Summary of this article
Market Wrap:
Sensex gained 418.81 points and Nifty 50 rose 157.40 points amid broad-based buying.
Nifty Midcap 100 and Nifty Smallcap 100 climed 1.40 per cent and 1.27 per cent, respectively.
Nifty Metal emerged as top sectoral gainer, surging 2.48 per cent, led by gains in Tata Steel and SAIL.
Key Market Cues To Watch Ahead:
As many as 152 companies, including Adani Ports and Lupin, to report Q1 FY26 results.
Investors will be watching any escalation in the US-Russia tensions
The upcoming RBI MPC decision expected later in the week will be closely tracked.
Aditya Infotech IPO and Laxmi India Finance IPO to debut NSE and BSE on August 5.
Stock Market Closing Bell: After five weeks of persistent selling, domestic equities found some relief on August 4 as investors assessed developments around India-US trade deal, US Federal Reserve's policy outlook following weaker-than-expected labour market data, and Reserve Bank of India’s (RBI) policy decision expected later this week. Index heavyweight Reliance Industries, metal stocks and auto stocks contributed the most in pulling the market higher, helping it recover some ground.
The broader market outperformed the benchmarks as the Nifty Midcap 100 rose over 1.40 per cent, and the Nifty Smallcap 100 climbed 1.27 per cent. The Nifty 500 and the Nifty Microcap 250, which tracks the top 250 most valued and liquid stocks beyond the Nifty 500 constituents, also rose 0.82 per cent and 0.55 per cent, respectively.
Metals Lead Rally
Metal stocks stole the show as the Nifty Metal index jumped 2.48 per cent on hopes of better earnings and a boost in capex spending. Tata Steel and Steel Authority of India Ltd (SAIL) led pack, climbing over 4 per cent each. “Capex is the growth engine for our country, and we are expecting capex to increase further,” SAIL said in its Q1 FY26 earnings conference call.
The Nifty Auto index also gained 1.61 per cent following strong monthly auto sales and quarterly results from auto majors.
“A weakening US dollar, along with robust monthly auto sales and encouraging quarterly results from leading automakers, helped renew investor interest in these sectors,” said Vinod Nair, head of research, Geojit Investments explained.
Realty, auto and IT stocks followed, with their respective Nifty indices rising 1.77 per cent, 1.61 per cent and 1.60 per cent. PSU banks and consumer durables also saw gains of over 1 per cent each. On the other hand, FMCG and financial services indices slipped marginally, ending the day down 0.10 per cent and 0.06 per cent, respectively.
Sensex, Nifty 50: Top Gainers And Losers
Among Sensex’s 30 stocks, Tata Steel, Bharat Electronics, Adani Ports, Tech Mahindra, Tata Consultancy Services (TCS), Bharti Airtel, and HCL Technologies were the top gainers, rising between 1.5 per cent and 4.5 per cent. On the other hand, Power Grid, HDFC Bank, ICICI Bank, Hindustan Unilever were among the top losers, slipping between 0.25 per cent and 1 per cent.
From the Nifty 50 pack, Hero MotoCorp rose 5.18 per cent, emerging as the top gainer, followed by Tata Steel, Adani ports, Bharat Electronics, JSW Steel and Grasim industries. Dragging the index the most were Power Grid, HDFC Bank, ONGC, Apollo Hospitals, ICICI Bank, and Hindustan Unilever.
Key Market Cues For Tomorrow, August 5
Here are the key market cues likely to impact the action on the Dalal Street in session on August 5, 2025.
Russia-US Spar
Tensions between the US and Russia heated up last week after US President Donald Trump said he had ordered two nuclear submarines to be deployed in response to remarks made by Former President of Russia, Dmitry Medvedev.
Medvedev, on July 31, had warned Trump to “remember that Moscow possessed Soviet-era nuclear strike capabilities of last resort,” after Trump earlier told him to “watch his words.”
Responding to this, Trump wrote on Truth Social, “I have ordered two nuclear submarines to be positioned in the appropriate regions, just in case these foolish and inflammatory statements are more than just that.” He added, “Words are very important, and can often lead to unintended consequences, I hope this will not be one of those instances.”
Investors will be keeping a close eye on the situation if fears of further escalation grow.
RBI MPC Meeting August 2025
The RBI monetary policy committee’s (MPC) meeting started today and will end on August 6, after which the RBI Governor Shaktikanta Das will be announcing the MPC’s decision on interest rates.
Investors will be watching for updates on how the US tariffs will impact the central bank’s rate-setting panel’s outlook on the country’s economic growth and inflation.
Q1 FY26 Results
As many as 152 companies listed on the Bombay Stock Exchange (BSE) are set to report their quarterly results for the period ended June 30, 2025 (Q1 FY26). Among the big names are Adani Ports, Bharti Airtel, Berger Paints, Britannia Industries, Container Corporation of India (Concor), Exide Industries, Gland Pharma, Gujarat Gas, Lupin, Prestige Estates, Torrent Power, and Vaibhav Global.
Along with these, investors will also be reacting to earnings released by companies post-market today.
IPO Listings On August 5
The Rs 1300 crore-Aditya Infotech IPO and the Rs 254 crore-Laxmi India Finance IPO are set to debut on both the NSE and BSE on August 5, 2025. The allotment of their shares were finalised on August 1, 2025.
