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EQUITY
Post Session: Quick Review
Oct-07-2026

After two days of gains, Indian equity markets witnessed lackluster trade on Wednesday, as indices ended lower with notable losses, tracking weak cues from global markets. After a weak start, the markets remained lower for the entire trading session. Sentiments remained subdued as foreign institutional investors (FIIs) continued their selling spree, offloading equities worth Rs 2,961.30 crore on Tuesday. Further, the Reserve Bank of India raised the FY27 consumer price index (CPI)-based inflation forecast to 5.2 per cent from 5 per cent.  

Both indices, Sensex and Nifty ended the session in the red, with the Nifty underperforming the Sensex, amid tighter monetary conditions and elevated crude oil prices. Heavy selling at metals, auto and realty counters also dampened domestic sentiments.

Some of the important factors in trade:

RBI hikes repo rate to 5.50%: The Reserve Bank of India’s (RBI) Monetary Policy Committee (MPC) has hiked repo rate by 25 basis points to 5.50% from 5.25% earlier. Also, RBI has changed monetary policy stance to ‘Calibrated Tightening’ from ‘Neutral’. Accordingly, MSF and SDF rates increased to 5.75% and 5.25%, respectively.

India's manufacturing sentiment improved in July-September quarter: The Federation of Indian Chambers of Commerce & Industry (FICCI) in its latest edition of Manufacturing Survey has said that India's manufacturing sentiment improved in the July-September quarter of fiscal year 2026-27 (Q2FY27) as factories reported higher capacity utilisation and higher or same levels of production as compared to the previous quarter.

Commerce Minister pitches India’s investment opportunities to leading U.S. companies: India is stepping up efforts to deepen its economic engagement with the United States, with Commerce and Industry Minister Piyush Goyal meeting several senior leaders of leading U.S. companies in New York to discuss opportunities for strengthening India-U.S. trade and to invite top US companies to explore investment opportunities in India.

Union Cabinet greenlights Rs 10,000 crore SME Growth Fund: The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved Rs 10,000 crore for the establishment of SME Growth Fund (SGF) for direct equity investments in Small and Medium Enterprises (SMEs). The SGF is aimed at creating champion Indian enterprises across manufacturing, services, technology, innovation-driven sectors, and strategic value chains.

Weak global markets: European markets were trading lower, while Asian markets ended in red as oil prices climbed and yields rebounded on fears Iran is stepping up attacks on tankers in the Strait of Hormuz. U.K. Maritime Trade Operations said there had been nine attacks so far this month, half the number it reported for all of September in the waterway and Persian Gulf combined.

The BSE Sensex ended at 72638.70, down by 429.11 points or 0.59% after trading in a range of 72468.72 and 73018.82. There were 4 stocks advancing against 26 stocks declining on the index. (Provisional)

The only gaining sectoral index on the BSE was Telecom up by 0.91%, while Metal down by 2.46%, Consumer Durables down by 1.83%, Realty down by 1.74%, Basic Materials down by 1.60% and Auto down by 1.41% were the top losing indices on BSE. (Provisional)

The top gainers on the Sensex were Kotak Mahindra Bank up by 2.21%, Bharti Airtel up by 1.47%, ICICI Bank up by 1.15% and Bajaj Finance up by 0.24%. On the flip side, Titan Company down by 3.52%, Bharat Electronics down by 2.21%, Asian Paints down by 2.07%, Infosys down by 2.06% and Larsen & Toubro down by 1.96% were the top losers. (Provisional)

Meanwhile, Finance Minister Nirmala Sitharaman has held discussions with Swiss President Guy Parmelin on issues of common interest to both India and Switzerland, including taking forward negotiations on the Bilateral Investment Treaty (BIT) which is mutually beneficial to both nations.  

The meeting comes as India and Switzerland seek to strengthen bilateral economic ties and facilitate greater investment between the two countries. The discussions focused on advancing the BIT negotiations, which will help enhance investment flows and deepen economic engagement.  

A Bilateral Investment Treaty is an agreement between the two countries to promote and protect investments made by their investors in the other's territory. Under investment protection treaties, investors can take a sovereign government to arbitration. With Outward Direct Investment (ODI) from India increasing, there is a need to ensure that domestic investors and companies investing abroad also get adequate protection.

The CNX Nifty ended at 22603.05, down by 173.05 points or 0.76% after trading in a range of 22546.30 and 22717.65. There were 9 stocks advancing against 41 stocks declining on the index. (Provisional)

The top gainers on Nifty were Kotak Mahindra Bank up by 1.88%, BSE up by 1.54%, Bharti Airtel up by 1.29%, ICICI Bank up by 1.09% and Coal India up by 0.69%. On the flip side, Titan Company down by 3.80%, Adani Enterprises down by 3.75%, Hindalco Industries down by 3.15%, Bharat Electronics down by 2.35% and JSW Steel down by 2.35% were the top losers. (Provisional)

European markets were trading lower; UK’s FTSE 100 decreased 56.5 points or 0.54% to 10,485.19, France’s CAC fell 83.07 points or 1.06% to 7,782.00 and Germany’s DAX lost 295.19 points or 1.16% to 25,154.00.

Asian markets settled lower on Wednesday, despite Wall Street’s record-high gains overnight. Market sentiment weakened as Brent crude oil climbed above $101 per barrel after Yemen's Houthi group claimed that it had carried out a series of drone and ballistic missile attacks targeting airports and military installations in Saudi Arabia. Investors were cautious over rising US Treasury yields ahead of the release of the Federal Reserve's September meeting minutes later in the day. Japanese market declined, led by fall in AI-related stocks as investors moved to lock in profits after the benchmark index rallied to a three-month high. Moreover, South Korea’s Kospi index dropped as market turned cautious ahead of Samsung Electronics’ preliminary third-quarter earnings report on Thursday. Meanwhile, Chinese market remained closed for the National Day Golden Week holiday and are scheduled to reopen on October 8, 2026.

Asian Indices

Last Trade            

Change in Points

Change in %      

Shanghai Composite

--

--

--

Hang Seng

24,130.50

-150.06

-0.62

Jakarta Composite

6,146.72

-46.21

-0.75

KLSE Composite

1,611.78

-21.57

-1.32

Nikkei 225

70,035.71

-648.27

-0.92

Straits Times

5,608.44

-93.10

-1.63

KOSPI Composite

6,803.90

-137.49

-1.98

Taiwan Weighted

49,806.37

-16.18

-0.03
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