Where is the market headed?
On Friday, markets saw a sharp fall in the last hour and a half, almost like a capitulation where the weakest hands exited their positions. This came after the news of an additional 25% tariff from President Trump last week. Many traders expected Monday to open with a huge gap down and weakness across the board, especially with Nifty sitting near a large gap just below Friday’s close.
However, the opposite happened. The market bounced strongly today instead of falling. This is a reminder that markets often do the opposite of what people expect. Even when nothing positive seems to be happening, it does not mean good news will not come.
Market Overview
Currently, the trend is still down. The market is trading below the 50-day and 100-day moving averages and is close to the 200-day mark around 24,000. Today’s bounce recovered almost all of Friday’s fall, with Nifty up 0.9%.
Nifty Next 50
Nifty Junior was up 1.17%.
Nifty Mid and Small Cap
Midcaps was up 0.65%, Small caps was up 0.45%.
Bank Nifty
Bank Nifty was up 0.92%. Investors may be adjusting to the tariff news, hoping for some relief by the end of August. Positive global news is also helping sentiment, with a planned meeting between President Trump and President Putin on 15th August possibly easing tensions over Ukraine.
GOLD
Gold fell 1% today, as stable conditions usually push gold prices down.
Advance Decline Ratio
The advance-decline ratio was almost 2:1 by the end of the day, showing strong market breadth.
Heat Maps
Most stocks on the Nifty heatmap were in green, with leaders like UltraTech Cement, Grasim, Tata Motors, SBI, Reliance, and L&T posting gains.
Movers Of The Day
Tata Motors rose 3% after maintaining its FY26 guidance for Jaguar Land Rover. SBI was up 2.38% after strong results, showing potential for a breakout.
Sectoral Overview
All major sectors were in green, led by PSU banks, Real Estate, and Defense Stocks.
Sector of the Day
PSU Bank Index
PSU banks are slowly making their way back into the positive zone. Leading this recovery are Indian Bank, Union Bank, PNB, SBI, and Bank of India, all showing strength.
Nifty Realty Index
The real estate sector is also attempting a comeback after losing nearly 12–13% from its recent highs. Major names like DLF, Lodha, and Phoenix performed well today, adding some optimism to the sector’s outlook.
Tweets Of the Day
Another notable update came from the RBI, allowing banks to set their own minimum balances. ICICI Bank set it at ₹50,000, which could boost its free float income significantly. This move might lead to a split between premium banks and mass-market banks over time.
