Let’s decode today’s stock market news updates – what changed, why it matters, and which stocks could benefit..
1. FY26 GDP Outlook: $4 Trillion Milestone Masks H2 Growth Slowdown
The first advance estimate of FY26 GDP pegs full year GDP just crossing the $4 trillion mark. The real GDP is estimated to grow at 7.4%, while nominal GDP is slated to grow at 8.0% in FY26. That means; second half of FY26 is going to be distinctly slower than the first half. When the second estimate is put out on 27-February, the base year would have shifted from 2011-12 to 2022-23 and that is likely to boost the real GDP growth by 10 bps to 7.5%. However, nominal GDP for FY26 is almost flat compared to FY25, which could impact the farm incomes.
2. Global Geopolitics Escalate: Greenland Tensions Boost Indian Defence Stocks
In the aftermath of the dramatic capture of the Venezuelan president by Donald Trump and team, he has now set his sights on Greenland. Currently, Greenland is partly autonomous and partly owned by Denmark. However, it sits on a wealth of natural resources. Also, control over Greenland will be key to controlling the new trade routes through the Arctic. These war-mongering triggers led to a rally in Indian defence related stocks like BEML, Midhani and others. If situation worsens in Europe, Indian defence companies are expecting more defence orders.
3. India–US Trade Deal Uncertainty Raises Export Risk for FY26 Peak Season
Unless there is a trade deal signed January between India and the US, most Indian exporters are apprehensive that they may lose export orders. That is normally, the peak season for summer shopping in the US, and leads to huge demand for Indian exports. The central government has already doled out $5 billion to protect the exporters, but that may not be the solution. Global clothing and shoe brands do outsource to India, but with the steep tariffs it may not be feasible. US accounts for a fifth of Indian exports and is the biggest source of trade surplus.
4. RBI Bond Buying Fails to Cool Yields as ₹8 Trillion Borrowing Looms
Bond yields in the Indian market tapered from 6.6137% to 6.6105% after the government went ahead with an illiquid set of bonds for its debt purchases. The RBI is on a bond buying spree. It bought $5.57 billion of bond earlier this week and plans to bid for twice of that amount by 22-Jan. The central bank action has had little impact as it has focused more on illiquid paper in its market operations. State and Central government are slated to raise close to ₹8 trillion worth of debt by the end of March 2026. State bonds are seeing lot of interest from PSU banks.
5. Mutual Fund Commissions: How TERs Erode Up to 25% of Long-Term Returns
A recent research report has shown that mutual fund commissions cut nearly 25% of the overall returns of the investor over a 10-year period in nearly 80% of the cases. This can be avoided if investors shift from regular plans to direct plans. However, in the case of retail investors, regular plans continue to dominate and are 3 times larger than the direct plans. This underlines the belief among passive investors and fund originators that costs are the big return destroyers. MFs charge commissions as part of the total expense ratio (TER), debiting it to the NAV.
6. Tata Power Renewables Bets Big on Solar Manufacturing With 10 GW Andhra Project
Tata Power Renewables plans to invest ₹6,675 crore in a 10 GW solar ingot wafer plant at Nellore, in Andhra Pradesh. The project will be the largest ingot and wafer manufacturing facility in India and will also underline the role of Andhra Pradesh as a hub for advanced solar energy. The state has already earmarked 200 acres of land for the project. These ingots and wafers are critical inputs for solar cell modules and semiconductors. It also syncs with the government’s larger plan to move much of the manufacturing into India as part of the Make in India initiative.
7. Mahindra & Mahindra Targets 30% Demand Surge With XUV 7XO Launch Strategy
Mahindra & Mahindra is targeting 30% incremental demand from the XUV 7XO. The car has been priced at ₹13.66 lakhs for the first 40,000 units. M&M has been one of the top performers in PV space, especially as a driver of SUV sales. Its current capacity for the XUV 7X0 stands at 10,000 units per month. M&M is expecting the demand to grow by nearly 30%. In the past, nearly 80% of XUV category sales have come from premium variants. The company is also betting on a shift, where people prioritize technology and features over the entry price.
8. Tata Steel Posts Record Q3FY26 Output as India Demand Offsets Europe Weakness
Tata Steel achieved its best ever steel production performance in Q3FY26 at 6.34 million tonnes. On a yoy basis, this output is up 11.4%. This was on the back of higher output at its Jamshedpur and Kalinganagar facilities. For the first 9 months of FY26, Tata Steel reported 6% rise in steel output at 17.23 million tonnes. Tata Steel delivered around 6.04 million tonnes of steel within India, its highest domestic demand story. Even as the India steel story was robust, Tata Steel saw a decline in steel production at its Netherlands plant. Predominant supplies were to auto sector.
