Nifty Records Biggest Weekly Gain in Four Months as FIIs Return; Sensex Closes Above 78,000

Mumbai, August 1: The Indian stock market benchmarks staged a decisive recovery during the week ended 31 July, erasing all of the previous week’s losses. The Nifty 50 advanced more than 2.5% over the five sessions, marking its biggest weekly gain in nearly four months.  

The BSE Sensex and Nifty 50 both advanced 2.6% for the week, with the Sensex rising 2.1% in July and the Nifty gaining 2.2% during the month. This robust performance was driven by a significant reversal in foreign institutional investor (FII) activity, which turned net buyers after a prolonged selling spree, alongside sustained support from domestic institutional investors (DIIs). 

The rally was widespread, with more than 40 Nifty stocks ending the week in the green, while nearly 15 constituents gained 5% or more during the period. 

FIIs Turn Net Buyers with ₹7,000 Crore Weekly Influx; DIIs Remain Sturdy Pillars of Support 

The most significant trigger for the market’s resurgence was the dramatic comeback of Foreign Institutional Investors (FIIs). After a four-month period of being net sellers, FPIs reversed their stance in July, becoming net buyers. This week alone, provisional data showed a substantial turnaround.  

After starting the week as net sellers on Monday, 27 July, with outflows of ₹1,688.23 crore, FIIs aggressively pivoted. They recorded net purchases of ₹755.33 crore on Tuesday, ₹2,981.87 crore on Wednesday, and a massive ₹3,623.51 crore on Thursday.  

The buying spree continued on Friday, albeit at a slower pace, with net inflows of ₹277.48 crore. This brought the total net FII inflow for the week to approximately ₹7,000 crore, a clear signal of improving foreign investor confidence in Indian equities. 

Domestic Institutional Investors (DIIs) continued to play their role as the market’s bedrock. DIIs were net buyers on four out of five sessions, with net purchases of ₹2,329.14 crore on Monday, ₹1,664.16 crore on Tuesday, ₹998.02 crore on Wednesday, and ₹2,260.37 crore on Friday. They briefly turned net sellers on Thursday, with outflows of ₹1,864.03 crore, but this was more than offset by the significant FII inflows on that day. The coordinated buying from both FIIs and DIIs provided a strong foundation for the market’s upward trajectory 

Sensex Closes at 78,095 and Nifty at 24,384 as Financial and Auto Sectors Lead the Rally 

The benchmark indices extended their winning streak for a third consecutive session on Friday, 31 July. The BSE Sensex closed 166.49 points, or 0.21%, higher at 78,095, while the NSE Nifty 50 rose 66.45 points, or 0.27%, to settle at 24,384. During the session, the Nifty touched a high of 24,429.40, and the Sensex reached 78,272.25, reflecting the strong bullish undertone. 

The rally was broad-based, but financial and auto stocks were the clear leaders. The Nifty Financial Services index climbed 1.31%, while the Nifty Financial Services Ex-Bank index surged 2.91%. The Nifty Auto index was the top sectoral performer, gaining 1.64%. The Nifty Oil & Gas index rose 1.08%, and the Nifty Pharma index added 0.72%. This sectoral strength was driven by a combination of strong corporate earnings and positive management commentary. 

Nifty 50 and Sensex Weekly Gainers and Losers: Bajaj Finance Surges 8.5% and TCS Falls 2.72% 

The Bajaj twins emerged as the undisputed leaders of the benchmark indices during the week. Bajaj Finance shares surged 8.5% to close at a 52-week high, making it the top gainer on both the Nifty 50 and the BSE Sensex, after reporting a 27.37% rise in consolidated net profit at ₹5,985.75 crore for Q1FY27. Bajaj Finserv jumped 6.2% , making it the second-best performer.  

Hyundai Motor India climbed 8% after reaffirming its FY27 volume growth guidance of 8-10%, while Mahindra & Mahindra (M&M) rose 4.15% on its commercial vehicle consolidation move. Balkrishna Industries gained 7.4% after approving a ₹4 per share dividend, and  GAIL (India) rose nearly 4% following its Q1 profit and merger approval. More than 120 stocks touched 52-week highs, including Aether Industries, Torrent Pharma, Divis Labs, TVS Motor, Bajaj Auto, Titan Company, Apollo Hospitals, Nykaa, and Nestle. On the losing side, Information Technology (IT) stocks bore the brunt of profit booking, with the Nifty IT index ending 1.56% lower.  

