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- AI Stumbles, Markets Slide, Trade Talks Win the Day 📉
AI Stumbles, Markets Slide, Trade Talks Win the Day 📉
🌞 Good morning, midweek masala maniacs!
It’s Wednesday, and while the rest of the world might be sleepwalking to the weekend, we’re dishing out the hottest headlines with zero chill.

From trade tensions that could cook your portfolio to robot chefs in your kitchen, today’s cup is full of spice and smarts. Pour yourself a strong one — you’ll want to sip this slowly. ☕🔥
☕ Chai Shots
🌐 India, UK Ink Historic Trade Deal: After three years of back-and-forth, India and Britain signed a sweeping Free Trade Agreement, cutting tariffs on 99% of Indian exports and 90% of British goods. From Scotch to salmon, cars to curry powders, this deal is a game-changer. More in the Big Brew ☕
🌐 Japan's SMBC Eyes Yes Bank Stake: Japan's Sumitomo Mitsui Financial Group is reportedly in talks to acquire a sizable minority share in Yes Bank. No final terms yet, but if sealed, it could mark a rare foreign foray into Indian banking.
✈️ Airspace Tensions Disrupt Travel: After India launched Operation Sindoor in response to the Pahalgam terror attack, Srinagar airfield shut down and flights across North India — including from Delhi, Amritsar, and Leh — were suspended. IndiGo, SpiceJet, and Air India issued advisories amid volatile skies.
📉 Markets Lose ₹6 Lakh Cr as Tensions Rise: Investors saw red as the Sensex and Nifty dipped amid rising India-Pakistan tensions and caution ahead of the U.S. Fed’s decision. Nearly 80 stocks hit 52-week lows, with PSU Banks and real estate leading the slump.
📈 Market Masala

