DayStarter

Market snapshot

Equities and sectors

Indian equities ended almost unchanged after a volatile session. The Nifty 50 closed at 24,072.75, down 0.02% from the previous close of 24,078.50. It opened at 24,142.10, touched an intraday high of 24,186.50, and fell to a low of 24,050.00.

The index opened with a 64-point gap up at 24,142 after positive global cues. It moved near 24,170 in the first hour, slipped near 24,050 around 1:40 PM, and then moved back above 24,100. The session was described as “closed the day flat at 24,072.75… after a volatile session marked by sharp swings in the second half”.

The Sensex closed at 77,186.87, almost unchanged from the previous close of 77,185.43. Nifty Bank closed at 57,582.25, down 0.30%. Broader indices were mixed. Nifty Smallcap 250 rose 0.06%, while Nifty Next 50, Nifty Midcap 150, and Nifty Microcap 250 closed lower.

Sectoral indices

Consumer Durables and Media were the strongest sectoral indices. Realty, PSU Bank, Metal, Bank, Service, and Energy closed lower.

Winners and losers among F&O stocks

ABB and Dixon led the F&O gainers, each up more than 6%, while ICICIGI was the biggest loser, down 10.78%.

Commodities and currency

Gold and silver closed lower, while crude oil, zinc, copper, and aluminium closed higher. Natural gas fell slightly.

The currency values differed across the two sources. Both values are kept as reported, and the difference is not reconciled.

Institutional flows

Foreign institutional investors, or FIIs, and domestic institutional investors, or DIIs, moved in opposite directions on 16 July. FIIs recorded a net figure of −₹4,206.0 crore, while DIIs recorded a net figure of +₹2,986.0 crore.

Across the five sessions shown, the FII net total was −₹8,462.0 crore. The DII net total was +₹10,811.0 crore.

The 16 July close report did not carry a Thematic Indices section. For thematic index movements, the source pointed to the Tijori App or the NSE/BSE portals. No thematic figures are stated here because none were present in the source.

Zerodha AfterMarket Report, 16 July 2026 close; Mint, 17 July 2026

Macro view

Domestic macro, policy, and inflation

Retail inflation rose to 4.4% in June. This was the first time since January 2025 that it moved above the RBI’s medium-term target of 4%. Retail inflation tracks prices paid by consumers. Food inflation rose to 5.3% from 4.8%, based on statistics ministry data cited in Mint Plain Facts, source CMIE.

India’s net direct tax collections rose 16% year-on-year to ₹6.5 trillion in FY27 up to 13 July. The increase was driven by corporate and non-corporate receipts, based on official data cited in Mint Plain Facts.

Moody’s Analytics expects global GDP growth to slow to 2.5% in 2026 from 2.9% in 2025, before recovering to 2.8% in 2027. It said India will “lose a step” amid an extended US-Iran war.

Several institutions have also lowered or stated India growth projections for FY27. The RBI has lowered its projection to 6.6% from 6.9%. The World Bank also pegs India growth at 6.6%. The ADB trimmed its projection to 6.6% from 6.9%. The IMF lowered its view to 6.4% from 6.5%.

CAFE III, windfall taxes, and schemes

The Centre eased fuel-efficiency targets for carmakers in the latest draft of CAFE III norms released Thursday. Overall fleet targets were relaxed by 7-10%. The draft also introduced a credit-debit system that allows carmakers to buy credits from the Bureau of Energy Efficiency. Supercredits for flex-fuel vehicles were cut to 1.1 from 1.5, and supercredits for strong hybrids were cut to 1.6 from 2. The electric-vehicle supercredit remains unchanged at 3.

India raised windfall taxes on diesel and jet fuel exports as global oil prices rose amid the US-Iran conflict. The diesel export duty was raised to ₹15.5 per litre from ₹8.5. The aviation turbine fuel duty was raised to ₹14.5 per litre from ₹7.5. The new rates apply from 16 July.

India is preparing to spend ₹10,000 crore over five years under the Biopharma SHAKTI scheme to build biologics capability. The scheme targets a 5% share of the global biopharmaceutical market. India’s biopharma market is valued at approximately $64.5 billion, based on the India Brand Equity Foundation cited by Mint.

Ahead of the monsoon session beginning 20 July, the government proposed introducing five new bills. These include the MSME Development (Amendment) Bill, 2026 and the Income-tax (Amendment) Bill, 2026, based on the tentative legislative agenda cited by Mint News Wrap.

