Market Volatility & Trends
The Indian stock market has recently experienced fluctuations. On January 9, the Sensex saw a significant decline of 604 points, marking its worst week
since September 2025. The Nifty also fell below 25,700, reflecting the impact of various factors influencing market behavior. On a more positive note, the market started 2026 with an optimistic outlook. The Sensex increased by 110 points, and the Nifty surpassed 26,150. India's REIT market has shown substantial growth, reaching Rs 2.3 lakh crore, and surpassing Hong Kong in just six years. This indicates a strong interest in real estate investment.
IPO Activity & Listings
The primary market in India is experiencing a surge in activity. With record IPO numbers, India is positioning itself as a global leader in this area. It's estimated that the primary market could reach Rs 4 lakh crore in 2026. The Bharat Coking Coal IPO opened on January 9 and was fully subscribed within the first hour. The E to E Transportation Infra IPO was listed on the NSE SME platform at a premium of 90%. E to E Transportation Infra IPO's Day 2 saw a 123.77x subscription, with a GMP of 83%. Modern Diagnostic IPO saw a substantial increase in its GMP, and the issue received a 376.90x subscription on its third day.
Real Estate Dynamics
The real estate sector is witnessing significant transformations and shifts in consumer preferences. In the Delhi-NCR region, a 39% increase in housing launches was recorded in the fourth quarter of 2025, with the mid-segment leading the supply. Indian homebuyers are increasingly choosing premium, branded homes, signaling a strong outlook for 2026. Data shows that housing sales reached a 17-quarter low in Q4 2025, and supply declined by 10%. Reports also suggest that India's retail sector is expected to attract $3.5 billion in investments over the next three years.
Taxation and Finance
Several important changes and deadlines are impacting taxpayers. The revised ITR deadline for AY 2025-26 highlights the importance of December 31 for tax filing. The Union Budget 2026 will be presented on February 1, with the Parliament session starting on January 28. A new income tax law is scheduled to roll out from April 2026. The Income Tax Department is now focusing on online spending and digital activity. ICICI Bank has launched a Capital Gains Account Scheme to help taxpayers claim exemptions. Karur Vysya Bank has also introduced a similar Capital Gains Account for tax relief.
Economic Indicators and Banking
India's GDP is projected to grow by 7.4% in FY2025-26 despite ongoing global challenges, according to the government's first advance estimates. India Ratings anticipates a 6.9% GDP growth in FY27 due to governmental reform measures. The RBI's report indicates that double-digit growth and decreasing NPAs have strengthened Indian banks in 2024–25. Bank employees are planning a nationwide strike on January 27, concerning their demand for a 5-day work week. Inflation is also being observed. SBI Research suggests crude oil prices may drop to $50 a barrel by June 2026.
Investment & Savings
Various investment avenues and financial strategies are emerging. A Wealth Company launched a Gold ETF Fund of Fund for 2026 investors. Gold ETFs in India saw their highest-ever monthly inflows, reaching $1.25 billion. Equity inflows declined by 6%, while gold ETF investments surged by 211% in December, according to AMFI data. AIFs play a role in NPS, which experts are analyzing. The topic of how financial choices in the 30s affect retirement is also emerging. Moreover, a Step-Up SIP strategy is highlighted as a method to potentially double retirement savings.
Other Key Updates
Several other developments are influencing different sectors. The MCA has extended FY25 annual filings until January 31, without late fees, due to portal glitches. The PM Kisan Yojana's 22nd instalment date is awaited. Additionally, updates include the fact that the government will be hiking excise duty on cigarettes and pan masala from February 1. Vodafone Idea has unveiled a six-year plan to clear its AGR dues, which increased their shares by 6%. ICICI Bank has announced adjustments to its credit card rules effective January 15.
