Research Report : Indian Financial Markets Outlook – 01st October 2025

Ravi Bhatt
Sebi Registered Research Analyst - INH000012591
Website - www.capsavaj.com

Markets eye RBI’s Monetary policy decision, await surprise cut

Market is likely to keep close eyes on the Reserve Bank of India Monetary Policy Committee Meet today, the GIFT Nifty is trading with minimal change, reflecting a quiet start. Overnight in the U.S., major indices eked out gains despite looming political risk. The Dow Jones rose about 0.2% to close at a record high, while the S&P 500 added roughly 0.4% and the Nasdaq Composite gained around 0.3%.

The Sensex closed lower by 97.32 points, or 0.12%, to 80,267.62, while the Nifty fell 23.80 points, or 0.10%, to 24,611.10. Foreign portfolio investors (FPIs) remained net sellers of Indian equities for the seventh straight session on Tuesday. The overseas investors sold stocks worth approximately Rs 2,327.09 crore, according to provisional data from the National Stock Exchange (NSE). Domestic institutional investors remained buyers for the 26th session and purchased equities worth Rs 5,761.63 crore.

Fundamental Update

• Zydus Lifesciences - The company and Sterling Biotech have agreed to extend the closing date for the acquisition of Sterling Biotech's API business until Dec. 31, 2025. Positive

• AGI Infra - The company’s arm has secured a construction order worth Rs 325 crore. Positive

• ICICI Bank - The bank has received a show-cause notice from the Mumbai tax body raising a GST demand of Rs 216 crore. Negative

• New India Assurance - The company has received a GST demand of Rs 2,379 Crores from the Palghar Tax Body. Negative

Technical Update

• NIFTY – Nifty continued downside journey as it closed to 24,611 on Tuesday. Index is beaten by all out Trump’s India target in terms of tariff and economic harm. Index now has support at 24,400 while 24,800 is near term resistance.

• BANKNIFTY – Bank nifty managed to recoup some losses to settle at 54,635 on Tuesday. Index finds support at 54,250 while 54,900 is strong resistance. Today’s range – 54,400 – 54,900.

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