Global Market Cues

Global markets presented a mixed picture as Friday, September 12, 2025, concluded the trading week. US markets ended with the Nasdaq Composite climbing 0.4% to a new record high, while the S&P 500 dipped 0.1% and the Dow Jones Industrial Average fell 0.6%. Despite the mixed Friday closing, all three major US indices posted weekly gains, fueled by strong expectations that the Federal Reserve will initiate an interest rate cut at its upcoming meeting next week (September 16-17). This optimism stems from recent consumer price data and indications of a softening labor market. Technology stocks largely performed well, with giants like Microsoft, Tesla, Apple, Nvidia, Alphabet, Meta Platforms, and Broadcom seeing gains. Conversely, Adobe experienced a slight dip, and furniture retailer RH's shares fell after trimming its sales forecast due to tariff impacts. Warner Bros. Discovery, however, saw a significant surge following takeover reports.

European equities generally edged up on Friday, contributing to weekly gains for the STOXX 600, which rose 0.1%. The FTSE 100 was up 0.32%, though Germany's DAX and France's CAC 40 saw slight declines. Geopolitical tensions reportedly boosted aerospace and defense sectors, while Swiss pharmaceutical company Novartis faced a downgrade. Most major Asian markets closed higher on Friday, with Japan's Nikkei 225 climbing 0.9% to a new record and Hong Kong's Hang Seng rallying 1.2%. South Korea's KOSPI also advanced by 1.51%, contrasting with a slight dip in the Shanghai Composite.

GIFT Nifty and Domestic Cues

The current status of GIFT Nifty suggests a potentially subdued to slightly negative opening for the Indian market. As of early Saturday, September 13, 2025, GIFT Nifty was recorded around 25,158.50 to 25,172.50, indicating a slight negative change (between -0.15% and -0.21%) from its previous close. One indicator suggested an opening around 22.60 points lower for Nifty in the next trading session. However, some reports from Friday suggested a range-bound opening for Monday, with Gift Nifty initially up 0.14%.

Domestically, Indian benchmark indices concluded Friday, September 12, 2025, on a strong note, extending their rally for the eighth consecutive session. The Nifty 50 closed at 25,114.00, marking a 0.43% gain, while the Sensex advanced 0.44% to 81,904.70. This upward momentum was supported by positive factors such as anticipated GST reforms, robust Q1 FY25-26 GDP growth of 7.8%, and ongoing optimism surrounding US-India trade talks.

Foreign Institutional Investors (FIIs) have been net sellers in the first half of September, with net sales of ₹11,169 crore worth of Indian equities. However, strong inflows from Domestic Institutional Investors (DIIs) have helped cushion the market. India's retail inflation, as measured by the Consumer Price Index (CPI), increased to 2.07% year-on-year in August 2025, up from 1.61% in July, mainly due to rising food prices. Despite this uptick, inflation remains within the Reserve Bank of India's (RBI) tolerance band of 2-6%. The RBI has revised its inflation outlook for FY25-26 to 3.7%.

Key Stocks in Focus

• Infosys: The IT major announced an ₹18,000 crore share buyback, which could provide support to its stock.
• Bharat Electronics (BEL), Bajaj Finance, Bajaj Finserv: These stocks were among the top gainers on the Nifty 50 on Friday and may continue to be in focus.
• Metal Stocks: The Nifty Metal index led sectoral gains on Friday, suggesting continued interest in the sector.
• RH: The furniture retailer's stock might face pressure after trimming its sales forecast due to tariff uncertainties.
• Novartis: The Swiss pharmaceutical company's shares dropped after a downgrade by Goldman Sachs.
• Warner Bros. Discovery: Shares jumped significantly on Friday following reports of a potential takeover.

Key Events to Watch Today

• US Federal Reserve FOMC Meeting (September 16-17): The market will closely monitor the outcome of the Federal Reserve's meeting, with a high probability of a 25 basis-point interest rate cut. This decision will significantly influence global market sentiment.
• India-US Trade Talks: Ongoing discussions to finalize the first tranche of a bilateral trade agreement by November 2025 will be watched for developments.
• India-EU Free Trade Agreement: Progress on an early conclusion of a free trade agreement between India and the European Union could also be a market driver.
• FII/DII Activity: The trend of foreign and domestic institutional investment will continue to be a crucial indicator for market direction.

TAGS: Pre-Market, Stock Market, Nifty, Sensex, Market Update

Tags: Pre-Market Stock Market Nifty Sensex Market Update