Tata Consultancy Services (TCS) was the biggest loser, falling 2.72% to ₹2,365.60, while Infosys declined 3.52% to ₹1,114.40. Wipro fell 1.38%, and HCL Technologies and Tech Mahindra also featured among the top losers. Eternal Ltd. declined 2.58%, while ITC fell 1.44% on the Sensex. The IT sell-off was driven by profit booking after a recent rally, as a rebound in global chipmakers prompted rotation out of domestic technology stocks. 

IT and FMCG Sectors Face Profit Booking; Nifty IT Index Declines 1.56% for the Week 

In contrast to the strong performance of financials and autos, the Information Technology (IT) and Fast-Moving Consumer Goods (FMCG) sectors witnessed significant profit booking. The Nifty IT index ended 1.56% lower, as investors booked profits following a recent rally in the sector. A rebound in global chipmakers, supported by strong earnings and spending plans, eased concerns over AI valuations, putting pressure on domestic technology stocks. Among the top losers were TCS, which fell 2.71%, Eternal Ltd. declining 2.58%, and Infosys ending as one of the top laggards. Wipro also lost 1.38%. 

The Nifty FMCG index also faced selling pressure, declining 1.05% for the week. Tata Consumer Products was among the notable decliners in this space. The sector’s underperformance reflects a broader market rotation away from defensives into more cyclical and growth-oriented sectors like financials and autos, which are currently delivering better earnings momentum. 

Broader Markets Outperform: Midcap and Smallcap Indices Deliver Positive Weekly Returns 

The broader markets displayed resilience during the week, with the Nifty Midcap 100 and Nifty Smallcap 100 indices rising 0.4% each on the final trading day. For the month of July, the Nifty Smallcap 100 and Nifty Midcap 100 surged 2.5% and 1.8% , respectively.  

Among midcap gainers, Jubilant FoodWorks (JUBLFOOD) , Godrej Properties (GODREJPROP) , and UPL were the top contributors. Au Small Finance Bank (AUBANK) , Lupin , and Persistent Systems also contributed positively to the midcap index. In the smallcap space, Zensar Technologies , CreditAccess Grameen , and Blue Star led the gains. The Nifty Microcap 250 surged 1.25% on Friday, indicating that buying interest was spreading across market capitalisation segments.  

The Nifty Next 50 also jumped 1.31% , reflecting strength in the broader large-cap space. The total market capitalisation of BSE-listed firms rose by ₹12 trillion to ₹486 trillion during the week. The Nifty Bank index gained 117 points to end at 57,265. 

SML Mahindra Zooms 41% on ₹525 Crore Acquisition of M&M’s Truck and Bus Division 

SML Mahindra’s shares rallied after its board approved the acquisition of Mahindra & Mahindra‘s Truck and Bus Division through a slump sale worth ₹525 crore. The business generated ₹2,989 crore in revenue in FY26, and the deal will consolidate the Mahindra Group’s truck and bus operations under one listed entity. The acquisition is expected to nearly double SML Mahindra’s revenue base from about ₹2,900 crore to around ₹5,900-6,000 crore, strengthening its presence across light, intermediate and heavy commercial vehicles. Investors welcomed the announcement, with the stock soaring 41% in two trading sessions to a record high, alongside a sha 

GAIL (India) Jumps 4% on Strong Q1 Profit and Merger with Konkan LNG Subsidiary 

GAIL (India) Ltd. , the state-run gas major headquartered in New Delhi and engaged in natural gas processing, transmission, and distribution, witnessed strong buying interest, with its stock gaining nearly 4% on Friday. This was triggered by two key announcements. First, the company reported a sharp sequential improvement in its June-quarter earnings. GAIL posted a net profit of ₹4,292 crore for the quarter, a massive jump from ₹1,262 crore in the previous quarter. Revenue increased 12% quarter-on-quarter to ₹38,952 crore. The company’s EBITDA surged to ₹6,376 crore from ₹1,153 crore in the March quarter, with the EBITDA margin expanding sharply to 16.4% from 3.3%. 

