{"id":8410,"date":"2025-08-29T12:03:59","date_gmt":"2025-08-29T12:03:59","guid":{"rendered":"https:\/\/lemonn.co.in\/blog\/?p=8410"},"modified":"2025-08-29T12:04:43","modified_gmt":"2025-08-29T12:04:43","slug":"indian-market-overview-29-aug-2025","status":"publish","type":"post","link":"https:\/\/lemonn.co.in\/blog\/market-updates\/indian-market-overview-29-aug-2025\/","title":{"rendered":"Indian Market Overview -29\u202fAug\u00a02025"},"content":{"rendered":"
\"nifty<\/figure>\n\n\n

After staging a modest recovery in early trade, Indian benchmark indices succumbed to selling pressure and closed lower. Persistent concerns over the 50\u202f% U.S. tariffs on Indian goods<\/strong> and continued foreign institutional investor (FII) shorting activity kept sentiment fragile. Domestic institutional investors (DIIs) remained net buyers, but their support was insufficient to offset foreign selling. Mid- and small\u2011cap stocks underperformed amid risk aversion. FMCG stocks were the standout performers<\/strong> thanks to expectations of GST rate rationalisation and resilient consumer demand, while auto and IT counters dragged.<\/p>\n\n\n\n

Top indices<\/h2>\n\n\n\n
Index<\/th>29\u202fAug\u202f2025 Close<\/th>Change (pts)<\/th>Change (%)<\/th><\/tr><\/thead>
Nifty\u202f50<\/strong><\/td>24\u202f426.85<\/strong><\/td>\u201374.05<\/td>\u20130.30\u202f%<\/td><\/tr>
S&P\u202fBSE\u202fSensex<\/strong><\/td>79\u202f809.65<\/strong><\/td>\u2013270.92<\/td>\u20130.34\u202f%<\/td><\/tr>
Nifty\u202fBank<\/strong><\/td>~53\u202f655*<\/td>approx \u20130.3\u202f%<\/td>\u20130.3\u202f%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

