Market Highlights Archives

August 20, 2025August 20, 2025

Rupee hits highest level in August against US dollar on fading tariff risks, GST boost

The Indian rupee strengthened to its highest level this month on Tuesday, buoyed by easing fears of additional US tariffs and expectations that planned GST reforms will spur domestic growth.

The currency rose to as much as 87.2050 per US dollar, compared with 87.35 in the previous session, before settling at 87.2250. Analysts attributed the gains to renewed optimism following the Trump-Putin meeting and upcoming US-Ukraine talks, which Nomura said may reduce the likelihood of new sanctions or tariffs on India over its Russian oil purchases.

Prime Minister Narendra Modi’s proposed GST rationalisation is also lifting sentiment, with economists saying the measures could boost consumption and offset pressure from weak external demand.

While the rupee advanced, most Asian currencies slipped as US Treasury yields climbed, with the 10-year yield hitting a two-week high on Monday.

August 19, 2025August 19, 2025

Apple leases 2.7 lakh sqft office in Bengaluru in ₹1,000-crore deal

US tech giant Apple has signed a 10-year lease for 2.7 lakh sq ft of premium office space at Embassy Zenith on Sankey Road, Vasanth Nagar, Bengaluru, in one of the city’s largest single-tenant real estate deals. The total rental outlay exceeds ₹1,000 crore, according to Propstack lease documents.

Apple has taken the 5th to 13th floors of the property at a monthly rent of ₹6.31 crore, with the agreement commencing on April 3, 2025, and registered in July. The facility, expected to accommodate over 1,200 employees, has a carpet area of 1.96 lakh sq ft and a chargeable area of 2.69 lakh sq ft. The company has paid a ₹31.57-crore security deposit, ₹1.5 crore in stamp duty, and agreed to a 4.5% annual rent escalation. The property is owned by Mac Charles (India) Ltd, part of the Embassy Group.

This is Apple’s second major office in Bengaluru. In 2021, it leased 1.16 lakh sq ft at Prestige Minsk Square on Cubbon Road for ₹2.43 crore per month, with operations beginning in 2023. The company is also eyeing further expansion within Embassy Zenith.

Apple’s retail footprint is expanding as well. It has leased 8,000 sq ft at Phoenix Mall of Asia in north Bengaluru for its third India store, at an annual rent of ₹2.09 crore. The 10-year lease, signed in November 2024, will take effect from August 2025. Additional space has been secured at Oberoi Sky City Mall in Borivali, Mumbai (12,600 sq ft) and in Batrayanpura, Bengaluru (8,000 sq ft).

The expansion underscores Apple’s growing commitment to India, now a key manufacturing hub for the iPhone. On its Q3 FY25 earnings call, CEO Tim Cook expressed excitement over upcoming store launches and highlighted that most iPhones sold in the US are now made in India. Meanwhile, Foxconn, Apple’s key partner, has started producing the iPhone 17 at its new Devanahalli facility near Bengaluru.

August 18, 2025

Bajaj Finance, Axis Bank, HDFC Bank Rally Up to 6% on S&P Upgrade and GST Reform Hopes

Mumbai, Aug. 18 — Shares of leading banks and non-banking financial companies (NBFCs) surged as much as 6% in early trade Monday, lifting key market indices after a credit ratings boost by S&P Global and optimism over upcoming Goods and Services Tax (GST) reforms.

At 10:10 a.m., the Nifty Bank index climbed over 1.3% to around 56,035, while the Nifty Financial Services index gained nearly 2% to trade near 26,810. Bajaj Finance, Axis Bank, and HDFC Bank were among the top gainers, supported by strong buying across the financial sector.

S&P Upgrade Lifts Sentiment

S&P Global on Aug. 15 upgraded its long-term issuer credit ratings for seven major Indian banks — including SBI, ICICI Bank, HDFC Bank, Axis Bank, Kotak Mahindra Bank, Union Bank of India, and Indian Bank — and three finance companies: Bajaj Finance, Tata Capital, and L&T Finance. The rating agency cited India’s robust economic momentum, improved asset quality, and strong profitability outlook for the financial sector.

“We expect India’s banks to maintain adequate asset quality, good profitability, and enhanced capitalization over the next 12-24 months despite some pockets of stress,” S&P said, adding that overall credit risk has declined. The move comes just a day after S&P upgraded India’s sovereign credit rating, providing a further boost to investor sentiment.