Second, GAIL’s board approved the amalgamation of its wholly-owned subsidiary, Konkan LNG Ltd. (KLL) , with the parent company. Konkan LNG owns and operates the LNG regasification terminal at Dabhol in Maharashtra. The merger is aimed at creating a larger, vertically integrated entity while simplifying the group structure and improving operational efficiencies. 

Capital Group Acquires 1.5% Stake in IIFL Finance for ₹374 Crore from Fairfax Affiliate 

In a significant deal in the financial services space, Capital Group bought a 1.49% to 1.54% stake in IIFL Finance for ₹374 crore. The acquisition was made through open market transactions from an affiliate of Fairfax India. US-based Capital Group, through its two affiliates SmallCap World Fund Inc and American Funds Insurance Series Global Small Capitalization Fund, purchased a total of 63,39,355 shares at an average price of ₹590 apiece.  

Following the stake purchase, shares of IIFL Finance rose 2.43% to trade at ₹622.60 apiece on the NSE. After the transaction, Fairfax India’s affiliate shareholding in IIFL Finance declined to 13.69% from 15.18%, though it continues to be the largest public shareholder. 

Tanla Platforms Acquires ValueFirst Middle East for ₹148.52 Crore; RVNL Bags ₹358.97 Crore Railway Order 

Tanla Platforms announced that its board approved the acquisition of 100% of ValueFirst Middle East FZC (VF FZC) through its subsidiary Karix Mobile FZ LLC for an aggregate enterprise consideration of ₹148.52 crore. The acquisition is aimed at expanding Tanla’s presence in the Middle East region. Of this, Rs. 12 crore will be paid in cash, while the remaining Rs. 136.52 crore represents the assumption and settlement of VF FZC’s liabilities, including amounts payable to Tanla group entities 

Meanwhile, Rail Vikas Nigam Ltd (RVNL) received a Letter of Acceptance (LoA) worth ₹358.97 crore from East Central Railway for the construction of doubling works on the Kundawa Chainpur to Raxaul section in the Samastipur Division. This order win is expected to bolster RVNL’s order book and revenue visibility. 

HUDCO Targets ECB Raise; Go Digit Stake Deal; CCI Merger Cleared 

State-run Housing and Urban Development Corporation Ltd. (HUDCO) plans to raise $2 billion through External Commercial Borrowings (ECBs) by the end of 2026 to fund housing and infrastructure projects. The company has already secured $700 million, while another $1.3 billion has been tied up and will be drawn by year-end, according to Chairman and Managing Director Sanjay Kulshrestha. The borrowings will comprise a mix of US dollar and Japanese yen loans, raised using the RBI’s concessional dollar-rupee swap facility. This marks HUDCO’s first dollar-denominated borrowing, with earlier foreign loans raised entirely in yen. 

In a significant block deal, ICICI Prudential Mutual Fund purchased 57,21,378 shares, representing a 0.62% stake in Go Digit General Insurance Ltd, from venture capital firm Peak XV Partners for ₹139.03 crore. The transaction was executed on the NSE at an average price of ₹243 per share. Following the stake buy, shares of Go Digit General Insurance rose more than 1% to trade at ₹256.05 apiece on the NSE. The deal comes amid a sell-off in Go Digit shares, with the stock hitting an all-time low of ₹245 on the BSE on 28 July. 

Additionally, the Competition Commission of India (CCI) approved the proposed amalgamation of Go Digit Infoworks Services Pvt Ltd, the holding company, with Go Digit General Insurance. This marks the first merger of an insurance company with a non-insurance holding company following amendments to insurance laws. After the completion of the transaction, FAL Corporation will hold a 57.28% stake in Go Digit General Insurance. FAL is part of the Canada-based Fairfax group. 

Kesar India Acquires Additional 20% Stake in Nexa Infraspace 

Kesar India acquired an additional 20% equity stake in Nexa Infraspace, increasing its holding from 10% to 30%, making Nexa Infraspace an associate company. The acquisition was completed through a Share Purchase Agreement (SPA) dated 30 July 2026. The investment is aimed at strengthening Kesar India’s presence in the real estate and infrastructure sector, expanding its project portfolio, enhancing execution capabilities, and supporting its long-term growth strategy through access to new business opportunities. 

