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EquityWireEquity Alert: Nifty 50 Sept ends at 127.65-point premium to spot index
Equity Alert

Nifty 50 Sept ends at 127.65-point premium to spot index

This story was originally published at 15:45 IST on 8 September 2025
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Informist, Monday, Sept. 8, 2025                                      Tel +91 (22) 6985-4000


Equity Alert: Nifty 50 Sept ends at 127.65-point premium to spot index

 

MUMBAI--1536 IST--The September futures contract of the Nifty 50 closed at a premium of 127.65 points to the spot index Monday. Open interest in the contract rose 1.1% to 17.28 million, according to provisional data.

 

--Nifty 50 closed at 24773.15 points, up 32.15 points or 0.1% vs Fri
--Nifty 50 Sept closed at 24900.80 points, up 53.10 points or 0.2% vs Fri

 

Nifty 50 options, expiring Sept. 9, with maximum change in open interest:

Call: 24900, Put: 24800

 

Nifty 50 options, expiring Sept. 9, with maximum open interest:

Call: 25000, Put: 24500

(Akash Mandal)


Equity Alert: Most Europe mkts up; gains thin on French political uncertainty

 

MUMBAI--1451 IST--Most European indices were up in early trade but the gains were capped because of the political uncertainty in France. The pan-European Stoxx 600 was up 0.33%. Germany's DAX was up 0.6% and was the biggest gainer in the region. Switzerland's SLI was the only index in the region that was in the red.

 

France's Prime Minister Francois Bayrou is expected to lose a vote of no-confidence later in the day even as the country struggles to control its debt, Reuters reported. The country also faces the first of many credit rating reviews later this week. France's CAC 40 was up 0.2%.

 

The oil and gas sector was the worst hit in the region due to a rise in crude oil prices on fears of additional sanctions on Russian crude oil. RyanAir fell 2% after Goldman Sachs downgraded the stock. Marks and Spencer rose over 2% after Citi upgraded its rating on the retailer to "buy" from "neutral", Reuters reported. ASML rose 1% on reports that the company is set to become the largest shareholder of French artificial intelligence startup Mistral AI.

 

Following were the levels of major European indices at 1447 IST:

 

INDEX

LEVEL

CHANGE IN %

FTSE 100 Index

9222.60

0.16

CAC 40

7691.72

0.22

MIB INDEX

41693.13

0.21

DAX PERFORMANCE-INDEX

23733.08

0.58

SLI

2021.27

(-)0.29

 

(Akash Mandal)


Equity Alert: Almost all Asian mkts gain, Japanese indices lead the charge

 

MUMBAI--1416 IST--Indices across Asia ended the session higher, with the Australian market being the only exception. Japan's Nikkei 225 and Topix were the top gainers, buoyed by Japanese Prime Minister Shigeru Ishiba's resignation and optimism over his probable replacements Koizumi Shinjiro and Takaichi Sanae.

 

China's CSI 300 closed 0.2% higher. The country's exports to the US plunged 33% in August due to US President Donald Trump's crackdown on trans-shipments and as the impact of frontloading exports waned. The country's overall growth also slowed to its weakest in six months.

 

Hong Kong's Hang Seng rose 0.9% to a two-week high despite Typhoon Tapah being in full force early in the trade, the South China Morning Post reported. JD Logistics surged 3.4% after the company was added to the Hang Seng index in the latest quarterly reshuffle, the report said. Search engine operator Baidu jumped up 10% on plans to issue yuan-denominated unsecured notes in the offshore market.

 

Australia's S&P/ASX 200 closed 0.2% lower as fall in  the energy, industrials, and financials sectors weighed on the market. AUB Group, Qbe Insurance Group, and Woodside Energy fell 3-4%.