Motilal Oswal Financial Services noted that the upgrade could reduce borrowing costs for Indian financial firms accessing overseas markets. Companies such as Bajaj Finance could see a 15–20 basis point reduction in external commercial borrowing rates, while stronger foreign portfolio investment flows may support the rupee and bond yields.

GST Reform Expectations Add Fuel

Investor enthusiasm was also buoyed by Prime Minister Narendra Modi’s Independence Day hint at a new round of GST reforms, potentially to be unveiled around Diwali. The government is reportedly considering a simplified two-slab tax structure — “standard” and “merit” — with special rates limited to a few items.

Analysts believe such reforms could lower the tax burden on consumers purchasing electronics and other durables, spurring demand. This is expected to benefit NBFCs like Bajaj Finance, which finance retail purchases through affordable EMIs.

The dual tailwinds of a global rating upgrade and anticipated tax reforms have positioned India’s financial stocks for continued momentum, analysts say, as foreign and domestic investors alike increase exposure to the sector.

August 11, 2025

Tata Motors shares rise even as net profit slides 30% in Q1, should you buy, sell, or hold?

Shares of automobile giant Tata Motors Ltd saw an uptick in the early session on Monday, August 11, even after the Tata group firm reported a 30 percent fall in net profit for the quarter ended June 30, 2025.

Tata Motors Q1 FY26 Results
Tata Motors reported a consolidated net profit of ₹3,924 crore for April–June FY26, marking a 30% drop from ₹5,643 crore in the same quarter last year. Revenue from operations fell 2.5% year-on-year to ₹1.04 lakh crore, compared to ₹1.07 lakh crore in Q1 FY25.

The automaker attributed the weaker performance to volume declines across all business segments and reduced profitability at Jaguar Land Rover (JLR). JLR’s revenue slipped over 9% to £6.6 billion, with EBIT margin contracting 490 basis points to 4%, impacted in part by tariffs imposed by Donald Trump.

At 9:25 a.m., Tata Motors’ shares were trading at ₹637.85 on the NSE, up 0.6%.

Investmnt View: Should investors buy, sell, or hold Tata Motors shares?

August 8, 2025

Trump Rules Out Trade Talks with India Amid 50% Tariff Standoff

After imposing a sweeping 50 per cent tariff on Indian imports, US President Donald Trump has ruled out any further trade negotiations with the country, driving US-India trade tensions to a new low in over two decades.

“No, not until we get it resolved,” Trump told reporters in the Oval Office in response to a question on whether he expected talks between the two countries to resume in light of the 50 per cent tariff.

Trump’s remarks followed his earlier warning of “secondary sanctions” against countries over their continued oil trade with Russia.

During a press briefing at White House, Trump was asked why India was being singled out for purchasing Russian oil when many other countries, including China, do the same.

In response, Trump said, “It’s only been 8 hours. So let’s see what happens. You’re going to see a lot more…You’re going to see so much secondary sanctions.”
His remarks came after the White House on Wednesday issued an executive order imposing an additional 25 per cent tariff on Indian goods, raising the total levy to 50 per cent. The administration cited national security and foreign policy concerns, pointing specifically to India’s ongoing imports of Russian oil.

The order claims that these imports, whether direct or via intermediaries, present an “unusual and extraordinary threat” to the United States and justify emergency economic measures.

While the initial 25 per cent tariff came into effect on August 7, the additional levy will take effect in 21 days and apply to all Indian goods entering US ports — with exceptions for items already in transit and certain exempt categories.

Terming the United States’ move to impose additional tariffs on India over its oil imports from Russia as “unfair, unjustified and unreasonable,” the Ministry of External Affairs (MEA) declared that New Delhi would take “all actions necessary to protect its national interests.

Prime Minister Narendra Modi, meanwhile, said he “won’t compromise on farmers’ interests and is ready to pay heavy price” hours after the US imposed an extra 25 per cent tariff on Indian exports.

“For us, the interest of our farmers is our top priority. India will never compromise on the interests of farmers, fishermen and dairy farmers. I know we will have to pay a heavy price for it and I am ready for it. India is ready for it,” he said.”