Brookfield Asset Management Receives CCI Nod for Oaktree Capital Group Units Acquisition 

In a separate development, the CCI also gave its approval to the proposed acquisition of units by Brookfield Asset Management Ltd (BAM) of Oaktree Capital Group Holdings, LP (OCGH), and Oaktree Equity Plan, LP (OEP) . The proposed combination envisages the indirect acquisition of units of OCGH and OEP and, therefore, the Oaktree operating group of entities by BAM.  

BAM is a global alternative asset manager controlled by US-based Brookfield Corporation. Both OCGH and OEP are part of the Oaktree Group, which is engaged in alternative investment management services. 

Institutional Block Deals Drive Activity in Gandhar Oil, Aqylon Nexus, Asian Granito and RaajMarg Infra 

Several stocks witnessed notable bulk and block deal activity during the week as institutional investors reshuffled their holdings. Societe Generale sold 5.22 lakh shares (0.53%) in Gandhar Oil Refinery (India) Ltd. for ₹12.62 crore at ₹241.88 per share, shortly after acquiring a larger stake following the company’s strong June-quarter earnings.  

Pine Oak Global Fund increased its stake in Aqylon Nexus Ltd. by purchasing 25 lakh shares (0.98%) worth ₹6.29 crore, while Sera Investments & Finance India offloaded 18.63 lakh shares (0.73%) for ₹4.69 crore. Asian Granito India Ltd. surged nearly 10% intraday after Nova Global Opportunities Fund PCC – Touchstone acquired 20 lakh shares (0.67%) through a ₹12 crore block deal at ₹60 per share. Meanwhile, Axis Bank sold 34.33 lakh units of RaajMarg Infra Investment Trust through a block deal worth around ₹40 crore at ₹116.50 per unit.  

These transactions highlight active institutional participation and changing ownership patterns, which are closely monitored by investors as indicators of market positioning and confidence in individual companies. 

Zee Media Raises ₹38 Crore via FCCBs; Adani Group Completes ₹43,500 Crore Fundraising 

Corporate fundraising remained in focus this week as Zee Media Corporation Ltd. (ZMCL) and the Adani Group secured significant capital through different fundraising routes. Zee Media raised ₹38 crore by issuing Foreign Currency Convertible Bonds (FCCBs) to Sun India Opportunities Fund on a private placement basis. The FCCBs carry a 10-year maturity and a conversion price of ₹13.50 per share, representing a premium of over 80% to the previous closing price, reflecting strong investor confidence. The announcement lifted Zee Media’s shares by as much as 9.6%, while Zee Entertainment Enterprises gained 4.5%. 

Meanwhile, the Adani Group completed equity fundraising worth ₹43,500 crore over the past eight months through Adani Enterprises’ ₹25,000-crore rights issue, a ₹15,000-crore Qualified Institutional Placement (QIP), and Adani Energy Solutions’ ₹3,500-crore QIP. The strong response, led by domestic mutual funds including SBI Mutual Fund, highlights sustained institutional confidence in the conglomerate’s infrastructure and growth plans. 

Diamond Power Raises ₹1,614 Crore; NTPC, UltraTech and TVS Announce ₹18,000 Crore Fundraising Plans 

Corporate fundraising remained active as several companies tapped debt and equity markets. Diamond Power Infrastructure Ltd. raised ₹1,614 crore through a Qualified Institutional Placement (QIP), issuing shares at ₹227 apiece, a 4.99% discount to the SEBI floor price, to support expansion.  

State-run power major NTPC Ltd. has approved raising up to ₹12,000 crore through the issuance of non-convertible debentures (NCDs) via private placement in the domestic market. The fundraising will be carried out in one or more tranches. According to the company, the issuance period will remain valid for one year from the special resolution or until the next Annual General Meeting in FY2027-28, whichev 

UltraTech Cement plans to raise ₹5,000 crore through AAA-rated rupee-denominated bonds to reduce borrowing costs after a series of acquisitions and expansion projects. The issue comprises three tranches with maturities of 2.5, 3.5 and 5 years, carrying annual coupon rates ranging from 7.22% to 7.25%. Meanwhile, TVS Motor Company approved fundraising of up to ₹1,000 crore through NCDs, commercial papers and other borrowings to support growth and working capital requirements. 

