Indian Equity Market Ends Week Higher on GST Reforms, Fitch Upgrade and Global Cues

The Indian equity market ended the week on a positive note, supported by optimism over GST reforms, easing concerns around India–U.S. relations, and expectations of a U.S. Federal Reserve rate cut. Investor confidence was further boosted after Fitch Ratings revised India’s growth outlook upward, reinforcing the country’s economic resilience.

In the week ended Friday, 12 September 2025, the S&P BSE Sensex advanced 1,117.4 points or 1.38 per cent to close at 81,904.70, while the Nifty 50 climbed 314.15 points or 1.37 per cent to settle at 24,114. Among broader indices, the BSE Mid-Cap index rose 0.09 per cent to 46,184.30, and the BSE Small-Cap index gained 0.27 per cent to 53,548.49.

During the week, the indices showed consistent strength. On Monday, the Sensex rose 76.54 points to 80,787.30 and the Nifty added 32.15 points to 24,773.15. On Tuesday, a rally in IT stocks led by Infosys lifted the Sensex 314.02 points to 81,101.32 and the Nifty 95.45 points to 24,868.60.

On Wednesday, global cues and rate cut expectations helped the Sensex advance 323.83 points to 81,425.15 and the Nifty climb 104.50 points to 24,973.10. On Thursday, the Sensex gained 123.58 points to 81,548.73 and the Nifty edged up 32.40 points to 25,005.50. On Friday, the Sensex jumped 355.97 points to 81,904.70 while the Nifty surged 108.50 points to 25,114.

Fitch Ratings upgraded India’s FY26 growth forecast to 6.9 per cent from 6.5 per cent earlier, citing resilient macroeconomic conditions. Prime Minister Narendra Modi reaffirmed strong bilateral ties with the U.S., describing both nations as “natural partners.” President Trump also stressed on continuing negotiations, raising hopes of progress on tariff and trade issues.

Several stocks were in focus during the week. Infosys gained 6.48 per cent after approving a Rs 18,000 crore share buyback at Rs 1,800 per share, a 19.25 per cent premium. JBM Auto soared 14.37 per cent after its subsidiary secured a USD 100 million investment from IFC to deploy 1,455 electric buses under the Pradhan Mantri e-bus Sewa Scheme.

Jupiter Wagons rose 3.52 per cent after receiving a Rs 113 crore order from the Ministry of Railways. Hero MotoCorp declined 2.36 per cent and Bajaj Auto dropped 4.71 per cent after announcing GST-linked price revisions on two-wheelers and three-wheelers.

RailTel Corporation advanced 8.15 per cent on winning orders worth Rs 713.52 crore from the Bihar Education Project Council. Regaal Resources fell 3.65 per cent after posting a 1.19 per cent drop in quarterly net profit to Rs 9.06 crore despite a 26.52 per cent revenue rise.

Morepen Laboratories surged 9.76 per cent after its subsidiary Morepen Medipath signed a joint venture with UAE-based Bimedical FZE for medical devices manufacturing. Adani Power rose 2.35 per cent after signing an agreement with Bhutan’s Druk Green Power Corp. to set up a 570 MW hydroelectric project.

Global markets provided mixed signals. In the Euro Zone, inflation edged up to 2.1 per cent, with core inflation steady at 2.3 per cent. Germany confirmed its August inflation at 2.1 per cent. The UK economy stalled in July with flat GDP growth after a 0.4 per cent rise in June.

In China, CPI fell 0.4 per cent year-on-year and PPI contracted 2.9 per cent, while Japan reported stronger annualized GDP growth of 2.2 per cent in Q2 2025. South Korea’s unemployment rate rose slightly to 2.6 per cent. In the U.S., unemployment increased to 4.3 per cent while CPI surged 0.4 per cent in August, raising concerns over stagflation ahead of the Federal Reserve meeting.

Disclaimer: The article is for informational purposes only and not investment advice.