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EQUITY
Post Session: Quick Review
Apr-04-2025

Mirroring weak global cues, Indian equity benchmarks continued to show their downward trend on Friday amid global recession worries. US President Donald Trump's announcement on tariffs sparked the global trade war fears. After making negative start, indices spent their entire day under selling pressure as traders avoided to take risk. 

Some of the important factors in trade:

India's services sector activity eases slightly in March: traders were cautious as India's services sector activity eased slightly in March 2025, weighed down by a marginal slowdown in sales amid softer demand conditions and easing inflationary pressures. According to the survey report, the seasonally adjusted HSBC India Services PMI Business Activity Index fell from February's reading of 59.0 to 58.5 in March, but remained above its long-run average of 54.2. 

Sustained foreign fund outflows: Traders were worried as exchange data showed foreign institutional investors (FIIs) extended their selling streak for the fourth consecutive session on April 3, offloading equities worth Rs 2,806 crore.

India's passenger vehicle exports unlikely to face Trump tariff’s heat: Traders overlooked the report that ICRA has stated that the US administration’s latest tariff measures will not have any material impact on India's passenger vehicle exports due to meagre volumes of such shipments. 

Global front: European markets were trading lower as investors reacted to mixed economic readings from Germany and France. Asian markets ended lower as traders continued to assess the impact of the steeper-than-expected reciprocal tariffs imposed by US President Donald Trump on U.S. trade partners.

The BSE Sensex ended at 75,364.69, down by 930.67 points or 1.22% after trading in a range of 75,240.55 and 76,258.12. There were 6 stocks advancing against 24 stocks declining on the index. (Provisional)

The broader indices ended in red; the BSE Mid cap index declined by 3.08%, while Small cap index was down by 3.43%. (Provisional)

The top losing sectoral indices on the BSE were Metal down by 6.34%, Capital Goods down by 3.99%, Oil & Gas down by 3.89%, Industrials down by 3.89% and Basic Materials was down by 3.89%, while there were no gaining sectoral indices on the BSE. (Provisional)

The top gainers on the Sensex were Bajaj Finance up by 1.59%, HDFC Bank up by 1.30%, Nestle up by 0.79%, ICICI Bank up by 0.38% and Asian Paints up by 0.27%. On the flip side, Tata Steel down by 8.59%, Tata Motors down by 6.15%, Larsen & Toubro down by 4.69%, Adani Ports down by 4.01% and Indusind Bank down by 3.83% were the top losers. (Provisional)

Meanwhile, India's services sector activity eased slightly in March 2025, weighed down by a marginal slowdown in sales amid softer demand conditions and easing inflationary pressures. According to the survey report, the seasonally adjusted HSBC India Services PMI Business Activity Index fell from February's reading of 59.0 to 58.5 in March, but remained above its long-run average of 54.2. In the Purchasing Managers' Index (PMI) parlance, a print above 50 means expansion, while a score below 50 denotes contraction. The HSBC India Composite PMI, which included robust manufacturing growth, rose to a seven-month high of 59.5 in March from February's 58.8, reflecting stronger overall private sector growth. 

Output was supported by buoyant underlying demand and ongoing increases in new business. Sales rose at a softer pace than in February, albeit one that was still sharp. At the sub-sector level, there was a broad-based increase in business activity and sales, with Finance & Insurance exhibiting the strongest growth trends, followed by Consumer Services. The slowdown in growth of total new business reflected a weaker increase in international sales. New orders from abroad rose at the softest pace in 15 months.

On the price front, output charge inflation slowed to a three-and-a-half-year low in March. Only 1 per cent of survey participants reported higher average fees than in February, with the remaining companies signalling no change. Panellists identified heightened competition as the main challenge for growth prospects going ahead. The level of positive sentiment slipped to a seven-month low and was below its long-run average. Consumer Services firms were the most upbeat in March, followed by Finance & Insurance, Real Estate & Business Services and Transport, Information & Communication.

As per the survey, hiring activity across the service economy was pared back in March. Employment still rose at an above-trend pace, albeit one that was the weakest in close to a year. Outstanding business volumes among Indian service providers rose only slightly in March. Business expenses continued to increase in March, with panellists signalling higher food, freight, maintenance, medical equipment and vehicle spare part costs. The overall rate of inflation was solid, but eased to a five-month low. Consumer Services topped the input price inflation rankings and was the only category to see a pick-up in cost pressures.

The CNX Nifty ended at 22,904.45, down by 345.65 points or 1.49% after trading in a range of 22,857.45 and 23,214.70. There were 9 stocks advancing against 40 stocks declining on the index, while 1 stock remained unchanged.  (Provisional)

The top gainers on Nifty were Tata Consumer up by 1.57%, Bajaj Finance up by 1.45%, HDFC Bank up by 1.25%, Nestle up by 0.73% and Apollo Hospital up by 0.65%. On the flip side, Tata Steel down by 8.61%, Hindalco down by 8.07%, ONGC down by 7.11%, Tata Motors down by 6.13% and Cipla down by 5.38% were the top losers. (Provisional)

European markets were trading lower; UK’s FTSE 100 decreased 170.58 points or 2.05% to 8,304.16, France’s CAC fell 168.73 points or 2.27% to 7,430.25 and Germany’s DAX was down by 554.39 points or 2.62% to 21,163.00.

Asian markets settled down in thin trade on Friday, with markets in mainland China, Hong Kong, Indonesia and Taiwan closing for market holidays. Market sentiments weakened further by tracking Wall Streets’ heavy losses overnight after the announcement of sweeping new tariffs stoked fears of a trade war and the US entering a recession. Japanese shares declined as exporters were hit by a stronger yen. Seoul shares fell as South Korean President Yoon Suk Yeol was ousted by the Constitutional Court, ushering in an election after it upheld parliament's impeachment over his imposition of martial law that sparked the nation's worst political crisis in decades. Investors were awaiting the monthly US jobs report as well as remarks by Federal Reserve Chair Jerome Powell due later in the day for further direction. 

Asian Indices

Last Trade            

Change in Points

Change in %      

Shanghai Composite

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--

Hang Seng

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--

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Jakarta Composite

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--

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KLSE Composite

1,504.14

-14.77

-0.97

Nikkei 225

33,780.58

-955.35

-2.83

Straits Times

3,825.86

-116.37

-3.04

KOSPI Composite

2,465.42

-21.28

-0.86

Taiwan Weighted

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