Indian Equities Open Higher on Monday, Sensex Jumps 211 Points Before Turning Negative
The market's initial gains were supported by a moderation in crude oil prices and a stronger rupee, though geopolitical tensions continue to temper sentiment.
The story
Indian equity benchmarks began Monday's session on a positive note, with the Sensex surging 211 points (0.27%) to open at 77,752 and the Nifty 50 rising 54 points (0.22%) to 24,306. Broader markets, including the Nifty Midcap 100, also saw early gains.
However, the early momentum could not be sustained, and indices later turned negative, with the Sensex falling over 150 points and the Nifty testing the 24,200 mark during the day. This intraday volatility came despite a moderation in Brent crude prices, which eased to around $91.4 a barrel, offering some relief to India as an oil-importing economy.
The rupee also started the week stronger, rising 7 paise against the US dollar to 95.64. Foreign Institutional Investors (FIIs) were net sellers on Friday, August 21, offloading shares worth ₹542.71 crore, while Domestic Institutional Investors (DIIs) provided support with net purchases of ₹2,124.14 crore. On the sectoral front, technology, financial services, metals, and realty showed early strength, while public sector banks, auto, pharma, and FMCG stocks traded lower.
The tape
| Instrument | Last | Change |
|---|---|---|
| Nifty 50 | 24,200 | -52.00 (-0.21%) |
| Sensex | 77,537 | -4.00 (-0.01%) |
| Bank Nifty | 57,853.55 | +91.55 (+0.16%) |
| USD/INR | 95.64 | -0.06 (-0.06%) |
| India 10Y Yield | 6.221% | +0.082 (+1.34%) |
Flows & data
FII Net Flows (Cash)
Reading: -₹542.71 Cr (Aug 21, 2026)
Read: Foreign investors were net sellers in the cash segment on Friday.
DII Net Flows (Cash)
Reading: +₹2,124.14 Cr (Aug 21, 2026)
Read: Domestic institutions provided buying support, offsetting FII outflows.
RBI VRRR Auction
Reading: ₹2.5 trillion (Aug 24, 2026)
Read: The Reserve Bank of India conducted a seven-day variable rate reverse repo auction to absorb liquidity from the banking system.
FII Inflows (August 2026 month-to-date)
Reading: ₹23,544 Cr
Read: Foreign institutional investors have been net buyers in Indian equities so far this month.
IPOs & the primary market
India's primary market is set for a busy week, with ten companies aiming to raise over ₹3,300 crore between August 24 and August 31. Today, August 24, marks the opening of five IPOs.
Among the mainboard issues, Symbiotec Pharmalab is looking to raise ₹1,757 crore, Skyways Air Services ₹582.80 crore, and Hy-Tech Engineers ₹135.73 crore. In the SME segment, ABH Healthcare is opening its ₹34.98 crore IPO, alongside Madhur Knit Crafts' ₹53.27 crore offering. Grey market premiums (GMPs) indicate strong investor interest, with Hy-Tech Engineers quoting at a 51% GMP, Symbiotec Pharmalab at 42%, and Skyways Air at 27%.
Valuation watch — India & global
While Indian equities show resilience, particularly with strong IPO interest, concerns about valuations persist in certain pockets. The grey market premiums for several upcoming IPOs, such as Hy-Tech Engineers at 51% and Symbiotec Pharmalab at 42%, signal an environment where demand is pushing prices significantly above issue levels before listing.
Globally, attempts by the United States to manage bond yields have proven largely ineffective, suggesting that markets are currently dictating policy rather than the other way around. This dynamic, coupled with a sharp rally in gold prices, points to potential significant market volatility ahead. Analysts also continue to caution about elevated valuations in specific Indian sectors like defense stocks.
Monsoon watch
The southwest monsoon continues to exhibit an uneven spread across India. As of August 13, the all-India rainfall deficit remained at 12% below the long period average (LPA).
The India Meteorological Department's (IMD) extended-range forecast for August 20-26 indicates that rainfall is expected to turn normal to below normal as the monsoon trough shifts northwards. This uneven progress and potential dry spells in August and September could affect the productivity of kharif crops like paddy and soybean, as the sowing season has largely concluded.
What we'll be watching
- India's industrial production data will be released on August 28.
- Foreign exchange reserves data will be released on August 28.
- Subscription for Symbiotec Pharmalab, Skyways Air Services, and Hy-Tech Engineers IPOs closes on August 27.
- Investors will monitor July PCE inflation data from the US due on Wednesday.
Reporting + analyst voices: grounded via Google Search at publish time.