Indian Stock Market – 4th September 2025 (Overall Analysis)
The Indian stock market saw a positive and eventful trading session on September 4, 2025. Both Sensex and Nifty 50 ended higher, driven largely by government announcements on GST reforms.
Market Mood and Movement
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Nifty 50 closed up by around 0.53% at 24,845.3.
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BSE Sensex gained about 0.55%, ending the day at 81,014.6.
The day started strong with optimism after the GST Council announced major tax cuts, which included reducing the number of GST slabs and cutting rates on essential goods. This led to a boost in consumer and auto-related stocks, as investors anticipated a rise in demand.
What Drove the Rally?
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The government’s move to simplify GST structure was seen as a major economic reform.
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Lower taxes on daily-use products are expected to boost consumption.
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Analysts estimate these reforms could add 100–120 basis points to India’s GDP growth, which gave the market a solid fundamental push.
Sector Performance
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Auto stocks were among the biggest gainers:
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Mahindra & Mahindra, Eicher Motors, and others jumped between 3–6%.
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Consumer goods (FMCG) stocks surged as well:
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Britannia, Colgate, Nestle, and others gained between 2–6%.
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Even tobacco stocks like ITC and Godfrey Phillips ended higher (~2%), despite higher taxes on cigarettes.
Intraday Movements
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In the early session, Nifty crossed the 24,980 mark, while Sensex went past 81,450, reacting instantly to the positive news.
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As the day progressed, there was some profit booking, and the markets gave up part of their intraday gains.
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Still, both indices closed in the green, with modest but solid gains.
Overall Summary
It was a bullish day for the Indian stock market, led by policy-driven optimism. Auto and FMCG stocks outperformed. The rally did lose some steam toward the end, but the day’s close remained positive. Investors welcomed the government’s pro-growth tax moves, and it reflected in broader market sentiment.