Stock Market Highlights Today: Nifty gained 177 points, is the earnings lull over? – 6th July 2026

Indian equities extended their winning streak on Monday, with the Nifty 50 adding about 177 points to reclaim the 24,400 mark and the Sensex climbing over 600 points, as per intraday NSE and BSE data, driven mainly by banking stocks after upbeat Q1 business updates and improving monsoon cues.

The rally came ahead of the Q1FY27 earnings season that starts with TCS on Thursday, with markets weighing Motilal Oswal’s forecast of 10% Nifty earnings growth this quarter against muted profit expectations for the broader coverage universe.

Market Overview

Index	6 Jul 2026 Close (approx.)	Move & % Change	Comments
Sensex	approx. 78,370	+600 pts (approx. +0.8%)	Fourth straight gain, led by HDFC Bank and financials.
Nifty 50	24,448	+178 pts (+0.7%)	Reclaimed 24,400, intraday high around 24,454 per NSE data.
Nifty Bank	58,376	+400 pts (+0.7%)	Snapped two-day losing streak, Q1 updates lifted sentiment.
Nifty Midcap 100	approx. level	+0.31%	Participated in rally, but trailed benchmarks.
Nifty Smallcap 100	approx. level	+0.34%	Hovered in green, breadth positive but moderate.
India VIX	11.93	+1% (approx.)	Volatility ticked up despite index gains.

Note: figures are approximate; final exchange data not available at time of publication.

• Nifty 50 extended gains for the fourth consecutive session.
• Total NSE market capitalisation rose to ₹482 lakh crore, adding over ₹2 lakh crore.
• Rally driven by banks, telecom and autos, while IT index lagged.

Key Movers

Top Gainers

Stock	Sector	Notable Factor
HDFC Bank	Private bank	Q1 business update showed robust advances and deposit growth.
Mahindra & Mahindra (M&M)	Auto	Benefited from strong recent volume trends in PVs and tractors.
Bharat Electronics (BEL)	Capital goods	Tracked ongoing strength in defence and electronics themes.
ICICI Bank	Private bank	Supported by expectations of healthy loan and deposit growth.
Bharti Airtel	Telecom	Backed by forecast of revenue growth in India wireless and Africa.

• HDFC Bank gained around 3–4%, the biggest Sensex contributor.
• M&M, BEL, Reliance Industries, ICICI Bank and Bharti Airtel rose 1–2%.
• AU Small Finance Bank and IndusInd Bank advanced up to 2%.

Top Losers

Stock	Sector	Notable Factor
Kotak Mahindra Bank	Private bank	Q1 update showed weak deposit mobilisation and CASA decline.
TCS	IT services	Fell as IT index snapped two-day rally ahead Q1 results.
Infosys	IT services	Declined despite improving earnings expectations for technology.
Wipro	IT services	Dropped as Nifty IT underperformed broader market.
Select PSU banks	PSU banking	Canara, Union Bank, PNB, BoB saw marginal losses.

• Kotak Mahindra Bank fell around 4%, weighing on Nifty Bank.
• Nifty IT index ended a two-day winning run, with TCS, Infosys, Wipro lower.

Sectoral Action

Sector/Index	Direction (approx.)	Key Drivers
Financials / Banks	up 0.7–1%	Strong Q1 business updates from key private lenders.
Autos	up 0.5–1%	Support from M&M volumes and upbeat sector earnings outlook.
Telecom	up 1%	Expectations of sharp YoY profit jump led by Bharti Airtel.
Capital goods / Defence	up 0.5%	Continued interest in industrial and defence names like BEL.
IT	down 0.5–1%	Profit-taking ahead of TCS Q1 results despite earnings optimism.

Note: figures are approximate; final exchange data not available at time of publication.

• Financials expected to be largest earnings contributors in Q1FY27.
• Motilal Oswal sees NBFC lenders’ profits up 27% YoY, private banks 10%, PSU banks 9%.
• Telecom sector profits projected to rise 3.3 times YoY, aided by Bharti Airtel.
• Oil and gas profits forecast to drop 94% YoY, led by losses at OMCs.

Bank Earnings Boost

Statistic	Value/Change	Context
HDFC Bank gross advances	₹30.61 lakh crore, +15.4% YoY	Signals robust credit growth at largest private lender.
HDFC Bank deposits	₹31.71 lakh crore, +14.7% YoY	Healthy mobilisation, CD ratio rose to 95.8%.
Kotak Bank advances	₹5.12 lakh crore, +15% YoY	Loan growth in line with estimates.
Kotak Bank deposits	₹5.73 lakh crore, +12% YoY	Sequential deposit growth only 0.1%, CD ratio at 89.4%.
AU Small Finance Bank loans	₹1.44 lakh crore, +23% YoY	Strong expansion in gross loan portfolio.
AU SFB deposits	₹1.58 lakh crore, +24% YoY	Reflects solid funding traction.
IndusInd Bank net advances	₹3.26 lakh crore, -2% YoY	Slight decline in advances, deposits up 4.5% YoY.

