Latest news with #GChokkalingam
Business Recorder
3 days ago
- Business
- Business Recorder
India's equity benchmarks ease as financials retreat from record highs
India's benchmark indexes edged lower on Monday as profit-taking in financials near record highs outweighed optimism from easing geopolitical tensions and fresh foreign inflows. The Nifty 50 shed 0.19% to 25,590.45 points and the BSE Sensex fell 0.22% to 83,876.90 as of 10:14 a.m. IST. Seven of the 13 major sectors logged losses. High-weight financials, which hit a record high on Friday, lost 0.4%. The heaviest stock in the benchmark indexes HDFC Bank lost about 0.8%. Financials, metals lift Indian benchmarks to weekly gains as geopolitical, trade fears ease Meanwhile, small- and mid-cap indexes outperformed, rising 0.5% and 0.3%, respectively. Both the benchmarks are trading just about 2.5% below record high levels. They have gained about 3.5% in June, to take their overall rise to about 15% since the start of March. 'Many promoters, private equity funds and early foreign investors are likely booking profits as markets approach the record high levels and valuations get stretched, spurring a pause in the rally,' said G Chokkalingam, founder and head of research at Equinomics Research. Other Asian markets were also subdued, while the dollar softened on bets that weaker US jobs data could prompt deeper rate cuts. Among individual stocks, Karnataka Bank tumbled 7% after the chief executive officer Srikrishnan Hari Hara Sarma resigned citing personal reasons. Executive Director Sekhar Rao also stepped down. Torrent Pharma rose about 4% before paring most of the gains. The drug maker signed definitive agreements to buy a controlling 46.4% stake in JB Chemicals from private equity firm KKR at 1,600 rupees per share, a 11% discount to JB Chemicals' Friday close. On the flipside, Alembic Pharma jumped 9.5% after getting US drug regulator's nod for an injection used to treat certain types of cancer including ovarian cancer. ITD Cementation gained 4.1% after securing a $67.4 million international marine contract.
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Business Standard
3 days ago
- Business
- Business Standard
What could move stock markets in H2 2025? Check outlook, Nifty Dec target
Analysts expect Nifty to rise up to 6 per cent in six months, with intermittent corrections likely due to global factors Sai Aravindh Mumbai Listen to This Article With Dalal Street preparing to end the first half of calendar year 2025 near record highs, analysts believe the strong momentum in equities may continue in the second half as well as strong macroeconomic tailwinds could overshadow global risks. At the headline level, they anticipate the benchmark Nifty index to rise up to 6 per cent from the current levels over the next six months amid intermittent bouts of correction triggered mostly by global (tariff, oil prices, geopolitics) events. Domestic triggers for the markets, according to G Chokkalingam, founder and chief investment officer at Equinomics Research, would include strong economic
Indian Express
23-06-2025
- Business
- Indian Express
Sensex falls 0.62%, Nifty ends below 25,000 amid rising tensions in Middle East
Domestic equity market indices declined nearly 0.6 per cent on Monday amid concerns over heightened tensions in the Middle East following US strike on nuclear sites of Iran and surge in oil prices. The BSE's 30-share Sensex declined 0.62 per cent, or 511.38 points, to close at 81,896.79. The broader Nifty lost 0.56 per cent, or 140.5 points, to finish the session at 24,971.9. However, both indices recouped some of the early morning losses by the close of the session. The Sensex had declined 931.41 points and the Nifty lost 287.55 points during intraday trades. 'Despite the initial setback, the market recovered most of its losses, supported by gains in capital goods and metal stocks, as fears of an immediate oil supply disruption remained low,' said Vinod Nair, Head of Research, Geojit Investments Ltd. The losses in the early trading session was on account of strikes launched by the US on three nuclear facilities in Iran. In retaliation, Iran's parliament approved a motion to shut the Strait of Hormuz, one of the world's most critical chokepoints, through which a fifth of the global oil and gas supply flows. Analysts said that a closure of the Strait could lead to a major disruption in oil supply and an increase in global oil prices. As the fears of immediate disruption in oil supply faded, Sensex and Nifty also showed signs of recovery. Brent crude oil also fell to $79 per barrel from $81 per barrel. 'Global oil price is down, which is a big positive surprise. Both oil and equity markets believe that this war (Middle East conflict) may not escalate in a big way. Secondly, Iran may not block the Strait of Hormuz as it earns over $67 billion from export of oil annually. Iran would be affected if it blocks this strait. Earning from oil is important when it is fighting a war,' said G Chokkalingam, Founder & Head of Research, Equinomics. Despite fall in benchmark indices, Nifty Midcap 100 and Nifty Smallcap 100 gained 0.36 per cent and 0.7 per cent, respectively. Among the sectoral indices, Nifty Media gained 4.39 per cent and Nifty Metal rose 0.66 per cent. Nifty IT fell 1.48 per cent, as IT stocks came under pressure due to uncertainty around global tech spending, exacerbated by weak earnings reported by Accenture. The NSE companies that lost the most included Infosys Ltd (2.35 per cent), HCL Technologies (2.3 per cent), Larsen & Toubro (2.27 per cent), Hero Motocorp (2.1 per cent) and Mahindra & Mahindra (1.52 per cent).
