HOME > MARKETS > MARKET COMMENTARY
  MARKET COMMENTARY
EQUITY
Benchmarks end passing week with significant gains amid easing tensions in the Middle East
Jun-27-2025

Indian benchmarks ended the passing week with fabulous gains of 2% amid signs of easing tensions in the Middle East following a ceasefire between Iran and Israel. Besides, President Trump’s recent statement ‘America is going to have a very big trade deal with India’, kept the sentiments upbeat. Foreign fund inflows also aided domestic sentiments. 

Some of the major developments during the week are:

Net direct tax collection slips 1.39% so far in FY26: The government data showed a decline of 1.39% in net direct tax collection to Rs 4.59 lakh crore so far (from April to June 19, 2025) this FY26, over Rs 4.65 lakh crore in same period of FY25, owed to slowdown in advance tax mop-up and higher refunds.

Output of eight key infrastructure sectors slows to 0.7% in May: The Ministry of Commerce & Industry in its latest data has showed that the output of eight key infrastructure sectors slowed down to 0.7 per cent, lowest in nine months, in May 2025 against 6.9 per cent in the same month last year.

India’s flash PMI indicates strong growth in June: The HSBC Flash India Composite Output Index climbed to a 14-month high of 61.0 in June from a final reading of 59.3 in May, as new export orders continued to fuel private sector business activity, especially in manufacturing.

Icra retains India's GDP growth forecast for FY26 at 6.2%: Rating agency Icra in its Macro Update June 2025 has retained India's Gross Domestic Product (GDP) growth forecast for fiscal 2025-26 (FY2026) at 6.2 per cent, assuming well-distributed monsoons and crude oil prices averaging around $70/barrel.

Sales of listed manufacturing companies rise in FY25: Reserve Bank of India’s recent data showed the sales of listed manufacturing sector companies grew by 6% during 2024-25 over 3.5% growth in preceding year, led by automobiles, electrical machinery, food and beverages, and pharmaceuticals industries.

BSE movement for the week

The Bombay Stock Exchange (BSE) Sensex surged 1650.73 points or 2.00% to 84,058.90 during the week ended June 27, 2025. The BSE Midcap index gained 1060.99 points or 2.33% to 46,541.25 and Smallcap index surged 1870.88 points or 3.57% to 54,249.40. On the sectoral front, S&P BSE Metal was up by 1,449.10 points or 4.77% to 31,850.65, S&P BSE Consumer Durables was up by 1,891.68 points or 3.28% to 59,533.77, S&P BSE Power was up by 217.17 points or 3.24% to 6,929.40, S&P BSE Oil & Gas was up by 865.99 points or 3.20% to 27,919.83 and S&P BSE Finance was up by 348.91 points or 2.77% to 12,932.47 were the top gainers, while S&P BSE Realty was down by 162.28 points or 2.06% to 7,709.53 and S&P BSE Information Technology was down by 111.36 points or 0.29% to 38,060.14 were the few losers on the BSE.

NSE movement for the week

The Nifty surged 525.40 points or 2.09% to 25,637.80. On the National Stock Exchange (NSE), Nifty Next 50 gained 1979.35 points or 2.97% to 68,712.40, Nifty Mid Cap 100 increased 1389.65 points or 2.40% to 59,385.15 and Bank Nifty was up by 1191.05 points or 2.12% to 57,443.90, while Nifty IT was down by 168.50 points or 0.43% to 38,822.95. 

FII transactions during the week

Foreign Institutional Investors (FIIs) were net buyers in equity segment in the week, with gross purchases of Rs 124,206.96 crore and gross sales of Rs 111,099.42 crore, leading to a net inflow of Rs 13,107.54 crore. They also stood as net buyers in the debt segment with gross purchases of Rs 14,356.06 crore against gross sales of Rs 10,092.95 crore, resulting in a net inflow of Rs 4,263.11 crore. In hybrid segment, FIIs stood as net buyers, with gross purchases of Rs 129.34 crore and gross sales of Rs 120.07 crore, leading to a net inflow of Rs 9.27 crore.

Industry and Economy

S&P Global Ratings has raised India's GDP forecast to 6.5% for current fiscal (FY26) assuming a normal monsoon, lower crude oil prices, income-tax concessions and monetary easing. Earlier, S&P had lowered India's FY26 growth estimates by 20 basis points to 6.3% citing global uncertainties and US tariff shocks. S&P also flagged rising risks to the global economy due to the turbulence in the Middle East saying long-lasting major increases in oil prices could have significant economic impact in Asia-Pacific, notably via slower global growth and pressure on the current accounts of net energy importers, prices and costs.  However, S&P said current conditions on global energy markets -which are well-supplied - make such long-term impact on oil prices unlikely. 

Outlook for the coming week

In the passing week, Indian markets ended with gains for second straight week as Israel-Iran truce lifted the investors’ mood.

On the economy front, market men will be eyeing the industrial production data, Government Budget Value data to be announced on June 30. HSBC Manufacturing PMI Final data going to be out on July 01. Further, investors will be awaiting HSBC Composite PMI Final, HSBC Services PMI Final data on July 03. Bank Loan Growth, Deposit Growth, Foreign Exchange Reserves data to be announced on July 04. 

On the global front, investors would be eyeing few economic data from world’s largest economy, United States (US), starting with Chicago PMI, Dallas Fed Manufacturing Index on June 30, Redbook YoY, S&P Global Manufacturing PMI Final, ISM Manufacturing Employment, Dallas Fed Services Index on July 01, Balance of Trade, Initial Jobless Claims, ISM Services PMI, Baker Hughes Oil Rig Count on July 03, Fed Balance Sheet on July 04.

