Where is the market headed?
It was a fairly decent day, with Nifty inching up slightly. A few encouraging results supported sentiment, most notably, Infosys reported better-than-expected earnings. On the global front, the US and Japan appear to have reached a tariff agreement, contributing to overall stability. There’s no major disruption across global markets, and the Indian market also seems to be stabilising around the 25,000 mark, where it has been hovering for a while.
Market Overview
Nifty closed 0.63% higher, marking a smart recovery of a couple of hundred points from its recent lows. It doesn’t seem eager to move down without a significant trigger. The index appears to be consolidating within a steady range, hovering comfortably around the 25,000 mark.
Nifty Next 50
Nifty Junior rose by a modest 0.16%. However, it tested the low made two days ago and managed to recover by the close, indicating no significant damage and a stable undertone.
Nifty Mid and Small Cap
Mid caps were up 0.3%, recovering from the day’s low, while small caps gained 0.13%. Overall, the market remained flat and dull, with no major movements across the board.
Bank Nifty
Nifty Bank was where some of the action was concentrated, closing 0.8% higher.
GOLD
Gold is going up, rising 0.18% today. The current price stands at ₹10,104 per gram. A move up had been anticipated since mid-July, and it now seems to be materialising.
Advance Decline Ratio
Advance-decline trends showed improvement through the day, with declines reducing and advances increasing. This indicates that, internally, market sentiment wasn’t too negative. The final advance-decline ratio stood at 282 to 219 in favour of the bulls.
Heat Maps
It was generally a green day. Heavyweights like HDFC, ICICI Bank, SBI, Bajaj Finance, Reliance, Bharti Airtel, and Tata Motors performed reasonably well. Maruti, Bajaj Auto, UltraTech Cement, Hindustan Unilever, Tata Consumer, and BEL saw marginal losses, but no major moves.
On the downside, Lodha was hit hard, and DLF also declined by 0.4%, highlighting the pressure on real estate stocks.
Among the gainers were IRFC, LTIM, Adani Green, and Motherson. Some smaller losers included HAL, Pidilite, IndiGo, Shree Cement, and Cholamandalam Finance. Overall, it was a decent session for the Nifty Next 50 as well.
Sectoral Overview
The Real Estate sector was the biggest laggard of the day, falling sharply by 2.6%. However, on a broader timeline, the fall appears less alarming. Over the past month, real estate is down by about 4%, but on a six-month basis, it remains up by 11%. That said, the sector has underperformed over the last one year.
Looking at one-year sectoral performance, there hasn’t been any major standout except for Capital Markets, which have delivered an impressive 70% gain. Following this, Nifty Financial Services is up 16.7%, Nifty Bank has risen 10.49%, and the Tourism sector is up 10%. No other sector has managed to record double-digit gains, making it a largely consolidation-driven year.
On the losing side, Nifty Media, Nifty Energy, and Real Estate have all seen declines of around 9%, making them the worst performers over the past year.
Coming back to the day’s performance, Media stocks lost 0.9%, Defence was down 0.5%, and FMCG also slipped by 0.5%.
On the positive side, gains were seen across sectors such as Nifty Services, Auto, Financial Services, Banks, Infrastructure, Private Banks, and Oil & Gas, each rising by more than 0.5%. Overall, it was a stable day with a consistent trend of gains in key sectors, though a few still showed signs of weakness.
Sector of the Day
Nifty Realty Index
The Real Estate sector appears to be breaking down, potentially signalling the start of a deeper correction. Recent numbers haven’t been encouraging, with sales beginning to taper off, suggesting the sector may be entering a phase of consolidation.
Lodha Group led the decline today, falling sharply by 7.5%, adding to concerns around the sector’s near-term outlook.