Note: figures are approximate; final exchange data not available at time of publication.

• Nifty Bank index rose over 400 points to 58,376, up nearly 1%.
• ICICI Bank, Axis Bank, Federal Bank, SBI and Yes Bank gained up to 1%.
• Yes Bank Q1 advances rose 18% to ₹2.85 lakh crore, deposits up 14%.
• Kotak’s weaker deposit trends triggered profit-taking despite healthy loan growth.

Technical Outlook

• Nifty Bank has been in time-wise correction after early June rally.
• Index holds above 57,500, near the 200-day simple moving average.
• Resistance seen at 58,500–58,800; sustained move above may resume uptrend.
• Support placed at 57,000–56,500 zone.
• Momentum indicator RSI cooled to around 60, creating room for further upside.
• “Traders should continue to maintain a buy-on-dips approach,” said Rajesh Bhosale, Technical Analyst at Angel One.

Earnings Season And Macro Context

• Q1FY27 results start 9 July, with TCS kicking off the IT pack.
• Motilal Oswal expects its coverage universe earnings to decline 3% YoY in Q1.
• In contrast, Nifty EPS for Q1FY27 is projected to grow 10% YoY.
• Brokerage has trimmed FY27 and FY28 Nifty EPS estimates by 0.8% each.
• FY27 Nifty EPS now seen at ₹1,225 (up 15% YoY), FY28 at ₹1,422 (up 16%).

Global And Macro Cues

Market/Asset	Movement	Notes
Brent crude oil	around -1%, below $72/bbl	Eased as Iran-US peace efforts support Strait of Hormuz traffic.
US 10-year Treasury yield	at 4.461%, lower	Falling yields aided risk appetite for equities.
US 30-year Treasury yield	at 4.969%, lower	Signals softer long-term rate expectations.
US 2-year Treasury yield	at 4.112%, lower	Reflects shifting Fed rate expectations.

Note: figures are approximate; final exchange data not available at time of publication.

• Lower crude prices support India’s inflation and external balance narrative.
• Heavy rainfall and IMD red alerts revived monsoon expectations.
• Better monsoon outlook seen as positive for rural demand and agriculture.

Nifty’s Longer-Term Performance

• Nifty 50 closed at 24,271 on 3 July 2026, versus 24,286 on 3 July 2024.
• Two-year return stands at -0.06%, effectively flat.
• Kotak Securities attributes weak returns to high valuations versus earnings.
• Brokerage highlights India’s external dependencies on capital and technology.
• Despite muted returns, retail SIP flows into mutual funds remain strong.

Broker Top Picks Ahead Of Q1

• Motilal Oswal’s preferred Nifty names: Bharti Airtel, SBI, ICICI Bank, M&M, Titan, Eternal, Shriram Finance, InterGlobe Aviation, HDFC AMC, BSE.
• Key non-Nifty ideas include TVS Motor, Radico Khaitan, Indian Hotels, RBL Bank, Dixon Technologies, Coforge, Kirloskar Oil Engines, Arvind, Delhivery.

FAQs

Q: Why did banking stocks outperform today?

• Strong Q1 business updates from HDFC Bank, AU Small Finance Bank and others improved confidence in credit growth and deposit mobilisation, lifting Nifty Bank despite weakness in Kotak Mahindra Bank.

Q: What is the market expecting from the Q1FY27 earnings season?

• Nifty earnings are projected to grow 10% YoY, led by financials, autos and telecom, even as Motilal Oswal expects a 3% YoY earnings decline for its broader coverage universe due to pressure in oil and gas, autos and healthcare.

Q: Why did IT stocks fall despite optimism on earnings?

• The Nifty IT index saw profit-taking ahead of TCS’s Q1 results, with TCS, Infosys and Wipro declining after a two-day rally, as investors reassessed valuations against still-cautious guidance expectations.

Frequently Asked Questions

Why did banking stocks outperform today?

Strong Q1 business updates from HDFC Bank, AU Small Finance Bank and others improved confidence in credit growth and deposit mobilisation, lifting Nifty Bank despite weakness in Kotak Mahindra Bank.

What is the market expecting from the Q1FY27 earnings season?

Nifty earnings are projected to grow about 10% year-on-year, led by financials, autos and telecom, even as Motilal Oswal expects a 3% earnings decline for its broader coverage universe due to pressure in oil and gas, autos and healthcare.

Why did IT stocks fall despite optimism on earnings?

The Nifty IT index saw profit-taking ahead of TCS’s Q1 results, with TCS, Infosys and Wipro declining after a two-day rally as investors reassessed valuations against still-cautious guidance expectations.