Stock Market Today: Sensex at 80,570, Nifty at 24,683

Sensex crosses 80,500 and Nifty nears 24,750 on GST relief hopes, robust GDP data, and auto sales boost

The Indian stock market begins the new week with strong momentum and renewed optimism. On September 2, 2025, both the Sensex and Nifty move higher in early trade, supported by encouraging economic signals, strong corporate updates, and expectations from the upcoming Goods and Services Tax (GST) Council meeting. The broader mood on Dalal Street turns positive as investors look forward to possible tax reliefs and sectoral benefits.

Market Indices Show Strength

The BSE Sensex starts the day with a sharp rise, gaining more than 300 points in early trading. This marks the second straight session of upward movement for the benchmark index. At 9:15 a.m. IST, the Sensex stands at 80,530.12, showing a gain of 0.20 percent. At the same time, the Nifty 50 trades at 24,668.30, up 0.16 percent.

Just a minute later, at 9:16 a.m. IST, the indices advance further. The Nifty climbs to 24,683.50, which means an increase of 58 points or 0.24 percent. The Sensex rises to 80,570.67, up by 206 points or 0.26 percent. These levels indicate that the market is gradually regaining confidence after a phase of correction. The rebound is largely linked to recent economic data and hopes that the GST Council will announce tax cuts.

Optimism from the GST Council Meeting

The GST Council is scheduled to meet between September 3 and 4, and anticipation around its decisions drives market sentiment. Investors expect the council to approve consumption tax cuts of about 10 percentage points across nearly 175 products. These include shampoos, hybrid cars, and several consumer electronic items. If these proposals go through, it could directly reduce prices for consumers and push demand higher.

Such expectations act as a major driver of stock market optimism. The prospect of lower tax rates on key consumer and auto products strengthens buying in related sectors. Market participants believe that tax relief could not only boost sales but also give much-needed relief to companies struggling with high costs and subdued margins.

Economic Indicators Add Confidence

Adding to the optimism is India’s latest GDP data, which comes in better than expected. The improved growth numbers reassure investors that the Indian economy continues to expand at a healthy pace, despite global challenges. A strong GDP reading provides confidence that corporate earnings may improve in the coming quarters.

This positive economic backdrop is especially important because the market recently went through a period of selling pressure. The fresh GDP data helps ease concerns about growth slowdown, giving investors more reasons to return to equities.

Global Factors Support the Rally

Global cues also play an important role in today’s rally. In the United States, a court ruling declares most of the tariffs imposed during Donald Trump’s presidency illegal. Even though the ruling allows tariffs to remain in place until mid-October, it reduces overall trade concerns. Investors worldwide welcome the possibility of reduced trade restrictions, which can benefit export-oriented economies like India.

With global sentiment slightly improving, Indian equities find further support. This combination of domestic optimism and better global cues creates a strong backdrop for the ongoing rally.

Reliance Industries Leads the Way

Among individual companies, Reliance Industries Limited emerges as a top gainer. The stock climbs 1.5 percent in early trade. Market analysts attribute this to upbeat projections and renewed optimism around the company’s diverse businesses. Under Mukesh Ambani’s leadership, Reliance remains one of the most watched and influential stocks on the Indian market, and its movement often sets the tone for broader indices.

At the same time, foreign institutional investors continue to remain cautious. They sell shares worth Rs. 14.3 billion in the Indian market. This selling pressure is driven by concerns about US tariffs, muted earnings forecasts, and high valuations of Indian equities. However, strong domestic buying more than offsets this outflow for now, keeping the market in positive territory.

Sectoral Performance Brings Broad Gains

All 16 major sectors in the market open with modest gains, showing that the rally is not limited to a few heavyweights. Mid-cap and small-cap stocks perform even better, with gains of about 0.4 to 0.5 percent. This indicates that the broader market is participating in the uptrend, which is often a sign of strength and sustainability in a rally.

Sectors linked to consumer demand, automobiles, and infrastructure appear especially strong, reflecting the optimism surrounding GST decisions and better economic numbers. With gains spread across industries, the overall tone of the market becomes more balanced and less dependent on a handful of large companies.

Automobile Sector Sees Positive Momentum

The automobile sector contributes significantly to today’s gains. Hero MotoCorp reports an 8 percent year-on-year increase in August dispatches. Its electric brand, VIDA, continues to capture more market share, strengthening the company’s position in the rapidly expanding electric vehicle segment. This performance boosts investor confidence in auto stocks.

Tata Motors, another major auto player, comes into focus after an IT security incident at its Jaguar Land Rover unit in the UK. The company reports that it is working on resolving the issue. Despite this concern, optimism around the domestic auto sector remains strong due to better sales figures and expectations of GST cuts on hybrid cars.

Defense Stocks in the Spotlight

Defense sector stocks also stay active in today’s trade. Bharat Electronics Limited announces that it has secured fresh orders worth Rs. 6.44 billion since July 30. This development underlines the strong order book for defense companies and boosts investor confidence in the sector. The company’s new contracts highlight the increasing focus on defense spending and local manufacturing under government policy.

Investor Sentiment and Market Outlook

Investor sentiment remains broadly positive today. The combination of strong GDP growth, hopes of GST relief, and better-than-expected auto sales supports the bullish outlook. Analysts suggest that the market has looked oversold in recent weeks, and the current rally could be the beginning of a healthier phase.

However, concerns remain in the background. Global trade uncertainties, foreign investor selling, and stretched valuations of Indian equities are factors that could create volatility in the short term. Investors continue to keep a close watch on the upcoming GST Council meeting and global developments, especially the fate of US tariffs.

Final Thoughts

On September 2, 2025, the Indian stock market shows a clear upward trend. The Sensex rises above 80,500 and the Nifty trades close to 24,750 in morning deals. Gains are driven by optimism surrounding the GST Council meeting, which may cut taxes on nearly 175 products. Strong GDP data and encouraging auto sales also add strength. Reliance Industries, Hero MotoCorp, and Bharat Electronics lead the list of gainers. Mid-cap and small-cap stocks outperform, reflecting broad-based market participation.

The overall picture remains positive, but caution lingers due to foreign investor outflows and global uncertainties. As the market moves into the afternoon session, the focus remains firmly on domestic policy decisions and international trade developments.