*approximate closing level from available data<\/p>\n\n\n\n

Sectoral performance<\/h2>\n\n\n\n
Nifty sector index<\/th>Direction<\/th>Notes\/Change<\/th><\/tr><\/thead>
FMCG<\/strong><\/td>\u2191 up 0.8\u202f%<\/strong><\/td>Benefited from GST\u2011rate rationalisation hopes<\/td><\/tr>
Private Bank<\/strong><\/td>\u2191 up ~0.8\u202f%<\/strong><\/td>Largest sectoral gainer; some buying in select banks<\/td><\/tr>
Media<\/strong><\/td>\u2191 up ~0.35\u202f%<\/strong><\/td>Minor gains<\/td><\/tr>
Metal<\/strong><\/td>\u2191 up ~0.3\u202f%<\/strong><\/td>Rebounded marginally<\/td><\/tr>
Pharma<\/strong><\/td>\u2191<\/strong><\/td>Mild gains<\/td><\/tr>
Realty<\/strong><\/td>\u2193 down ~1.0\u202f%<\/strong><\/td>Worst performer amid rate\u2011sensitive concerns<\/td><\/tr>
IT<\/strong><\/td>\u2193 down ~0.5\u202f%<\/strong><\/td>Weak global tech cues<\/td><\/tr>
Auto<\/strong><\/td>\u2193 down ~2\u202f%<\/strong><\/td>Hit by tariff worries and profit taking<\/td><\/tr>
Mid\u2011 & Small\u2011Cap<\/strong><\/td>\u2193 down ~1\u202f%<\/strong><\/td>Broader market under pressure<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Key statistics<\/h2>\n\n\n\n
Indicator<\/th>Data \/ Trend<\/th><\/tr><\/thead>
FII flows<\/strong><\/td>Net sellers (~\u20b93\u202f856\u202fcr); increased short positions on concerns over U.S. tariffs<\/td><\/tr>
DII flows<\/strong><\/td>Net buyers (~\u20b96\u202f920\u202fcr), helping cushion declines<\/td><\/tr>
India VIX (volatility index)<\/strong><\/td>Down roughly 4\u202f%<\/strong>, reflecting lower near\u2011term volatility expectations<\/td><\/tr>
Nifty OI (derivatives)<\/strong><\/td>Highest call open interest at 24\u202f800<\/strong>; highest put OI at 24\u202f500<\/strong>, signalling key resistance\/support levels<\/td><\/tr>
Rupee<\/strong><\/td>Hovered near \u20b988.2 per dollar with mild weakness<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Top Gainers (Nifty\u202f50)<\/h3>\n\n\n\n
Top gainers<\/th>Approx. % gain<\/th>Rationale<\/th><\/tr><\/thead>
Shriram\u202fFinance<\/strong><\/td>+2.3\u202f%<\/strong><\/td>Continued buying momentum; benefitted from stable credit outlook<\/td><\/tr>
ITC<\/strong><\/td>+2.1\u202f%<\/strong><\/td>Hopes of GST rationalisation; defensive demand<\/td><\/tr>
Trent<\/strong><\/td>+1.5\u202f%<\/strong><\/td>GST cut on footwear and garments expected to boost demand<\/td><\/tr>
Bharat\u202fElectronics<\/strong><\/td>+1.3\u202f%<\/strong><\/td>Strong order book expectations<\/td><\/tr>
Larsen & Toubro \/ Asian Paints<\/strong><\/td>+1\u202f%<\/strong><\/td>Infrastructure spending optimism (L&T); consumer demand strength (AP)<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Top Losers (Nifty\u202f50 )<\/h2>\n\n\n\n
Top losers<\/strong><\/td>Approx. % loss<\/strong><\/td>Rationale<\/strong><\/td><\/tr>
Mahindra & Mahindra (M&M)<\/strong><\/td>\u20133.0\u202f%<\/strong><\/td>Auto index weakness; tariff fears<\/td><\/tr>
Infosys<\/strong><\/td>\u20132\u202f%<\/strong><\/td>Soft outlook for IT spending in U.S. and Europe<\/td><\/tr>
Apollo Hospitals<\/strong><\/td>\u20131.5\u202f%<\/strong><\/td>Profit\u2011taking after recent rally<\/td><\/tr>
Adani Enterprises \/ JSW Steel<\/strong><\/td>\u20131\u202f%<\/strong><\/td>Tariff\u2010related jitters (AE) and soft commodity prices (JSW)<\/td><\/tr>
Reliance Industries<\/strong><\/td>\u20131.2\u202f%<\/strong><\/td>Shares dipped as investors digested AGM announcements<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

What moved the market<\/h2>\n\n\n\n
    \n
  • US tariffs and FII short positions<\/strong> \u2013 The market remained wary of the 50\u202f% tariff on Indian goods announced by the U.S., fueling fears of reduced export competitiveness. This triggered heavy FII selling and kept risk appetite in check despite supportive domestic flows.<\/li>\n\n\n\n
  • Corporate news and earnings<\/strong> \u2013 Reliance Industries\u2019 AGM announcements (detailed below) kept the stock volatile. Auto stocks came under pressure on concerns that tariffs could hurt exports. FMCG stocks rallied on expectations of tax rationalisation.<\/li>\n\n\n\n
  • Technical factors<\/strong> \u2013 Both Nifty and Sensex formed bearish candles in prior sessions, indicating continued selling pressure. Nifty broke key supports around 24\u202f670 and hovered near 24\u202f426; Bank Nifty traded below major moving averages, adding to caution.<\/li>\n\n\n\n
  • Macro and policy cues<\/strong> \u2013 Despite DIIs providing liquidity support, investors remained sceptical due to high valuations and global headwinds. Supportive measures in the domestic Budget, potential rate cuts and upcoming GST rationalisation offered a cushion but were insufficient to turn sentiment decisively positive.<\/li>\n<\/ul>\n\n\n\n