 

Following were the levels of key Asian indices at 1416 IST:

 

INDEX

    LEVEL

   CHANGE IN %

CSI 300 Index

4467.5733

0.16

Hang Seng Index

25633.81

0.85

Nikkei 225 Day 

43643.81

1.45

TOPIX FIRST SECTION

3138.20

1.06

KOSPI

3219.59

0.45

FTSE Singapore Strait Times 

4310.07

0.07

S&P/ASX 200 Index

8849.60

(-)0.24

 

(Akash Mandal)


Equity Alert: Apollo Tyres up; Andhra OKs INR-11-bln Chittoor unit expansion

 

MUMBAI--1340 IST--Shares of Apollo Tyres rose 0.9% following an Informist report that the Andhra Pradesh government had approved the phase-III expansion plan of the company's plant in Chittoor, worth INR 11 billion.

 

The stock rose 1.7% to hit a high of INR 491 during the first hour of the trade, but gave up most of its gains later, and at 1336 IST was up 0.3% at INR 484.10. The stock has gained 3.6% in the past seven days and has risen nearly 12% in 30 days. More than 450,900 shares of the company were traded so far on Monday, a tad higher than 425,430 shares traded till the same time Friday. 

 

The state government also agreed to provide INR 2.85 billion as incentives which would be disbursed over 10 years, the report said, quoting a senior official from the state industries department. Along with monetary incentive, the Andhra government also assured to provide power and water at subsidised rates under the state industrial promotion policy for the company. Meanwhile, Apollo Tyres has assured to install the machinery needed by October and expects commercial operations to begin at the Chittoor unit by December 2027.

 

Of the 15 reports on the company available with Informist, 10 have a "buy" or equivalent rating on the stock with an average target price of INR 535. Of the remaining, four have a "sell" rating and one has a "hold" rating.  (Gopika Balasubramanium)


Equity Alert: Indices inch higher as auto cos rise; IT, pharma cos cap gains

 

MUMBAI--1333 IST--Benchmark indices rose 0.5% amid strong gains in stocks of automobile companies on hope of better sales. Gains were, however, capped due to selling in shares of information technology companies.

 

Shares of automobile companies rose after a rating upgrade from BofA Securities, a positive outlook by the Federation of Automobile Dealers Associations for September sales, and price cuts announced by major auto players. Shares of Mahindra and Mahindra, Tata Motors, Eicher Motors, Bajaj Auto and Hero MotoCorp traded 2-3% higher.

 

BofA raised the target price of M&M by 7% to INR 4,000, according to NDTV Profit. Among others, it raised the target price of Bajaj Auto and Hero MotoCorp by 8% and 18%, respectively. Multiple automakers have cut prices across products in order to pass on the benefits of lower goods and services tax rate to customers.

 

At 1251 IST, the Nifty 50 index was up 0.5% at 24854 points and the BSE Sensex was up 0.4% at 81060 points.

 

Shares of several life insurance companies were down after strong gains Friday. SBI Life Insurance Co. was down over 1% and HDFC Life Insurance co. declined 0.5%. The GST council had last week removed input tax credit benefit for life and health insurance companies, which has raised concerns of a rise in cost for these companies. Shares of information technology companies Tata Consultancy Services, HCL Technologies, and Infosys were down 1% amid concerns the US may impose tariffs on the services sector.

 

Cipla and Sun Pharmaceuticals were also in the red after trading higher earlier in the session. Shares of Dr. Reddy's Laboratories were down nearly 1% after the company said Saturday that the US Food and Drug Administration issued seven observations for its active pharmaceutical ingredient facility in its West Yorkshire, UK.

 

Shares of Amber Enterprises India were down nearly 4% and the company saw the biggest fall among Nifty 500 constituents. The company Sunday said its subsidiary secured funding of INR 12 billion from two private equity funds, ChrysCapital and InCred Growth Partners Fund I. Shares of HFCL were up 1.5% after the company Sunday said it won an order worth INR 3.58 billion to export optical fibre cables.

