Market update – Friday, July 3 2026
Indian equity markets ended the week on a strong note on Friday, July 3, with the Nifty 50 registering its third consecutive day of gains and closing at a fresh two-month high. Optimism returned after softer-than-expected U.S. jobs data eased concerns over aggressive interest rate hikes by the U.S. Federal Reserve, lifting sentiment across global and emerging markets. Lower crude oil prices and continued expectations of foreign capital inflows further strengthened investor confidence.
The Nifty 50 opened with a sharp gap-up of nearly 200 points before witnessing some profit booking during the day. However, buyers returned in the latter half of the session, helping the index recover from its intraday low of 24,252.35 and close at 24,270.85, up 95.15 points (0.39%). The Sensex also ended higher at 77,763.91, gaining 261.79 points (0.34%). The Bank Nifty, however, underperformed and finished marginally in the red.
Volatility continued to cool, with the India VIX falling another 4% to close below the 12 mark, its lowest level since the latter half of February. On a weekly basis, both the Nifty 50 and Sensex advanced approximately 0.9%, marking their fourth consecutive week of gains.
Market Breadth & Internals
The market breadth remained positive, although broader markets delivered a mixed performance.
- Advancing Stocks: 1,823
- Declining Stocks: 1,513
- Unchanged: 81
- 52-Week Highs: 149
- 52-Week Lows: 24
- Upper Circuits: 102
- Lower Circuits: 84
While the benchmark indices outperformed, the Nifty Midcap 100 slipped 0.19%, whereas the Nifty Smallcap 100 managed a modest gain of 0.04%.
Sectoral Performance
Sectoral trends remained largely positive, with six of the eleven major sectors ending in the green.
The standout performer was Realty, with the Nifty Realty Index surging 2.19% to a six-month high, extending its winning streak to four consecutive sessions.
The Nifty IT Index gained 1.76%, rebounding strongly on hopes that easing U.S. interest rate expectations could improve technology spending and encourage greater capital flows into emerging markets. Despite the recovery, the sector remains the weakest performer of the year.
Defensive buying continued in healthcare, with the Nifty Pharma Index rising 1.72% as investors preferred sectors less exposed to crude oil fluctuations and monsoon uncertainties.
The Nifty Metal Index advanced 0.76%, supported by a weaker U.S. dollar and expectations of a more accommodative U.S. monetary policy.
On the downside, Nifty PSU Bank emerged as the biggest laggard, falling 1.54%, largely due to weakness in Union Bank of India following its quarterly business update.
Stocks in Focus
Among the day’s major gainers:
- HCLTech rallied 5.65% after announcing a USD 1.14 billion strategic partnership with a European company, boosting investor confidence.
- Bharti Airtel, ICICI Bank, and HDFC Bank provided the largest positive contribution to the Nifty’s gains.
Major losers included:
- D-Mart, which declined 4.6% after reporting slower June-quarter sales growth.
- PB Fintech, which fell 5.40% following multiple discounted block deals.
- Union Bank of India, which lost over 7% after investors reacted negatively to slower credit growth and a sequential decline in deposits.
- Axis Bank, State Bank of India, and Larsen & Toubro were the biggest drags on the Nifty.
Global Economic Calendar
Monday (6 July):
- Germany Industrial Orders
- Eurozone Retail Sales
Tuesday (7 July):
- Australia RBA Interest Rate Decision
- China Foreign Exchange Reserves
Wednesday (8 July):
- U.S. FOMC Meeting Minutes
- China Consumer Price Index (CPI)
- China Producer Price Index (PPI)
Thursday (9 July):
- U.S. Initial Jobless Claims
Friday (10 July):
- United Kingdom Monthly GDP
- United Kingdom Industrial Production
- Canada Employment Data
What This Means for Investors
- The Nifty has now posted four consecutive weeks of gains, signalling improving medium-term market sentiment despite intermittent profit booking.
- Cooling volatility and easing global interest rate concerns continue to support risk assets, particularly large-cap equities.
- Leadership has rotated back toward IT, Realty and Pharma, suggesting investors are selectively accumulating sectors that had previously underperformed.
- While benchmark indices remain resilient, the mixed performance in midcaps and smallcaps indicates that stock selection remains more important than broad market exposure.
For detailed technical analysis, key support and resistance levels, and actionable market insights, watch today’s YouTube market update on Angeeras Securities.
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