HOME > MARKETS > MARKET COMMENTARY
  MARKET COMMENTARY
EQUITY
Key gauges end lower amid geopolitical concerns
May-05-2026

Indian equity benchmarks ended on a weaker note on Tuesday as fresh tensions flared in the Strait of Hormuz region and the ceasefire between the US and Iran came under strain. The rupee hitting a record low against the US dollar amid elevated crude prices also made investors cautious. However, markets staged a partial recovery in the latter half as exchange data showed Foreign Institutional Investors (FIIs) turned buyers on Monday, buying equities worth Rs 2,835.62 crore.  

Some of the important factors in trade:

Govt’s net direct tax collection rises 5.12% in FY26: Data released by the Central Board of Direct Taxes (CBDT) showed that the government's net direct tax collections grew 5.12 per cent to over Rs 23.40 lakh crore in 2025-26, but missed the revised target set for the fiscal year that ended March 2026. 

India, Canada begin next round of FTA talks: The report said that India and Canada on Monday started second round of negotiations for a free trade agreement aimed at boosting two-way commerce and investments. 

India most resilient emerging mkt economy: Moody's Ratings said India has been the most resilient large emerging market economy since 2020, and its sizeable forex reserves have helped check currency volatility and reinforce confidence during global shocks. 

US President’s aggressive trade strategy diminishes relevance of IPEF: The Global Trade Research Initiative (GTRI) has said that the Indo-Pacific Economic Framework for Prosperity (IPEF), a 14-member grouping including India, the US and Australia, is becoming less significant due to US President Donald Trump's aggressive trade strategy. 

Global front: European markets were trading mostly in green as investors reacted to some corporate earnings news. Asian markets ended mostly higher despite rising tensions in the Middle East and efforts to reopen the Strait of Hormuz. 

Finally, the BSE Sensex fell 251.61 points or 0.33% to 77,017.79 and the CNX Nifty was down by 86.50 points or 0.36% to 24,032.80.

The BSE Sensex touched high and low of 77,151.33 and 76,515.03, respectively. There were 12 stocks advancing against 18 stocks declining on the index.  

The top gaining sectoral indices on the BSE were FMCG up by 0.61%, Auto up by 0.53%, Power up by 0.50%, Capital Goods up by 0.43% and Telecom up by 0.41%, while Realty down by 1.38%, Consumer Durables down by 0.62%, Bankex down by 0.58%, Energy down by 0.42% and Oil & Gas down by 0.27% were the top losing indices on BSE.

The top gainers on the Sensex were Mahindra & Mahindra up by 3.41%, Ultratech Cement up by 1.58%, Bajaj Finserv up by 1.08%, Bajaj Finance up by 0.87% and Infosys up by 0.80%. On the flip side, ICICI Bank down by 1.53%, Eternal down by 1.37%, Tech Mahindra down by 1.28%, Axis Bank down by 1.20% and Bharti Airtel down by 1.08% were the top losers.

Meanwhile, the data released by the Central Board of Direct Taxes (CBDT) has showed that government's net direct tax collections (including corporate and non-corporate tax) for the fiscal year 2025-26 (FY26) increased by 5.12% to over Rs 23.40 lakh crore as compared to Rs 22.26 lakh crore collected in FY25. However, this figure fell short of the revised budget target set for the fiscal year that ended March 2026.

In the revised estimates (RE) for FY26, the government lowered the direct tax collection target to Rs 24.21 lakh crore. The original budget estimate was set at Rs 25.20 lakh crore. This included a corporate tax of Rs 11.09 lakh crore and personal income tax (including STT) of Rs 13.12 lakh crore. Net corporate tax mop-up was Rs 10.99 lakh crore, and personal income tax, including Securities Transaction Tax, was about Rs 12.41 lakh crore.

The issuance of refunds dipped slightly by 1.09% to Rs 4.71 lakh crore in 2025-26. Gross direct tax collection during the recently concluded fiscal stood at about Rs 28.12 lakh crore, registering a 4.03% increase compared to Rs 27.03 lakh crore in FY25.

CNX Nifty touched high and low of 24,081.70 and 23,882.05, respectively. There were 16 stocks advancing against 34 stocks declining on the index.

The top gainers on Nifty were Mahindra & Mahindra up by 3.68%, Ultratech Cement up by 1.54%, Hindalco up by 1.37%, Bajaj Finserv up by 1.16% and HDFC Life Insurance Company up by 1.13%. On the flip side, ICICI Bank down by 1.57%, Coal India down by 1.48%, JIO Financial Services down by 1.48%, Tech Mahindra down by 1.39% and Axis Bank down by 1.36% and were the top losers. 

European markets were trading mostly in green; France’s CAC rose 46.98 points or 0.59% to 8,023.10 and Germany’s DAX gained 242.13 points or 1.01% to 24,233.40, while UK’s FTSE 100 decreased 110.82 points or 1.07% to 10,253.11.

Asian markets ended mostly higher on Tuesday. Major Asian stock markets, including Japan, China, and South Korea wee closed for public holidays, resulting in thin regional trading. Indonesian shares rose, supported by April inflation easing to 2.42%, the lowest since August 2025 and comfortably within Bank Indonesia’s 1.5%-3.5% target, despite caution ahead of Q1 GDP data releases later today. However, some gains were tempered by renewed strikes on maritime targets near the Strait of Hormuz and damage to port facilities across parts of the Gulf, marking the most serious flare-up since a fragile ceasefire was reached several weeks ago.

Asian Indices

Last Trade            

Change in Points

Change in %      

Shanghai Composite

--

--

--

Hang Seng

25,898.61

-197.27

-0.76

Jakarta Composite

7,057.11

85.16

1.21

KLSE Composite

1,747.43

7.66

0.44

Nikkei 225

--

--

--

Straits Times

4,920.61

-3.70

-0.08

KOSPI Composite

--

--

--

Taiwan Weighted

40,769.29

64.15

0.16
  RELATED NEWS >>
Most Viewed >>
EXPLORE
© CITRUS INTERACTIVE
Designed & Developed Accord Fintech Pvt. Ltd.