Lohia Corp Lists at 8% Premium; Indo-MIM Lists with 46% Premium; Juniper Green Energy and Fusion Klassroom Launch IPOs 

The primary market remained active during the week. Lohia Corp, a global manufacturer of machinery for the technical textiles industry, made its stock market debut on Thursday, 30 July. The company’s shares listed at a premium, with the stock opening at ₹460 on the BSE, an 8.2% premium over its issue price of ₹425, and at ₹461 on the NSE, an 8.47% premium. The stock extended its gains post-listing, climbing to ₹480.75. The IPO, which was entirely an offer for sale (OFS) of 2.59 crore shares aggregating to ₹1,101.28 crore, was subscribed more than 7 times during its bidding period from 23 July to 27 July. 

Indo-MIM Ltd. , a manufacturer of precision engineering components using metal injection molding (MIM) technology, also listed on 30 July. The stock debuted at ₹700 on the NSE, a premium of 44.33%, and at ₹703 on the BSE, a premium of 44.95%. It was currently trading at ₹710.25, representing a premium of 46.44% over the issue price of ₹485. The ₹3,812 crore IPO was subscribed 72.34 times. 

Two new IPOs were launched during the week. Juniper Green Energy opened its ₹1,800-crore public issue on 30 July, with a price band of ₹214-225 per share. On the SME front, Fusion Klassroom Edutech launched its ₹39.04 crore IPO on 31 July, after raising over ₹11 crore from anchor investors. Poojaa Precision Engg, a Pune-based automotive components manufacturer, opened its ₹160-crore IPO on 28 July, with a price band of ₹285-301 per share. The company is setting up a third manufacturing facility in Pune utilising ₹106.3 crore from the IPO proceeds. Propshop Events and Exhibitions Ltd opened its ₹28.57 crore SME IPO on 27 July with a price band of ₹65-₹69. 

UltraTech’s ₹240 Dividend, Wipro’s ₹2 Payout and Paytm’s Bonus Call in Spotlight 

Corporate actions dominated market attention during the week as more than 110 companies traded ex-dividend between 27 July and 31 July, with aggregate announced cash dividends exceeding ₹1,050 per share. Persistent Systems fixed 27 July as the record date for its ₹18 final dividend, while Wipro announced an interim dividend of ₹2 per share with the same record date. UltraTech Cement declared a final dividend of ₹240 per share, with both the ex-date and record date falling on 30 July, while Balkrishna Industries approved a ₹4 final dividend.  

In bonus-related developments, One 97 Communications (Paytm) deferred its proposed maiden bonus issue, whereas Aastha Spintex approved a 1:1 bonus issue and Hardwyn India turned ex-bonus.  

Several companies implemented stock splits during the week. Kalind’s stock split was in the ratio of 1:5, and the company also issued a 1:2 bonus issue. Simplex Castings Ltd turned ex-split on 20 July, splitting one equity share of ₹10 face value into five equity shares of ₹2 each. Pondy Oxides & Chemicals fixed 21 July as the record date for its 2:5 stock split. Britannia Industries, Coal India, Eicher Motors, Bharti Hexacom, AstraZeneca Pharma India, Bata India and AU Small Finance Bank were among the stocks trading ex-date on 31 July for dividends and other corporate actions 

Source 

• https://www.nseindia.com/index-tracker/NIFTY%2050 

• https://www.nseindia.com/index-tracker/NIFTY%20BANK 

• https://www.niftyindices.com/indices/equity/sectoral-indices/nifty-auto 

• https://www.niftyindices.com/indices/equity/broad-based-indices/NIFTY-Midcap-100 

• https://www.niftyindices.com/indices/equity/broad-based-indices/nifty-smallcap-500 

• https://www.niftyindices.com/indices/equity/sectoral-indices/nifty-oil-and-gas-index 

• https://www.niftyindices.com/indices/equity/sectoral-indices/nifty-it 

• https://www.bseindia.com/sensex/code/16/ 
• https://www.nseindia.com/