    Global cues<\/h2>\n\n\n\n
      \n
    • US markets<\/strong> closed at record highs (S&P\u202f500 and Dow) after results from major tech firms confirmed robust spending on AI infrastructure. However, caution emerged ahead of the Federal Reserve\u2019s preferred inflation gauge release.<\/li>\n\n\n\n
    • Asian markets<\/strong> were mixed: Hong\u202fKong\u2019s Hang Seng and Taiwan indices gained, while Japan\u2019s Nikkei and South Korea\u2019s KOSPI weakened. Concerns over the US\u2013India tariff spat and Chinese economic data kept traders on edge.<\/li>\n\n\n\n
    • Commodities<\/strong> \u2013 Gold prices held near a month\u2011high on expectations of a U.S. rate cut in September; oil prices drifted lower amid worries about demand and inventories.<\/li>\n\n\n\n
    • Currencies<\/strong> \u2013 The dollar index weakened slightly, supporting emerging\u2011market currencies. The rupee still depreciated mildly due to trade deficit concerns.<\/li>\n<\/ul>\n\n\n\n

      Stocks to watch<\/h2>\n\n\n\n
      Stock<\/th>Why watch?<\/th><\/tr><\/thead>
      Reliance Industries (RIL)<\/strong><\/td>AGM revealed plans to list Jio Platforms<\/strong> by the first half of 2026<\/strong>, a new cloud partnership with Google<\/strong>, an AI joint venture with Meta<\/strong> to provide enterprise AI solutions, and a \u20b975\u202f000\u202fcr investment in clean energy and chemicals. The stock may see volatility as investors assess the growth vs. capital\u2011expenditure trade\u2011off.<\/td><\/tr>
      Shriram Finance<\/strong><\/td>Top gainer; continued momentum could attract short\u2011term traders. Watch for any announcements on asset quality or lending rates.<\/td><\/tr>
      ITC<\/strong><\/td>Beneficiary of possible GST cuts; considered a defensive bet when markets are choppy.<\/td><\/tr>
      Trent<\/strong><\/td>Benefit from lower GST on apparel and footwear; momentum may continue if consumption picks up.<\/td><\/tr>
      M&M<\/strong><\/td>A major laggard; further weakness in the auto index could drag the stock, but oversold conditions may attract bargain hunters.<\/td><\/tr>
      Infosys \/ TCS \/ HCL Tech<\/strong><\/td>IT stocks under pressure; global tech spending and currency movements will influence direction.<\/td><\/tr>
      Yes Bank<\/strong><\/td>Gained after Japanese giant Sumitomo Mitsui<\/strong> announced a \u20b916\u202f000\u202fcr capital infusion through debt\/equity; may see follow\u2011through buying.<\/td><\/tr>
      Vikran Engineering<\/strong><\/td>IPO subscribed over 5\u00d7; listing expected next week\u2014watch for volatility on debut.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

      Corporate updates<\/h2>\n\n\n\n
        \n
      • Reliance Industries AGM<\/strong> \u2013 Chairman Mukesh Ambani announced that Jio Platforms will seek an IPO by the first half of 2026<\/strong>, with the telecom arm already surpassing 500\u202fmillion users<\/strong>. Partnerships were unveiled with Google<\/strong> (a Jamnagar cloud region powered by green energy) and Meta<\/strong> (enterprise AI solutions using open\u2011source models). Reliance Retail aims to maintain over 20\u202f% CAGR<\/strong> in revenues for the next three years. The group will invest \u20b975\u202f000\u202fcr<\/strong> in new oil\u2011to\u2011chemicals projects and expand green\u2011energy initiatives.<\/li>\n\n\n\n
      • GST rationalisation<\/strong> \u2013 Expectations of reduced GST rates on FMCG products buoyed stocks like ITC and Trent.<\/li>\n\n\n\n
      • Yes Bank capital infusion<\/strong> \u2013 Japanese lender Sumitomo Mitsui Banking Corp announced plans to pump \u20b916\u202f000\u202fcr into Yes Bank via a mix of equity and debt, boosting the stock.<\/li>\n\n\n\n
      • Vikran Engineering IPO<\/strong> \u2013 Final day of subscription saw the issue subscribed over 5\u00d7<\/strong>; listing next week is likely to be keenly watched.<\/li>\n\n\n\n
      • Miscellaneous<\/strong> \u2013 Several U.S. tech firms\u2019 results (notably Nvidia) confirmed robust AI\u2011linked spending, influencing global tech sentiment.<\/li>\n<\/ul>\n\n\n\n