August 7, 2025

Did New Tariffs on India Influence US-Russia Talks on Ukraine? Trump Hints at a Link

In a surprising turn of events, former US President Donald Trump suggested that new tariffs imposed on India might have indirectly influenced recent progress in US-Russia talks aimed at ending the Ukraine war. Speaking to the media and through his social media channels, Trump indicated that the United States and Russia have made “a lot of progress” toward a ceasefire — and hinted that India’s economic penalties may have contributed to the shift.

50% Tariff on India: A Strategic Move?

Trump recently doubled the import tariff on Indian goods from 25% to 50%, citing New Delhi’s continued purchase of Russian oil. In a post on Truth Social, he speculated, “We put a 50 per cent tariff on India. I don’t know if that had anything to do with it, but we’ve had very productive talks today (with Russia).”

These comments came shortly after a high-level three-hour meeting between US special envoy Steve and Russian President Vladimir Putin in Moscow. Trump also mentioned that he’s planning to meet both President Putin and Ukrainian President Volodymyr Zelensky as early as next week in an attempt to broker peace.

Accusations Against India

Trump didn’t mince words when criticizing India for what he called profiteering from Russian oil. “India is not only buying massive amounts of Russian oil, they are then selling it on the open market for big profits. They don’t care how many people in Ukraine are being killed by the Russian war machine,” he stated.

When questioned if the punitive tariffs on India would be lifted if peace talks succeeded, Trump replied that the matter would be “determined later.” As of now, the 50% tariff remains in place.

Why Only India? Could China Be Next?

Although several countries — including China — continue to import Russian oil, India has been uniquely targeted. When asked about this, Trump said, “It may happen. I mean, I don’t know. I can’t tell you yet, but I can (impose a punitive tariff). We did it with India. We’re doing it probably with a couple of others. One of them could be China.”

The tariffs appear to be part of a broader strategy to pressure buyers of Russian oil, effectively choking the Kremlin’s wartime economy. Bloomberg reports that the US is also considering sanctions on Russia’s shadow fleet of oil tankers and various entities that support them.

India’s Response: “Unfortunate and Unjust”

India has condemned the tariff hike as “extremely unfortunate,” noting that its energy imports are based on market dynamics and national interest, not geopolitics. The Indian government reiterated its commitment to energy security for its 1.4 billion citizens and expressed disappointment over being singled out for actions others are also undertaking.

In a statement, India said: “We will take all necessary actions to protect our national interest.” The increased tariff on Indian goods is expected to take effect within the next three weeks.

Conclusion

While it’s unclear whether the tariff hike on India truly influenced the tone of US-Russia talks, Trump’s remarks suggest a strategic use of economic pressure not just on adversaries but also on allies. As global tensions remain high, India finds itself caught in the middle of a high-stakes geopolitical and economic chessboard.

August 6, 2025August 6, 2025

RBI Holds Interest Rates Steady; Governor Sanjay Malhotra Reaffirms ‘Neutral’ Policy Stance

The Reserve Bank of India (RBI) has decided to keep rates unchanged, maintaining a neutral stance amid ongoing global uncertainties and domestic inflation concerns. After a three-day meeting, the Monetary Policy Committee (MPC) concluded its deliberations with an emphasis on supporting growth while closely monitoring inflation trends and external risks.

RBI Governor Sanjay Malhotra, in a press briefing, reiterated that the central bank’s approach remains balanced and that it will continue to take appropriate measures to sustain economic momentum.

🔑 3 Key Takeaways from RBI’s August 2025 Monetary Policy Update

1. Policy Rates Unchanged

The RBI has kept all key policy rates, including the repo rate, unchanged. This decision reflects a wait-and-watch approach in light of evolving global and domestic economic conditions.

Despite pressure from rising commodity prices and geopolitical tensions, the RBI has refrained from making any aggressive moves, signaling confidence in the Indian economy’s underlying strength.

2. Inflation Outlook: Mixed But Improving

The inflation outlook has improved thanks to a strong monsoon, which is expected to ease food prices in the coming months. However, headline inflation (CPI) may temporarily rise above 4% due to an unfavourable base effect and ongoing global challenges.

Core inflation (which excludes food and fuel) is expected to remain moderately above 4%, suggesting that while price stability is within reach, vigilance is still necessary.

