Core Insights - Equity benchmark indices experienced a significant rebound after an eight-day decline, with the Sensex rising by 715.69 points or 0.89% to close at 80,983.31 [1][3] - The Reserve Bank of India (RBI) maintained key interest rates and revised its growth forecast for the current fiscal year to 6.8% from 6.5% [5][9] Market Performance - The 50-share NSE Nifty increased by 225.20 points or 0.92% to reach 24,836.30 [4] - Tata Motors led the gains among Sensex firms, surging by 5.54%, while Bajaj Finance and State Bank of India were among the laggards [4] RBI's Monetary Policy - The RBI's monetary policy committee unanimously decided to keep the repurchase rate unchanged at 5.5% and adopted a "neutral" policy stance [6] - The RBI's optimistic outlook on GDP growth and inflation expectations provided reassurance to investors amid concerns over US tariff impacts [7][8] Economic Indicators - The RBI's growth forecast for FY26 was raised to 6.8%, with inflation expectations trimmed to 2.6%, the lower bound of its target range [6][9] - Trade-related headwinds are expected to slightly lower forward-looking projections for Q3 and beyond, despite some offset from GST rate rationalization [9] Market Activity - Foreign Institutional Investors (FIIs) sold equities worth ₹2,327.09 crore, while Domestic Institutional Investors (DIIs) purchased equities worth ₹5,761.63 crore [10] - In the previous eight trading days, the BSE benchmark fell by 2,746.34 points or 3.30%, and the Nifty dropped by 812.5 points or 3.19% [10]

Summary of Key Points from the Conference Call Industry Overview - The report focuses on the **Asian export prices** and the implications for the region's economic outlook post-COVID-19 pandemic [1][36]. Core Insights and Arguments - **Export Price Trends**: After the initial surge in export prices due to demand and supply chain disruptions, Asian export price inflation has eased significantly as supply chains normalized [1][3]. - **Divergence in Export Prices**: While USD export price inflation in Japan and Emerging Markets Asia excluding China and India (EMAX) returned to near zero, China experienced persistent export price deflation due to price cuts and currency depreciation [3][4]. - **Rebound in Chinese Export Prices**: Year-to-date data through June 2025 indicates a rebound in Chinese export prices, contrasting with flat or declining prices in Japan and EMAX [3][4]. - **Impact of Currency Fluctuations**: The appreciation of local currencies against the USD has led to a significant decline in local currency export prices, squeezing profit margins for exporters in Japan and EMAX [4][5]. - **Broad-Based Price Declines**: The decline in local currency prices is widespread across EMAX, with Malaysia being an exception where exporters adjusted USD prices to offset currency strength [5][6]. Important Data Points - **Export Price Changes**: - Japan: Local currency prices decreased by 14.7% year-to-date, while USD prices fell by 3.3% [6]. - China: Local currency prices increased by 5.8%, with USD prices up by 8.8% [6]. - EMAX: Local currency prices down by 12.4%, USD prices down by 1.1% [6]. - **Profit Margin Pressures**: The year-to-date decline in local currency export prices is likely pressuring profit margins for Asian exporters, particularly if they have to absorb US tariff hikes without currency support [11]. Additional Insights - **Front-Loading of Export Volumes**: A strategy of front-loading export volumes to the US may be sustaining profits, but a reversal could lead to lower trade volumes and profits [11]. - **Tariff Implications**: Japanese exporters have already reduced USD export prices in anticipation of tariffs, especially in the automotive sector, indicating a proactive approach to potential trade barriers [11]. This summary encapsulates the key points from the conference call regarding Asian export prices and their implications for the region's economic landscape.