Financial Summary: Thursday, September 3, 2026

Iran says 18 killed, 142 injured in US strikes; Trump proposes renaming strait

Iran reports 18 killed and 142 injured from US strikes; President Trump proposes renaming the Strait of Hormuz to 'Trump Strait' and downplays the conflict. Markets react cautiously, with Brent crude falling 0.45% to $95.20 a barrel and WTI crude slipping 0.26% to $90.77.

India, Belgium target doubling $13B trade, sign defence pacts

India and Belgium aim to double bilateral trade from $13 billion to $26 billion within five years, following high-level talks. The nations also signed defence agreements, expanding industrial cooperation beyond trade.

Sensex drops 417 points to 76,153 as IT, auto stocks drag

The Indian equity market extended its losing streak to a fourth straight session, with the Sensex closing 417 points lower at 76,153, dragged by IT and auto stocks. Foreign institutional investors sold over ₹2,300 crore on Thursday, while domestic institutional investors continued their buying streak for an 18th consecutive session. The closing auction saw a 2,100-point swing in the Sensex, and analysts are now watching key support levels for the Nifty ahead of Friday's session.

Rupee hits 94.30 as $127B FCNR(B) swap inflows lift liquidity

The rupee strengthened to a two-month high of 94.30 against the dollar, propelled by $127 billion in FCNR(B) swap inflows that have flooded the banking system with liquidity. This has triggered a rally in bonds and bank stocks, with the Nifty Bank jumping 1% on expectations of improved credit growth and lower funding costs. Analysts describe the inflows as a 'bazooka' that buys time for managing India's balance of payments.

Rupee hits 94.48 as FCNR inflows swell; RBI faces ₹2 lakh crore hedging bill

The rupee strengthened to a two-and-a-half-month high of 94.48 against the dollar, buoyed by a surge in FCNR(B) deposit inflows that have created a ₹9.70 lakh crore liquidity surplus, according to RBI officials. Bank stocks have rallied on improved liquidity outlook, but analysts warn that the RBI may face a ₹2 lakh crore hedging bill and India could need to repay $130 billion of these inflows in 3-5 years, raising concerns about long-term capital stability.

Lumino Industries lists 34% higher at ₹110; Deepa Jewellers IPO bids on day 3

Lumino Industries made a strong market debut, listing at ₹110 per share, a 34% premium over its IPO price, with multiple media outlets confirming the positive opening. Meanwhile, Deepa Jewellers' IPO is in its third day of bidding, with investor response still being tracked. The two separate IPO events are drawing attention in the primary market.

Hexaware CEO Srikrishna Resigns; Shares Tumble 4.5%

Hexaware Technologies shares fell as much as 4.5% after CEO Srikrishna resigned, with the stock closing down around 4% on September 3, 2026. The sudden leadership change has raised questions about strategic direction and succession planning, though the company has not yet named a permanent replacement. Analysts are weighing the impact on client confidence and near-term growth prospects.

Aditya Birla Group invests ₹1,800 crore in Ultravolt wires entry

Aditya Birla Group has entered the wires and cables market with a ₹1,800 crore investment in its new venture, Ultravolt, under UltraTech Cement. The launch positions Ultravolt to compete in a growing sector, with analysts drawing parallels to the group's Birla Opus paints playbook. Brokerages have issued a 'Buy' call on UltraTech Cement, reflecting optimism about the strategic diversification.

MoSPI Secretary and Mishra Defend GDP Revision as Critics Cry Foul

India's statistics officials, including MoSPI Secretary and Chief Economic Adviser Neelkanth Mishra, are pushing back against criticism of the GDP revision, arguing that the data is being misread and that earlier estimates were based on outdated methodology. Former statistician Pronab Sen acknowledges the data isn't fudged but says the optics are poor, while critics continue to question the revision's transparency. The debate centers on the sharp downward revision of Q1 GDP estimates from ₹86 lakh crore to a lower figure, with officials insisting the new numbers are accurate.

Sharma claims 2-3% real GDP growth; Mishra fires back with 7.8% data

The debate over India's GDP growth has intensified, with investor Shankar Sharma arguing that the 'real feel GDP' is only 2-3%, while World Bank Executive Director Neelkanth Mishra counters that the official 7.8% Q1 figure is backed by strong, 'unfudgeable' macroeconomic indicators. Mishra has also dismissed Sharma's views as 'ill-educated' and 'egregiously wrong,' escalating the public spat.

SEBI proposes net settlement for mutual fund cash trades

India's market regulator SEBI has proposed moving to a net settlement system for mutual fund cash-market trades, which would replace the current gross settlement process. The proposal, reported by multiple outlets on September 3, aims to reduce settlement risks and improve efficiency in fund transactions. Industry stakeholders are expected to provide feedback before any final rules are implemented.

Nvidia to Acquire Hugging Face for $12.9 Billion in AI Expansion

Nvidia has agreed to acquire AI platform Hugging Face for approximately $12.9 billion, marking a significant move to expand its presence across the AI software stack. The deal, announced on September 3, 2026, underscores Nvidia's strategy to deepen its involvement in open AI ecosystems and developer tools beyond its core hardware business.

Broadcom drops 5% on weak guidance despite AI chip forecast hike

Broadcom's stock fell 5% after its earnings report, as weak guidance overshadowed an earnings beat. The company raised its AI chip forecast, citing increased spending from Big Tech, but investors focused on the softer outlook. The stock remains under pressure as the market weighs near-term guidance against long-term AI growth.