India’s stock markets took a step back on Wednesday, reversing the gains made the previous day. Despite the Reserve Bank of India’s (RBI) decision to cut interest rates by 25 basis points, investor sentiment remained low as concerns over Trump tariffs lingered. The NSE Nifty 50 dropped by 136.70 points, closing at 22,399.15, while the BSE Sensex fell by 379.93 points to end at 73,847.15.
Continued Selling Pressure from Foreign Investors
Foreign portfolio investors continued to offload shares, marking their eighth consecutive day of net selling. They divested approximately Rs 4,358 crore in shares, as indicated by preliminary data from the NSE. Meanwhile, domestic institutional investors showed some resilience, purchasing stocks worth Rs 2,976.7 crore over three days of buying activity.
Key Earnings Reports
Several companies reported earnings after market hours, shedding light on their financial health:
- Tata Consultancy Services (TCS) reported a slight increase in revenue, reaching Rs 64,479 crore, up 0.79% from the previous quarter. However, their net profit fell by 1.26% to Rs 12,224 crore, and margins dropped to 24.19%.
- Anand Rathi highlighted a year-over-year increase in total income by 22.5%, amounting to Rs 232 crore, and a net profit increase of 30.5% to Rs 72.4 crore.
Stocks to Keep an Eye On
Investors should monitor these companies for potential market movements:
- Tata Steel is set to implement a transformation program, resulting in the reduction of 1,600 management and support jobs in the Netherlands.
- Infosys has extended its partnership with AIB for ongoing digital transformation initiatives.
- Sanofi India announced the resignation of Managing Director Rodolfo Hrosz, effective April 30, as he transitions to another role within the company.
Corporate Developments
Various companies are making headlines with significant updates:
- NBCC has successfully sold 1,185 residential units in Noida via an e-auction, generating approximately Rs 1,504.69 crore in sales.
- BHEL signed a Memorandum of Understanding (MoU) with Nuovo Pignone International to explore compressor revamp opportunities in the fertilizer sector.
- Avenue Supermarts opened a new DMart store in Surat, bringing its total to 416 stores.
Currency Market Trends
The Indian rupee experienced a decline, closing 45 paise lower at 86.70 against the US dollar. This drop can be attributed to global risk aversion and the recent policy decisions made by the RBI, reflecting investors’ concerns about escalating trade tensions.
Conclusion
As investors navigate a complex landscape filled with economic uncertainty and corporate earnings reports, it’s crucial to keep track of market movements and be aware of the developments within key sectors. With ongoing foreign selling and domestic institutional buying, the Indian stock market is poised for a dynamic trading environment in the coming days.
