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Monday, 24 August 2026

Nifty Eyes 24,300 as Markets Balance West Asia Risk Against FPI Comeback

Two-Week Losing Streak in Focus

The Nifty 50 opens near 24,252 and the Sensex near 77,540.83, both essentially flat, as traders try to reverse a run of two consecutive weekly declines flagged in Monday's market previews. Notably, Brent-linked crude oil actually eased 2.15% to $92.36 today even as West Asia conflict headlines persist, a divergence worth watching. Bank Nifty's relative strength, up 0.46% to 57,761.95, suggests financials continue to anchor sentiment while IT drags, with Nifty IT down 0.46%.

FPI Money Returns, Slowly

Foreign portfolio investors bought ₹23,544 crore of Indian equities in August, building on July's ₹20,200 crore, reversing four months of heavy outflows, according to reporting citing earnings revival and rupee stability as drivers. This turnaround is a meaningful data point after a stretch of foreign selling pressure, though analysts still describe a hawkish MPC minutes backdrop and West Asia tensions as clouding the rupee and bond outlook, with the rupee expected to trade in a wide 95.50-96.00 band. The rupee itself is little changed at 95.68 today.

IPO Market Runs Hot

Grey market premiums are signalling unusually strong demand: Tempsens Instruments has crossed a 100% GMP, the first issue to do so in nearly two years, after being subscribed almost 22 times, while Symbiotec Pharmalab commands a ₹411 premium. Lalithaa Jewellery lists today with experts pointing to gains as high as 36%, and a pipeline of 20 IPOs is on investors' radar next week with implied listing gains reportedly ranging up to 90%. Such a wave of triple-digit grey-market premiums is a sentiment indicator worth studying rather than simply following.

Large-Cap Mcap Moves

Four of India's top-10 most valued firms shed a combined ₹87,960 crore in market value last week, with Bharti Airtel taking the single biggest hit even as the broader market stayed range-bound. In contrast, Reliance Industries added ₹8,119.53 crore and Larsen & Toubro gained ₹3,487.83 crore, underlining how dispersion beneath a flat headline index can be significant. Separately, Sebi has turned down settlement applications from 13 Adani-linked FPIs, reviving a surveillance case dating back to October 2020.

AI Capex Ripples Through Markets

Nvidia has reportedly warned major customers of a 15% price hike on AI servers as memory chip costs surge, a development that could complicate data-centre expansion plans globally and matters for India's IT services exporters already under pressure, with Nifty IT down 0.46% today. Alibaba, meanwhile, is raising roughly ₹95,000 crore ($10.2 billion) via a follow-on share sale entirely earmarked for AI infrastructure, one of the largest such offerings after Alphabet and Intel. Gold has climbed to a three-month high ahead of US inflation data and a Fed chair speech, a classic signal of hedging demand amid this uncertainty.

Corporate Developments to Track

Grasim Industries' KM Birla has outlined a target of ₹2 lakh crore in consolidated FY27 revenue, nearly double the level of five years ago, spanning building materials, financial services, digital commerce and renewables. JK Tyre is reportedly eyeing acquisitions again after three successful turnarounds, alongside ₹6,000 crore of planned organic expansion, while Dubai's DP World has flagged $700-800 million of fresh India investment across port terminals. Jubilant Pharmova secured USFDA approval for a new fill-and-finish line at its Spokane facility, even as NATCO Pharma and Caplin Point received FDA inspection observations.

Regulatory and Policy Watch

Sebi is reportedly assessing NSE's liquidity before permitting the exchange to trade its own shares without a formal listing, alongside a broader review of frameworks governing utilisation of IPO issue proceeds and related-party transactions. The RBI board has added three new part-time directors — Annie George Mathew, Syed Akbaruddin and Janmejaya Kumar Sinha — for four-year terms. Separately, Commerce Minister Piyush Goyal is leading a 200-member business delegation to Japan this week to push trade and investment in semiconductors, AI and clean energy.

Sector Intelligence
Information Technology
Nifty IT down 0.46% amid Nvidia's reported 15% AI-server price hike, which could raise costs across the AI infrastructure chain that IT services firms serve.
Banking & Financials
Bank Nifty outperforms at +0.46%, with analysts like Kotak Life's Hemant Kanawala citing financials among top sector picks as earnings recovery broadens.
Telecom
Bharti Airtel led last week's mcap erosion among top-10 firms, even as the broader financials and telecom cohort is flagged by some analysts as undervalued relative to the earnings cycle.
Pharmaceuticals
Mixed signals: Jubilant Pharmova won USFDA approval for its Spokane fill-and-finish line, while NATCO Pharma and Caplin Point received US FDA inspection observations.
Metals & Building Materials
Grasim Industries is targeting ₹2 lakh crore FY27 revenue on the back of its building materials and diversified portfolio, while metals broadly supported Friday's session.
Logistics & Infrastructure
DP World is lining up $700-800 million in fresh India investment across port terminals, alongside JSW Infra and Power Grid corporate developments in the news.
What To Watch
  • 1Whether the Nifty can hold above 24,300 and extend today's early gains through the session
  • 2Developments in the West Asia conflict and their pass-through to crude oil prices, given today's surprise 2.15% drop
  • 3The US Fed chair's upcoming speech and US inflation data, both flagged as near-term triggers for gold and global risk sentiment
  • 4Listing-day performance of Lalithaa Jewellery and Horizon Industrial Parks IPOs on BSE and NSE today
  • 5Any further Sebi action on the Adani-linked FPI settlement rejection and its market reaction
  • 6Nvidia's upcoming earnings and commentary on AI server pricing, given the read-through for Indian IT stocks

INFORMATIONAL PURPOSES ONLY. NOT INVESTMENT ADVICE. CONSULT A SEBI-REGISTERED ADVISER BEFORE INVESTING.

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