3. GDP Growth Projection Held at 6.5%

India’s real GDP growth for FY26 has been projected at 6.5%, indicating steady momentum despite external challenges. The RBI emphasized that policy support will continue to ensure that growth remains resilient and broad-based.

Geopolitical Pressures in the Background

One of the major concerns influencing RBI’s stance is the escalating global trade tensions. The United States recently imposed a 25% import tariff on Indian goods, along with an undisclosed penalty related to India’s military and energy trade with Russia. This, combined with the threat of further tariffs, has added a layer of uncertainty to India’s trade outlook.

Governor Malhotra acknowledged these risks and emphasized the need for a measured and flexible policy stance to navigate global headwinds.

Bottom Line

The RBI’s decision to hold rates steady shows a deliberate strategy to balance growth and inflation without adding stress to borrowing costs. As the world economy remains volatile, India’s central bank is betting on domestic demand, better inflation control, and strategic support for growth sectors to keep the economy on track.

Investors, borrowers, and businesses can expect a stable policy environment in the near term, but all eyes remain on how global developments, especially on the trade front, unfold in the coming months.

August 5, 2025

Rupee Drops as Trump Threatens Higher Tariffs on India Over Russian Oil Trade

The Indian rupee opened 20 paise lower on August 5, amid renewed geopolitical tensions, after former U.S. President Donald Trump issued a strong warning threatening increased tariffs on Indian imports. The currency opened at ₹87.85 against the U.S. dollar, compared to the previous close of ₹87.65, reflecting investor anxiety over the potential impact of trade tensions and foreign outflows.

Trump’s Accusation: Profiteering from Russian Oil

In a post on Truth Social, Trump accused India of purchasing “massive amounts of Russian oil” and allegedly reselling it for profit, while criticizing the country for being indifferent to the ongoing Russia-Ukraine war. He went on to say:

“They don’t care how many people in Ukraine are being killed by the Russian War Machine.”

Trump concluded the post with a firm declaration:

“Because of this, I will be substantially raising the Tariff paid by India to the USA.”

This statement marked a fresh escalation in an already tense global trade environment.

India’s Strong Rebuttal

India’s Ministry of External Affairs (MEA) swiftly responded with a six-point rebuttal, asserting that India’s oil trade decisions are based on national interest and energy security, not on geopolitical pressures.

The MEA also called out the “double standards” of Western nations, pointing out that several of them had quietly expanded their own energy ties with Russia while criticizing India publicly.

MUFG Bank noted that the comments might be part of a negotiation tactic aimed at influencing India’s role in the Russia-Ukraine conflict:

“Whether these barrage of comments are mainly negotiating tactics against India to partly prod for changes in the Russia-Ukraine war remains to be seen.”

Market Reactions & Currency Pressure

According to Kunal Sodhani, head of treasury at Shinhan Bank:

“Trump tweets against India are creating pressure on the rupee.”

A senior private bank trader quoted by Reuters added that Trump’s remarks only amplified the rupee’s vulnerability, which was already under pressure due to a challenging global environment.

“Today was already shaping up to be a difficult session, and Trump’s latest tariff threat only amplified the pressure.”

The trader further warned of potential capital outflows from Indian equities, triggered by heightened trade tensions, which could add to rupee weakness.

RBI’s Likely Role

Market watchers expect the Reserve Bank of India (RBI) to step in, if the rupee shows signs of deeper depreciation:

“They won’t want to let the rupee depreciate unchecked, especially in the face of U.S. rhetoric.”

Domestic Sentiment & Policy Position

While Prime Minister Narendra Modi hasn’t directly addressed the tariff threat, he has repeatedly encouraged Indian citizens to “buy local” and support domestic industries — a sentiment that aligns with reducing dependency on foreign trade amid such tensions.

Conclusion: More Than Just Currency Fluctuation

The rupee’s dip on August 5 is more than a routine market move — it’s a reflection of geopolitical complexities, energy diplomacy, and global economic power plays. As the trade narrative between India and the U.S. evolves, markets may continue to witness heightened volatility, and investors will be watching both Washington and New Delhi closely for further developments.

Key Takeaway:
Global politics are once again driving market sentiment. For investors and policy makers, the road ahead will require a fine balance between diplomacy, economic interests, and currency stability.

August 4, 2025August 4, 2025

ITC Shares Rise After Q1 Results: Should You Buy, Sell, or Hold?

