Indian Markets See Marginal Close Amid Mixed Cues: Sensex closes at 80,2024.24 and Nifty at 24,334.20

Indian equity benchmarks, the Sensex and Nifty, settled marginally lower on Wednesday after initially rebounding from a weak start. The Sensex closed 46.14 points or (0.0057%) lower at 80,242.24 and Nifty 50 closed 1.75 points or (0.01%) lower at 24,334.20.

The session was characterised by a mixed performance among key constituents. On the Sensex, Bajaj Finserv declined 6%, and Bajaj Finance slipped over 5%. Other significant laggards included Tata Motors (-3.32%), State Bank of India (-3.07%), and Trent (-4.76%). Conversely, HDFC Life (4.19%), Maruti (3.18%), Power Grid (0.74%), Hindustan Unilever (0.59%), HDFC Bank (0.59%) and Mahindra & Mahindra (0.34%) were among the top performers. The broader market sentiment reflected caution, with the advance-decline ratio favouring sellers. Foreign fund inflows and positive signals from US markets were noted as supportive factors earlier in the day.

Corporate Earnings and Sectoral Trends

The earnings season continues to shape investor focus. Bajaj Finance reported a 19% year-on-year rise in Q4 net profit to ₹4,546 crore, but shares dropped 5.8% amidst concerns over rising non-performing asset (NPA) provisions. Despite robust pre-provisioning profits and 26% growth in assets under management (AUM), increasing provisions dented profitability, with expectations of moderating growth ahead unless NPA trends improve. 

Varun Beverages saw a strong Q4, with net profit rising 33.45% to ₹731.3 crore and revenue up 29%. Total sales volume surged 30.1%, driven by demand in India and additional volumes from South Africa and DRC. Vishal Mega Mart also reported a substantial 88% year-on-year jump in Q4 net profit. UltraTech Cement aims for double-digit growth in FY26, building on a 14% volume rise in FY25, supported by acquisitions and anticipated infrastructure activity.

In the microfinance sector, a significant crisis is unfolding, with delinquency rates nearly doubling and the gross NPA ratio increasing to 16% by the end of FY25, raising serious concerns about the joint liability-based lending model. On a more positive note, Nifty Realty stocks were trading in the green (1.91%).

Key Corporate Developments and Regulatory Updates

IndusInd Bank shares tumbled 0.47% following the resignation of Managing Director and CEO Sumant Kathpalia, marking a key leadership transition. This development is seen in the context of a series of CEO resignations in private sector banks often linked to governance or regulatory issues. The bank's board is expected to expedite the search for a new CEO.

Adani Green Energy promoters plan to inject ₹500 crore into the company via warrant conversion. State Bank of India's board will discuss an equity fundraising plan during its May 3 results meeting.

From a regulatory standpoint, the Reserve Bank of India's open market bond purchases attracted robust demand, with bids for twice the notified amount, as banks capitalised on favourable prices. The Securities and Exchange Board of India (Sebi) has extended the deadline for optional T+0 settlement for qualified stock brokers to November 1. 

Currency and Commodity Dynamics

The Indian Rupee strengthened against the US dollar in early trade, influenced by rising geopolitical tensions and increased demand for the dollar. The currency appreciated 10 paise to 85.15 against the US dollar. Forex traders highlighted that escalating tensions between India and Pakistan triggered risk-off sentiment, pressuring the Rupee, although foreign fund inflows and stable crude oil prices provided some mitigation. Pakistan's markets are also on track for their worst month since 2023 amid rising tensions with India.

Gold, often considered a safe-haven asset, saw some profit booking on Akshaya Tritiya. Despite this, experts maintain that in the current environment of geopolitical tensions and currency fluctuations, gold remains a reliable asset. Gold ETFs have delivered significant returns since the last Akshaya Tritiya, averaging nearly 30%. Oil prices dipped slightly, with trade war concerns dampening the demand outlook.

Globally, Asian markets mostly edged higher. Japan's Nikkei posted its first monthly gain for the year on trade talk hopes. European shares also rose as traders assessed mixed earnings and trade jitters. US stocks closed higher on Tuesday, while oil and gold declined amidst recession fears and trade talks. 

