Economic Growth Outlook
The International Monetary Fund (IMF) has projected that the Indian economy is expected to grow at 6.6% in the fiscal year 2025. This prediction comes
despite the dim prospects for global growth, signifying India's strong economic fundamentals. The FinMin report also stated that the Indian economy is continuing to gain momentum amidst the uncertain global outlook. The report highlighted the resilience and growth of the Indian economy despite global headwinds. SBICAPS forecasts that India's growth will remain robust in the second half of the year due to strong domestic consumption.
Market Performance & Trends
The stock market has displayed bullish behavior, with the Sensex closing 567 points higher and the Nifty above 25,950. Several factors contributed to this rally, including positive global cues and strong domestic performance. Moreover, the report indicates a strong appetite for IPOs, with a listing wave of approximately Rs 40,000 crore expected by the end of November. There is also an upward trend in the housing market, as the Housing Sentiment Index rebounded to 142, indicating a renewed buyer confidence. According to a report, housing sales rose 1% in the top-8 cities, reaching 95,547 units during the third quarter of 2025, and the value of these sales increased by 14%. Furthermore, domestic mutual fund assets under management (AAUM) grew by 14.37% in a year, with Maharashtra topping the states in this growth.
Investment Avenues Explored
Several investment opportunities are currently gaining attention. Sovereign Gold Bonds (SGBs) are offering attractive returns, with investors in a specific series set to gain 303% as RBI announced early redemption. Mutual Funds are also expanding their offerings. The report also highlights that mutual funds can invest only in anchor or public IPOs and not pre-IPO placements. Moreover, tax-free retirement funds can be created by investing just Rs 500 every year and growing a fund over 15 years. The market also sees the reopening of Silver ETF FoFs amid price correction and high demand.
Sector-Specific Analysis
Multiple sectors are witnessing notable developments. The real estate sector in Gurgaon is showing potential, with top-5 micro-markets expected to see 1.0-1.6x growth in five years. The F&B sector is poised for a significant IPO boom, with an estimated Rs 9,000 crore in offerings. The launch of the Navi Mumbai International Airport is expected to cause a property boom in Panvel, Ulwe, and Kharghar. Furthermore, commercial leasing is expanding to Tier-2 cities, as stated by RISE Infra COO.
Taxation and Financial Planning
Tax implications are a key consideration for investors. The government is likely to notify rules under the new Income Tax Act by the end of December 2025. Tips for NRIs returning to India include avoiding double taxation and accurately reporting foreign assets. The article also provides insights on the taxability of Diwali bonus, the tax implications of gifting property to a spouse, and the tax rates applicable to gains from gold and silver investments, including rules for ETFs and TDS.
Policy Updates & Regulations
Several policy changes are on the horizon. The MeitY proposed new IT rules to label and trace deepfakes and AI-generated content. The PFRDA proposed a dual valuation framework for NPS and APY investments in government securities. The RBI is also working on new guidelines, which may allow banks to finance domestic and overseas acquisitions. Also, the CBIC extended the GSTR-3B filing deadline to October 25 due to Diwali festivities, and the government is likely to notify rules under the new Income Tax Act by the end of December 2025.
Market Predictions & Insights
Predictions and expert opinions offer guidance for navigating the markets. The article features predictions for the Nifty on October 27, analyzing whether it will cross 26,000 amid the bullish run, considering factors such as the Fed meet and Q2 earnings. Brokerages have remained upbeat on Kotak Mahindra Bank shares despite a 2% dip post the Q2 results. The market also sees a decline in gold rates, with 24 and 22-carat prices dropping in major cities. Additionally, silver prices have hit record highs, prompting discussions on whether it is a rally or a repeat of past collapses.