Other data points

Other data points from Mint Plain Facts and Numbers included three items. RBI attracted $10 billion in inflows after announcing a zero-cost forex swap facility for NRI deposits at its 5 June policy meeting, based on Reuters. HDFC Bank’s FY26 workforce fell by 3,343 as automation expanded. The CAG flagged ₹3,541 crore of excess expenditure in Maharashtra’s Mukhyamantri Majhi Ladki Bahin Yojana.

Corporate action and earnings

Domestic earnings

Wipro, Q1FY27

Net profit rose 0.6% year-on-year to ₹3,352 crore and revenue rose 10.6% to ₹24,479 crore. IT services revenue was $2.61 billion, down 1.4% quarter-on-quarter and up 1% year-on-year. The company announced an interim dividend of ₹2 per equity share.

Another reported comparison showed Wipro’s revenue fell 1.4% sequentially to $2.61 billion and net profit fell 4.7% quarter-on-quarter to $355 million. This was described as its weakest first quarter in three years.

Tech Mahindra, Q1FY27

Net profit rose 31.7% year-on-year to ₹1,486.3 crore, while revenue rose 17.7% to ₹15,711.9 crore. Compared with the March quarter, net profit rose 9.6% and revenue rose 4.2%.

Another reported comparison showed revenue rose 2.2% to $1.66 billion and net profit rose 6.7% to $154 million. This was described as the company’s fastest expansion in three years.

BHEL, Q1FY27

BHEL reported a consolidated net profit of ₹378 crore, compared with a loss of ₹456 crore in the year-ago quarter. Revenue rose 40.3% year-on-year to ₹7,698 crore.

Polycab India, Q1FY27

Net profit rose 32.5% year-on-year to ₹784 crore, and revenue rose 39% to ₹8,210 crore. EBITDA rose 32.5% to ₹1,136 crore. The EBITDA margin was 13.8%, compared with 14.5% a year earlier.

Deals and other headlines

HCLTech and Guardian

HCLTech will acquire Guardian India Operations for $10.5 million, about ₹101 crore. Nearly 2,000 employees will transfer as part of a seven-year partnership with Guardian Life Insurance Company of America.

Mobile PLI and EMS

The Centre’s new ₹62,500-crore Mobile Phone Manufacturing Scheme offers incentives of 2.25-5%, with an additional 1.5% for local value addition. On the day, Dixon Technologies (India) rose 6.1%, Kaynes Technology India rose 3%, Amber Enterprises India rose 2%, and Syrma SGS Technology rose 1.5%.

Cred and Meta

Kunal Shah stepped down as promoter of Cred on 22 June. His 11.14% promoter shareholding was converted into public shares, and he continued to hold about 20%. Meta invested ₹8,550 crore, about $890 million, for about 20% in Cred on 22 June. The transaction valued the startup at nearly $4.5 billion.

Jio Financial, Q1

Net profit rose to ₹830 crore, or $86.2 million, for the quarter ended 30 June. Net profit was ₹325 crore a year ago. Revenue from operations rose to ₹2,004 crore.

Aurum and Housing.com

Aurum PropTech announced the acquisition of Housing.com in an all-equity deal at an enterprise value of ₹458 crore.

Upcoming events

Scheduled releases, not confirmed outcomes.

Earnings calendar: 17 July 2026

Global pulse

Global indices

Global equity markets were mixed. The Hang Seng rose 1.33% and the Dow Jones added 0.29%, while the Nikkei 225 fell 2.79%, the Shanghai Composite fell 1.85%, and the Nasdaq 100, S&P 500, and FTSE 100 closed lower.

International headlines

Crude and US-Iran

Crude held above $80 per barrel near one-month highs as escalating US-Iran hostilities increased concern about Middle East supply. The reports cited fresh US strikes near Iran’s main oil export terminal and the suspension of crude loading at Iraq’s Basra terminal after a drone strike.

The US intensified strikes on Iran and hit targets around Tehran. Iran retaliated with missile and drone fire on US allies. Brent traded above $85 a barrel.

Eurozone trade

The Eurozone recorded a €7.8 billion trade deficit in May 2026. A trade deficit means imports were higher than exports. This reversed a €15 billion surplus a year earlier and marked the Eurozone’s largest monthly shortfall since April 2023. The deficit was driven by a 10% increase in imports.

