The domestic equity indices extended gains in mid-afternoon trade, as strong domestic macroeconomic data lifted investor spirits. The Nifty traded near the 24,600 level.
Metal shares advanced after declining in the past three trading session.
At 14:25 IST, the barometer index, the S&P BSE Sensex advanced 520.24 points or 0.65% to 80,320.82. The Nifty 50 index added 183.05 points or 0.75% to 24,610.50.
The broader market outperformed the frontline indices. The S&P BSE Mid-Cap index jumped 1.46% and the S&P BSE Small-Cap index rose 1.34%.
The market breadth was strong. On the BSE, 2,745 shares rose and 1,369 shares fell. A total of 202 shares were unchanged.
Economy:
The seasonally adjusted HSBC India Manufacturing Purchasing Managers’ Index (PMI) stood at 59.3 in August compared with 59.1 in July 2025. The upward movement in the headline figure largely reflected an acceleration in growth of production volumes. The rate of expansion was the quickest in close to five years. When explaining the rise, panel members pointed to a better alignment of supply with demand.
India’s economy picked up momentum in the April–June quarter, defying expectations of slower growth, even as higher U.S. tariffs on Indian exports loom as a potential drag in the months ahead.
Gross domestic product (GDP) grew 7.8% in the quarter, the strongest pace in five quarters, compared with 7.4% in the previous three-month period, according to government data released Friday.
Gross value added (GVA) — considered a better gauge of underlying economic activity since it excludes indirect taxes and subsidy transfers — rose 7.6% during the same period, up from 6.8% in the prior quarter.
At this rate, India continues to rank among the world’s fastest-growing major economies, though the outlook for exports has darkened following U.S. President Donald Trump’s tariff hike.
Buzzing Index:
The Nifty Metal Index added 1.35% to 9,278.10. The index fell 1.68% in the past three consecutive trading sessions.
Hindustan Zinc (up 3.73%), National Aluminium Company (up 2.47%), Vedanta (up 2.46%), Adani Enterprises (up 1.88%), APL Apollo Tubes (up 1.8%), Jindal Steel (up 1.75%), Steel Authority of India (up 1.72%), Hindalco Industries (up 1.59%), Lloyds Metals & Energy (up 1.02%) and JSW Steel (up 0.96%) advanced.
Numbers to Track:
The yield on India's 10-year benchmark federal paper rose 0.11% to 6.595 from the previous close of 6.588.
In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 88.2425 compared with its close of 88.0900 during the previous trading session.
MCX Gold futures for 3 October 2025 settlement rose 1.14% to Rs 105,011.
The US Dollar Index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.12% to 97.65.
The United States 10-year bond yield rose 0.64% to 4.252.
In the commodities market, Brent crude for November 2025 settlement rose 25 cents or 0.37% to $67.73 a barrel.
Stock in Spotlight:
VST Tillers Tractors rallied 4.18% after reporting a 1.87% increase in total sales to 4,499 units in August 2025, up from 4,416 units sold in August 2024.