📉 Sensex & Nifty Take a Breather: Sensex dropped 156 points to close at 80,641, and Nifty slipped 82 points to settle at 24,379. While the fall was mild for benchmarks, mid- and small-cap stocks got hammered, dragging investor wealth down by nearly ₹6 lakh crore in one session.
🏦 Banks Bleed, Autos Survive: Most sectoral indices ended in the red, led by a nearly 5% crash in PSU Banks and over 3.5% in realty. Nifty Auto was the rare green zone, eking out a 0.17% gain thanks to Hero MotoCorp and M&M.
💊 Trump Targets Indian Pharma: After a new executive order, Indian drug firms may face more unannounced FDA inspections. The industry is bracing for more scrutiny, especially around APIs sourced from China.
🍲 Swiggy Hands Over Private Labels to Kouzina: Swiggy has officially exited the private label game, signing over brands like The Bowl Company, Homely, Soul Rasa, and Istah to cloud kitchen player Kouzina under an exclusive licensing deal. Kouzina, already operating 250+ kitchens in 100+ cities, will now lead operations, product innovation, and national expansion for these brands.
🧪 TPG Picks Up 35% Stake in Schott Poonawalla: Global investment giant TPG is buying a 35% stake in Schott Poonawalla from the Serum Institute of India, with Schott Pharma holding steady at 50% ownership. This JV—between one of the world’s biggest vaccine makers and a leading pharma packaging firm—develops high-tech drug delivery solutions like prefilled syringes, vials, and auto-injector cartridges.
🌍 Global Masala
🇨🇳 US-China Trade Talks Get a Lifeline: Stock futures ticked up after the U.S. announced a surprise sit-down with Chinese trade reps in Switzerland. The aim? Cool off tensions that have rocked markets since Trump’s tariff blitz.
💸 Fed Rate Watch: No Cut Expected, But Eyes on Powell: The Fed is expected to hold rates steady, but Powell’s post-meeting comments could shake things up — especially with inflation fears and recession risks looming.
🛑 Zoox Puts the Brakes on Driverless Testing: Amazon-owned Zoox hit pause on its driverless trials after one of its robotaxis misjudged a car's move and crashed in Vegas. No one was hurt, but the software behind 270 vehicles was recalled over fears it couldn’t accurately predict nearby traffic.
📦 DoorDash Gobbles Up Deliveroo: In a $3.9B deal, DoorDash is acquiring UK-based Deliveroo, expanding its global footprint to 40+ countries. The British delivery giant, once a market darling, had a rocky IPO — now DoorDash is banking on a second course of international growth.
📉 Palantir's AI High Meets Reality Check: Shares of Palantir tumbled 12% despite strong earnings, as investors freaked over international sales falling 5%. CEO Alex Karp blamed Europe’s slow AI adoption and emphasized U.S. growth — but Wall Street said the stock was priced like it was in a sci-fi movie.
☕ The Big Brew: India-UK Free Trade Deal
🇮🇳 x 🇬🇧 = 💰🚀🌿
India and the UK just pulled off a trade milestone. After three years, multiple prime ministers, and a bit of Brexit drama, a Free Trade Agreement (FTA) has been sealed. Here’s what you need to know:
🧷 Tariffs Tumble: Indian exports like textiles, jewelry, and prawns will enjoy zero duties on 99% of items. UK exports like whisky, cars, and chocolates get tariff cuts up to 90% — whisky alone will go from 150% to 40% by year 10.
🚗 Auto & Aero Open Up: India’s auto sector opens slightly under a quota system, and aerospace and medical equipment also see lower duties. UK carmakers hope this offsets looming Trump tariffs.
💼 Services + Social Security: British companies can now bid more freely for Indian contracts, while Indian professionals on short-term UK assignments won’t have to double-pay social security.
👨💼 Visas & Mobility: No big immigration changes, but 1,800 slots will open up for chefs, yoga teachers, and musicians. Legal services didn’t make the cut, and talks on a full investment treaty continue.
✨ What Does This Mean? For India, it’s a win in global trade diplomacy. For the UK, it’s their biggest post-Brexit FTA. Consumers can expect better pricing on luxury imports, and exporters on both sides get a major leg up in market access.
🚀 Startup Scoop
🧬 The Good Bug Bags ₹100 Cr: Gut health startup The Good Bug raised ₹100 crore in Series B funding led by Susquehanna Asia VC. With over 1 million customers and a growing product line, it plans to double down on weight loss programs and probiotic R&D.
🤖 Posha Cooks Up $8M for AI Kitchen Bot: Bengaluru-based Posha (formerly Nymble) raised $8M to expand its $1,500 AI-powered cooking robot in the US. It whips up 500+ recipes and is aiming to revolutionize home cooking with its subscription model.
🛡️ Insurance Samadhan Gets ₹8.5 Cr: This insurance grievance platform will use its fresh funds to enhance its policy transparency tools and expand digital grievance redressal services. It’s resolved over 18,000 complaints and claims worth ₹160 crore.
🛢️ Fuel-Tech Startup Nawgati Raises $2.5M: Nawgati’s platform for fuel station efficiency and fleet visibility has already partnered with Mahanagar Gas. Now, it’s gunning for global expansion with backing from angel and institutional investors.
🧠 Chai Break Trivia
☕ Did you know India is home to the world's highest polling station? Nestled in Himachal’s Spiti Valley, the tiny village of Tashigang operates its polling booth at 15,256 feet. Voters trek through snow and altitude for every election!
🔮 What’s Brewing Next?
📊 All Eyes on the Fed: Jerome Powell will announce the U.S. interest rate decision today. Markets are pricing in no cuts, but his words may sway investor sentiment globally.
🇮🇳 RBI Dividend Watch: With strong forex income and bond operations, the central bank’s annual payout to the government could surprise on the upside — stay tuned.
🫖 Until tomorrow...
Whether it’s a macro move or a microchip-powered chef, we’ve got your daily brew of spicy insights. Share Masala Chai with a friend who needs their morning fix — and maybe a probiotic or two. 😉

Till Tomorrow…
Catch you Thursday with more masala!
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