On July 1 2025 the Indian stock market today displayed a subdued yet positive close. The Sensex rose 90.83 points or 0.11 percent to end at 83697.29 while the Nifty 50 settled 24.75 points higher or 0.10 percent at 25541.80. The Nifty traded quietly within a narrow range after last week’s rally with most indices witnessing muted swings. Market breadth was mixed as traders turned cautious amid consolidation and thin volumes. Trading activity was lower with NSE cash turnover down by 7 percent versus the previous day. The Indian Rupee gained 23 paise to close at 85.52 versus the US Dollar supported by positive Asian sentiment and dollar weakness.

Sector Performance Highlights
Banking stocks witnessed mild movements. IDFC First Bank was among the strongest performers in the banking space, surging 5 percent following a broker upgrade and target hike. Broader banking indices showed limited upside as investors weighed sector valuations.

The IT sector underperformed the headline indices. IT companies lagged behind as focus remained on domestic cyclicals and selective manufacturing plays. This sector closed on a soft note which contributed to the overall subdued tone of the market.

The auto sector witnessed notable activity. Gabriel India was the standout performer hitting its 20 percent upper circuit after unveiling a major restructuring to accelerate growth. This announcement sparked enthusiasm among auto sector participants with expectations of better operational efficiencies from upcoming demergers.

Pharmaceutical stocks were mixed. Apollo Hospital belonged to Nifty’s top gainers on strong stock-specific momentum while the broader pharma segment saw lackluster movement. Investors remained selective as earnings visibility remained in focus for the sector.

Top 5 Gainers in Nifty 50
Bharat Electronics Up 4.5%
Gabriel India Up 20.0%
IDFC First Bank Up 5.0%
Apollo Hospital Up 3.2%
Reliance Industries Up 1.1%

Top 5 Losers in Nifty 50
Nestle India Down 2.1%
Axis Bank Down 1.8%
Shriram Finance Down 1.5%
Asian Paints Down 0.9%
ITC Down 0.7%

Latest Data on FII DII Net Flows
On July 1 2025 foreign institutional investor (FII) flows remained muted as concerns around US monetary policy and trade tariffs lingered. There was no significant net selling by FIIs owing to sustained dollar weakness. Domestic institutional investors (DII) continued selective buying which helped cushion the market from any sharp losses. For further breakdown on institutional flows visit SEBI’s official data portal.

Key Macro-Economic and Global Drivers
The HSBC India Manufacturing PMI surged to a 14-month high of 58.4 in June, marking robust expansion in production, new orders and job additions signaling strong domestic momentum. Global equity sentiment remained broadly constructive as the US stock market set fresh records while geopolitical concerns from West Asia faded. Traders are closely monitoring US Federal Reserve policy signals for further direction. The continued weakness of the US Dollar Index (now at 96.81) supports foreign inflows into emerging markets like India. Uncertainty regarding potential India-US trade deals and the implications of Donald Trump’s tariff policies also weighed on risk appetite across Dalal Street.

What to Watch Next
The next trigger for the Indian stock market today will be commentary from the US Federal Reserve Chair. Any hints on rate direction or quantitative tightening can sway global risk sentiment. Investors should track the upcoming results season for cues on corporate earnings growth especially from lagging sectors like IT and consumer staples. Market focus will sharpen on any breakthrough or setbacks in India-US trade talks as tariff developments could influence export-oriented stocks. Monitor sector rotation trends as defensive and cyclical names compete for leadership in the next phase of the rally.