The headline equity indices ended with modest losses on today, extending losses for the second day in a row as investor sentiment remained cautious ahead of the anticipated India-US trade deal. The Nifty settled below the 25,450 mark after hitting the day's high of 25,587.50 in mid-afternoon trade.

PSU bank, metal and realty shares declined, while media, consumer durables and healthcare shares advanced.

As per provisional closing data, the barometer index, the S&P BSE Sensex fell 170.22 points or 0.20% to 83,239.47. The Nifty 50 index lost 48.10 points or 0.19% to 25,405.30. In the two consecutive trading sessions, the Sensex and Nifty declined by 0.54% and 0.53%, respectively.

In the broader market, the S&P BSE Mid-Cap index shed 0.06% and the S&P BSE Small-Cap index rose 0.47%.

The market breadth was positive. On the BSE, 2,011 shares rose and 1,993 shares fell. A total of 164 shares were unchanged.

Economy:

The seasonally adjusted HSBC India Services PMI Business Activity Index rose to 60.4 in June 2025 against 58.8 in May 2025. Monitored companies linked the upturn to positive demand trends and ongoing improvements in sales. Indian service providers ended the first fiscal quarter on strong footing.

Output and new order intakes rose at the fastest rates since August 2024, aided by another robust expansion in international sales and job creation. New orders expanded at the quickest rate since August 2024. Services companies benefited most from the continued strength of the domestic market, alongside a marked increase in new export business.

The HSBC India Composite PMI Output Index rose from 59.3 in May to 61.0, indicating the fastest rate of expansion in 14 months. Growth quickened at both manufacturers and service providers.

India-US trade deal update:

As per media reports, India and the United States will likely finalise a 'mini trade deal' within the next 48 hours, with negotiations underway in Washington, DC.

India and the US are actively engaged in trade negotiations as the July 9 deadline looms. If a deal is not reached by then, Indian exports to the US could face a total tariff of 36% (10% baseline tariffs plus 26% reciprocal tariffs). Trump has indicated that the deadline may not be extended.

IPO Update:

The initial public offer (IPO) of Crizac received bids for 5,61,79,109 shares as against 2,58,36,909 shares on offer, according to stock exchange data at 15:30 IST on Thursday (3 July 2025). The issue was subscribed 2.17 times.

The issue opened for bidding on Wednesday (2 July 2025) and it will close on Friday (04 July 2025). The price band of the IPO is fixed between Rs 233 and 245 per share. An investor can bid for a minimum of 61 equity shares and in multiples thereof.

New Listing:

Shares of Indogulf Cropsciences were at Rs 110.70 on the BSE, representing a discount of 0.27% compared with the issue price of Rs 111.

The scrip was listed at 111, matching the initial public offer (IPO) price.

The stock has hit a high of Rs 112.60 and a low of Rs 105.45. On the BSE, over 8.18 lakh shares of the company were traded in the counter.

Buzzing Index:

The Nifty PSU Bank index fell 0.89% to 7,129.90. The index fell 1.70% in two consecutive trading sessions.

Punjab National Bank (down 3.37%), Union Bank of India (down 1.14%), UCO Bank (down 1.13%), Central Bank of India (down 0.9%), State Bank of India (down 0.79%), Indian Bank (down 0.66%), Bank of India (down 0.65%), Bank of Baroda (down 0.39%), Punjab & Sind Bank (down 0.18%) and Canara Bank (down 0.11%) declined.

Stocks in Spotlight:

Biocon rose 1.43% after the company said that Biocon Biologics has received the European Commission (EC) marketing authorisation in the European Union (EU) for Vevzuo and Evfraxy biosimilars of Denosumab.

Arkade Developers jumped 4.14% after the company announced the acquisition of redevelopment rights of a strategically located society in Bangur Nagar, Goregaon West. The site offers a RERA saleable area of approximately 86,000 square feet and an estimated revenue potential of Rs 350 crore.

Bajel Projects was locked in an upper circuit of 5% after the company secured a mega order from PowerGrid Corporation of India for a critical 400 kV transmission line project. According to the company's classification, a 'mega' contract is valued between Rs 300 crore and Rs 400 crore.

Rail Vikas Nigam shed 0.53%. The company said that its board has approved the appointment of Chandan Kumar Verma as chief financial officer (CFO) with effect from 2 July 2025.

Avenue Supermarts (DMart) slipped 0.86%. The company announced that the total number of DMart stores as of 30 June 2025 stood at 424. It has reported standalone revenue of Rs 15,932.12 crore in the quarter ended 30 June 2025, recording a growth of 16.19% from Rs 13,711.87 crore posted in the same period a year ago.

Punjab National Bank (PNB) fell 3.29%. The bank's domestic deposits increased 12.2% to Rs 15,36,871 crore as of June 2025 compared with Rs 13,69,916 crore posted in June 2024.

Baazar Style Retail tumbled 7.76%. The company reported 36.99% growth in revenue to Rs 377.70 crore in Q1 FY26, compared with Rs 275.70 posted in Q1 FY25.

Tata Power declined 1.59% after the company disclosed that an international arbitration tribunal has partially ruled in favour of Kleros Capital Partners in an ongoing dispute. The arbitration, conducted under the Singapore International Arbitration Centre (SIAC) rules, stems from claims made by Kleros that Tata Power breached confidentiality and non-circumvention clauses outlined in a Non-Disclosure Agreement.

Mahindra & Mahindra Financial Services rose 1.89% after the company reported a 1% year-on-year increase in overall disbursements at Rs 12,800 crore for the first quarter.

NBCC (India) lost 2.16%. The company said that it has signed a memorandum of understanding (MoU) with the National Film Development Corporation (NFDC), under the Ministry of Information and Broadcasting.

Global Markets:

Most European stocks advanced on Thursday as investors awaited the release of U.S. jobs data.

Most Asian shares ended higher after U.S announced a trade deal with Vietnam. According to a post on Truth Social, the U.S. will slap a 20% tariff on Vietnamese imports, while Vietnam will impose ZERO Tariff on U.S. goods. The announcement comes as Trump's 90-day tariff reprieve nears its deadline.

Back in the U.S., Wall Street closed on a mixed note. The Dow Jones dipped 0.02%, while the S&P 500 rose 0.47%, and the Nasdaq jumped 0.94%.

Tesla made headlines with a sharp 5% rebound, recovering from the previous day's drop triggered by another round of sparring between Trump and Elon Musk. The EV giant reported Q2 deliveries of 384,122 vehicles, down from 443,956 last year but beating analyst expectations.

Meanwhile, U.S. private payrolls disappointed again. June saw a decline of 33,000 jobs, against expectations of a 99,000 gain. May's figures were also revised down to 29,000, marking the weakest two-month stretch since early 2023. The soft labor data reflects employer caution and worker hesitation amid tariff-related economic jitters.

All eyes are now on the upcoming nonfarm payrolls report, due Thursday, which could provide clues on the Fed's next move on interest rates.

Markets will wrap up early on Thursday ahead of the July 4 Independence Day holiday.

Powered by Capital Market - Live News