Market Analysis from HDFC Securities
by Nandish Shah, Deputy Vice President, HDFC Securities
Updated for 4 September 2025
Nifty Snaps Three-Day Losing Streak on Strong Q1 GDP Data
Nifty broke three session losing streak by rising 198 points or 0.81%, to close at 24625. After opening slightly in the green, Nifty continued its upward journey throughout the day and ended the session near day’s high.
Leading the charge within the Nifty pack were auto heavyweights like Bajaj Auto, M&M, and Hero MotoCorp, which ended as the top gainers. On the flip side, it proved to be a tough session for names such as Sun Pharma, ITC, and Hindustan Unilever, which were the major laggards. On the first day of the month, cash market volumes on the NSE were 7% lower compared to Friday’s session.
India’s manufacturing sector gained significant momentum in August, with the HSBC India Manufacturing Purchasing Managers’ Index (PMI) rising to 59.3 from 59.1 in July. This marked the highest level in over 17 years and was driven by robust demand and a strong increase in factory orders and output.
The bullish momentum was widespread across the board. Barring the Nifty Media and Pharma indices, all other sectoral indices ended the day in the green. Among them, Nifty Auto, Consumer Durables, Metals, and IT were the major gainers for the session.
The broader market outperformed the benchmark, with the Nifty Midcap 100 Index surging nearly 2% and the Nifty Smallcap Index gaining 1.60%. Market breadth turned positive after five consecutive negative sessions, with advancing shares sharply outnumbering declining ones, reflected in a strong advance-decline ratio on the BSE of 2.01.
After touching an all-time low of 88.33 against the US dollar, Indian rupee recovered in the second half and ended on a flat note, supported by stronger-than-expected growth data and a weaker US dollar. Gains in the rupee were also aided by a rebound in domestic stock markets.
Today’s rise has validated the bullish implications of “inverted hammer” candlestick pattern formed on 29th Aug on the daily charts. Nifty seems to have reversed the short-term trend towards north. Immediate resistance for index is now seen at 24800 above which sharp short covering is expected. However, any level below 24400 would resume the down trend, which could further drag Nifty towards the next support of 24270(200 DEMA).
- Market Analysis by Nagaraj Shetti
- Stock Market today by Vaishali Parekh
- Analysis by Kotak Securities
- Technical Analysis by Kotak Securities
- Technical Analysis by Samco Securities
- Reliance, Target & Stoploss
- Gold Analysis
- FII buy-Sell
- Technical Analysis
- Calls for the Day
- Currency Analysis
Quicklinks