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Business Standard
20-06-2025
- Business
- Business Standard
Sensex rises 1,100 pts, Nifty tops 25,100: What's driving market rally?
Indian bench mark indices gained over 1 per cent in trade, snapping a three-day losing streak, on Friday, June 20, 2025. The BSE Sensex surged 1,133 points or 1.3 per cent and logged an intraday high at 82,494.49. Meanwhile, the National Stock Exchange (NSE) Nifty50 topped the 25,000 level and rallied 343 points or 1.3 per cent to the day's high at 25,136.2. However, the 30-scrip gauge ended at 82,408.17, up 1,046.3 points or 1.29 per cent and Nifty50 closed at 25,112.4, up 319.15 points or 1.29 per cent. On BSE, Bharti Airtel, Mahindra & Mahindra (M&M), Power Grid, Nestle and Reliance Industries were among the top gainers rising up to 3 per cent. On NSE, Trent, Jio Financial Services, M&M, Bharti airtel and Nestle were among the top gainers, rising up to 4 per cent. Why are Nifty and Sensex rising in trade today? US President Donald Trump has reportedly stated that he will decide within the next two weeks whether America will intervene in the Israel-Iran conflict. Overnight, Israel targeted nuclear sites in Iran with airstrikes, while Iran launched missiles and drones at Israel. The week-long conflict has escalated, with no clear resolution in sight from either side. According to G Chokkalingam, Founder, Equinomics Research, Trump's comment is positive for markets as the US is not expected to intervene in the war amid international pressure. "He may not go for direct conflict because of the international pressure which is positive for the Indian market," said G Chokkalingam. Crude oil prices ease As the White House delayed a decision on US involvement in the Israel-Iran conflict, oil prices corrected over 2 per cent which according to G Chokkalingam also boosted market sentiments. Last checked, Brent crude futures fell $2, or 2.5 per cent, to $76.85 a barrel. China keeps interest rate steady The People's Bank of China (PBoC) decided to keep its benchmark lending rates unchanged today as the trade agreement with the US helped alleviate some concerns about economic growth. The PBoC maintained the 1-year loan prime rate (LPR) at 3 per cent and the 5-year LPR at 3.5 per cent, according to reports. This, according to Kranthi Bathini, director-equity strategy, WealthMills Securities pushed the Chinese markets higher which also had a positive impact on Indian equities. At the last count, mainland China's CSI 300 was up 0.09 per cent and Hong Kong's Hang Seng was up 1.26 per cent. RBI eases norms for new project finance loans A major contributor to the rally in Indian equities was buying in Public Sector Undertaking (PSU) Banks. Last checked, Nifty PSU Bank was up 1.59 per cent, where out of 12 stocks, 11 advanced. Among others, Punjab National Bank (PNB), Union Bank, Canara Bank, and Indian Overseas Bank were among the top gainers. The surge came after the Reserve Bank of India (RBI) issued its final guidelines on project finance loans. The central bank has directed lenders to set aside 1 per cent of the value of loans for under-construction infrastructure projects to cover potential losses, easing its earlier draft proposal that envisaged provisioning rising up to 5 per cent, following an appeal by lenders. The requirement will come into effect on October 1. "RBI's decision to reduce provisioning on infrastructure loans is a major reason contributing to the bullish sentiment in the market," said Vishnu Kant Upadhyay, AVP - research & advisory, Master Capital Services. Sensex rebalancing According to Nuvama Institutional Equities, Sensex