 

Shares of ACME Solar Holdings were up 4% after the company Monday said it has placed an order of 2 gigawatt hours of battery energy storage system with a leading global energy system supplier Chuzhou Lishen New Energy Technology Co.  (Eshitva Prakash)


Equity Alert: Eternal up; Nomura keeps buy rtg, raises target price by 12%

 

MUMBAI--1330 IST--Shares of Eternal rose nearly 1% to an intraday high of INR 332.20 on Monday. On Friday, the stock touched a record high of INR 334.40, eventually closing at INR 329.15. The stock has now gained for six consecutive sessions, rising nearly 6% over this period. Nomura Global Markets Research has maintained 'buy' rating on Eternal and raised target price by over 12% to INR 370.

 

Nomura expects the online food delivery industry to grow at a steady rate of 15-20% on year and sees earnings before interest, tax, depreciation, and amortisation margins improving due to scale benefits. It projects the growth in food delivery gross order value to be around 16% in 2025-26 (Apr-Mar) and 21% in FY27 with a contribution margin of 8.6%, up 60 basis points on year in FY26 and 9%, a rise of 40 bps on year in FY27.  

 

Blinkit, the quick commerce business of Eternal, has aggressively expanded store count, with more than 1,000 stores added in the past five quarters. It plans to add about 500 stores by December-end, taking the total store count to 2,000.  

  

According to Nomura, about 80% of gross order value to transition to an inventory-led model and has raised its estimate for long-term contribution margins by 60 bps to 6.9%. It sees Blinkit to break even at adjusted EBITDA level in Jan-Mar. "The resumption of higher competitive intensity would be a key risk to this improving margin outlook, in our view," Nomura said.  

 

Of the 15 brokerage reports available on the stock with Informist, 13 have a 'buy' or equivalent rating on the stock and two have a 'sell' or equivalent rating. The 'buy' recommendations have an average target price of INR 319.23 on the stock and 'sell' have an average target price of INR 227.50. At 1326 IST, shares of the company traded at INR 331.20, up 0.6%. So far Monday, 11.75 million shares of the company have changed hands on the NSE, sharply lower than 25.72 million shares traded during the same period on Friday.  (Simran Rede)


Equity Alert: TBO Tek up 9%; Jefferies raises target price by 11%

 

MUMBAI--1235 IST--Shares of TBO Tek surged over 9% to a high of INR 1,687, its highest level since January, after global brokerage Jefferies raised its target price on the stock by 11%. At 1224 IST, the stock was up 6.5% at INR 1,642 and was the top gainer in the Nifty 500.

 

Jefferies raised its target price on the stock to INR 1,800 from INR 1,625 and maintained a 'buy' rating on the business-to-business travel distribution platform, Mint reported. The company's acquisition of US-based Classic Vacations for $125 million will strengthen its presence in the premium outbound market, especially in North America, the report cited Jefferies as saying.

 

Jefferies believes this acquisition is a part of the company's roll-up strategy in incubated markets and forecasts that it may also lead to an increase of around 2-6% in its earnings per share until 2027-28 (Apr-Mar), the report said. At 1224 IST, 1.82 million shares of the company were traded on the NSE, sharply higher than the 202,074 shares traded till the same time Monday.  (Akash Mandal)


Equity Alert: Adani Power up; co to set up hydroelectric project in Bhutan

 

MUMBAI--1230 IST--Shares of Adani Power rose 6.5% on Monday, touching a more than one-year high of INR 649.60. This marks the stock's second consecutive session of gains. The rally follows the company's announcement on Saturday that it will set up a 570-megawatt hydroelectric project in Wangchhu, Bhutan, in collaboration with Bhutan's state-owned company, Druk Green Power Corp.

 

Both the companies will form a joint venture with an initial investment of nearly INR 10 billion. The total investment for this project is set to be INR 60 billion, the company said. Adani Power will hold a 49% stake in the joint venture and Druk Green will own the remaining. 

 

Adani Group said it plans to invest $60 billion in renewables, power generation, and transmission, and distribution by 2031-32 (Apr-Mar), the Financial Express newspaper reported Monday. The group will invest over $21 billion by FY30 in renewable energy capacity expansion to 50 GW from 14.2 GW in FY25, the report said.

