The benchmark Sensex and Nifty indices are likely to open higher on April 26 as trends in the GIFT Nifty indicate a positive start for the broader index with a gain of 87 points.
The Indian market made a smart recovery from the day's low to extend the winning streak to a fifth straight session on April 25 but last-hour profit-booking capped the gains.
At close, the Sensex was up 486.50 points, or 0.66 percent, at 74,339.44, and the Nifty was up 167.90 points, or 0.75 percent, at 22,570.30.
The pivot point calculator indicates that the Nifty 50 is expected to face resistance at the 22,623 level, followed by 22,699 and 22,821 levels. On the lower side, the index may take immediate support at the 22,378 level, followed by 22,302 and 22,180 levels.
GIFT Nifty
Trends in the GIFT Nifty indicate a positive start for the broader index in India, with a gain of 87 points or 0.39 percent. The Nifty futures were trading around the 22657.5 level.
US Markets
Wall Street stocks closed lower on Thursday as markets were stunned by data showing slower-than-expected US economic growth and persistent inflation, coupled with a sell-off in large-cap stocks triggered by disappointing results from Meta Platforms.
Data on Thursday showed that the US economy grew at its slowest pace in nearly two years in the first quarter, while inflation accelerated, dampening hopes that the Federal Reserve would begin cutting interest rates this year.
The Dow Jones Industrial Average fell 375.12 points, or 0.98 percent, to 38,085.80, the S&P 500 lost 23.21 points, or 0.46 percent, to 5,048.42 and the Nasdaq Composite lost 100.99 points, or 0.64 percent, to 15,611.76.
Asian Markets
Asian markets were mixed on Friday as investors in Asia look to the Bank of Japan’s policy decision and inflation figures out of Tokyo.
US economic growth slows in first quarter; inflation surges
The US economy grew at its slowest pace in nearly two years as a jump in imports to meet still-strong consumer spending widened the trade deficit, but an acceleration in inflation reinforced expectations that the Federal Reserve would not cut interest rates before September.
The slowdown in growth reported by the Commerce Department in a snapshot of first-quarter gross domestic product on Thursday also reflected a slower pace of inventory accumulation by businesses and a downshift in government spending. Domestic demand remained strong last quarter.
Gross domestic product increased at a 1.6 percent annualized rate last quarter, the Commerce Department's Bureau of Economic Analysis said. Growth was largely supported by consumer spending. Economists polled by Reuters had forecast the GDP rising at a 2.4 percent rate, with estimates ranging from 1 percent to 3.1 percent.
The economy grew at a 3.4 percent rate in the fourth quarter. The first quarter growth pace was below what US central bank officials regard as the non-inflationary growth rate of 1.8 percent.
Inflation surged, with the personal consumption expenditures (PCE) price index, excluding food and energy, increasing at a 3.7 percent rate after rising at 2 percent in the fourth quarter.
Maruti Suzuki to announce Q4 earnings
India’s largest carmaker Maruti Suzuki is likely to report robust Q4 financial results, driven by a sharp rise in volumes and a greater mix of premium Sports Utility Vehicles (SUV) in sales. The four-wheeler major is set to announce its fiscal fourth-quarter earnings on April 26.
Maruti is expected to see its fiscal fourth-quarter net profit rise to Rs 3,916 crore, up almost 50 percent from the year-ago period, according to a Moneycontrol poll of nine brokerage estimates. Revenue from operations is expected to jump 21 percent to Rs 38,772 crore.
Tech Mahindra's Q4 net profit declines by 40.9%
IT services major Tech Mahindra reported a 40.9 percent fall in net profit to Rs 661 crores year-on-year for the fourth quarter that ended March 31, driven by a continued slowdown in key verticals including telecom, communications, media, and entertainment.
Sequentially, net profit was up by 29.5 percent. Net profit was below Moneycontrol’s estimate of touching Rs 709.47 crore in Q4.
Consolidated revenue for Q4FY24 decreased 6.2 percent YoY at Rs 12,871 crore, below Moneycontrol’s estimate of Rs 12,926 crore.
Bajaj Finance Q4 profit surges 21% YoY
Bajaj Finance has reported a net profit of Rs 3,825 crore for the March FY24 quarter, growing 21% over the corresponding period of the last fiscal. Net interest income grew by 28% year-on-year to Rs 8,013 crore for the quarter, with several new loans booked rising 4% to 7.87 million and customer franchises increasing 21% to 83.64 million during the same period.
Assets under management jumped 34% YoY to Rs 3,30,615 crore for the quarter. The board has recommended a dividend of Rs 36 per share for FY24.
Gold Prices
Gold prices trimmed gains on Thursday as U.S. Treasury yields rose after economic data showed signs of persistent inflation, lowering hopes of the Federal Reserve cutting interest rates anytime soon.
Crude
Oil prices rose in early trade on Friday, as players took stock of the US Treasury secretary's comments that the country's economy is likely in a stronger position than indicated by weak first-quarter data, coupled with supply concerns as conflict continues in the Middle East.
Brent crude futures gained 34 cents, or 0.38 percent, to $89.35 a barrel, and US West Texas Intermediate crude futures rose 33 cents, or 0.39 percent, to $83.90 a barrel.
FII and DII data
Foreign institutional investors (FIIs) net sold Rs 2,823.33 crore shares, while domestic institutional investors (DIIs) pumped in Rs 6,167.56 crore on April 25, provisional data from the NSE showed.
Stocks under F&O ban on NSE
The NSE has added Vodafone Idea to the F&O ban list for April 26, while removing Aditya Birla Fashion & Retail, SAIL, and Hindustan Copper from the ban.
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