📈 DAILY MARKET UPDATE – August 5, 2025
🇮🇳 INDIAN MARKET:
✔️ Nifty Levels: Closed at \~24,723 on August 4, rebounding from recent weakness, supported by strong Q1 FY26 earnings and anticipation of the RBI MPC meeting.
✔️ Bank Nifty: Recent sessions show slight weakness in banking names amid mixed sector sentiment; broader index down \~0.35% last week.
✔️ FIIs & DIIs: FIIs have been net sellers for 11 consecutive sessions, continuing foreign outflows. DIIs remain modest buyers, trying to support sentiment.
✔️ Sector Trend: Mid and smallcaps outperforming largecaps. Metal and Realty sectors showing strength, while IT and FMCG lag.
✔️ Volatility: Premarket cue from GIFT Nifty down \~40 points suggests possible caution in early trade .
✔️ Options Data: Expect resistance near 24,800–25,000 zone; support around 24,400–24,500. Recently, implied volatility has been retreating—calls and puts both easing, but skew shows bias toward downside protection.
✔️ Stock Setups to Watch: Q1 earnings catalysts from Bharti Airtel, Adani Ports, Prestige Estates, Bharti Hexacom, Lupin could drive individual stock action.
🌍 GLOBAL MARKET:
✔️ US Markets: S\&P 500 and Nasdaq posted strong gains Monday amid soft U.S. payroll data and Fed rate cut expectations: S\&P jumped \~1.5%, Nasdaq \~1.9%—their best in \~3 months.
✔️ SGX Nifty: Pointing to a flat to slightly lower start for Dalal Street (\~24,766) as futures trade cautiously ahead of U.S data and RBI news.
✔️ Crude Oil: Prices remain under pressure on expectations of increased OPEC+ output and lagging demand.
✔️ Dollar Index: Declined sharply amid dollar weakness following U.S. rate cut bets and political turbulence over data credibility.
✔️ Volatility Index (VIX US): VIX spiked above 20 on Friday, then retreated slightly; still elevated due to uncertainty over economic data reliability and political interference in U.S. policy institution.
✔️ Data to Watch Today: U.S. Services and Manufacturing PMI to be released (key triggers for global sentiment). Also U.S. durable goods orders and continued Q2 earnings from companies like Palantir, Tyson Foods, and others .
🎯 Quick Summary:
Indian markets cautiously flat ahead of RBI policy decision; foreign selling persists while domestic flows support. Focus on metals, realty, and potential stock catalysts via earnings.
Global cues broadly positive: U.S. equities surged on weak payrolls, driving rate cut expectations. Dollar weak, oil weak, VIX still elevated.
Key risks/triggers: RBI outcome, U.S. PMI data, corporate earnings both global and domestic, and escalating trade tension headlines.