        Outlook for the next trading day<\/h2>\n\n\n\n

        Tone:<\/strong> The broader tone is likely to remain cautious to range\u2011bound<\/strong>. Markets are oversold on the short\u2011term charts, so a technical pullback cannot be ruled out<\/strong>, especially if global cues turn supportive. However, persistent FII selling, concerns over U.S. tariffs, and high valuations may cap upside.<\/p>\n\n\n\n

        Technical levels<\/h2>\n\n\n\n
          \n
        • Nifty\u202f50:<\/strong>\n
            \n
          • Support:<\/strong> 24\u202f300\u201324\u202f250 (previous swing lows and 200\u2011day EMA).<\/li>\n\n\n\n
          • Resistance\/Pivot:<\/strong> 24\u202f700 (break above could trigger short\u2011covering), next at 24\u202f800 (highest call OI) and 25\u202f000.<\/li>\n<\/ul>\n<\/li>\n\n\n\n
          • S&P\u202fBSE\u202fSensex:<\/strong>\n
              \n
            • Support:<\/strong> 79\u202f900\u201379\u202f700.<\/li>\n\n\n\n
            • Resistance:<\/strong> 80\u202f600 (key level for bulls); above this, 81\u202f000 and 81\u202f300 are the next hurdles.<\/li>\n<\/ul>\n<\/li>\n\n\n\n
            • Nifty Bank:<\/strong>\n
                \n
              • Support:<\/strong> 53\u202f600\u201353\u202f500 (confluence of 200\u2011day EMA and prior lows). Below this, 52\u202f900 and 52\u202f400 could be tested.<\/li>\n\n\n\n
              • Resistance:<\/strong> 54\u202f500\u201354\u202f600; a decisive move above 55\u202f000 is required to confirm recovery.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n

                Expected market tone<\/h2>\n\n\n\n
                  \n
                • Volatility likely to persist<\/strong> \u2013 With India VIX near multi\u2011week lows, any surprise on tariffs or global data could trigger swings.<\/li>\n\n\n\n
                • Watch global cues<\/strong> \u2013 U.S. inflation data and Federal Reserve commentary will influence risk appetite. Asian market momentum will provide early direction.<\/li>\n\n\n\n
                • Sector rotation<\/strong> \u2013 Defensive sectors like FMCG may continue to outperform, while rate\u2011sensitive sectors (auto, realty) might lag. Traders should maintain strict stop\u2011losses and avoid aggressive positions until indices reclaim critical resistance levels.<\/li>\n<\/ul>\n\n\n\n

                  Bottom line:<\/strong> The market remains in a short\u2011term downtrend, but oversold conditions could lead to a brief relief rally. Sustainable upside will depend on easing of trade tensions, stabilisation of FII flows and confirmation that domestic earnings momentum remains intact.<\/p>\n","protected":false},"excerpt":{"rendered":"

                  After staging a modest recovery in early trade, Indian benchmark indices succumbed to selling pressure and closed lower. Persistent concerns over the 50\u202f% U.S. tariffs on Indian goods and continued foreign institutional investor (FII) shorting activity kept sentiment fragile. Domestic institutional investors (DIIs) remained net buyers, but their support was insufficient to offset foreign selling. […]<\/p>\n","protected":false},"author":9,"featured_media":8213,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_ayudawp_aiss_exclude":false,"footnotes":""},"categories":[512],"tags":[],"class_list":["post-8410","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-market-updates"],"blocksy_meta":[],"_links":{"self":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/posts\/8410","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/comments?post=8410"}],"version-history":[{"count":2,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/posts\/8410\/revisions"}],"predecessor-version":[{"id":8412,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/posts\/8410\/revisions\/8412"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/media\/8213"}],"wp:attachment":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/media?parent=8410"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/categories?post=8410"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/tags?post=8410"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}