Shares of ITC Ltd. traded in the green on August 4, following the release of its Q1 FY26 results. The diversified conglomerate reported a largely flat net profit, in line with market expectations, but strong revenue growth across key segments sparked investor interest.

Q1FY26 Results Snapshot

ITC’s standalone net profit for the quarter ended June 30, 2025, stood at ₹4,912 crore — marginally down from ₹4,917 crore in the same quarter last year. While bottom-line growth remained subdued due to elevated input costs, the company’s topline performance offered some positives.

Revenue from operations rose 20% year-on-year to ₹21,059 crore, up from ₹17,593 crore in Q1FY25. The growth was led by strong performances in the cigarette, agri-business, and fast-moving consumer goods (FMCG) segments.

Segment-Wise Performance

Cigarettes: Revenue rose 8%, supported by a stable tax environment and strategic market interventions. However, rising costs of leaf tobacco continued to pressure margins—a trend that may persist through the rest of FY26.
FMCG: This segment showed promising growth, benefiting from volume expansion and improved pricing strategies.
Agri Business: Performance remained robust, driven by exports and domestic demand.
Paperboards: This segment continued to face headwinds due to weak demand and pricing pressures.

Management Outlook

ITC remains optimistic about the economic landscape, citing easing inflation, expected rate cuts, increased liquidity support by the RBI, and proactive government spending as potential catalysts for growth in the coming quarters.

Should You Buy, Sell, or Hold?

Buy, if you’re looking for a long-term play in a diversified business with strong brand equity and defensive characteristics. The company’s steady performance, strong cash flows, and dividend history make it appealing to conservative investors.

Hold, if you’re already invested and seeking stable returns. The near-term pressure on margins may limit upside, but the long-term story remains intact with growth in FMCG and continued dominance in cigarettes.

Sell, if you are looking for high-growth opportunities in a shorter timeframe. While ITC remains fundamentally strong, the lack of profit growth and margin compression could limit stock performance in the near term.

Bottom Line:
ITC’s Q1 results were steady, with strong revenue growth offsetting margin pressures. For long-term investors, it continues to be a reliable bet in a diversified portfolio — though near-term challenges warrant a cautious approach.

December 2, 2024

Adani Green Energy Stock increases 9%: Factors Behind 50% Gains in 4 Sessions

Adani Green Energy’s stock price climbed by 9% during early trading on Monday, extending its rally over the past few sessions. The stock has soared nearly 50% in just four trading days, reflecting strong investor confidence.

Stock Performance
On Monday, Adani Green Energy shares opened at ₹1,364 on the BSE, up around 3% from the previous close of ₹1,324.55. The stock continued its upward momentum, hitting an intraday high of ₹1,445, registering a 9% increase. This rally builds on the stock’s rise from ₹897 on November 26, 2024, marking an impressive 50% gain over four sessions.

Key Drivers Behind the Rally

Clarification on Legal Allegations
The company recently addressed allegations of bribery involving its chairman Gautam Adani and other officials. In a statement to stock exchanges, Adani Green Energy clarified that neither Gautam Adani, Sagar Adani, nor Vineet Jain was charged with violations of the U.S. Foreign Corrupt Practices Act (FCPA) in the cases filed by the U.S. Department of Justice (DOJ) or the Securities and Exchange Commission (SEC).

The company acknowledged that its directors face charges related to alleged securities fraud, wire fraud conspiracy, and securities fraud conspiracy. However, the clarification appears to have eased investor concerns.
Support from Key Investors
Major investors have reaffirmed their confidence in Adani Group stocks. Following CQG Partners, Abu Dhabi’s International Holding Company (IHC), the investment arm of the ruling family, has expressed continued faith in the group, bolstering market sentiment.
Stable Ratings Amid Challenges
Rating agencies have maintained a cautious yet steady outlook. Fitch Ratings reaffirmed Adani Green Energy’s Long-Term Foreign-Currency Issuer Default Rating at “BBB-” while placing it on Rating Watch Negative. This stability has helped reassure investors amid ongoing scrutiny.

The recent developments, combined with institutional backing and resilient ratings, have fueled optimism around Adani Green Energy, driving significant gains in a short period. However, investors are advised to stay updated on further developments and market conditions.

Category: Market Highlights