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Markets end higher for 3rd straight day on easing geopolitical tensions
Jun-26-2025

Indian equity benchmarks surged over 1 per cent on Thursday, taking their winning momentum to the third day running, amid growing optimism following easing geopolitical tensions and buying in market heavyweights Tata Steel and Bajaj Finance.

Some of the important factors in today’s trade: 

Rupee advances as dollar index softens: Indian rupee gained against the US dollar, mainly due to a weakened greenback in the global markets. However, a rise in global crude oil prices and FII outflows prevented sharp gains in the local unit. 

Icra retains India's FY26 GDP forecast at 6.2%: The rating agency Icra has retained its India's GDP growth forecast for fiscal 2025-26 at 6.2 per cent, assuming well-distributed monsoons and crude oil prices averaging around $70/barrel.

India’s economic activities resilient amidst global uncertainties: An article in the Reserve Bank of Indian (RBI) June Bulletin has said that amid global uncertainties, various high-frequency indicators for May 2025 point towards resilient economic activity in India across the industrial and services sectors.

FIIs remain net sellers in Indian equities: The provisional exchange data showed foreign institutional investors (FIIs) recorded a net outflow of Rs 2,427.74 crore in Indian equities on Wednesday, marking the third consecutive session of selling. So far in June, FIIs have withdrawn a total of Rs 3,243.18 crore from Indian equities. 

Global front: European markets were trading higher with investors closely following the developments on the geopolitical front, and reacting positively to the German government's public investment plans. Asian markets ended mostly higher despite worries over Fed independence and anxiety ahead of the impending deadline for U.S. President Trump's tariff deferrals. 

Finally, the BSE Sensex rose 1000.36 points or 1.21% to 83,755.87 and the CNX Nifty was up by 304.25 points or 1.21% to 25,549.00.  

The BSE Sensex touched high and low of 83,812.09 and 82,816.26 respectively. There were 21 stocks advancing against 8 stocks declining, while 1 stock remained unchanged on the index.

The broader indices ended in green; the BSE Mid cap index rose 0.56%, while Small cap index was up by 0.12%.

The top gaining sectoral indices on the BSE were Metal up by 2.28%, Oil & Gas up by 1.88%, Energy up by 1.68%, Basic Materials up by 1.39% and Utilities up by 1.24%, while Realty down by 1.04% and IT down by 0.14% were the top losing indices on BSE.

The top gainers on the Sensex were Tata Steel up by 2.62%, Bajaj Finance up by 2.50%, Bharti Airtel up by 2.48%, Adani Ports &SEZ up by 2.46% and Eternal up by 2.45%. On the flip side, Trent down by 0.40%, Tech Mahindra down by 0.39%, SBI down by 0.39%, Maruti Suzuki down by 0.36% and TCS down by 0.12% were the top losers.

Meanwhile, in order to boost domestic manufacturing, the Indian government has disbursed Rs 21,534 crore under Production-Linked Incentive (PLI) schemes so far for 12 sectors, including electronics and pharma. The sectors to which PLI schemes are being provided includes Large-Scale Electronics Manufacturing, IT Hardware, Bulk Drugs, Medical Devices, Pharma, Telecom, Food Processing, White Goods, Automobiles, Specialty Steel, Textiles and Drones. In 2021, the government announced PLI schemes for 14 sectors with an outlay of Rs 1.97 lakh crore.

The Commerce and Industry Minister Piyush Goyal, while reviewing the progress of the schemes, has asked the concerned ministries to prepare a roadmap for the next five years both on investment and disbursement. The ministry also emphasized that the scheme has witnessed investments worth Rs 1.76 lakh crore, which has generated production/ sales of over Rs 16.5 lakh crore and employment of over 12 lakh (direct and Indirect) till March 2025.

Regarding the progress of the scheme for the pharma sector, it said the sector has witnessed cumulative sales of Rs 2.66 lakh crore which includes exports of Rs 1.70 lakh crore achieved in the first three years of the scheme. Besides, the sector has achieved the overall domestic value addition of 83.70 per cent as on March 2025. The scheme has contributed in India becoming a net exporter of bulk drugs (Rs 2,280 crore) from net importer (Rs 1,930 crore) as was the case in 2021-22. Further, the ministry added that, exports of Indian Man-made Fibre (MMF) Textiles have reached $6 billion during 2024-25 as against $5.7 billion during 2023-24.

The CNX Nifty traded in a range of 25,565.30 and 25,259.90. There were 39 stocks advancing against 11 stocks declining on the index. 

The top gainers on Nifty were Shriram Finance up by 3.69%, JIO Financial Services up by 3.05%, Tata Steel up by 2.56%, Bharti Airtel up by 2.54% and Hindalco up by 2.48%. On the flip side, Dr. Reddy's Lab down by 1.31%, Tech Mahindra down by 1.00%, Wipro down by 0.52%, SBI down by 0.50% and Hero MotoCorp down by 0.45% were the top losers. 

European markets were trading higher; UK’s FTSE 100 increased 31.08 points or 0.36% to 8,749.83, France’s CAC rose 24.06 points or 0.32% to 7,582.22 and Germany’s DAX gained 190.84 points or 0.81% to 23,689.17. 

Asian markets ended mostly higher on Thursday with growing expectations that the next Federal Reserve chairman is likely to ease monetary policy earlier than currently anticipated. Japanese shares gained, led by technology shares after artificial intelligence darling Nvidia's record high close overnight amid positive sentiment around AI adoption. However, Hong Kong shares dropped on anxiety ahead of Trump's looming tariff deadline.

Asian Indices

Last Trade            

Change in Points

Change in %      

Shanghai Composite

3,448.45

-7.52

-0.22

Hang Seng

24,325.40

-149.27

-0.61

Jakarta Composite

6,897.40

65.26

0.95

KLSE Composite

1,528.16

8.37

0.55

Nikkei 225

39,584.58

642.51

1.62

Straits Times

3,938.46

12.48

0.32

KOSPI Composite

3,079.56

-28.69

-0.93

Taiwan Weighted

22,492.34

61.73

0.27


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