Market Dynamics Unveiled
The Indian stock market showed fluctuations, with the Sensex experiencing a volatile session and closing lower by 250 points, while the Nifty stayed below
25,750. Simultaneously, market observers noted a decline of ₹18.5 lakh crore in market capitalization within six days, with the Sensex and Nifty falling by 2,700 points and 3%, respectively. This market performance underscores the need for investors to stay informed. Several stocks, including Tata Steel, experienced considerable movements. Furthermore, the report indicates that Foreign Institutional Investors (FIIs) withdrew over ₹11,700 crore in January, and factors behind this selling were analyzed. The broader market sentiment appeared cautious as various market participants responded to these developments.
Real Estate Rebounds
The real estate market in Delhi-NCR exhibited significant growth, with a 39% quarter-on-quarter increase in housing launches in the fourth quarter of 2025, driven mainly by the mid-segment. Branded homes also saw a surge, with a 55% rise over the last five years, reflecting the changing preferences of homebuyers. In Pune, a 3BHK unit, initially priced at ₹1.80 crore, was projected to reach ₹2.15 crore the next month, indicating appreciation trends. Furthermore, the report discussed new orders affecting Bengaluru's property possession and announced a mega flat sale in Ghaziabad with discounts of up to 25% and a refund if prices increased.
Budget 2026 Insights
The upcoming Budget 2026, scheduled for February 1, is generating anticipation. The Finance Minister, Nirmala Sitharaman, is set to present the budget at 11 AM. The real estate industry is calling for tax relief and stable policies. Expectations also include potential changes like joint tax filing for married couples. Furthermore, industry experts have suggested tax reforms to boost manufacturing. The report covers expectations for customs reforms and a phased privatization roadmap for public sector enterprises. The article also provides a comprehensive view of how the new income tax regime effective from April 1, 2026, will simplify various provisions.
Banking Sector Analysis
IDFC FIRST Bank reduced interest rates on savings accounts by 200 bps. Several banks will remain closed for multiple days between January 14 and 18, and a state-wise list of bank holidays was released. The RBI highlighted the strengthening of Indian banks, driven by double-digit growth and falling NPAs in 2024–25. Karur Vysya Bank launched a Capital Gains Account for tax relief. ICICI Bank also introduced a Capital Gains Account Scheme to help taxpayers claim exemptions. Bank employees are planning a nationwide strike on January 27 due to the demand for a 5-day work week. These developments showcase the shifting dynamics within the banking sector.
IPO and Investment Landscape
Multiple IPOs are generating interest in the market. The Gabion Technologies IPO received a significant subscription, with the issue receiving 209.45x subscription. The Bharat Coking Coal IPO opened with details on the price band, GMP, allotment, and listing. The Modern Diagnostic IPO saw a rise in GMP on the allotment date. Investors are also exploring various investment avenues. Wealth Company launched a Gold ETF Fund of Fund for 2026 investors. The report also highlights the potential in REITs, with India's market value expected to rise to $25 billion by 2030, and discusses the best mutual funds for investors.
Taxation and Financial Planning
Several tax-related developments are influencing the financial landscape. The new income tax law is scheduled to roll out from April 2026. Income Tax refunds have experienced delays, and reasons for these delays and related interest rules were discussed. The Income Tax Department tracks online spending and digital activity. The report provides a step-by-step guide for gifting mutual fund units to children without incurring capital gains tax. Additionally, it addresses how freelancers can secure personal loans even without salary slips. The article also touches upon the long-term financial strategy, particularly the potential of a Step-Up SIP to double retirement savings.
