Sensex Extends Winning Streak, FIIs Return as Buyers, Oil Prices Ease, HUL Slumps After Q1 Results

Indian Stock Market Overview

Indian equity markets continued their positive momentum as benchmark indices extended gains for the fourth consecutive week, supported by easing crude oil prices, renewed foreign institutional investor (FII) buying, and strong domestic institutional investor (DII) participation. However, volatility remained elevated due to mixed quarterly earnings and global uncertainty.

The market also witnessed strong stock-specific action following corporate earnings, major contract wins, IPO developments, and sectoral upgrades. Investors now await fresh global cues, RBI-related developments, and key technical levels for further direction.

Top Market Highlights

1. Market Rally Continues

• Indian stock markets extended their winning streak into the fourth week.
• Lower crude oil prices improved investor sentiment.
• Domestic institutional buying continued to provide strong support.
• The rupee remained under pressure despite equity strength.

2. FIIs Turn Net Buyers Again

Foreign Institutional Investors returned as net buyers after four consecutive selling sessions.

Key Takeaways

• FIIs purchased nearly ₹755 crore worth of equities.
• DIIs extended their buying streak.
• GIFT Nifty indicated a firm opening.
• Asian markets traded mixed while US futures remained weak.

3. Technical Outlook for Nifty

Market analysts believe:

• Nifty must sustain above 24,027 (20-DEMA) for continued upside.
• Immediate resistance remains around higher psychological levels.
• Support zones remain crucial amid earnings-driven volatility.
• IT continues showing relative strength while FMCG remains under pressure.

Stocks in Focus

Paradeep Phosphates

• Approved ₹250 crore capital expenditure
• Investment aimed at setting up an Aluminium Fluoride (AlF₃) manufacturing plant.
• Expansion is expected to improve raw material integration.

RVNL

Rail Vikas Nigam secured a ₹359 crore railway contract from East Central Railway, strengthening its infrastructure order book.

Hindustan Unilever (HUL)

One of the biggest losers of the session.

• Shares declined nearly 7%
• Hit a fresh 52-week low
• Weak Q1 earnings disappointed investors.

Jio Financial Services

Strong quarterly performance.

Highlights:

• Q1 profit surged 156%
• Revenue nearly tripled
• Continued expansion in financial services business.

Pine Labs

• Quarterly profit jumped four-fold.
• Digital payments growth remained the key earnings driver.

Auto Sector Update

Auto stocks remained firm.

Major gainers included:

• Bajaj Auto
• TVS Motor
• Apollo Tyres

The sector benefited from:

• Strong June vehicle sales
• Positive brokerage commentary
• Improved demand outlook

The Auto Index gained nearly 1%.

IT Sector Rebounds

Technology stocks witnessed strong buying interest.

Highlights:

• IT Index rose over 3%
• Investors expect the worst earnings pressure may be behind the sector.
• Global AI spending remains a long-term positive despite near-term volatility.

IPO Market Updates

Manipal Health Enterprises IPO

• Raised ₹4,167 crore from anchor investors.
• IPO continues to attract strong institutional interest.

Ardee Industries IPO

• Scheduled to open on August 5
• Fresh issue size around ₹320 crore

Silverstorm Parks & Resorts IPO

• Fully subscribed with 1.84x demand on the final day.

Brokerage Recommendations

Motilal Oswal issued Buy ratings on:

• R R Kabel
• Northern Arc Capital
• Lodha Developers
• KFin Technologies
• Five Star Business Finance
• Cyient DLM

Additional Buy Calls:

• Container Corporation
• Coal India
• Canara Bank
• Bharat Electronics

Neutral Ratings:

• Zen Technologies
• Vedant Fashions
• Tata Chemicals

Global Market Cues

International markets remained mixed.

Key developments:

• US goods trade deficit narrowed.
• Nasdaq futures declined amid AI spending concerns.
• Nvidia and Micron faced selling pressure.
• SK Hynix reported record earnings but shares slipped.
• China continued accelerating AI memory investments.

Economy & Policy Updates

Important macro developments included:

• Industrial output rose 7.3%.
• Services PMI eased to 53.1.
• CGST officers detected ₹75,000 crore input tax credit fraud.
• Government introduced a Bill to reduce MSME payment delays.
• RBI forex measures attracted nearly $32 billion.

Banking & Currency

• Rupee strengthened by 11 paise against the US dollar.
• RBI continues monitoring forex inflows.
• FCNR(B) deposits witnessed robust growth expectations.

Key Stocks to Watch

• Hindustan Unilever
• RVNL
• Paradeep Phosphates
• L&T
• Graphite India
• Tata Capital
• Birlasoft
• Phoenix Mills
• Sanofi Consumer
• Pine Labs
• Coal India
• Bharat Electronics
• Canara Bank

Market Outlook

The Indian stock market remains supported by improving crude oil prices, renewed FII participation, and continued domestic institutional buying. However, investors should remain cautious as quarterly earnings, global AI-related volatility, and geopolitical developments could drive short-term market swings. Sustaining above key technical levels will be essential for Nifty to continue its upward momentum, while stock-specific opportunities are likely to dominate trading sessions.

Frequently Asked Questions (FAQs)

1. Why did the Indian stock market remain strong today?

Markets were supported by easing crude oil prices, FII buying, and sustained domestic institutional investment.

2. Which stocks were in focus?

RVNL, Paradeep Phosphates, Hindustan Unilever, Jio Financial Services, Pine Labs, and L&T were among the key stocks in focus.

3. Why did Hindustan Unilever shares fall?

The stock declined after weaker-than-expected Q1 earnings, dragging it to a fresh 52-week low.

4. What are the important Nifty levels to watch?

Technical analysts suggest that Nifty needs to sustain above 24,027 to maintain bullish momentum.

5. Which IPOs are attracting investor attention?

Manipal Health Enterprises IPO, Ardee Industries IPO, and Silverstorm Parks & Resorts IPO remain key offerings in focus.