Story of the Day: 3 Secrets Why The Rich become Richer
India’s economic landscape has become increasingly unequal over the past few decades. Today, the richest 1% of Indians hold 40% of the nation’s wealth. Data shows that from 1950 to the mid-1980s, the income share of the top 10% steadily declined, while the middle class grew and the bottom 50% remained relatively flat. However, since the mid-1980s, the trend has reversed dramatically. The top 10% now earn nearly 58% of the country’s income, almost double from earlier levels. Meanwhile, the middle class has shrunk to 27.3% and the bottom half now holds only 15% of the total income. While this data speaks to income rather than wealth, it highlights a larger structural shift that has enabled the richest to accelerate ahead. Some of the bottom 50% may have moved up into the middle tier, but overall inequality has widened.
According to the World Inequality Lab, a lack of education has hindered income growth for the lower and middle segments. But this view may not fully capture the issue. Many educated individuals remain in low-paying jobs, while a large number of high earners may not necessarily have top-tier academic credentials. While education plays a role, it isn’t the sole driver of wealth creation. In fact, there’s often a misconception that wealth is the natural outcome of high income. The truth is, income is only part of the story. Wealth is built on long-term habits, not just a big paycheck. Many high-income earners struggle to build assets, while others with moderate incomes create substantial wealth through consistent financial discipline.
This brings into focus three key habits commonly followed by the wealthy—habits that are often overlooked but form the foundation of financial independence. These practices are not quick fixes, but sustainable approaches that compound over time, similar to how careers or health goals are achieved. Savings, investing, budgeting, and creating additional income streams all play a part.
The first principle is paying yourself first. This means allocating a fixed portion of income to savings or investments before spending on expenses, EMIs, or bills. This habit ensures that financial goals are prioritized and not left to chance. Automation can help, such as setting up recurring transfers to investment accounts. Creating a separate bank account for savings and controlling credit card limits can also reinforce this habit. Though many younger individuals are becoming more conscious of this approach, it’s still not the norm for most families, largely due to a lack of financial education and exposure. Schools and colleges rarely teach personal finance, leaving individuals to learn from peers, social media, or their own experience.
The second habit is a commitment to continuously learning about money. Wealthy individuals stay informed, they understand how their money is working for them. This doesn’t mean they manage everything themselves, but even if they work with advisors or invest through managed funds, they comprehend the strategies, risks, and tax implications. Structuring finances wisely, especially for tax efficiency, is a practice among the ultra-rich. For example, some top business leaders avoid taking large salaries to reduce tax burdens. Tools like the Hindu Undivided Family (HUF) account offer tax advantages but are underutilized by many. Personal finance knowledge around investments, taxation, and economic trends is crucial and can be acquired through books, financial blogs, trusted news outlets, SEBI-registered advisors, or online courses. However, many people either don’t make time for learning or fall prey to misinformation, including dubious schemes promising high returns. Being financially literate helps avoid these traps and enables smarter decisions.
The third and often underestimated habit is tracking net worth. Knowing where your finances stand gives direction and control. Many individuals have no idea what their net worth is. Keeping a detailed, regularly updated Excel sheet or using apps to consolidate all investments, debts, and assets can provide a clear picture. This tracking not only helps with self-awareness but also prepares your family to access and manage assets if needed. Monitoring net worth works similarly to tracking health metrics, it shows progress and flags issues early. It helps identify what’s working in your financial life and what’s not. For instance, if someone is gaining in long-term equity investments but losing heavily in options trading (F&O), tracking will make this clear. Even those with significant wealth often have scattered portfolios, with no consolidated view. Regular tracking brings clarity and motivation.
Ultimately, wealth is not about a windfall or inheritance. It’s about consistent, disciplined actions and sound financial habits. Much like physical fitness, financial health requires conscious decisions over time, avoiding ‘junk’ habits, staying focused, and practicing patience. Whether you’re starting small or already on the path, the key is to stay the course. As the quote by T.T. Munger goes, “The habit of saving is itself an education; it fosters every virtue, teaches self-denial, cultivates the sense of order, trains to forethought, and so broadens the mind”. Do watch our video about the 5 Habits of wealth creation to know more.
