Sensex and Nifty Surge on Hopes of India-US Trade Talks and GST Cuts
Indian stock markets saw strong gains on September 10, 2025, with Sensex jumping more than 400 points and Nifty crossing 25,000; this rally was driven by hopes of GST cuts and renewed India-US trade talks, with IT and banking stocks doing well while auto shares slid, and overall market sentiment remained upbeat despite global challenges.
MARKET NEWS
9/10/20252 min read
As hope grew for possible GST reduction and reopened trade negotiations between the US and India, Indian equities markets jumped on September 10, 2025, with the Nifty and Sensex continuing their winning run. IT and banking equities drove the stock market's gain, indicating robust investor enthusiasm in spite of underlying global worries.
Market Performance
The NSE Nifty broke beyond the 25,000 barrier for the first time in a number of weeks, while the BSE Sensex increased by more than 400 points, closing above 81,500. The benchmark indices saw increases for the sixth straight session as a result of this upward momentum. Nifty MidCap and SmallCap, two broader market indices, also saw gains, rising by 0.85% and 0.77%, respectively.
Key Drivers
US-India Trade Talks: Indications that US President Donald Trump might start talks with India again, which could lower trade obstacles and promote economic growth, helped to boost sentiment.
Potential Reductions in the Goods and Services Tax (GST) Rate: Investors reacted favorably to anticipations of impending GST rate reductions, which may boost government revenue in the approaching quarters but may also encourage consumption.
Global Cues and Fed Expectations: Bullishness was further supported by encouraging signals from Asian markets and expectations of a rate decrease by the US Federal Reserve.
Sector Highlights
With firms like HCL Technologies, TCS, Tech Mahindra, L&T, and Infosys increasing between 1% and 2%, IT equities were the biggest winners.
Financials experienced a lot of purchasing interest, particularly PSU banks.
Defensive sectors trailed behind, while auto stocks experienced some profit booking.
Notable Corporate News
In spite of sectoral cooling, Tata Motors stated that it would acquire a 26% ownership holding in two companies, strengthening its position in the auto industry.
One of the biggest block deals was with Kotak Mahindra Bank, where roughly 51 lakh shares worth ₹989 crore were exchanged.
Vikram Solar's successful outcomes and Avanti Feeds and Apex Frozen Foods' export growth were emphasized.
Expert Commentary
Market analysts predicted that a risk-on attitude would dominate as long as the Nifty remained above important support levels (24,336). Bullish momentum, driven by expectations of upcoming rate cuts by the Federal Reserve, may pick up speed with a move over 25,155. Mid- and small-cap values, as well as the possible effects of GST reforms on fiscal consolidation, continue to raise concerns.
IPO and Broader Developments
Strong fundraising activity was clear in the number of initial public offerings (IPOs) that were launched or closed today, including those of Urban Company and Optivalue Tek Consulting. Global investors were cautious as proposals for tariffs on China and India heightened broader geopolitical concerns.