 

At 1230 IST, shares of the company traded at INR 638.65, up 4.8%. The stock was among the top gainers in the Nifty 200. All five brokerage reports on the stock available with Informist have a 'buy' or equivalent rating, with an average price target of INR 700. So far Monday, over 14 million shares of the company have changed hands on NSE, sharply higher than 942,851 shares traded during the same period on Friday.  (Simran Rede)


Equity Alert: Vedanta down 3%; analysts wary on Jaiprakash Power acquisition

 

MUMBAI--1207 IST--Shares of Vedanta fell nearly 3% to an intraday low of INR 433.35 on report that the company was looking to take full control of Jaiprakash Power Associates, with many analysts not happy with the acquisition. At 1205 IST, Vedanta was 1.6% lower at INR 438.50 and was the worst hit in the Nifty 200. 

 

Vedanta was the highest bidder to acquire the assets of Jaiprakash Associates under the insolvency process with a bid of INR 170 billion, Hindu BusinessLine reported. However, the move to acquire JP Associates' assets may weigh on Vedanta's stock valuations as the acquisition marks an entry into unrelated businesses, the report cited Nuvama Institutional Equities as saying.

 

The brokerage termed the event negative for minority shareholders, citing concern over Vedanta's debt and focus on deleveraging, the report said. While the brokerage expects Vedanta to focus on its core power business, it noted that other assets acquired may be monetised over time. 

 

The company may also face further liabilities due to the ongoing legal dispute between Jaiprakash Associates and the Yamuna Expressway Industrial Development Authority over the 1,000-hectare Sports City project in Greater Noida, ICICI Direct Research said. "While the acquisition may provide some strategic benefits, it risks straining the balance sheet and diverting focus away from the company's core operating assets," it added. 

 

At 1205 IST, 7.05 million shares of Vedanta were traded on the NSE, sharply higher than the 2.32 million shares traded till the same time Friday.  (Akash Mandal)


Equity Alert: Jaiprakash Power in 5% upper band on reports Vedanta may buy co

 

MUMBAI--1137 IST--Shares of Jaiprakash Power Ventures hit 5% upper circuit at INR 20.02 in early trade on reports that Vedanta is eyeing full control in the company. Jaiprakash Power is the profit-making power arm of debt-laden Jaiprakash Associates. Trading in the stock remains paused.

 

Vedanta has emerged the highest bidder to acquire assets of Jaiprakash Associates under the insolvency process with a bid of INR 170 billion, The Hindu BusinessLine reported. The resolution plan is yet to be finalised as the committee of creditors is expected to take about two months before giving its approval.

 

So far today, 17.80 million shares of Jaiprakash Power have changed hands on the NSE.  (Akash Mandal)


Equity Alert: SpiceJet down over 5%; posts net loss in Q1 vs PAT year ago

 

MUMBAI--1115 IST--Shares of SpiceJet fell 5.4% on Monday to an intraday low of INR 32.60, the lowest level since Aug. 19. The company on Friday reported a net loss of INR 2.34 billion in the June quarter against a net profit of INR 1.58 billion a year ago. Costs related to grounded aircraft and expenses towards their return to service impacted its profitability in the June quarter.

 

Nuvama Institutional Equities has retained 'hold' rating and target price of INR 40 on the stock but has slashed the estimate for earnings before interest, tax, depreciation, amortisation, and restructuring or rent costs by 14% for 2025-26 (Apr-Mar) and FY27 each. The cut was due to a delayed turnover, it said. The company's qualified institutional placement of INR 30 billion is expected to repay dues and induction of aircraft on ground, which has commenced and a gradual recovery is seen with a full turnaround being a key factor to monitor, Nuvama said.

 

The stock is down for the fourth consecutive session and has fallen more than 9% over this period. Till 1055 IST, shares of the company traded at INR 33.25, down 3.5%. So far Monday, 6.91 million shares of the company have changed hands on the BSE, higher than 2.53 million shares traded during the same period on Friday.

