Stock Market Today: Indian Equities Start the Week Strong

IT, banks & energy stocks lead, GDP growth at 7.8% boosts sentiment

The Indian stock market begins the new week on a positive note. On Monday, September 1, 2025, both the Sensex and Nifty open higher, supported by strong domestic economic numbers and global developments that bring relief to investors.

At the opening bell, the Sensex climbs by nearly 300 points to trade above 80,100, while the Nifty rises over 100 points to move past 24,500. Around 9:16 in the morning, Nifty stands at 24,502.9, showing a gain of 0.33 percent, and Sensex trades at 80,065.84, up 0.31 percent. Shortly after, the Nifty reaches 24,529, registering an increase of 102 points or 0.42 percent.

Strong GDP Growth Fuels Optimism

The primary reason behind the strong opening is India’s better-than-expected economic growth. The economy grows at an impressive 7.8 percent during the April to June quarter. This is higher than what many experts had predicted and proves that India’s economy continues to show resilience, even when global markets face uncertainties.

This strong performance provides confidence that domestic consumption and industrial activity are holding steady. Such growth also suggests that India remains one of the fastest-growing major economies in the world, which naturally boosts investor sentiment.

Impact of US Court Ruling on Tariffs

Another global factor adding to the cheer is the recent ruling by a US appeals court. The court declares that most of the tariffs imposed during Donald Trump’s presidency are illegal, although they will remain in effect until mid-October.

This decision reduces concerns about escalating global trade tensions. Export-oriented sectors benefit from this news, as reduced tariffs or a possible easing of trade restrictions could support better business opportunities abroad. Indian investors take this as a positive sign, adding momentum to the early market rally.

Sectoral Performance Today

The gains are not limited to a single sector. Information technology stocks lead the rally with the Nifty IT index jumping nearly 1.5 percent. Banking and energy shares also contribute strongly. Public sector banks, metal companies, and consumer durable stocks advance as well.

The only weak spot comes from the FMCG sector, which slips slightly by about 0.1 percent. This makes FMCG the only major index in the red while all others show strength.

Small-cap and mid-cap stocks also participate in the rally. The small-cap index gains around 0.5 percent and the mid-cap index climbs 0.7 percent. This shows that investor interest is spread across large, mid, and small companies, indicating broad-based confidence.

Futures Market Gives Early Signals

Before the market opens, the Gift Nifty futures provide a glimpse of the trading mood. Gift Nifty futures trade in the range of 24,600 to 24,611, pointing to a positive start. At one point, the index shows a gain of about 0.13 percent at 24,610, while another update shows a 60-point rise.

These pre-market signals help traders prepare, and in this case, they prove accurate as the markets open strongly.

Key Companies in Focus

Several companies attract investor attention today. Infosys, Tech Mahindra, Bajaj Finance, Power Grid, HDFC Life, Adani Enterprises, TCS, IndusInd Bank, and Trent see strong buying interest.

Reliance Industries is also in the spotlight. The company announces its plan to double its core profits by 2027. At the same time, it outlines a timeline for the long-awaited initial public offering of Jio Platforms. Both updates keep Reliance at the center of investor discussions.

Power sector firms are active too. Adani Power and Torrent Power win contracts to set up 2,400 MW of coal-based power capacity in Madhya Pradesh. These projects underline India’s continuing demand for energy and the opportunities in infrastructure expansion.

Events to Watch During the Week

While the opening is positive, several upcoming events will shape market direction in the coming days. Auto companies are scheduled to release their August sales data this week. The numbers will give investors fresh insights into demand trends in the automobile sector.

Another key development is Prime Minister Narendra Modi’s participation in the Shanghai Cooperation Organization (SCO) Summit in China. Markets often react to outcomes from such international meetings, especially if there are discussions related to trade or regional partnerships.

The GST Council is also expected to meet, and any changes or policy announcements from this forum can affect market sentiment. In addition, expiry shifts in the derivatives market, currency movements, and flows from foreign institutional investors (FIIs) and domestic institutional investors (DIIs) will remain important triggers.

Last Week’s Weakness and Recovery Signs

The upbeat start today comes after a weak performance last week. The Indian market had fallen nearly 1.8 percent during the previous week, mainly owing to concerns around new US tariffs. That decline had made investors cautious, but the strong GDP data and the latest US court decision now provide reasons for recovery.

Despite today’s rally, traders remain watchful. Technical analysts highlight an inverted hammer candlestick pattern in the Nifty’s daily chart. This formation is often taken as a bearish signal, which suggests that some profit-taking could happen if the rally loses momentum.

Market Summary

The Sensex trades around 80,100 after gaining nearly 300 points, while the Nifty crosses 24,500 with an increase of about 102 points or 0.42 percent. The Nifty IT index rises by almost 1.5 percent, and strong buying is visible in banking, energy, metal, PSU banks, and consumer durables. FMCG is the only major sector showing a small decline of 0.1 percent. Small-cap and mid-cap indices record gains of 0.5 percent and 0.7 percent, reflecting widespread participation.

Key stocks such as Infosys, Tech Mahindra, Bajaj Finance, and Reliance Industries see active trade. Reliance remains in focus due to its ambitious profit-doubling target and IPO plans for Jio. Power sector companies Adani Power and Torrent Power also draw attention after securing significant projects.

Outlook Ahead

The Indian stock market opens September on a positive note with domestic and global factors aligning in its favor. The strong GDP growth rate of 7.8 percent offers a solid foundation, while global relief on the trade front supports the sentiment further.

However, the outlook depends on how upcoming domestic data and global events unfold. Auto sales numbers, the SCO Summit, and GST Council discussions will be watched closely. Technical signals also call for caution, even though the broader trend currently looks positive.

Overall, the first trading session of September sets an optimistic tone, reflecting confidence in India’s growth story and resilience in the face of global uncertainties.