Current Market Update

• The Sensex is trading at 80,313.96 up by 27.20 points or 0.034%.
• The NSE Nifty 50 is trading at 24,339.60 up by 4.50 points or 0.02%.

Top Gainers of the Market

1. HDFC Life Insurance Company Ltd (HDFCLIFE)

• Opening Price: ₹712.10
  
  
• Current Market Price (LTP): ₹732.65
  
  
• Percentage Change: +2.46%
  HDFC Life's share price surged after surpassing a key resistance level at ₹725.90, indicating a positive technical breakout and increased investor confidence.

2. Power Grid Corporation of India Ltd (POWERGRID)

• Opening Price: ₹304.45
  
  
• Current Market Price (LTP): ₹308.65
  
  
• Percentage Change: +1.88%
  The stock gained momentum due to its recent positive performance, showcasing resilience in the current market environment.

3. Hindalco Industries Ltd (HINDALCO)

• Opening Price: ₹622.55
  
  
• Current Market Price (LTP): ₹630.55
  
  
• Percentage Change: +1.29%
  Hindalco's share price increased amid investor optimism, despite a downturn in its monthly performance, reflecting a potential recovery.

4. Sun Pharmaceutical Industries Ltd (SUNPHARMA)

• Opening Price: ₹1,810.00
  
  
• Current Market Price (LTP): ₹1,828.70
  
  
• Percentage Change: +1.28%
  The stock's consistent performance over the past three months, with a return of 4.04%, contributed to its positive movement today.

5. Cipla Ltd (CIPLA)

• Opening Price: ₹1,542.00
  
  
• Current Market Price (LTP): ₹1,560.60
  
  
• Percentage Change: +1.24%

Cipla's impressive monthly return of 6.89% and positive investor sentiment drove its share price higher.

Top Losers of the Market

1. Bajaj Finserv Ltd (BAJAJFINSV)

• Opening Price: ₹2,018.20
  
  
• Current Market Price (LTP): ₹1,948.60
  
  
• Percentage Change: -5.72%
  Despite reporting a 14% rise in net profit to ₹2,417 crore for Q4, the stock declined due to concerns over high valuations and limited upside potential.

2. Bajaj Finance Ltd (BAJFINANCE)

• Opening Price: ₹8,840.00
  
  
• Current Market Price (LTP): ₹8,620.50
  
  
• Percentage Change: -5.20%
  The stock fell following its Q4 results, which, despite a 19% YoY increase in net profit to ₹4,546 crore, raised investor concerns over FY26 guidance and potential limited upside.

3. Tata Motors Ltd (TATAMOTORS)

• Opening Price: ₹667.00
  
  
• Current Market Price (LTP): ₹644.85
  
  
• Percentage Change: -3.05%
  Tata Motors' share price declined as it crossed below its 20-day Simple Moving Average, indicating potential bearish momentum.

4. Trent Ltd (TRENT)

• Opening Price: ₹5,435.00
  
  
• Current Market Price (LTP): ₹5,227.00
  
  
• Percentage Change: -3.02%
  Trent's shares dropped nearly 4% after reporting a 54.8% decline in net profit for Q4 FY25, despite a 28% increase in revenue, leading to investor disappointment.

5. State Bank of India (SBIN)

• Opening Price: ₹811.50
  
  
• Current Market Price (LTP): ₹791.65
  
  
• Percentage Change: -2.57%

SBI's share price fell by 3.14% amid investor caution ahead of its board meeting on May 3 to consider a proposal for raising equity during FY26.

Market Open

Amid mixed global signals and lingering uncertainty over tariffs and India-Pakistan tensions, Indian markets kicked off Wednesday on a cautious note, with the BSE Sensex sliding 171.30 points (0.21%) to 80,117.08 at the opening bell, even as the Nifty 50 climbed 58.35 points (0.24%) to 24,281.60.