 

Of the four brokerage reports on the stock available with Informist, two have a 'buy' or equivalent rating on the stock and two have a 'hold' rating. The two brokerages, who have a 'buy' or equivalent rating, have a price target of INR 62 while the other two brokerages with 'hold' rating have INR 40 and INR 47 price target.  (Simran Rede)


Equity Alert: Auto cos surge on BofA target price hikes, GST-led price cuts

 

MUMBAI--1037 IST--Most automobile stocks surged in early trade Monday after global brokerage BofA raised its target price for several Indian automakers. Tata Motors, Mahindra & Mahindra, Bajaj Auto, Ashok Leyland, and Hero MotoCorp were up 2-4%. At 1028 IST, the Nifty Auto was up 2.1% at 26864.40 points and was the top gainer among sectoral indices. 

 

BoFA raised target price on M&M by 7% to INR 4,000, NDTV Profit reported. It also raised its target price on Bajaj Auto and Hero MotoCorp by 8% and 18% to INR 9,600 and INR 5,650, respectively. The brokerage also hiked its target price on TVS Motor, Hyundai Motor India, Maruti Suzuki India, and Eicher Motor by 19-28%. It also raised its target price on Ola Electric Mobility by 7%. 

 

Multiple automakers, including big names such as Maruti Suzuki, Hyundai, M&M, and Tata Motors, have also cut prices across their portfolios in order to pass on the benefits of lower GST to customers. Analysts say this will be important to revive demand across the sector. Hyundai has announced the steepest reductions with prices dropping by up to INR 240,000 on the Tucson and over INR 100,000 on the likes of Venue, Creta, and i20 N Line. 

 

"The GST-led price reductions across the PV sector are set to sharpen affordability and increase demand just ahead of the festive season, with potential to lift industry volumes by 8–10%," ICICI Direct Research said. "M&M's early-mover advantage positions it strongly in SUVs, while Hyundai's aggressive cuts reinforce its play in both mass and premium categories...Tata Motors, with price relief across hatchbacks and SUVs, strengthens its value-driven positioning, while Maruti Suzuki relies on its unmatched reach to convert smaller but impactful reductions into large-scale sales gains," it added.  (Akash Mandal)


Equity Alert: Steel cos up; Morgan Stanley ups rtg, target price on some cos

 

MUMBAI--1014 IST--Shares of most steel companies rose Monday after global broking firm Morgan Stanley upgraded ratings on several companies and raised their target price as well. The brokerage is optimistic on domestic steel prices and steel demand amid China's anti-involution strategy. 

 

Morgan Stanley expects steel prices to rise as the demand for steel improves, according to a CNBC-TV18 report. China's anti-involution' campaign is to curb excess capacity and price wars in energy and solar supply chains. The country had said it is set to reduce its steel capacity and production. China will lower its steel capacity by 50 million tonnes in 2025 and cut production by 8.5% for the rest of the year, global brokerage firm CLSA had said.

 

Morgan Stanley sees the global factors turning in favour of steel companies, with expectations of a rate cut in the US in September and a weakening dollar seen aiding the sector. It has raised the estimate for steel prices by 3% each for 2026–27 (Apr-Mar) and FY28. The brokerage firm has upgraded its rating on JSW Steel and Tata Steel to "overweight" and has also raised their target prices to INR 1,300 and INR 200, respectively.

 

It has upgraded Steel Authority of India to "equal-weight" and hiked its target price to INR 140, while it has maintained its "equal-weight" rating on Jindal Steel but has raised its target price to INR 1,150. 

 

Tata Steel and JSW Steel were up 2.3% and 1.7%, respectively, and were among the top gainers in the Nifty 50. Nifty Metal was the second top gaining sectoral index, up 1.2%. The index rose 1.4% to 9814.95 points, just 185 points shy of its immediate resistance of 10000 points.  (Simran Rede)


Equity Alert: Indices open higher; metal, auto stocks lead gains

 

MUMBAI--0939 IST--Benchmark indices opened higher Monday amid heightened volatility as they tracked gains in most Asian indices. However, gains were capped as the market lacked immediate triggers while continued selling by foreign investors and weaker-than-expected jobs data in the US impacted market sentiment. 

