TLDR

📈 Market Recap: July 11, 2025

On July 11, 2025, Indian equities declined sharply as weak global cues and fresh tariff worries triggered broad profit booking. The BSE Sensex fell 689.8 points (–0.83%) to close at 82,500.47, while the NSE Nifty 50 dropped 205.4 points (–0.81%) to settle at 25,149.85. Mid-cap and small-cap indices also retreated, underperforming the large-cap benchmarks. Defensive FMCG and select Pharma stocks cushioned deeper losses. The rupee weakened to ₹85.80/USD amid foreign outflows, though state-run banks sold dollars to cap volatility.

Key Drivers:

• Mixed earnings & cautious outlook: Patchy Q1 results from IT, auto, and capital goods firms weighed on sentiment, with profit booking in recent outperformers amid cost and margin worries.

• Tariff tension & global cues: A risk-off mood set in after the US announced fresh tariffs on Canada and hinted at more on Asia. Hopes for an India-US interim deal kept traders watchful but didn’t lift sentiment.

• Defensive buying: FMCG and Pharma saw safe-haven interest, Hindustan Unilever rallied over 4% on leadership news, while Cipla and Dr. Reddy’s helped cushion the market’s fall.

Today’s Top Stories:

1. Tesla Set to Roll Out First Cars in India from August: Tesla to begin deliveries by August, open first store in Mumbai BKC, and plan local EV assembly.

2. AMFI Rejig to Demote Ola Electric and 10 Others to Small-cap:  AMFI’s recategorisation from August shifts Ola Electric and 10 stocks to small-cap; funds to rebalance.

3. NSE and BSE Issue Advisory to Bond Investors on Online Platforms: Exchanges warn retail bond buyers on risks, YTM, platform checks, and fees when using OBPPs.

4. India–EFTA Trade Deal Set to Take Effect from September 2025: India–EFTA agreement kicks in September with USD 100 bn investment promise, more EU market access.

5. HUL Shares Rally 4–5% as Priya Nair Becomes First Woman CEO: HUL stock rose nearly 5% after Priya Nair was named MD & CEO. Street bets on premiumisation and new global brand rollouts to revive growth.

Market Snapshot

Nifty 50 Index Heatmap

Top Gainers & Losers

TOP STORIES

1. Tesla Set to Roll Out First Cars in India from August

• Launch window: Elon Musk-led Tesla is likely to begin its first deliveries in India as early as August, marking its long-awaited market entry.

• Strategic move: The company will start with imports from Berlin and Shanghai, while planning a local factory under India’s new EV policy. Tesla will also open its first flagship store in Mumbai’s Bandra Kurla Complex (BKC) to drive sales and service.

• Market impact: The entry is expected to shake up India’s premium EV space, intensify rivalry with Tata and Mahindra, and boost investor sentiment on green mobility plays.

2. AMFI Rejig to Demote Ola Electric and 10 Others to Small-Cap

• Reclassification: AMFI’s semi-annual market-cap review will move 11 stocks, including Ola Electric Mobility, from mid-cap to small-cap starting August 1.

• Key changes: Other names on the downgrade list include Aditya Birla Fashion, Indraprastha Gas, Deepak Nitrite, and Tata Technologies, as revised thresholds lower the large- and mid-cap cut-offs.

• Market impact: Mutual funds must rebalance portfolios by July-end; affected stocks may see outflows and higher volatility as they shift to small-cap schemes.

3. NSE and BSE Issue Advisory to Bond Investors on Online Platforms

• Advisory issued: On July 11, 2025, the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) jointly released guidance for investors using Online Bond Platform Providers (OBPPs), aiming to educate about bond features, risks, and associated costs.

• Key considerations: Investors are urged to understand critical metrics such as yield to maturity (YTM), credit risk, interest rate sensitivity, liquidity, fees, taxation and verification of SEBI registration of the platform.

• Investor impact: The advisory is designed to foster informed decision‑making and increase transparency in India's growing digital bond market, as retail participation via OBPPs accelerates.

4. India–EFTA Trade Deal Set to Take Effect from September 2025

• Effective date: The Trade and Economic Partnership Agreement between India and the European Free Trade Association (EFTA)  which includes Switzerland, Norway, Iceland and Liechtenstein  is expected to come into force in September 2025, pending parliamentary approvals in partner countries.

• Commitments: EFTA has pledged USD 100 billion in investments over 15 years, coupled with preferential tariff access for key segments such as Swiss watches, chocolates and cut-and-polished diamonds.

• Significance: The deal marks India’s first major economic partnership with a European bloc, promising deeper market integration, supply‑chain diversification, and the facilitation of up to one million new jobs.

5. HUL Shares Rally 4–5% as Priya Nair Becomes First Woman CEO

• Leadership change: Effective August 1, 2025, Hindustan Unilever has appointed Priya Nair currently President of Unilever’s Beauty & Wellbeing segment as its new MD & CEO, succeeding Rohit Jawa who steps down at end‑July .

• Market reaction: Stocks surged between 3.8% and 4.7% on BSE/NSE, with shares hitting ₹2,500‑₹2,521, as investors cheered Nair’s proven track record driving margin expansion and market share gains in home care and other segments .

• Strategic outlook: Market participants expect renewed focus on premiumisation, global brand launches in India, digital marketing, and modern retail execution under Nair’s leadership to revive sluggish growth in categories like beauty, tea, soaps and Horlicks

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