IGI Logo

Indian equity markets are likely to make cautious start on Friday amid mixed global cues. Traders are likely to remain cautious after U.S. President has ruled out any possibility of trade negotiations with India. Additionally, ongoing selling by foreign portfolio investors (FPIs) is likely to weigh on markets' sentiments.

Some of the key factors to be watched:

Organic Chemicals, Apparel, Jewellery, Shrimp exports may dip 50-70% due to trump tariff: Think Tank GTRI said that the imposition of a 50 percent US tariff on Indian goods will impact exports of nine product categories, including shrimp, organic chemicals, apparel, and jewellery by 50 to 70 percent.

India's electronics exports jump over 47% to $12.4 billion in Q1 FY26: The data released by India Cellular and Electronics Association (ICEA) showed that India's electronics exports surged over 47 percent year-on-year to $12.4 billion in the first quarter of fiscal year 2025-26, driven by a robust performance in the mobile phone segment. 

Brazil, India agree to enhance co-operation in trade, technology, defence, agriculture: Prime Minister's Office (PMO) said that Prime Minister Narendra Modi had talked with Brazilian President Luiz Inacio Lula da Silva, and the two leaders agreed to enhance cooperation in trade, technology, energy, defence, agriculture, health, and people-to-people ties.

GJEPC seeks policy reforms to tackle US tariff impact: Gems and Jewellery exporters' body GJEPC has urged the government to bring in immediate policy reforms to support the industry, which is facing challenging times due to a steep 50 percent tariff imposed by the US on all Indian goods.

SEBI mulls introducing activity-based rules for RTAs: SEBI has proposed introducing activity-based regulation for Registrars and Transfer Agents (RTAs), whereby services provided to listed companies would fall within its regulatory ambit and those for unlisted firms would be overseen by the Ministry of Corporate Affairs.

On the global front: The U.S. markets ended mostly in red on Thursday, after President Donald Trump announced a 100 percent tariff on imports of semiconductors and chips but said companies that are building in the United States would be exempt. Asian markets are trading mixed on Friday, following a choppy session on Wall Street.

Back home, Indian equity benchmarks staged a remarkable recovery, with both benchmarks ending marginally higher on Thursday, mainly due to buying in the last hour of trade, even as US President Donald Trump slapped an additional 25 per cent duty on Indian goods, which weighed on investor sentiment. The market's recovery was primarily driven by strong buying interest in IT, Healthcare and TECK stocks. Finally, the BSE Sensex rose 79.27 points or 0.10% to 80,623.26 and the CNX Nifty was up by 21.95 points or 0.09% to 24,596.15.     

Some of the important factors in trade: 

Services firms maintain positive outlook on demand conditions in Q2:2025-26: The Reserve Bank of India (RBI) in its quarterly Services and Infrastructure Outlook Survey for Q1:2025-26 has found that services sector enterprises assessed improvement in the overall business situation, employment conditions and their turnover during Q1:2025-26. 

RBI issues revised directions on co-lending arrangements: The Reserve Bank of India (RBI) has issued revised directions on co-lending arrangements (CLA) to provide specific regulatory clarity on the permissibility of such arrangements and address some of the prudential as well as conduct-related aspects. 

Auto stocks in watch: Federation of Automobile Dealers Associations (FADA) has said that domestic automobile retail sales declined 4 per cent year-on-year in July amid drop in demand for passenger vehicles and two-wheelers. Overall registrations dropped to 19,64,213 units in July, as compared to 20,52,759 units in July 2024.

Above views are of the author and not of the website kindly read disclaimer