rejig can push the market upwards. "Historically, Sensex inclusions tend to see intraday upmoves, supported by stronger volumes, and a similar trend could play out this time as well." Tata Group-owned Trent Ltd and Bharat Electronics Ltd (BEL) are expected to be included in the benchmark 30-stock BSE Sensex index which are likely to bring inflow of $708 million. Trent is expected to see an inflow of $330 million, while the aerospace and defence electronics company BEL could see $378 million in inflows, according to Nuvama estimates. Technical view If Nifty is able to sustain the sentimental level of 25,000 level, we can see the momentum to accelerate further, but 25,000 level is the level to watch in the medium to short term," said Bathini. "Nifty is currently trading above all its key moving averages, indicating a positive undertone. The initial bias looks positive with a potential upsurge towards 25,200 which if broken decisively will take such a rally further higher towards 25,500-25,800. On the downside, the 24,600–24,500 zone is expected to act as immediate support. Any decline towards this range may offer a favourable opportunity to initiate fresh long positions," said Kant.
Indian Express
19-06-2025
- Business
- Indian Express
Why mid- and small-cap stocks witnessed selling pressure while Sensex, Nifty closed flat
Mid-cap and small-cap indices felt the heat on Thursday as investors became jittery amid growing uncertainties owing to an escalation in the Israel-Iran conflict. The Nifty Midcap 100 and the Nifty Smallcap indices fell 1.8 per cent and 2.28 per cent, respectively, during the intraday trades. The Nifty Midcap 100 plunged 1.83 per cent, or 1,061.75 points to a low of 57,047.45 in the intraday trades. The Nifty Smallcap 100 tanked 2.28 per cent, or 419.9 points, to a low of 17,958.55 during intraday trades. Both indices recovered mildly towards the end of the session, with the Nifty Midcap 100 settling 1.63 per cent lower and the Nifty Smallcap 100 down 1.99 per cent at market closing. In comparison, the benchmark indices, Sensex and Nifty, ended almost flat. The BSE's Sensex lost 0.1 per cent, or 82.79 points, to end at 81,361.87. The broader Nifty 50 declined 0.08 per cent, or 18.8 points, to finish at 24,793.25. Market analysts said that risk-off sentiments in the market is triggered by the crisis in West Asia and its economic fallout. During a risk-off period investors would prefer safe assets. The resilience in gold is due to this safe haven buying. 'In stocks, large caps are relatively fairly valued when compared with the mid- and small-caps, which are excessively valued. These excessive valuations are due to the sustained flows into these segments. It appears that investors are shifting from the risky over-valued mid- and small-cap segments to the safety of large caps,' said VK Vijayakumar, chief investment strategist, Geojit Investments Ltd. Whenever there is some kind of uncertainty in the market, retail investors tend to panic, which leads to heavy selling. This was evident in today's trading session, said G Chokkalingam, founder and head of research, Equinomics. From the Nifty Midcap 100 index, the companies that registered highest losses included Indian Renewable Energy Development Agency Ltd ( 4.3 per cent), Supreme Industries (4.22 per cent), Adani Total Gas Ltd (4.14 per cent), Rail Vikas Nigam Ltd (4.11 per cent) and LIC Housing Finance (3.78 per cent). Among the Nifty Smallcap constituents, firms that dropped the most included Brainbees Solutions (6.25 per cent), Inventurus Knowledge Solutions (5.54 per cent), Cyient Ltd (5.27 per cent) and Reliance Power Ltd (5 per cent).
