India Daily Market Briefing on 05 Sep 2026
Saturday, 5 September 2026 | Developments through Friday, 4 September
Sensex gained 362.57 points (+0.48%) to 76,515.43, while Nifty rose 24.25 points (+0.10%) to 23,897.70. Metals, oil & gas and private banks led the recovery, but the weak close near intraday lows keeps the setup cautious.
Market SetupImmediate support is seen around 23,800–23,750, followed by 23,600. A sustained move above 24,000–24,200 would improve momentum; failure there keeps the market vulnerable to further selling.
Technical LevelsFIIs sold ₹3,111.94 crore on September 4 while DIIs bought ₹8,930.12 crore. Year-to-date FII selling is around ₹3.57 lakh crore, highlighting the importance of domestic institutional support.
FII / DII FlowsSEBI is reviewing derivative settlement-price methodology after expiry-day volatility under the new CAS mechanism. Any changes could affect exchanges, brokers and market intermediaries.
RegulationSEBI has cleared NSE's long-awaited IPO. The OFS involves about 14.89 crore shares (~6%), with the issue potentially raising around ₹30,000 crore.
IPO / Capital MarketsFosun Pharma sold about 99 lakh shares for ₹2,121.5 crore, acquired by institutional investors at roughly ₹2,826.60/share. The transaction increases near-term supply while improving liquidity.
Block DealBNP Paribas and Goldman Sachs acquired more than ₹1,041 crore of Swiggy shares through open-market transactions, making institutional ownership and liquidity key sentiment indicators.
Institutional ActivityIndian Energy Exchange traded 13,938 MU in August, +20.2% YoY. India's power consumption rose 12.85% to 169.01 BU, supporting the exchange's core electricity volumes.
Power SectorUnited Breweries aims to expand EBITDA margins from high single digits to low-to-mid teens over the medium term. Premiumisation is the key potential earnings lever.
Margin ExpansionShadowfax plans to onboard 1,000 channel partners across Tier-I and Tier-II cities over three years, targeting SMEs and offline-first businesses.
LogisticsOla Electric shares fell more than 3% ahead of its September 5 board meeting. Investors will focus on the size, funding instrument and potential dilution.
FundraisingHCLTech fell 1.24% to ₹1,294 on September 4 and is down roughly 18.75% YTD. Global IT spending and valuation remain important stock drivers.
IT SectorReliance Industries rose to around ₹1,322. Its latest reported quarterly profit was approximately ₹20,946 crore, keeping the heavyweight important for Nifty direction.
Nifty HeavyweightTata Steel gained 2.91% to ₹189 on September 4. Global commodity prices and Chinese demand remain important variables for the metal sector.
MetalsPassenger-vehicle sales jumped 36% YoY to 448,319 units in August. Tata Motors PV sales rose 59%, Mahindra 50% and Maruti domestic PV sales 34.8%.
Auto / ConsumptionIndia's economy expanded 7.8% in Q1 FY27, ahead of the RBI's 7% expectation, supported by consumption, investment and manufacturing. Oil prices and global demand remain key risks.
GDP GrowthIndia's August manufacturing activity slowed to its weakest level in five years as domestic and export demand weakened. Employment also contracted, creating a warning signal for industrial momentum.
ManufacturingServices PMI rose from 53.3 to 54.1 in August, while employment growth reached a 15-month high. Competition and subdued bookings remain concerns.
ServicesIIP expanded 6.7% YoY, with manufacturing at 7.3% and electricity at 8.7%. Mining contracted 0.9%, while electrical equipment and autos recorded strong growth.
Industrial GrowthAugust gross GST collections reached ₹1.9985 lakh crore, +14.8% YoY. Net collections increased 8.3% to ₹1.68 lakh crore, supporting fiscal stability.
Tax RevenueIndia's foreign-exchange reserves reached a record $740.80 billion for the week ended August 28. The large buffer strengthens the RBI's ability to manage rupee volatility.
Forex / RBISeptember rainfall is running below normal, creating risks for cotton, soybean, rice, corn and pulses. Food inflation was already 5.52% in July, potentially limiting RBI policy flexibility.
Monsoon / InflationUS payrolls increased 162,000 in August versus about 56,000 expected, while unemployment remained at 4.1%. Higher-rate expectations pushed Treasury yields up and could pressure emerging-market flows.
US Fed / Global LiquidityRenewed US-Iran tensions pushed Brent toward $92–96/barrel. Sustained crude above $90 can pressure India's inflation, current account, rupee and corporate margins.
Crude Oil / India RiskUS stocks ended lower: S&P 500 -0.38%, Nasdaq -0.29%, Dow -0.51%. Next week's US PPI/CPI, ECB meeting and elevated Japanese bond yields could determine global risk appetite.
Global MarketsBias: cautiously positive, but not a confirmed trend reversal. Nifty 24,000–24,200 is the key decision zone. Above this range, momentum can improve. Below it, 23,800 → 23,600 remains the important downside map. Key external risks are crude near $95, Fed-rate expectations and continued FII selling, while strong GDP, GST, auto demand and record forex reserves provide domestic support.
About C K Mehta
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