51.5 billion) worth of budget cuts.

Asian shares ended higher on Monday as investors kept an eye on important regional data releases scheduled this week.

Japanese Prime Minister Shigeru Ishiba resigned on Sunday, ushering in a potentially lengthy period of policy uncertainty at a shaky moment for the world's fourth-largest economy.

As per reports, Koizumi Shinjiro, the agricultural minister and son of a former prime minister, is a likely contender to take the helm. Meanwhile, Takaichi Sanae, protege of the late Prime Minister Abe Shinzo and a runner-up in last year's party contest, is also a key contender, the reports added.

Japan's economy grew at a much stronger pace than earlier estimated in the second quarter, supported by upward revisions in private consumption and inventories. Revised data from the Cabinet Office on Monday showed GDP expanding at an annualized 2.2% in the April'June period, up from the 1.0% reported on 15 August 2025. On a quarterly basis, growth was revised to 0.5% from the initial 0.3%.

Oil prices were in focus after OPEC+ announced over the weekend it will lift oil production again starting in October, though the group is slowing the pace of hikes. In a meeting on Sunday, eight OPEC+ members agreed to lift production by 137,000 barrels a day starting in October, far below the increases of around 555,000 bpd in September and August and 411,000 bpd in July and June.

Last Friday in the U.S., all three major averages closed lower after a weaker-than-expected jobs report gave way to worries about a slowing economy, even as expectations for a Federal Reserve rate cut were solidified.

The S&P 500 finished down 0.32% at 6,481.50, while the Nasdaq Composite declined 0.03% to settle at 21,700.39. The Dow Jones Industrial Average closed down 220.43 points, or 0.48%, at 45,400.86.

The U.S. job growth slowed sharply in August, pushing the unemployment rate to 4.3%'its highest level in nearly four years. The data underscored the softening labor market and strengthened expectations for a Federal Reserve rate cut later this month.

Stocks in Spotlight:

The Nifty Auto index surged 3.30% to 27,189.20. The index is up 6.27% for the four trading sessions.

Bharat Forge (up 5.81%), Ashok Leyland (up 5.08%), Samvardhana Motherson International (up 4.39%), Tata Motors (up 4.25%), Bajaj Auto (up 4.08%), Mahindra & Mahindra (up 4.01%), Tube Investments of India (up 3.41%), Eicher Motors (up 3.31%), Exide Industries (up 3.23%) and TVS Motor Company (up 3.12%) surged.

Hero MotoCorp advanced 1.43% after the company announced the appointment of Harshavardhan Chitale as its chief executive officer, effective from Monday, 5th January 2026.

Ujjivan Small Finance Bank rose 3.68% after unveiling its strategic roadmap to reach a gross loan book of Rs 1 lakh crore by FY30, compared with Rs 33,287 crore in Q1 FY26.

Prime Focus jumped 10% after marquee investors, including Ramesh Damani, Utpal Sheth, and Madhusudan Kela's Singularity AMC, acquired a combined 3.3% stake in the company through block deals on the NSE.

Sunteck Realty rose 1.07% after the company's board approved the issuance of 1.18 crore convertible warrants through preferential allotment, raising nearly Rs 500 crore at an issue price of Rs 425 per warrant.

Spicejet slipped 2.90% after the airline company reported a standalone net loss of Rs 235.08 crore in Q1 FY26 compared with net profit of Rs 149.95 crore in Q1 FY25. Revenue from operations tumbled 34% YoY to Rs 1,033.36 crore in Q1 June 2025.

Highway Infrastructure dropped 5.34% after the company announced the resignation of Ankit Tandon from the position of chief executive officer (CEO), effective 5 September 2025.

Adani Power jumped 3.93% after the company announced the signing of shareholders agreement (SHA) with Bhutan's state-owned utility Druk Green Power Corp. (DGPC) for setting up a 570 MW hydroelectric project in Bhutan.

Diamond Power Infrastructure fell 1.35%. The company announced that it has secured an order worth Rs 184.66 crore from Adani Energy Solutions for the supply of 4,215 km of AL-59 zebra conductor for the Khavda project.

SPML Infra dropped 2.36%. The company announced that it has secured a Rs 1,438 crore order in a joint venture with JWIL Infra (SPML leading with 51%) from the Public Health Engineering Department (PHED), Bharatpur, Rajasthan.

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