 

At 0937 IST, the Nifty 50 was at 24829.70, up 88.70 points or 0.4%, and the BSE Sensex was at 80991.29, up 280.53 points or 0.4%. The India VIX, the fear gauge of the market, was up after falling for three consecutive sessions and at 0937 IST, it was at 10.8850, up 1%. Most automobile and metal stocks lifted the Nifty 50. 

 

Nifty Metal was the top gainer among the sectoral indices, up 0.9%. The rise was led by gains in steel stocks after global brokerage Morgan Stanley upgraded the ratings and the target prices of some steel companies. Tata Steel and JSW Steel were up around 2% each and were the top gainers in the Nifty 50.

 

Most automobile stocks also rose and led the gains in the market after metal stocks, with Nifty Auto rising 1.1%. BofA Securities raised the target prices on several auto companies. This followed the reduction in the goods and services taxes by the GST Council last week, which will be effective from Sept. 22. Tata Motors and Mahindra & Mahindra were among the top gainers in the Nifty 50, up nearly 2% each. Several automobile companies have slashed the prices of their products to pass on the benefit of GST reduction to the customers. 

 

Shares of Adani Power were up nearly 5% and were the top gainers in the Nifty 200. The company will set up 570 megawatts of hydroelectric project in Bhutan. Jaiprakash Power hit 5% upper circuit at INR 20.02 and was among the top gainers in the Nifty 500. Reports said Vedanta was eyeing full control of Jaiprakash Power. Vedanta was down 1.5% and was the worst hit in the Nifty 200. 

 

Among sectoral indices, only Nifty Consumer Durables was in the red, down 0.1%. All broader market indices were up 0.1–0.7%, outperforming their benchmark peers.  (Simran Rede)


Equity Alert: Indices in Japan surge after PM Shigeru Ishiba's resignation

 

MUMBAI--0810 IST--Most Asian stock indices were up in early trade Monday, with the Japanese market being the biggest gainer. This was after Japanese Prime Minister Shigeru Ishiba's resignation over the weekend. The Nikkei 225 and the Topix rose 1.7% and 1%, respectively. 

 

Ishiba's resignation followed weeks of mounting pressure over his national election defeat late last year. Koizumi Shinjiro, the agricultural minister and son of a former prime minister, is a likely contender to take the helm, CNBC reported Stefan Angrick, head of Japan and frontier markets economics at Moody's Analytics, as saying. Takaichi Sanae, protegee of the late Prime Minister Abe Shinzo, is also a contender. 

 

The "very positive" reaction of the market to the resignation was "a little bit of surprise", but was reflective of the excitement surrounding Shinjiro and Sanae, CNBC reported Richard Kaye, portfolio manager at Comgest, as saying.

 

South Korea's Kospi was up 0.3%. Kakao, Samsung SDS, and Korea Electric Power rose 1-2%. Australia's S&P/ASX 200 was the worst hit in the region and was down 0.4%.

 

Following were the levels of key Asian indices at 0800 IST:

 

INDEX

    LEVEL

   CHANGE IN %

CSI 300 Index

4457.0578

(-)0.07

Hang Seng Index

25529.54

0.44

Nikkei 225 Day 

43743.71

1.69

TOPIX FIRST SECTION

3137.33

1.03

KOSPI

3214.38

0.29

FTSE Singapore Strait Times 

4302.85

(-)0.10

S&P/ASX 200 Index

8832.80

(-)0.43

 

(Akash Mandal)


Equity Alert: Indices seen in range on mixed cues from global markets

 

MUMBAI--0805 IST--Benchmark indices are likely to be in range Monday amid mixed cues from global markets. Worries about US tariff hitting economic growth and outflows by foreign investors are likely to keep gains in check despite interest rate cuts by the Reserve Bank of India, tax benefits announced in the Budget, and lower GST rates which are set to come into effect from Sept. 22.

