Indian markets continued their sluggish trade in early afternoon session amid U.S. tariff-related uncertainty. Traders overlooked Reserve Bank of India’s (RBI) latest report stating that outward foreign direct investment (OFDI) by domestic firms has seen a jump of 73.77% to $5,030.48 million in June 2025 as against $2,894.90 million in June 2024. In May 2025, they stood at $2,702.92 million. Sector wise, insurance industry remained in limelight as CareEdge Ratings in its latest report has stated that India’s non-life insurance industry exhibited a 5.2% year-on-year increase in premiums to Rs 23,422.5 crore in June 2025. Meanwhile, the reported growth was lower than the 8.4% growth recorded in June 2024. On the global front, all Asian markets were trading higher even after US president unveiled a flurry of fresh tariff threats, with the latest being letters to scores of countries notifying them of levies of up to 15 percent.

The BSE Sensex is currently trading at 82491.68, down by 142.80 points or 0.17% after trading in a range of 82403.29 and 82757.09. There were 11 stocks advancing against 19 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.10%, while Small cap index up by 0.33%.

The top gaining sectoral indices on the BSE were Realty up by 0.99%, Healthcare up by 0.51%, FMCG up by 0.51%, Consumer Disc up by 0.40% and Consumer Durables was up by 0.33%, while IT down by 0.67%, TECK down by 0.55%, PSU down by 0.32%, Bankex down by 0.29% and Utilities was down by 0.22% were the top losing indices on BSE.

The top gainers on the Sensex were Trent up by 0.96%, Tata Motors up by 0.77%, Sun Pharma Inds. up by 0.71%, Titan Company up by 0.70% and Tata Steel up by 0.67%. On the flip side, Tech Mahindra down by 2.09%, Larsen & Toubro down by 0.85%, Infosys down by 0.84%, Axis Bank down by 0.50% and ICICI Bank down by 0.49% were the top losers.

Meanwhile, rating agency Crisil, in its latest research report, said that the consumer price index (CPI)-based inflation is expected to average 4 per cent this financial year (FY26), as compared to 4.6 per cent last fiscal. It said that food inflation is expected to be softer given the forecasts of above-normal monsoon by the Indian Meteorological Department (IMD). Non-food inflation is expected to be subdued on the back of lower commodity prices. CPI is the key measure used by the Monetary Policy Committee (MPC) of the RBI for targeting inflation.

According to Crisil, Gross Domestic Product (GDP) growth is seen at 6.5 per cent with downside risks. The tariff moves by the US are seen as a risk for exports, while domestic factors like an adequate monsoon and repo rate cuts will be supportive of growth. There is supportive liquidity in the system, which should aid the financial conditions of the economy, but capital flows are expected to be volatile along with the rupee. Bank credit growth continued to be weak. Data available till May 2025 indicates softening in bank credit growth in the first quarter.

Crisil said the softening inflation would allow the MPC to cut the repo rate once again this fiscal, followed by a pause. However, global uncertainties could continue to impart volatility to capital flows and currency movements. The MPC had cut the repo rate by 50 basis points at its June meeting, bringing it down to 5.5 per cent. Global uncertainties had led to a surge in crude oil prices, which hit $80 per barrel in June for the first time since January 2025. This has put pressure on the bond yields, equity markets and the rupee.

The CNX Nifty is currently trading at 25177.55, down by 34.50 points or 0.14% after trading in a range of 25144.00 and 25238.35. There were 24 stocks advancing against 25 stocks declining on the index, while 1 stock remained unchanged. 

The top gainers on Nifty were Tata Consumer up by 1.24%, Hindalco up by 1.03%, Trent up by 0.98%, Tata Motors up by 0.85% and Dr. Reddy's Lab up by 0.75%. On the flip side, Tech Mahindra down by 2.07%, Indusind Bank down by 1.08%, Larsen & Toubro down by 0.96%, Infosys down by 0.86% and SBI Life down by 0.75% were the top losers.

All Asian markets were trading higher; Nikkei 225 surged 237.79 points or 0.6% to 39,901.19, Jakarta Composite gained 90.7 points or 1.25% to 7,282.72, Taiwan Weighted added 70.38 points or 0.3% to 23,113.28, Hang Seng advanced 46.06 points or 0.19% to 24,563.82, Straits Times rose 19.9 points or 0.48% to 4,152.15, Shanghai Composite strengthened 11.2 points or 0.32% to 3,514.98 and KOSPI was up by 5.91 points or 0.19% to 3,192.29.