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• Equity benchmarks extended their winning streak to eight straight sessions as the Sensex advanced over 350 points, nearing the 82,000 mark, while the Nifty crossed the 25,100 level. Market momentum was fuelled by optimism surrounding the India–US trade deal, strength in global equities, and expectations of a US Fed rate cut in next week’s policy meeting. Domestic sentiment was further supported by GST reforms and resilient macroeconomic indicators.

• The Sensex ended 356 points, or 0.4%, higher at 81,904, while the Nifty 50 rose 109 points, or 0.43%, to close at 25,114.

• Defence stocks staged a strong rebound, with the Nifty Defence index jumping 4.3% to an eight-week high of 8,041, marking weekly gains of nearly 8% — the sharpest in four months. The rally was driven by a robust order pipeline, rising geopolitical tensions, and the Ministry of Defence unveiling a comprehensive 15-year modernisation roadmap on September 5. Key gainers included GRSE, MTAR Tech, Astra Micro, and Paras Defence, which surged 5–10%.

• The Nifty Metal index also added 1% as base metal prices on the London Metal Exchange climbed to six-month highs, with copper and aluminium leading the move. Hindustan Zinc rallied 12.6% to ?280, while National Aluminium, Hindalco Industries, and Vedanta gained 2–4%.

• Globally, US markets closed at record highs with gains of up to 1.3%, while Asian equities rallied after US inflation data came in line with expectations, bolstering hopes that the Federal Reserve will resume rate cuts at its upcoming meeting.

Technical Outlook:

• Nifty index opened gap up by 70 points and gradually shifted base higher to touch 25139 levels in the first half of the day. It built on the prior session’s momentum and maintained its footing above the key psychological threshold of 25k. The latter part witnessed some oscillation in a defined range and closed with gains of around 110 points. Index saw consistent buying interest at minor dips.

• It formed a bullish candle on daily and weekly frame and has been making higher highs – higher lows from the last five sessions. Now it has hold above 25050 zones for an up move towards 25250 then 25350 zones while supports have shifted higher to 25000 then 24900 zones.

Derivative Outlook:

• Nifty future closed positive with gains of 0.42% at 25210 levels. Positive setup seen in BDL, Mazagon Dock, Hindustan Zinc, Supreme Industries, BEL, Vedanta, HAL, Bajaj Finance, Lupin and National Aluminium while weakness in Jubilant Foodworks, Godrej Consumer products, Sona BLW precision, UPL, Prestige Estate, VBL, United Spirits, PFC, Max Financial and IndusInd Bank.

• On option front, Maximum Call OI is at 25200 then 25300 strike while Maximum Put OI is at 25000 then 25100 strike. Call writing is seen at 25100 then 25150 strike while Put writing is seen at 25100 then 25050 strike. Option data suggests a broader trading range in between 24600 to 25500 zones while an immediate range between 24900 to 25300 levels.

• HAL receives third GE-404 engine for the LCA Mark 1-A fighter jet from the US - Company has received the third GE-404 engine from the US for the LCA Mark-1A program, with 12 engines expected by fiscal year-end. The Indian Air Force aims to induct 352 Tejas aircraft, with HAL targeting full-scale production of 30 aircraft annually by 2026- 27.

• Cabinet decides to allot land to GAIL India to set up bio-CNG unit in Bengaluru - The Karnataka Cabinet has cleared key proposals, including allotment of land to GAIL to set up a bio-CNG plant. "The cabinet has approved allotment of 18 acres of land at Haralakunte village, Begur Hobli, Bengaluru.

• NLC India - Company signed an MoU with Khanij Bidesh India to collaborate on identifying, acquiring, and developing critical and strategic mineral projects globally.

• Bharti Airtel and Reliance Industries - Telecom regulator (TRAI) has asked Reliance Jio Infocomm and Bharti Airtel Ltd to explain why they removed their cheapest 1GB entry-level mobile plans, Mint reports.

• Mazagoan Dock - Germany’s ThyssenKrupp Marine Systems commenced contract negotiations with Mazagon Dock Shipbuilders for six advanced submarines Project 75(I).

• Ixigo In Pact With Delhi Metro - Company is in pact with Delhi metro and Open Network Digital Commerce to launch ticket booking services on the Ixigo Trains application

Global Market Update

• European Market - European stocks dropped on Friday as a global rally sputtered ahead of next week’s Federal Reserve meeting. Both Germany and France Index declined 0.5% each.

• Asian Market - Asian stocks rallied, with MSCI’s regional gauge nearing a record high, after US inflation and jobs data cemented expectations the Federal Reserve will cut interest rates next week.

• US Data - I-Year Inflation.

• Commodity - Crude oil prices held steady as concerns about oversupply clashed with potential impacts of geopolitical developments in Ukraine and the Middle East.

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