Here is our Today’s Wrap of the Markets wherein we take a look at key headlines that drew attention across the globe, including the decline of US Dollar to a four-year low and Gold soaring to record highs, among others. Alongside we also take a look at the performance of the Indian Equity Market Indices- broader and sector-wise along with the institutional trading activity, and the US Markets.
Let us begin with..
TODAY’S WRAP
The Indian Equity Markets extended gains for the second straight session, tracking India-EU Free Trade Agreement which boosted investor sentiment. The foreign investors (FIIs/FPIs) turned net buyers today for the first time in 2026, after India and European Union concluded trade negotiations in what has been described as ‘mother of all deals‘.
Global cues were positive in Asian markets with South Korea’s Kospi, Shanghai’s SSE Composite index among others, trading higher while the US Markets too closed higher on Tuesday. Further comfort came from easing volatility, as India VIX declined over 2 percent to around 14, reflecting improved risk appetite among investors.
Finance Flashcards Newsroom
TOP HEADLINES
- India-EU deal revive tariff-hit sectors
As the India-EU trade deal was finalized, export-oriented sectors staged a sharp rebound over the past week, having faced significant pressure over the past year due to the US imposed tariffs. Most of the stocks reacting positively are from the textile segment including KPR Mills, Welspun Living, as the E.U. accounts for the largest Indian textile market, making up 38 percent of all textile exports. As per Moneycontrol, Since 2025, some textile players are lower by over 27 percent, as significant tariff overhang has impacted the attractiveness of Indian textiles.
Due to tariff-free access to competing nations, India’s apparel exports have operated at a disadvantage in the EU Market, subject to duties of 9.96% under the GSP regime and 12% after its withdrawal. Now, the proposed tariff removal would be a significant positive step, helping level the playing field for Indian manufacturers.
- Dollar slides to four-year low against major currencies, Trump not concerned
A sell-off in the US dollar accelerated after US President Donald Trump’s remarks on the decline, saying he was not concerned by its steep falls in recent weeks, amid fears over erratic policymaking. As per a report in FT, the dollar was down 1.3% against a basket of major currencies, the Japanese Yen, for instance, which continued a three-day rally on Wednesday after traders in Tokyo reacted to Trump’s remarks. This leaves the dollar trading at the lowest level in four years, down 2.6% since the start of 2026.
The fresh jolt came post Trump’s reply about the currency’s recent fall, responding ‘the dollar is doing great’. As per analysts, the dollar is weighed by a number of issues simultaneously, including uncertainty over who Trump will nominate to replace Powell as the Fed chair after his term expires in May. Many investors expect the dollar to weaken further in 2026, and reasons to be bearish on dollar remain intact, as per analysts at JPMorgan.
- Gold soars to $5300 as Dollar weakens ahead of Federal Reserve decision
Gold prices climbed above $5,300 per ounce for the first time on Wednesday, driven by economic uncertainty and a weakening U.S. dollar, as investors awaited the Federal Reserve’s policy decision amid increasing concerns over its independence. As per a report in Moneycontrol, U.S. gold futures for February delivery jumped by 3.4% to $5,254.10 an ounce. The rates are expected to remain steady with investors focusing on Chair Jerome Powell’s post-meeting remarks, amid growing questions over the central bank’s independence post criminal investigation launched against Powell.
Gold tends to perform well during periods of heightened investor uncertainty, and periods of low interest rates, having gained more than 20% since the start of the year.
EQUITY MARKET RECAP
INDIAN INDICES
GLOBAL MARKETS
INDIAN MARKET WRAP
Indices
Sensex was up 487.20 points or 0.60 percent at 82,344.68, and the Nifty was up 167.35 points or 0.66 percent at 25,342.75. The indices opened higher in the morning, and despite witnessing a sell-off in the afternoon, closed higher to cap off gains for the second successive day, on the back of positive cues from the India-EU trade deal.
The broader indices outshone the benchmarks, with Nifty Midcap index adding 1.66 percent and smallcap index rising 2.26 percent.
Sector and Stock Movement
On sectoral front, media, metal, energy, Oil & Gas, realty were among the gainers, rising 1-4%, while FMCG, pharma, consumer durables ended lower.
More than 240 stocks touched 52-week low including Concord Biotech, Jyothy Labs, Honeywell Automation, among others while around 80 stocks touched 52-week high including Oil India, ONGC, MCX India, Vedanta, Jindal Steel, Tata Steel, among others. Bharat Electronics, ONGC, Eternal, Coal India and Hindalco Industries were among the major gainers on the Nifty, while losers were Tata Consumer, Asian Paints, Maruti Suzuki, Max Healthcare and Sun Pharma.
Institutional Trading Activity
DIIs purchased shares worth Rs 19,578 crore and sold shares worth Rs 16,218 crore. In contrast, FIIs bought shares worth Rs 21,045 crore but sold shares totaling Rs 20,564 crore.
Overall, the foreign institutions net bought Rs 480 crore worth equities along with DIIs net buying shares worth Rs 3361 crore.
Thank you for reading our Today’s Wrap of the Financial Markets. Stay curious..
