HOME > MARKETS > MARKET COMMENTARY
  MARKET COMMENTARY
EQUITY
Key gauges snap 4-day winning streak amid late selloff
Jul-07-2026

Indian equity benchmarks failed to hold on the intraday gains and ended marginally in red on Tuesday as market participants booked profits after the recent four-session rally. Investors also remained cautious ahead of the release of the US Federal Reserve's meeting minutes and the start of the June quarter earnings season. 

Some of the important factors in trade: 

Weak monsoon may fuel inflation in India, hit rural demand: Raising some concerns, the rating agency, S&P Global Ratings in its latest report has said that a weak monsoon in India may lead to higher inflation, weaken rural demand and strain fiscal balances. 

CREA flags strain on Indian energy system due to this year's El Nino: The Centre for Research on Energy and Clean Air (CREA) in its reports has flagged possible strain on Indian energy system due to this year's El Nino, a recurrent weather pattern that drives up global temperatures. 

India-EU FTA legal scrubbing likely to be completed in 15-20 days: Commerce and Industry Minister Piyush Goyal has said that India and the European Union (EU) are likely to complete the legal scrubbing of the FTA within the next 15-20 days. Following the legal scrubbing, both sides are likely to sign the agreement by the end of this year and implement it next year. 

Jaishankar holds talks with Bahrain's King to boost bilateral partnership: External Affairs Minister of India S. Jaishankar has held a meeting with King Hamad bin Isa Al Khalifa in Bahrain to advance discussions on strengthening bilateral partnership. 

Global front: European markets were trading mostly in green on hopes of strong quarterly earnings from big name companies. However, higher oil prices amid renewed geopolitical concerns following tensions around the Strait of Hormuz limited market's upside. Asian markets settled mostly lower as investors rotated out of AI chip stocks on doubts over the sustainability of the AI boom. 

Finally, the BSE Sensex fell 104.35 points or 0.13% to 78,180.72 and the CNX Nifty was down by 31.65 points or 0.13% to 24,398.70.

The BSE Sensex touched high and low of 78,664.92 and 78,031.04, respectively. There were 14 stocks advancing against 16 stocks declining on the index.     

The top gaining sectoral indices on the BSE were IT up by 2.12%, TECK up by 1.37%, Consumer Durables up by 0.65% and Oil & Gas up by 0.09%, while Capital Goods down by 1.73%, Realty down by 1.61%, Industrials down by 1.49%, Power down by 1.12% and Metal down by 1.04% were the top losing indices on BSE.

The top gainers on the Sensex were HCL Technologies up by 3.08%, Tech Mahindra up by 2.81%, Infosys up by 2.81%, Titan Company up by 2.62% and Eternal up by 2.12%. On the flip side, Trent down by 12.42%, Adani Ports &SEZ down by 1.59%, Bharat Electronics down by 1.54%, Larsen & Toubro down by 1.19% and Reliance Industries down by 1.12% were the top losers.

Meanwhile, Commerce and Industry Minister Piyush Goyal has said that India and the European Union (EU) are likely to complete the legal scrubbing of the free trade agreement (FTA) within the next 15-20 days. India and the 27-nation bloc announced the conclusion of negotiations for the trade pact in January. Following the legal scrubbing, both sides are likely to sign the agreement by the end of this year and implement it next year. Goyal said he will visit Brussels on July 14-15 along with a business delegation. He added ‘We are going to Brussels, Spain, and Finland, as we have already started promoting Indian products, goods, and services.’

He also said that India and the EU are also discussing ways to speed up the legal scrub of the EU-India FTA, so that it can go in for ratification in their (EU's) Commission and Parliament. He said ‘And our effort is that in the first quarter of 2027, the EU-India FTA, which will open 27 developed countries for our businesses, which will be the mother of all these, will enter into force, will be operational, and take the country's exports to a newer height’. He pointed out that leather and leather product exports have reached $4-4.5 billion, and the trade pacts will help create huge opportunities in developed countries. He said ‘The new markets in developed nations that have been opened up for your sector. I think the time is right for all of you to aim big, aspire for much bigger achievements. The enabling conditions have been created’.

The minister asked the leather industry to aim for $15 billion in exports in the next 5-6 years. He said ‘Finishing, designing, packaging, brand building. These are the areas which will define our future. Our export promotion mission is willing to extend every possible assistance that you may require’. Calling for diversification of export destinations, he said 77 per cent of India's leather exports currently go to only 15 countries. He said the time has come to diversify across the world. 

Further, Goyal said India is in dialogue with Canada for a trade pact and expressed hope that this could be concluded by the end of the year. In the Gulf Cooperation Council region, India already has FTAs with Oman and the UAE, and is negotiating with a six-country bloc, which could add four more countries, and take the number, under trade pacts, to 55. He said India is also talking to Mexico, which would take the number to 56, and to Brazil and three other countries associated with it, taking the number to 60.

CNX Nifty touched high and low of 24,530.90 and 24,348.95, respectively. There were 19 stocks advancing against 31 stocks declining on the index.   

The top gainers on Nifty were HCL Technologies up by 3.16%, Tech Mahindra up by 2.88%, Infosys up by 2.85%, SBI Life Insurance up by 2.65% and Titan Company up by 2.38%. On the flip side, Trent down by 12.64%, Adani Enterprises down by 3.02%, Bharat Electronics down by 1.92%, Adani Ports &SEZ down by 1.79% and Max Healthcare Institute down by 1.52% were the top losers.

European markets were trading mostly in green; UK’s FTSE 100 increased 30.73 points or 0.29% to 10,682.50 and France’s CAC rose 21.63 points or 0.26% to 8,501.50, while Germany’s DAX lost 119.79 points or 0.46% to 25,698.10. 

Asian markets settled mostly lower on Tuesday, led by a nearly 5% plunge in South Korea's benchmark Kospi index due to weakness in the tech sector on concerns over high AI-related stock valuations. Investors were cautiously awaiting the US Federal Reserve's meeting minutes and the start of the second-quarter US earning season this week. Chinese shares declined, despite authorities in China and Hong Kong unveiling a broad package of measures to boost financial connectivity and yuan internationalization. Investors were also awaiting China's June CPI and PPI data due this week for clues on the policy outlook, while the World Bank projected China's economic growth would slow to 4.4% in 2026 and 4.3% in 2027 due to a prolonged property downturn and subdued consumer demand. 

Asian Indices

Last Trade            

Change in Points

Change in %      

Shanghai Composite

3,990.24

-51.00

-1.26

Hang Seng

23,496.89

-119.43

-0.51

Jakarta Composite

5,986.50

70.43

1.19

KLSE Composite

1,682.93

-0.60

-0.04

Nikkei 225

68,256.96

-1,480.73

-2.12

Straits Times

5,342.24

82.43

1.57

KOSPI Composite

7,656.31

-395.02

-4.91

Taiwan Weighted

45,479.11

-1,077.28

-2.31
  RELATED NEWS >>
Most Viewed >>
EXPLORE
© CITRUS INTERACTIVE
Designed & Developed Accord Fintech Pvt. Ltd.