Overview

• Sensex jumped over 1,000 points and Nifty briefly crossed 24,950 on Monday, and the benchmarks opened higher again on Tuesday, extending the rebound.
• Gains were driven by Prime Minister Narendra Modi’s pledge to implement next‑generation GST changes before Diwali and S&P Global’s upgrade of India’s sovereign rating to BBB with a stable outlook.
• Foreign portfolio investors sold about Rs 20,975 crore in the first half of August but turned net buyers on Monday at roughly Rs 5.5 billion, while domestic institutions logged a 30th consecutive session of inflows.
• Key risks persist with a late‑August U.S. tariff threat on Indian exports and uncertainty around India‑U.S. trade talks, as geopolitical contacts continue after the Trump–Putin meeting produced no deal.
• Markets will parse Powell’s Jackson Hole remarks for rate guidance this week, alongside a busy IPO slate that includes issues such as Vikram Solar and Patel Retail.