Daily Finance Pulse India - 08 September 2025
Indian stock market set for a positive start on September 8 amid improving India-US and India-China relations, recent GST tax cuts, and a global backdrop of mixed signals. Exchanges are open for trading today. Sentiment: neutral to slightly bullish.
1/10
Nifty rises above 21-DMA as India-US ties thaw
08 Sep 2025 · Nifty closed above its 21-day moving average at 24,700 after a recovery session. Mixed sectoral performance and foreign investor outflows persisted, but domestic buying and diplomatic progress with the US may support market momentum.[1]
Impact: Indian equities may see further upside if positive diplomatic signals materialize.
2/10
GST slab rationalization drives consumption optimism
07 Sep 2025 · Anticipation of GST Council rate cuts has buoyed consumer sectors; banking and metals led gains. Investors await GST meeting outcome for next direction.[2]
Impact: GST changes could boost consumption-driven stocks if enacted.
3/10
Modi-Xi summit and GST cuts raise hopes for EM rebound
07 Sep 2025 · Indian equities underperformed EM peers (Nifty +4.6% YTD vs MSCI EM +19%). Modi-Xi meeting and GST rate cuts spark optimism for foreign investment and trade benefits.[3]
Impact: Improved China ties and tax cuts may attract global capital back to India.
4/10
India-China rapprochement offsets US tariff pressure
07 Sep 2025 · Indian stocks lag global peers due to US tariffs and weak earnings. Analysts say improved Sino-Indian ties and new tax cuts could reverse recent fund outflows and support resilience against US tariff hikes.[4]
Impact: Warming China-India relations may cushion Indian equities from US trade actions.
5/10
Auto and metals outperform; IT and FMCG lag
08 Sep 2025 · Nifty Auto, Metal, and Media indices posted gains, while IT, FMCG, and Realty sectors declined. Eicher Motors and M&M led gains; ITC and Cipla among top losers.[1]
Impact: Sector rotation in play; watch for continued auto and metal strength.
6/10
Foreign investors remain net sellers in Indian equities
08 Sep 2025 · Foreign institutional investors sold Indian shares on Friday, extending a 2025 YTD net withdrawal of $16 billion. Domestic investors provided buying support.[1][3]
Impact: Domestic inflows are stabilizing markets despite persistent foreign outflows.
7/10
Nifty technicals show hidden bullish divergence
07 Sep 2025 · Technical analysis reveals a reversal from negativity for Nifty, with a rally above 24,500 and resistance at 24,750. Hourly RSI signals positive divergence.[2]
Impact: Short-term traders may find bullish setups in Nifty.
8/10
Global investors eye GST Council outcome for India allocation
07 Sep 2025 · Market experts say GST reforms and diplomatic progress could halt or reverse the decline in India's weight in EM portfolios, boosting foreign investment flows.[4]
Impact: GST Council decisions may trigger reallocation to Indian markets.
9/10
Forex: Rupee stable as India-China ties improve
07 Sep 2025 · Indian rupee remained stable against major currencies, supported by positive sentiment on China ties and limited foreign outflows.[3][4]
Impact: Stable rupee enhances market confidence and import cost stability.
10/10
Commodities: Oil prices decline on global slowdown fears
08 Sep 2025 · Global oil prices fell, reflecting concerns over slowing growth and demand. Indian energy stocks watched for impact.[5]
Impact: Lower oil prices could ease inflation risks for India.