September 10, 2025 | Record Wall Street Highs, IT Rally, and India’s Pre-Seed Boom

Good Morning & Market Recap

What’s Different Today:
US markets delivered their fifth consecutive record close overnight, with all three indices hitting fresh peaks as Fed rate-cut expectations solidify. Unlike recent sessions driven primarily by technology stocks, yesterday’s rally was broad-based, with UnitedHealth and multiple sectors participating.

Fresh Overnight Highlights:
• Wall Street’s triple record: Dow +0.43%, S&P 500 +0.27%, Nasdaq +0.37%
• Trump signals continued India–US trade talks addressing “trade barriers”
• Asian markets trading mixed but generally positive ahead of China CPI/PPI data

Key Watch Factors:
US PPI data today, China’s inflation figures, and continued Fed rate-cut speculation ahead of the September 16–17 FOMC meeting.

Tech Pulse

Global Tech Developments

1. Apple WWDC Event: iPhone 17 launch highlights ecosystem consolidation, with a strong focus on AI integration and chipset upgrades.
2. Microsoft–Nebius Deal: A $19.4B infrastructure partnership gives Microsoft access to Nvidia GPUs via a New Jersey data center.
3. Oracle Cloud Surge: Oracle is on pace to add $190B in market value following a strong cloud infrastructure revenue forecast.

Indian IT Sector Sentiment

Bullish momentum continues as Nifty IT rallied 2.8%, contributing nearly 79% of Nifty’s gains. Infosys’ buyback announcement acted as the primary catalyst.

The announcement of a potential Infosys share buyback triggered a 5% rally in the stock and lifted the entire IT index. In a major boost for local manufacturing, Apple will produce all iPhone 17 models, including Pro variants, in India from launch day. Additionally, Google Cloud and Qualcomm are expanding their partnership to bring Gemini AI models into vehicles through the Snapdragon Digital Chassis.

Actionable Trigger:
Watch for Apple’s final device specifications and track IT stock momentum ahead of the US inflation data release.

Funding Radar

Significant 24-Hour Deals

• AJVC Maiden Fund: The pre-seed VC firm closed its inaugural fund at ₹200+ crore, doubling its original ₹100 crore target in just nine months.
• Broader Context: India’s VC fundraising has already reached $3.2B in 2025, exceeding the $2.7B raised in all of 2024.

Sectoral Impact

The growing institutionalization of pre-seed funding points to a deeper startup pipeline. AJVC has already backed 25 AI and consumer technology startups and plans to make 60–70 investments.

Market Movers & Watchlist

Yesterday’s Standouts

• IT Stocks: Infosys (+5%), Tech Mahindra, HCL Tech, and TCS led Sensex gains
• Sectoral Winners: Nifty IT (+2.8%), Financial Services remained steady
• Broader Markets: Mid-cap (+0.2%) and Small-cap (+0.3%) showed resilience

Actionable Watch Levels

• Nifty 50: Resistance at 24,900, support at 24,800
• IT Index: Momentum continuation above 41,000

Quick Bytes (Global / Off-Radar)

• Japan Political Shift: Uncertainty rises following the Prime Minister’s resignation; yen weakens 0.65% against the US dollar
• EU–China Trade: Business confidence falls to new lows amid escalating political tensions
• Commodities: Gold hits record highs above $3,600 per ounce, with MCX futures touching ₹1,10,000 per 10 grams on Fed cut expectations

Deep Dive – India’s Pre-Seed Revolution

Theme Analysis

India’s pre-seed funding ecosystem is undergoing rapid institutionalization. AJVC’s two-times oversubscribed fund close reflects a structural shift as global LPs move earlier in the investment cycle.

Key Statistics

• Total VC fundraising: $3.2B in 2025 vs $2.7B in 2024
• 11,000+ founder applications from 50 cities and 6,000 colleges
• Average first response time: 30 hours, among the fastest in the industry

Investor Takeaway

This trend signals a maturing startup ecosystem with stronger fundamentals and earlier institutional backing, potentially creating a deeper pipeline of venture-backed companies for future public-market participation.

What to Watch Today

Macro Events

• US PPI (August): Market expectations point to a 0.3% increase
• China CPI/PPI data release
• Continued debate around 25 bps vs 50 bps Fed rate cuts

Corporate Calendar

• IPO Activity: Urban Company and Shringar House of Mangalsutra open for subscription
• Earnings: Ongoing Q1 FY26 results analysis

Regulatory

Developments in India–US trade discussions following recent public comments.

Quote of the Day

“India is witnessing an unprecedented wave of first-time entrepreneurs. Meeting their ambition requires venture capital to operate at an entirely new velocity.”
— Aviral Bhatnagar, Founder, AJVC

Chart of the Day

Indian IT Index – Weekly Performance:
The Nifty IT index recorded a sharp 2.8% single-day gain, its strongest performance in recent weeks. Key contributors include Infosys (+5%), Tech Mahindra, and HCL Technologies, driven by buyback optimism and benefits from rupee depreciation.

Disclaimer

This newsletter is for informational purposes only and should not be considered investment advice. Please consult with a qualified financial advisor before making any investment decisions. Market data is validated through multiple sources, but investors should independently verify information. Past performance does not guarantee future results.

‍