In a volatile trading session, Indian equity benchmarks ended flat on Friday as investors booked profits amid weakness in IT, FMCG and Realty shares. Sustained outflow of foreign funds and fear of additional US tariffs against India also weighed on sentiments. Foreign institutional investors offloaded equities worth Rs 106.34 crore on Thursday, according to exchange data.

Some of the important factors in trade: 

India's exports this year to be higher than 2024-25: Union Minister Piyush Goyal said that India's exports during the current financial year would be higher than 2024-25, while asserting the government is working at a fast pace for diversification of outbound shipments. 

GST reforms to cause Rs 3,700 crore revenue loss to government: The State Bank of India (SBI) in its latest research report said that reforms in GST through reduction in rates will cause a minimal revenue loss of Rs 3,700 crore. The government estimates the net fiscal impact of GST rates rationalisation will be Rs 48,000 crore on an annualised basis. 

Rupee hits record low against dollar: Indian rupee closed at an all-time low against the US dollar amid sustained outflow of foreign funds and fear of additional US tariffs against India. A weak greenback and falling crude oil prices failed to prevent the fall in local unit.

PM Modi, EU leadership reaffirm commitment to seal India-EU FTA soon: India and European Union have pledged to seal their much-awaited free trade deal by December with Prime Minister Narendra Modi and 27-nation bloc's top leaders Antonio Costa and Ursula von der Leyen pledging to promoting a rules-based global order, amid Washington's disruptive trade policies.

Positive global cues: European markets were trading higher as investors awaited the all-important monthly U.S. jobs report later in the day for direction. Asian markets ended higher as weak U.S. labor market data reinforced expectations of a Federal Reserve rate cut later this month and U.S. President Donald Trump signed an executive order officially putting into action the U.S.-Japan trade agreement.   

Finally, the BSE Sensex fell 7.25 points or 0.01% to 80,710.76 and the CNX Nifty was up by 6.70 points or 0.03% to 24,741.00.    

The BSE Sensex touched high and low of 81,036.56 and 80,321.19 respectively. There were 14 stocks advancing against 16 stocks declining on the index.  

The broader indices ended mixed; the BSE Mid cap index fell 0.10%, while Small cap index was up by 0.09%.

The top gaining sectoral indices on the BSE were Auto up by 1.30%, Telecom up by 0.96%, Metal up by 0.71%, Consumer Disc up by 0.60% and Energy up by 0.20%, while IT down by 1.25%, FMCG down by 1.22%, Realty down by 1.07%, TECK down by 0.70%, Industrials down by 0.28% were the top losing indices on BSE.

The top gainers on the Sensex were Mahindra & Mahindra up by 2.34%, Maruti Suzuki up by 1.70%, Power Grid Corporation up by 1.21%, Reliance Industries up by 1.11% and Bharti Airtel up by 0.84%. On the flip side, ITC down by 2.01%, HCL Technologies down by 1.55%, TCS down by 1.53%, Tech Mahindra down by 1.43% and Infosys down by 1.29% were the top losers.

Meanwhile, asserting the government is working at a fast pace for diversification of outbound shipments, the commerce and industry minister Piyush Goyal has said that India's exports during the current financial year (FY26) would be higher than 2024-25. He also said the industry has committed to pass on the benefits of the GST rate reduction to consumers. Referring to the Income Tax benefits effected through the Union Budget and GST reforms announced on September 04 evening, he said ‘This has been a very special year for consumers’. 

He noted that the reforms announced on the GST front will have multiplier impact on the economy and help in keeping inflation at low levels. He said ‘Industry has committed they will pass on the benefits of GST rate reduction to consumers’. He further said reduction in prices also benefits industry as it leads to higher demand which in turn boosts manufacturing activities.

About GST rate cut would help exports, Goyal said it will help all sections of industry. He said ‘Those exporters who have been affected by any action, by a third country, will also get a chance to try and capture bigger Indian market and continue their business uninterrupted. So I think it's a win win for all’. Regarding diversification of export markets in the wake of challenges posed by US tariffs, he said the government is already making efforts to promote new markets and new products going out form India. He said India is exploring the UAE market for export of shrimp and sea food. Also, he said ‘Singapore has assured us to buy eggs and chicken from India. I've asked them to also examine fish and they tell me that they love the taste of Indian fish’.

The CNX Nifty touched high and low of 24,832.35 and 24,621.60 respectively. There were 28 stocks advancing against 22 stocks declining on the index.   

The top gainers on Nifty were Eicher Motors up by 2.41%, Mahindra & Mahindra up by 2.34%, Shriram Finance up by 1.68%, Maruti Suzuki up by 1.64% and Dr. Reddy's Laboratories up by 1.33%. On the flip side, ITC down by 1.92%, Cipla down by 1.69%, HCL Technologies down by 1.61%, TCS down by 1.54% and Tech Mahindra down by 1.49% were the top losers.

European markets were trading higher; UK’s FTSE 100 increased 23.41 points or 0.25% to 9,240.28, France’s CAC rose 7.58 points or 0.1% to 7,706.50 and Germany’s DAX gained 39.17 points or 0.16% to 23,809.50.