Factors Influencing Market Sentiment

• Aftermath of Pahalgam Attack: India-Pakistan on High Alert: Following the Pahalgam terror attack, India-Pakistan relations have deteriorated sharply. Pakistan, in reference to what it describes as "credible intelligence," threatens that India may initiate military action in the event of the next 24–36 hours. This is on the heels of Prime Minister Narendra Modi giving India's military complete freedom over the timing and scope of reprisal.
• Wall Street Logs Longest Gain Run Since July: Wall Street continued its Tuesday rally, as the Dow Jones Industrial Average rose 0.75%, the S&P 500 increased by 0.58%, and the Nasdaq Composite increased by 0.55%. The three benchmarks now have recorded six consecutive days of gains—their longest winning run since July.
• New Momentum in US-India Trade Deal Discussions: On the diplomatic side, US-India trade talks are said to be proceeding in an unproblematic manner. President Donald Trump praised developments as "coming along great," portending a trade pact could be signed in the near future. Treasury Secretary Scott Bessent added that negotiations with Japan and South Korea have also made similar progress, pointing to a wider trend of improving global trade talks.

Global Backdrop:

• US Dollar: On Wednesday morning, the US Dollar Index (DXY), which measures the dollar against six major currencies, lost 0.04% to 99.20. The measure captures the dollar's relative strength against key counterparts, including the euro, pound, Japanese yen, Swiss franc and Swedish krona. In other markets, the Indian rupee appreciated by 0.25%, closing April 29 at ₹85.25 per US dollar.

• Gold Rate Today: Global gold prices softened on April 29, with spot prices falling to about $3,300 an ounce. Local 24-carat gold in India traded at ₹96,000–97,000 per 10 grams after previous highs of $3,500 internationally and ₹100,000 locally. Goodreturns reports that the current rates are ₹97,980 for 10 g of 24-carat gold, ₹89,810 for 22-carat, and ₹73,490 for 18-carat.

• Crude Oil: Early Wednesday trading saw a slight oil price pullback: WTI crude fell 0.28% to $60.25 a barrel, and Brent declined 0.29% to $63.10.

Stocks in Focus:

• IndusInd Bank’s CEO Sumant Kathpalia abruptly resigned, citing “moral responsibility” amid suspected derivatives-book irregularities; the board has asked the RBI to approve an interim group of senior managers to oversee CEO duties until a permanent replacement is appointed.
• Bajaj Finance posted a 16% YoY rise in standalone net profit at ₹3,940 crore and a 19% YoY rise in consolidated net profit at ₹4,546 crore for Q4 FY25, with NII up 22% to ₹9,807 crore and total revenue of ₹15,808 crore.
• Bajaj Finserv delivered a 14% YoY increase in Q4 consolidated net profit to ₹2,416.6 crore on 14.2% revenue growth to ₹36,595 crore, driven by insurance and lending; the board declared a ₹1/share (100% FV) dividend.
• BPCL’s Q4 FY25 net profit was ₹3,214 crore—down 31% QoQ from ₹4,649.2 crore—due to LPG subsidised-gas losses and weaker refining margins; revenues dipped 1.7% to ₹1,11,179 crore, and the board declared a ₹5/share final dividend.
• CEAT’s Q4 revenues rose 14% YoY to ₹3,420.6 crore, but net profit fell 8.4% YoY to ₹99.5 crore amid margin pressure; the board approved a ₹30/share dividend.
• Infosys launched a new AI-driven product for SAP S/4HANA Cloud.
• SBI’s board will meet on May 3 to review Q4/FY25 results and consider FY26 fund-raising via FPO, rights issue or QIP.
• Prestige Estates secured RERA approval for “The Prestige City – Indirapuram” in NCR, with an estimated GDV over ₹9,000 crore.
• Fedbank Financial Services reported a 6% YoY rise in Q4 net profit to ₹71.7 crore and a 34.6% increase in NII to ₹283.3 crore.
• IndiaMART InterMESH saw a 49.3% QoQ jump in Q4 consolidated net profit to ₹180.6 crore.
• TPG offloaded a 3.9% stake in Tata Technologies for ₹1,068 crore in an open-market sale.
• Shoppers Stop’s Q4 consolidated profit plunged 91.4% to ₹1.99 crore, even as revenue inched up 1.68% to ₹1,064 crore.
• Jana Small Finance Bank’s March-quarter net profit fell 61.6% YoY to ₹123.5 crore, despite a marginal rise in NII.

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