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Markets snap 2-day fall; Nifty settles above 23,300 mark
Apr-02-2025

Breaking a two-day losing streak, Indian equity benchmarks ended with significant gains on Wednesday, on strong macro data and value buying by investors after recent free-fall ahead of US tariff announcements. After opening with a positive note, the markets continued their gradual upside momentum for better part of the session. All sectors ended in the green, with Realty and Consumer Durables being the top performers. 

Some of the important factors in today’s trade:

India Manufacturing PMI hits 8-month high in March: A monthly survey said India's manufacturing sector growth rose to an eight-month high in March, driven by quicker increases in factory orders and production amid buoyant demand conditions. The seasonally adjusted HSBC India Manufacturing Purchasing Managers' Index (PMI) was at 58.1 in March, up from 56.3 in February. 

GST collection surges 9.9% to Rs 1.96 lakh crore in March: The government data has showed that Gross Goods and Services Tax (GST) collection grew 9.9 per cent in March 2025 to over Rs 1.96 lakh crore (Rs 19,56,034 crore) - the second-highest mop-up ever 

India’s growth at 6.5% this fiscal to remain highest amongst advanced, emerging G-20 countries: Moody’s Ratings said India’s growth at 6.5 per cent this fiscal will remain the highest amongst the advanced and emerging G-20 countries, supported by tax measures and continued monetary easing, and the country will continue to attract capital and withstand any cross-border outflow.

Foreign fund outflows: Traders overlooked exchange data showing that April began on a bearish note as foreign institutional investors (FIIs/FPIs) continued their selling spree for the second straight session, dumping shares worth Rs 5,901 crore. 

Global front: European markets were trading lower as caution prevailed ahead of U.S. President Donald Trump's sweeping tariffs announcement expected later in the day. Asian markets settled mostly higher with investors awaiting U.S. President Donald Trump's announcement about his tariff plans later in the day. 

Finally, the BSE Sensex rose 592.93 points or 0.78% to 76,617.44, and the CNX Nifty was up by 166.65 points or 0.72% to 23,332.35.   

The BSE Sensex touched high and low of 76,680.35 and 76,064.94 respectively. There were 19 stocks advancing against 11 stocks declining on the index.

The broader indices ended in green; the BSE Mid cap index rose 1.38%, while Small cap index was up by 0.99%.

The top gaining sectoral indices on the BSE were Realty up by 3.62%, Consumer Durables up by 2.62%, Consumer Discretionary up by 1.70%, Telecom up by 1.22% and TECK up by 1.18%, while there were no losing sectoral indices on the BSE. 

The top gainers on the Sensex were Eternal up by 4.92%, Titan Company up by 3.77%, Indusind Bank up by 2.88%, Maruti Suzuki up by 2.09% and Tech Mahindra up by 2.04%. On the flip side, Nestle down by 1.36%, Power Grid Corporation down by 0.88%, Ultratech Cement down by 0.88%, Bajaj Finserv down by 0.68% and Larsen & Toubro down by 0.41% were the top losers.

Meanwhile, Moody’s Ratings its report on emerging markets has stated that India’s growth at 6.5 per cent this fiscal will remain the highest amongst the advanced and emerging G-20 countries, supported by tax measures and continued monetary easing, and the country will continue to attract capital and withstand any cross-border outflow. It estimated that inflation to average at 4.5 per cent in the current fiscal (April-March), from 4.9 per cent in the last fiscal. The government in the Budget for the 2025-26 fiscal year has hiked I-T rebate to Rs 12 lakh from Rs 7 lakh, which gave tax relief of Rs 1 lakh crore to the middle class. Besides, the RBI in February had cut interest rates by 25 basis points to 6.25 per cent and it is widely expected that the Reserve Bank’s monetary policy committee (MPC) will cut rates again in its monetary policy review on April 9.

The rating agency in report has signalled that the emerging markets are exposed to uncertainty caused by the churn of US policies and its potential to reshape global capital flows, supply chains, trade and geopolitics. Meanwhile, the large EMs (emerging markets) have resources to navigate the turbulence. Moody’s has indicated that amid increased risk of capital outflow due to uncertainty in US policies, the large emerging markets such India and Brazil are better positioned to attract and retain global capital in risk-averse conditions owed to their large and domestically oriented economies, deep domestic capital markets, moderate policy credibility and substantial foreign exchange reserves. These attributes provide buffers against external financial pressures and, as a result, give investors confidence. 

The rating agency has indicated that India has a low external vulnerability indicator of 61 per cent, indicating its relatively lower susceptibility to external financial shocks. Meanwhile, the country has a higher proportion of domestic currency-denominated external debt and hence is better insulated from exchange rate risks. It expects emerging markets growth to slow in the aggregate in 2025-26 but to remain solid with wide variation by country. It also expects Asia-Pacific to exhibit highest growth, however the region’s integration in global trade exposes them to US tariffs and their potential to slow growth.

The CNX Nifty traded in a range of 23,350.00 and 23,158.45. There were 33 stocks advancing against 16 stocks declining, while 1 stock remained unchanged on the index.  

The top gainers on Nifty were Tata Consumer Product up by 6.91%, Eternal up by 4.80%, Titan Company up by 3.86%, Indusind Bank up by 2.97% and Tech Mahindra up by 2.10%. On the flip side, Bharat Electronics down by 3.27%, Nestle down by 1.22%, Ultratech Cement down by 0.91%, Bajaj Finserv down by 0.81% and Power Grid Corp down by 0.78% were the top losers. 

European markets were trading lower; UK’s FTSE 100 decreased 73.21 points or 0.85% to 8,561.59, France’s CAC fell 53.05 points or 0.67% to 7,823.31 and Germany’s DAX lost 295.76 points or 1.31% to 22,244.22.

Asian markets settled mostly higher on Wednesday, even as caution prevailed ahead of the US President Donald Trump's sweeping tariffs announcement expected later in the day. A private report indicated that the White House aides have drafted a proposal to impose tariffs of around 20% on most imports to the United States, however, it noted White House advisers cautioned that several options are on the table and no final decision has been made which kept the investors on edge. Meanwhile, the Indonesian market remained closed for Eid-ul-Fitr holidays.

Asian Indices

Last Trade            

Change in Points

Change in %      

Shanghai Composite

3,350.13

1.69

0.05

Hang Seng

23,202.53

-4.31

-0.02

Jakarta Composite

--

--

--

KLSE Composite

1,526.52

12.87

0.85

Nikkei 225

35,725.87

101.39

0.28

Straits Times

3,954.21

-14.64

-0.37

KOSPI Composite

2,505.86

-15.53

-0.62

Taiwan Weighted

21,298.22

18.05

0.08
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