Date: 6 October 2025
NSE Revises Lot Sizes for Major Index F&O Contracts
The National Stock Exchange (NSE) has revised the lot sizes for index derivatives across four key indices. The Nifty 50 lot size has been reduced from 75 shares to 65 shares, and the Bank Nifty lot size stands reduced from 35 to 30 shares. Likewise, Nifty Financial Services now trades in lots of 60 (earlier 65), while Nifty Mid-Select will trade in lots of 120 (earlier 140). Existing contracts will continue with old sizes until 30 December 2025; all new contracts with maturities beyond this date will reflect the new sizes.
October 2025 Set to be a Blockbuster IPO Month
Indian primary markets are witnessing a record surge in activity, with total IPO proceeds expected to exceed $5 billion in October 2025. The momentum is largely driven by the mega issues of Tata Capital and LG Electronics India, which together are raising over $3 billion. Despite global tariff uncertainties and visa challenges, domestic and foreign investors — including FPIs, sovereign funds, insurers and mutual funds — have shown remarkable enthusiasm. Both Tata Capital and LG Electronics serve as strong proxies for India’s expanding domestic consumption theme.
US Scrutiny on H1-B Visa Program Tightens
The US authorities have launched a deeper review of the H1-B visa program, finding that actual issuances have substantially exceeded the regular statutory caps under the Immigration and Nationality Act. Planned reforms aim to limit universities, research institutions, and non-profits from hiring unlimited foreign workers. Interestingly, the review also extends to major US tech firms such as Amazon, Apple, and Microsoft, alongside Indian IT companies like TCS, over concerns that H1-B hiring has coincided with layoffs among local employees.
Two-Wheeler Sales Surge 9% in September 2025
India’s two-wheeler manufacturers reported a 9% jump in wholesale dispatches during September 2025, crossing 2 million units. The uptick was supported by the GST rate cut to 18% and festive demand. Hero MotoCorp reported a 5% increase in wholesales and 19% growth in retail registrations due to inventory drawdowns. TVS Motor saw a 12% surge driven by strong scooter demand, while Bajaj Auto posted a 5% rise to 2.73 lakh units. Analysts believe momentum could continue through the festive quarter.
HDFC Bank Q2FY26 Business Update Shows Healthy Growth
HDFC Bank posted a 9.9% year-on-year growth in total loans and a 15% rise in deposits for the quarter ended September 2025. Gross advances stood at ₹27.69 trillion, while total deposits reached ₹27.10 trillion. CASA deposits grew 8.5% YoY, forming about 30% of the total deposit base — lower than pre-merger levels due to the HDFC Ltd merger. The bank, like most peers, continues to face near-term pressure on net interest margins (NIMs). Detailed financial results are scheduled for release on 19 October 2025.
Large-Cap Mutual Funds Deliver Negative 1-Year Returns
Out of 34 large-cap mutual funds in India, 33 funds posted negative returns over the past year, with the category average at –6.91%. MOSL Large Cap Fund was the only one to deliver a marginal positive return. Fund managers attribute the underperformance to macro-driven volatility and “kurtosis risk,” where only a handful of large-cap stocks outperform sharply while others lag. The trend reflects concentration risk and the challenges of active management in a narrow market rally.
Tata Capital Anchor Book Oversubscribed Fivefold
Tata Capital successfully completed its anchor book allocation on 3 October 2025, raising ₹4,642 crore from 135 institutional investors. The anchor tranche represented 29.92% of the total IPO size and was oversubscribed nearly five times. A total of 14.24 crore shares were allotted at ₹326 per share. LIC took up 15.1% of the anchor book, while domestic mutual funds accounted for 35.6% across 59 schemes from 19 AMCs. This strong response signals high institutional confidence in the IPO.
Vedanta Group Pushes Demerger Deadline to March 2026
The Vedanta Group has extended its demerger timeline to March 2026 due to pending approvals from the National Company Law Tribunal (NCLT) and other government bodies. The inclusion of Hindustan Zinc Ltd (HZL) in the restructuring has required additional clearances. The Ministry of Petroleum earlier raised concerns over disclosure gaps, prompting a hearing deferment. Once completed, the demerger will result in the creation of five independent listed entities, unlocking value across Vedanta’s diversified businesses.
Source: Exchange filings, market data and media reports as of 06 October 2025