Top Gainers 

  • JIO Financial Services up by 13.85% was the top gainer on Nifty for the week - JIO Financial Services has infused Rs 190 crore in its wholly owned subsidiary -- Jio Payments Bank. The company has been allotted 19 crore equity shares of Rs 10 each of Jio Payments Bank. Separately, the company’s JV - Jio BlackRock Investment Advisers' subsidiary - Jio BlackRock Broking received certificate of registration from SEBI to act as a Stock Broker / Clearing Member. 
  • Adani Enterprises up by 9.32% was another top gainer on Nifty for the week - Adani Enterprises’ joint venture (JV) company -- AdaniConneX completed the acquisition of 100% stake of Granthik Realtors from Windson Projects LLP (WP) and its Nominees by execution of SPA. Separately, Adani Enterprises’ wholly owned subsidiary -- Adani Airport Holdings raised $1 billion through a project finance structure for its Mumbai International Airport.

Top Losers 

  • ONGC down by 3.47% was the top loser of the week on Nifty - ONGC witnessed profit booking after recent gains. Recently, stock gained along with other upstream oil companies as crude oil prices rallied amid Middle East escalations. Oil exploration companies benefit from higher crude prices, as they earn more per barrel produced while their costs remain largely fixed. 
  • Dr. Reddy's Laboratories down by 1.89% was another top loser of the week on Nifty - Dr. Reddy's Laboratories traded lower after a private brokerage firm maintained its sell recommendation on the stock and reduce its target price, pointing to worries about the company's future performance in upcoming quarters. Meanwhile, a private report indicated that Robeco Institutional Asset Management B.V. lessened its stake in the company by 6.4% during Q1.

Technical viewpoints

During the week, CNX Nifty touched the highest level of 25,654.20 on June 27 and lowest level of 24,783.65 on June 23. On the last trading day, the Nifty closed at 25,637.80 with weekly gain of 525.40 points or 2.09 percent. For the coming week, 25,062.90 followed by 24,488.00 are likely to be good support levels for the Nifty, while the index may face resistance at 25,933.45 and further at 26,229.10 levels.

US Market

The U.S. markets traded higher during the week following the release of a slew of U.S. economic data, including a Labor Department report showing an unexpected decrease by initial jobless claims in the week ended June 21, 2025.

Some of the major developments during the week are:

U.S. weekly jobless claims fall to 236,000: The Labor Department said initial jobless claims dipped to 236,000, a decrease of 10,000 from the previous week's revised level of 246,000.

Pending home sales in U.S. unexpectedly rebound in May: The National Association of Realtors said its pending home sales index jumped by 1.8 percent to 72.6 in May after tumbling by 6.1 percent to a revised 71.3 in April.

U.S. durable goods orders soar much more than expected in May: Durable goods orders soared by 16.4 percent in May after tumbling by a revised 6.6 percent in April. Street had expected durable goods orders to surge by 8.5 percent.

New home sales in U.S. pull back more than expected in May: New home sales plunged by 13.7 percent to an annual rate of 623,000 in May after spiking by 9.6 percent to a revised rate of 722,000 in April.

U.S. economy shrinks more than previously estimated in Q1: Real gross domestic product fell by 0.5 percent in the first quarter compared to the previously reported 0.2 percent dip. Street had expected the decrease by GDP to be unrevised.

European Market

European markets were sluggish during the initial days of the passing week but staged recovery towards the end of the week, reacting to the positive developments on the geopolitical front amid easing tensions between Israel and Iran. 

Some of the major developments during the week are:

Eurozone private sector expands for sixth straight month: The flash purchasing managers' survey results from S&P Global showed that the flash HCOB composite output index remained unchanged at 50.2 in June. 

German Ifo business confidence strongest in 13 months: The Munich-based ifo Institute revealed that the business climate index registered 88.4 in June, up from 87.5 in May. 

German GfK consumer confidence to drop in July: The forward-looking consumer sentiment index fell unexpectedly to -20.3 in July from -20.0 in the previous month.

Spain GDP growth confirmed at 0.6%: The final data from the statistical office INE revealed that gross domestic product grew 0.6 percent sequentially in the first quarter. 

UK private sector grows at fastest pace in 3 months: The flash survey results from S&P Global showed that the flash composite output index registered 50.7 in June, up from 50.3 in May. 

Asian Market

Asian markets traded higher during passing week as the U.S. President Donald Trump announced a trade deal with China on rare earths and hinted at a major upcoming deal with India. 

Some of the major developments during the week are:

Japan manufacturing PMI rises for first time in 11 months in June: The au Jibun manufacturing PMI rose 50.4 in the first three weeks of June, more than expectations of 49.5 and also picking up sharply from the 49.4 seen in May.

Japan services sector rises for 3rd month: The au Jibun Bank Japan Services PMI rose to 51.5 in June 2025 from a final 51.0 in May, according to a flash estimate.

Japan producer prices climb 3.3% in May: Producer prices in Japan were up 3.3% on year in May. That beat forecasts for an increase of 3.1% and was down from 3.4% in April.

China’s industrial profits plunge 9.1% in May: China's industrial profits plunged 9.1% in May from a year earlier, in the face of deepening deflationary pressures and a persistent property crisis.

South Korean consumer sentiment jumps in June: South Korea’s Composite Consumer Sentiment Index rose sharply to 108.7 in June 2025 from 101.8 in the previous month, reaching its highest level since June 2021.
  RELATED NEWS >>
Most Viewed >>
June 25 , 2025
Top Performing Flexi Cap Funds Over The Past D
June 26 , 2025
NSE may waive fee on electricity futures trade
June 26 , 2025
Zerodha Fund House launches Zerodha Silver ETF
June 21 , 2025
Mutual fund assets surge to nearly one-third o
EXPLORE
© CITRUS INTERACTIVE
Designed & Developed Accord Fintech Pvt. Ltd.