Home / Business and Economy / Indian Stocks Rebound After Losses, Buoyed by US Developments
Indian Stocks Rebound After Losses, Buoyed by US Developments
4 Aug
Summary
- Indian markets open higher after 5 weeks of losses
- Weak US jobs data increases likelihood of US rate cut
- Delhivery reports 68.5% profit rise, Federal Bank sees 14.6% drop
On August 4, 2025, Indian stock markets began the week on a positive note, with the benchmark Sensex and Nifty50 indices opening higher after five consecutive weeks of losses. This rise follows recent developments related to US tariffs and the Federal Reserve's policy outlook, particularly in light of weaker-than-expected US employment data.
The BSE Sensex was up 239 points, or 0.30%, at 80,839, while the Nifty50 rose 89 points, or 0.36%, to 24,654. Several Sensex constituents, including BEL, Tata Steel, and Reliance Industries, opened with gains, though some IT stocks like Infosys and HCL Tech saw declines.
The US jobs report for July showed weaker-than-expected growth, with significant downward revisions for the previous two months. This has increased the likelihood of the US Federal Reserve cutting interest rates in September, which could benefit Indian equities by leading to lower Treasury yields and a weaker US dollar, making emerging market stocks more attractive to foreign investors.
On the sectoral front, Nifty indices for sectors like Auto, Metal, and FMCG saw gains, while the IT index opened lower. Among individual stocks, logistics firm Delhivery jumped 5% after reporting a 68.5% year-on-year rise in net profit for the June quarter, while Federal Bank's shares declined 5.3% due to a 14.6% drop in standalone net profit.
