News Updates -Aug 9, 2025

Markets & Trade Sentiment

• The Stock Market brackets wrapped up their longest weekly losing streak in five years, as both the Nifty and Sensex dropped 0.95%, closing at ~24,363 and ~79,858 respectively. The market slump reflects persistent U.S. tariff fears, ongoing foreign capital outflows, and broader trade uncertainty.

Trade & Macroeconomic Outlook

• Moody’s raised alarm over Trump’s doubling of U.S. tariffs (now up to 50%), warning it could slow India’s manufacturing drive and shave up to 0.3% off GDP growth for FY 25–26.

• In response to tariff threats, markets saw a surge in safe-haven buying with gold and silver prices rising, while energy commodities declined alongside the rupee dipping toward record lows.

Regulatory & Policy Moves
• SEBI has released a consultation paper to deepen resident Indian participation in FPIs, aiming to streamline compliance and broaden access to global markets.

• UP Government greenlighted the MSME Industrial Estate Management Policy 2025, introducing e-auctioned industrial plots at fixed rates to rejuvenate underutilized industrial spaces.

Sector Highlights & Investments
• Indian Defence Production soared to a record ₹1.50 lakh crore in FY 24–25, reinforcing India’s growing manufacturing might under the ‘

Make in India’ initiative.

Hybrid Funds (Arbitrage & Multi-Asset) saw the strongest inflows in Q1 FY 26 among open-ended schemes—highlighting investor preference for better risk-adjusted returns.

• ISMA (Indian Sugar & Bio-Energy Manufacturers Association) backed India’s ethanol blending program and pushed back against misinformation on renewable energy policy.

Key Insights

Markets: Nifty/Sensex fall; longest weekly losing streak in 5 years
Global Trade: Moody’s warns tariffs may slow GDP; metals & currency pressured
Policy Developments: SEBI FPI reforms; UP MSME plot policy
Sector Highlights: Defence production record; hybrid funds & ethanol support