Nifty gains 0.48% as late buying lifts Indian equities

Indian equities recovered in late trade after a volatile session around the monthly derivatives expiry. Traders attributed the rebound to selective buying in large-cap industrial, infrastructure, aviation, healthcare and finance names, alongside easing crude prices and a stronger rupee. Foreign institutional investors were net buyers of Rs 1,593.53 crore and domestic institutions bought Rs 230.26 crore, according to NSE data.

Adani Enterprises, InterGlobe Aviation, Max Healthcare, Apollo Hospitals and Adani Ports were among the leading Nifty gainers. The reported move in Adani Enterprises was part of a broader rise in selected Adani Group counters, while aviation and healthcare provided additional index support. The material does not identify a single company-specific trigger for all of these gains.

The sector pattern pointed to selective rather than broad-based risk-taking. Infra and industrial shares benefited from strength in capital goods and electrical equipment, while aviation and logistics names also advanced. Consumer durables gained, but the available material does not provide a specific trigger for that sector. NBFC and capital-market-linked names such as Shriram Finance, Paytm and Angel One were firm, although HDFC Life declined, leaving the wider financial picture mixed.

The Reserve Bank of India’s August bulletin said domestic demand remained resilient, with manufacturing and services activity sustained and monsoon recovery reducing some agricultural risks. The bulletin said June industrial production grew 7.3% year-on-year and manufacturing output rose 7.8% year-on-year.

The same bulletin reported July merchandise exports of $44.2 billion, up 19.6% year-on-year, and imports of $76.2 billion, up 17.5% year-on-year. The trade deficit widened to $32 billion from $27.9 billion a year earlier and $30.4 billion in June, with the bulletin pointing to a higher electronics deficit. This supports the domestic-growth narrative but leaves the external balance exposed to import costs and energy prices.

The RBI’s August Monetary Policy Committee minutes recorded a unanimous decision to keep the repo rate at 5.25% and retain a neutral stance. The committee projected FY27 GDP growth at 6.7% and CPI inflation at 5.0%, while noting inflation risks from food, fuel, oil prices and monsoon uncertainty. The policy implication is a continued wait-and-watch stance rather than an immediate change in borrowing conditions.

The RBI also conducted a two-day variable-rate reverse-repo auction on August 25. It accepted Rs 98,516 crore at a cut-off and weighted-average rate of 5.24%, against a notified amount of Rs 1.75 lakh crore. The operation indicates active management of liquidity conditions, although the available material does not establish a direct equity-market effect.

SEBI-related reporting said the regulator is considering changes to collateral requirements in cash equities and longer-dated derivatives, based on comments from three regulatory sources. Separately, SEBI’s published circular list showed August 24 items on cyber-incident reporting and an IT resilience index for market infrastructure institutions. The proposed trading reforms could matter for foreign participation and market structure, but they were described as planned measures rather than implemented changes.

The RBI bulletin’s macro assessment provided a relatively supportive domestic backdrop, but global risk remained relevant. Reuters reported that US Treasury yields fell for a second session as investors considered Treasury buybacks and lower oil prices. The US 10-year yield fell to 4.625% and Brent crude settled at $88.58 a barrel after a decline linked to the latest US sanctions on Iran.

US equities advanced on August 25 as investors awaited Nvidia’s results and upcoming economic data. Asian markets were mixed, with technology shares under pressure in parts of the region ahead of Nvidia’s earnings. For India, lower crude prices reduce some pressure on the import bill and inflation expectations, while softer US yields can ease the relative pressure on emerging-market assets. Those are possible implications, not established causes of the domestic close.

The rupee strengthened to a provisional close of Rs 95.46 per dollar. Reports attributed the currency’s narrow trading range to likely RBI intervention, sustained corporate dollar demand, a weaker greenback and lower crude prices. The currency move supported sentiment in the session, although the available material does not quantify its effect on individual sectors.

Corporate developments were concentrated in infrastructure, mining, logistics and financial markets. Afcons Infrastructure received an arbitral award of Rs 335.50 crore in its favour against the Uttar Pradesh Expressways Industrial Development Authority. Coal India incorporated CIL Global Pte Ltd in Singapore to explore overseas critical-mineral opportunities and manage overseas investments.

Aegis Logistics signed a Rs 525 crore business-transfer agreement with its step-down subsidiary for a specialised ammonia-storage terminal at Pipavav Port, with static capacity of 36,000 MT. HEG said its demerger would take effect on September 1, with a record date of September 7, and also announced leadership changes linked to the scheme. Sudarshan Chemical Industries said it would acquire an aluminium-dyes plant from Clariant.

The available research does not provide company consensus estimates or prior guidance for these announcements, so an expected-versus-reported comparison is not available. The reported items are nevertheless relevant to the industrial and logistics complex because they involve project awards, overseas expansion, asset transfers and corporate restructuring rather than quarterly earnings.

Primary-market activity remained active. Augmont Enterprises’ Rs 825 crore IPO closed on August 25, combining a Rs 620 crore fresh issue with a Rs 205 crore offer for sale; its tentative listing date is August 31. Hy-Tech Engineers’ IPO opens on August 26 and closes on August 27, with listing scheduled for September 1.

The day’s disclosed secondary transactions included a proposed sale by Ribbit Capital of up to 98.2 million Groww-parent shares, representing about 1.6% of existing shares, at a floor price of Rs 195 each. The proposed sale is entirely secondary, so the company would not receive proceeds. The available material also records purchases in Rama Steel Tubes, Sunshine Pictures and Shankesh Jewellers, among other bulk or block transactions.

No notable results due were identified in the available material.