Mumbai : Indian equities face a crucial week as global and domestic developments, including the GST 2.0 rollout, the H-1B visa fee hike, India-US trade updates, and FII activity, are set to guide market momentum.
Starting September 22, the government will implement the new GST 2.0 framework. It will reduce the existing four-rate structure of 5, 12, 18, and 28 per cent to two slabs: 5 per cent and 18 per cent. Several goods will now face lower taxes, providing immediate benefits to consumers.
Meanwhile, US President Donald Trump announced a sharp increase in the H-1B visa fee to $100,000. Millions of Indians work in the US on H-1B visas, and this hike could significantly impact the technology sector. However, the administration clarified that the fee applies only once and only to new visa applications.
On the trade front, positive news from ongoing India-US negotiations may boost investor sentiment. An American delegation is in India for talks, and both governments indicate that discussions are progressing constructively.
The domestic market closed last week on a strong note. The Nifty rose 0.85 per cent to 25,327.05, while the Sensex gained 721.53 points, or 0.88 per cent, ending at 82,626.23.
Among sectoral indices, the Nifty PSU Bank index led the gains, jumping 4.83 per cent. Realty stocks surged 4.43 per cent, energy gained 2.31 per cent, PSE advanced 2.19 per cent, and services added 0.95 per cent.
On the institutional front, foreign institutional investors (FIIs) sold equities worth Rs 1,327.38 crore, marking the lowest weekly outflow in several weeks. Domestic institutional investors (DIIs) remained net buyers, investing Rs 11,177.37 crore.
–IANS