EU and Google

The European Commission directed Google to provide fair access to key services for AI rivals such as OpenAI and competing search engines under the EU’s Digital Markets Act.

Nvidia and Japan

Nvidia partnered with Japanese companies including Fanuc and Yaskawa Electric to accelerate AI and robotics development.

Atai Beckley and Eli Lilly

Shares of Atai Beckley rose as much as 50% in premarket trading after reports that Eli Lilly is in advanced talks to acquire the company at a premium. Atai Beckley’s market capitalisation was about $1.97 billion before the report.

US green-card bond

The Trump administration is considering placing a $100,000 bond on some green-card seekers applying at US consulates abroad. A pilot is under discussion for a small number of countries.

Zerodha; Mint Global, 17 July 2026

Management chatter

The following quotes are kept verbatim and attributed to the named speakers.

Zerodha Management Chatter; Mint, 17 July 2026

Feature: Semicon 2.0

India’s ₹1.27-trillion bet on a full chip ecosystem

What was approved

The Union Cabinet, chaired by Prime Minister Narendra Modi, approved Semicon 2.0 on 15 July 2026 for the development of India’s semiconductor design and manufacturing ecosystem. The total budget outlay is ₹1,27,500 crore.

The programme builds on the momentum of Semicon 1.0, the ₹76,000-crore India Semiconductor Mission approved by the Cabinet in December 2021. In the PIB’s words, the aim is “putting our country on the semiconductor map of the world”.

The government expects Semicon 2.0 to attract investments of around ₹4 trillion and lead to semiconductor production worth ₹2 trillion during the scheme period. The stated target is a 7nm chip by 2032 and a 2nm chip by 2035.

The six pillars

• Design: Build on chip-design success, with 105 startups already developing chips. The aim is to develop IPs, designs of chips and systems, and place India as “a key semiconductor chip design IP country”.
• Machines and materials: Incentivise companies manufacturing and undertaking R&D of the machines, materials, chemicals, and gases essential for manufacturing semiconductors.
• Setting up more fabs: With the first fab scheduled to be commissioned in 2028, attract more manufacturers to set up silicon fabs, compound semiconductor fabs, discrete component fabs, and display fabs.
• Strengthening ATMP/OSAT: Actively encourage ATMP/OSAT units, with a focus on getting some of the most advanced ATMP technologies to India.
• Research and Development: Having started at the 28nm-110nm node, focus on developing more advanced nodes and technologies with leading R&D centres within and outside India.
• Talent development: With 315 universities training students on complex chip design using the latest EDA tools, around 68,000 students have already been trained. Training is to be deepened, including clean-room and fab-construction skills.

Progress under ISM 1.0

Under manufacturing, twelve units have been approved with a cumulative investment of over ₹1.64 lakh crore. These include one silicon fab, one silicon carbide fab, an integrated Gallium Nitride Micro LED display fab, and nine packaging units. Of the 12 units, Micron, Kaynes, and CG Semi have started commercial production, with one more expected to start in 2026.

Under design, twenty-four semiconductor design projects from startups and MSMEs have been approved for financial support. A total of 105 startups and MSMEs have been granted access to industry-standard Electronic Design Automation, or EDA, tools. These projects span applications from satellite communications and drones to IoT devices, AI systems, and smart meters.

Context from Mint

For the first time, large chip-design firms will be eligible for government aid. A key change is a cut in incentives, from up to 50% fiscal support for a chip project to around 30-40%.

India now targets a domestic chip market worth $200 billion by 2035. Nearly 90-95% of demand is currently met through imports. India accounts for 20% of the global chip-design workforce. India has an outlay of nearly $21 billion so far, which lags the US’ $52.7 billion, the EU’s $50 billion, Japan’s $28 billion from FY21 to FY23, and China’s $324 billion over the past 10 years, based on a Niti Aayog report cited by Mint.

The focus is on creating chips in six critical segments, including compute, memory, power management, sensors, and network. Under a separate co-investment plan, the government will match private investments in eligible chip-design startups in return for equity.

Press Information Bureau, 15 July 2026; Mint, 17 July 2026

The day at a glance

Closing thought

Compiled from the Zerodha AfterMarket Report, 16 July 2026 close, and Mint, Mumbai edition, 17 July 2026; feature from the Press Information Bureau, 15 July 2026. Market data reflects the Thursday, 16 July close. For informational purposes only. Not investment advice.