Indian benchmark indices, Sensex and Nifty, are expected to begin the week on a flat note, continuing their recent range-bound trend as August 1 trade tariff deadline approaches. Market sentiment is likely to be influenced by several key factors, including developments in the U.S.-India trade negotiations, foreign fund flows, and ongoing corporate earnings announcements. As of 8:15 AM, GIFT Nifty futures were trading 33 points lower at 25,000, indicating a gap-down start for the Indian share market.

Investors will monitor the monsoon session of Parliament, which kicks off today amid heightened political tensions. The opposition is expected to target the Modi government over recent developments, including the cross-border military operation and key domestic issues such as the ongoing controversy surrounding electoral roll revisions in Bihar.

The market participants will also keep a close eye on the ongoing earnings season, with a series of major results lined up next week. They will first react to the results of three heavyweights such as Reliance Industries, HDFC Bank, and ICICI Bank during early trades on Monday. A slew of big players including Infosys, Dr. Reddy’s Laboratories, Bajaj Finance, Nestle India, and Cipla are scheduled to announce their quarterly results. On the macroeconomic front, key data points such as India’s Infrastructure Output and HSBC Flash PMI numbers for Manufacturing, Services, and Composite will be closely tracked.

Last week, the Sensex and Nifty50 extended their losing streak for the third consecutive week as investors remained cautious amid a disappointing start to the earnings season and ongoing uncertainty surrounding the US-India trade deal. While the 30-share Sensex slide 743 points to settle at 81,757.73, the Nifty50 lost 181 points to 24,968.40 during the week ended July 18. However, the broader market displayed some resilience, with the BSE Midcap and Smallcap indices ending marginally higher, gaining up to 1%.

Asian markets trade mostly higher

Equity markets across the Asia-Pacific region started the week on a positive note, as investors kept a close watch on potential tariff-related actions by U.S. President Donald Trump ahead of the looming August 1 deadline. The market participants will also monitor the People’s Bank of China’s upcoming announcement on the 1-year and 5-year loan prime rates for July, as well as recent developments in global trade.

Hong Kong’s Hang Seng surged over 0.5%, China’s Shanghai Composite added 0.45%, while Singapore’s Straits Times rose up to 0.7% in early trade. Indonesia’s Jakarta Composite was the top performer with a 0.8% gain, while South Korea’s Kospi advanced 0.4%.

Among others, Taiwan’s Weighted Index fell 0.45%, while Australia’s ASX 200 was down over 0.9% in the final hour of trade. Japanese markets were closed on the eve of Marine Day public holiday.

Stocks to watch

Q1 results: Eternal (Zomato), IDBI Bank, UltraTech Cement, PNB Housing Finance, Havells India, CRISIL, Dodla Dairy, Mahindra Logistics, Oberoi Realty, Parag Milk Foods, and many others are scheduled to announce their June-quarter earnings today.

Reliance Industries: Billionaire Mukesh Ambani-owned conglomerate reported a 76.5% year-on-year (YoY) growth in its consolidated net profit to ₹30,783 crore for the quarter ended June 2025, while revenue rose 6% to ₹2.73 lakh crore.

ICICI Bank: The private lender reported a strong Q1 performance, with net interest income (NII) rising 10.6% year-on-year (YoY) to ₹21,635 crore, while net profit increased by 15.4% YoY to ₹12,768 crore.

HDFC Bank: The country’s largest private lender posted a 5.4% YoY growth in NII, reaching ₹31,438 crore for the quarter ended June 2025.

Jio Financial Services: The RIL-backec company has entered into a 50:50 joint venture with Allianz Group, through its subsidiary Allianz Europe B.V., to launch a domestic reinsurance business aimed at tapping into India's expanding insurance market.

Yes Bank: The private lender reported a 59% YoY surge in standalone net profit to ₹801 crore for Q1FY26, compared to ₹502 crore in the same period last year.

JSW Steel: The company has posted a significant rise in net profit, which climbed to ₹2,184 crore in Q1FY26 from ₹845 crore in the year-ago quarter.

RBL Bank: The lender reported a weak Q1, with NII declining 13% YoY to ₹1,480.6 crore and net profit falling 46% to ₹200 crore.

JK Cement: The cement manufacturer delivered a robust performance, registering a 75.5% YoY jump in net profit to ₹324.3 crore. Revenue rose 19.4% YoY to ₹3,352.5 crore.

IDFC First Bank: Warburg Pincus, through its investment arm Currant Sea Investments B.V., has received regulatory approval from the Reserve Bank of India to acquire a 9.99% stake in IDFC First Bank.

Punjab & Sind Bank: The public sector lender reported a 48% YoY increase in net profit, which stood at ₹269 crore for the quarter.

Sona BLW Precision Forgings Ltd. (Sona Comstar): The Gurugram-based auto component maker  plans to enter China’s booming EV market through a joint venture with Jinnaite Machinery Co., Ltd (JNT).

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