 

Measures by the government and the RBI are expected to offset the impact of tarrifs but market participants are likely waiting for demand in the economy to pick up before increasing investments in equity markets, analysts said. "Recent data show little signs of a growth recovery. Cargo, fuel demand, auto sales, loan growth, and power demand remained sluggish on the latest prints," Emkay Global Financial Services said in a note.

 

Investors in the US were spooked by a sharply weaker jobs report Friday that led to worries of economic slowdown even though it means higher possiblity of interest rate cuts in the US. Major indices in the US closed lower Friday with Dow Jones Industrial Average down 0.5%.

 

Non-farm payrolls in August rose 22,000, while economists polled by Reuters had expected a rise of 75,000 jobs. Unemployment rate for August was 4.3%, highest in nearly four years, Reuters reported. This drove expectations of a sharper 50-basis point rate cut in the US Federal Reserve meeting on Sept. 16-17. CME Fedwatch tool showed an 8% probability of a 50-bps cut and 92% probability of a 25-bps cut in interest rates at the September Fed meeting.

 

Weaker jobs report also led to a fall in bond yields in the US, which is positive for emerging markets such as India. Yields on the 10-year US bond fell 7 bps to settle at 4.10% Friday. Most indices in Asian markets were up with indices in Japan gaining over 1% despite the country's Prime Minister Shigeru Ishiba resigning from the post on Sunday.  

 

For domestic markets, GIFT Nifty Futures indicate gains for the Nifty 50 Monday. At 0752 IST, the September futures of the GIFT Nifty contracts were trading at 24898 points, up 0.3% from its previous close and up 0.6% from the Nifty 50's close on Friday. Last week, the Nifty 50 closed at 24741.00 points.  (Anshul Choudhary)


Equity Alert: US indices decline Fri on poor Aug non-farm payrolls data

 

MUMBAI--0739 IST--Stock indices in the US closed lower Friday as worse than expected jobs data weighed on sentiment and fuelled concerns about economic growth. Bank stocks were among the worst hit, with the S&P 500 bank index ending 2.4% lower.

 

Non-farm payrolls data showed the US economy created 22,000 jobs in August, much lower than the 75,000 jobs expected. This also was a sharp slowdown from the increase of 79,000 in July. The weak data added to recent signs of the labour market weakening and is likely to keep the Federal Reserve on track for a widely anticipated interest rate cut later this month. 

 

"It's going to take more than one bad data set for us to dislodge this market at this point," Reuters quoted Pete Mulmat, chief executive officer of IG North America, as saying. BofA Global Research adjusted its outlook for the US market following the jobs report, forecasting a 25-basis-point rate cut each in September and December.

 

Despite a weak market, Broadcom soared over 9% a day after the chipmaker unveiled a $10-billion artificial intelligence chip order from a new customer and forecast fourth-quarter revenue above estimates, Reuters reported. Kenvue fell 9% after The Wall Street Journal reported, citing people familiar with the matter, that US Health Secretary Robert F. Kennedy Jr. plans to announce that use of the company's pain medication Tylenol by pregnant women is potentially linked to autism. Lululemon Athletica plunged 19% after the yogawear-maker slashed its annual profit forecast the second time in a row. 

 

Following are the closing levels of US indices Friday:

 

INDEXLAST LEVELCHANGE IN %
Dow Jones Industrial Average45400.86(-)0.48
NASDAQ Composite21700.388(-)0.03
S&P 5006481.50(-)0.32

 

(Akash Mandal)

 

End

 

US$1 = INR 88.27

 

Edited by Saji George Titus

 

All prices from National Stock Exchange, unless otherwise specified.

All percentage changes for share prices are rounded off to the nearest whole number; percentage changes for index values are rounded off to one decimal place.

All times are Indian Standard Time.

 

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