Market Bizzz

Sumit Bhatnagar says Indian markets remain resilient despite global uncertainties. With earnings showing signs of recovery and consumption set to rise in the second half, sectors like FMCG, NBFCs, cement, and automobiles are expected to benefit, supporting a steady growth trajectory.

Gold prices edged lower on Friday and are poised for a weekly decline due to stronger-than-anticipated U.S. inflation data, which dampened expectations for a substantial 50 basis point U.S. interest rate cut in September. Investors are now awaiting insights from Fed Chair Jerome Powell at the Jackson Hole symposium next week. Elsewhere, other precious metals saw mixed movements.

Oil prices saw a slight increase, reaching one-week highs following President Trump’s warning about potential consequences if Russia obstructs a Ukraine peace deal, raising supply concerns. Positive economic data from Japan, a major crude importer, also contributed to the upward momentum. However, prospects of sustained high U.S. interest rates curbed further price gains.

Global stocks experienced a slight downturn as U.S. Treasury yields increased following unexpectedly strong inflation data, which tempered expectations for aggressive Federal Reserve rate cuts. While the S&P 500 achieved a new closing high, the Dow and Nasdaq remained relatively unchanged. Investors are closely monitoring inflation signals amidst concerns about a slowing economy and potential stagflation.

Indian equities saw gains as retail inflation hit an 8-year low, boosting domestic sentiment despite global geopolitical tensions. Analysts anticipate range-bound market activity, favoring domestic themes amid US tariff concerns and the upcoming US-Russia talks. US stocks rose, fueled by expectations of lower interest rates, while Asian stocks showed mixed performance.

The Securities and Exchange Board of India plans to update stock broker rules. Algorithmic trading and proprietary trading definitions may be included. Stock brokers could gain access to the NDS-OM platform for government securities trading. Sebi also proposes defining Execution Only Platforms for mutual fund transactions. These changes aim to adapt to evolving market practices and regulations.

Bitcoin surged to a record high, mirroring a rally in US equities driven by investor risk appetite. The cryptocurrency surpassed $123,500, fueled by a friendly legislative climate, corporate stockpiling, and exchange-traded fund inflows. Optimism stemming from stable inflation data and anticipated Federal Reserve rate cuts further propelled both crypto and equity markets.

Tata Motors’ stock has plunged 44.6% from its peak, with analysts divided on the outlook. Jefferies cites weak Q1 results and cuts EPS estimates, retaining an Underperform rating. Technical experts note key support near Rs 640, but caution that a sustained rebound needs a breakout above Rs 700–Rs 720. Until then, a “sell-on-rise” strategy prevails.

Paytm’s parent company, One 97 Communications, saw its shares in focus after the RBI granted in-principle authorization to its subsidiary, PPSL, to operate as an Online Payment Aggregator. The approval is subject to certain guidelines and audits, including a cybersecurity assessment. In a relief, the RBI also lifted merchant onboarding restrictions imposed on PPSL since November 2022.

National Securities Depository Limited’s Q1 FY26 results are out. Net profit rose 15% YoY to Rs 90 crore. However, revenue from operations fell 23% to Rs 312 crore. Demat account market share increased to 15.5%. NSDL crossed 4 crore demat accounts. Equity market share stood at 73.2%. Shares closed with 1% gains at Rs 1,288 on the Bombay Stock Exchange.