Stock Market LIVE Updates: Wall Street falls, Asia trades mixed; GIFT Nifty gains

The dollar was steady on Monday after data last week showing U.S. inflation remained sticky cast doubts on when the Federal Reserve would start its easing cycle, while the yen remained rooted near the psychologically key 150 per dollar level.

The yen has hovered around 150 level in the last few days, prompting officials to comment on the currency moves and keeping markets on alert to a possible intervention by Japanese authorities.

In early trade on Monday, the yen strengthened 0.20% to 149.94 per dollar but remains down 6% for the year, while against the euro yen hovered around three-month lows of 161.925.

The rupee closed almost unchanged and ended marginally higher on the back of a sharp fall in the dollar index and U.S. 10-year bond yields while extended gains in the domestic equity market also aided the currency market sentiment.

On the other hand, a jump in crude oil prices and continuous selling by the FIIs limited the upside of the rupee. We expect the rupee to trade in the range of 82.80-83.50.

Maharashtra-based Gala Precision Engineering is planning to raise funds via an initial public offering as it has filed preliminary papers with the capital markets regulator SEBI.

The 31,74,416 equity shares IPO comprises a fresh issue of 25,58,416 equity shares by the company, and an offer-for-sale of 6,16,000 equity shares by the existing shareholders, as per the filing with the SEBI on February 14.

Promoter Vishanji Harshi Gala will be the major selling shareholder in the OFS, offloading 3,85,200 equity shares, while the remaining 2,30,800 equity shares will be sold by Kirit Vishanji Gala (HUF), Nayna Gala, Satish Kotwani, Hemlata Dhiraj Shah, Dhiraj Nanchand Shah, Urmil Dhiraj Shah, and Rupa Sunil Mehta.

Promoters have 74.56 percent stake in the company and the remaining shares are held by the public including Pooja Unichem LLP. Read More

Kerala-based Tolins Tyres has filed preliminary papers with the capital markets regulator SEBI to raise Rs 230 crore through an initial public offering.

As per the draft papers filed on February 16, the IPO will be a mix of fresh issuance of equity shares worth Rs 200 crore, and an offer-for-sale (OFS) of shares worth Rs 30 crore by promoters.

Promoters Kalamparambil Varkey Tolin, and his wife Jerin Tolin will be the selling shareholders in the OFS, offloading Rs 15 crore worth of shares each.

Promoters own 92.64 percent shares in the manufacturer of tyres and tread rubber, and the remaining 7.36 percent shares are held by the public shareholders. Read More

Despite concerns surrounding the recessions in the UK and Japan, I believe their impact on the Indian economy is minimal, as India’s reliance on trade with these nations is limited. However, India’s economy is not immune to global challenges. A surge in global commodity prices could fuel inflation and curb domestic spending, while a downturn in global services may ripple through sectors such as IT and tourism in India.

In such a scenario, India’s economic path will depend on its policy response. Proactive measures such as infrastructure spending, export promotion, and targeted domestic stimulus can help mitigate the impact of the external slowdown.

The spike in US bond yields triggered by the higher-than-expected consumer price inflation led to sustained selling by FPIs in the cash market. In February through 16th FPIs had sold equity worth Rs 6112 crores through the exchange. But buying through ‘the primary market and others’ reduces the net sell figure for February through 16th to Rs 3775 crores. For the year 2024 the total FPI selling stands at Rs 29519 crores. The trend of FPI selling is likely to continue so long as the US bond yields remain elevated. The sustained FPI buying in debt which started early this year also continues. FPIs bought debt for Rs 16559 crores in February through 16th taking the total buy figure for debt for 2024 to Rs 36395 crores.This trend is also likely to continue.(Data source: NSDL).

The selling by FPIs in equity would have been much higher in response to the rising US bond yields. But FPIs have been consistently losing the tug of war with DIIs and, therefore, they are a bit reluctant to press aggressive selling. They will have to buy the same stocks later,which they have been selling, when conditions are favourable for buying.

Markets extended rebound for the fourth successive session and gained over half a percent. After the gap-up start, Nifty edged gradually higher and managed to reclaim the 22,000 mark. The majority of sectors were aligned to the move wherein auto, realty and pharma were among the top gainers. The market breadth was also inclined towards the advancing side, thanks to continued buying in midcap and smallcap space.

We suggest maintaining a positive yet cautious stance as Nifty is set to retest its record high. Needless to say, we need sustainability above 22,150 to end the consolidation and march towards the 22,500+ zone else profit taking may resume. Traders should keep a close watch on the banking index for cues while others may continue to play a supportive role on a rotational basis. Besides, the performance of the global indices, especially the US, will remain on their radar.

Oil prices edged down on Monday morning as markets digested comments from U.S. Federal Reserve officials pointing to a more patient stance regarding potential interest rate cuts, in thin early trade on what is a public holiday in the United States.

Brent crude futures were down 58 cents, or 0.69%, at $82.89 a barrel. U.S. West Texas Intermediate crude was 35 cents, or 0.44%, lower at $78.84 at 0138 GMT.