MUMBAI– Indian equity markets closed nearly flat on Tuesday, reflecting investor caution ahead of the looming August 1 deadline for the interim U.S.–India trade deal. The lack of clarity on the agreement, coupled with volatility in quarterly earnings, led many investors to book profits and adopt a wait-and-watch approach.
The Sensex settled at 82,186.81, down just 13.53 points or 0.02 percent. The 30-share index opened in the green at 82,527.27, compared to the previous close of 82,200. However, it remained range-bound throughout the session due to selling pressure in heavyweight stocks such as Reliance Industries, SBI, Tata Motors, and L&T.
The Nifty also ended in the red, slipping 29.80 points or 0.12 percent to close at 25,060.90.
According to Ashika Institutional Equities, the broader market is facing mixed sentiment, with volatility driven by company-specific earnings and uncertainty around global developments—particularly the upcoming U.S. trade decisions.
From the Sensex basket, top laggards included Tata Motors, Reliance, SBI, ITC, Ultratech Cement, L&T, Infosys, HCL Tech, and Sun Pharma. On the other hand, Titan, BEL, Hindustan Unilever, Maruti Suzuki, and Mahindra & Mahindra were among the top gainers.
In the Nifty50 pack, 33 stocks declined, 16 advanced, and one remained unchanged.
Sectorally, Bank Nifty, Nifty FMCG, and Nifty IT closed in negative territory, while Nifty Financial Services ended flat. Broader indices also mirrored the subdued sentiment: Nifty Midcap 100 dropped 364 points (0.61 percent), Nifty 100 lost 41 points, and Nifty Smallcap 100 slipped 64 points (0.34 percent).
On the currency front, the rupee traded lower by 0.08 percent at 86.36 against the U.S. dollar. The dollar index hovered flat to slightly positive near 97.86.
“Market participants now shift focus to Fed Chair Powell’s upcoming speech, which could influence global currency sentiment. The rupee is expected to remain within a range of Rs 85.75–Rs 86.60,” said Jateen Trivedi of LKP Securities.
Investors had shown some optimism on Friday and Monday, but that momentum cooled ahead of the crucial U.S. tariff deadline. The spotlight remains on Q1 earnings, especially from sectors like banking, to justify current premium valuations.
“Upside in Q1 earnings will be the critical point to sustain the current premium valuations. Continued profit booking by foreign institutional investors (FIIs) exerts downward pressure, while steady inflows from domestic institutional investors (DIIs) could support a range-bound movement with a positive bias toward Q1 results and the trade deal,” said Vinod Nair, Head of Research at Geojit Financial Services. (Source: IANS)
