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Markets to make positive start amid strong global cues
Apr-23-2025

Indian markets are likely to make a positive start on Wednesday, buoyed by a rally in global markets following optimistic comments from the U.S. Treasury Secretary, who indicated a potential de-escalation in China-U.S. tariffs in the near future. Additionally, sustained inflows from foreign institutional investors (FIIs) are likely to further uplift markets sentiment. Meanwhile, investors focus will also be on upcoming earnings reports from companies like LTIMindtree, Tata Consumer Products, and Bajaj Housing Finance, which are likely to provide further direction for the markets.

Some of the key factors to be watched:

India aims to double share of manufacturing in GDP: Finance Minister Nirmala Sitharaman said that India plans to increase the share of the manufacturing sector from 12 per cent to 23 per cent over the next two decades, aiming to create jobs and drive economic growth. 

US Vice President urges India to drop non-tariff barriers: US Vice President JD Vance on Tuesday urged India to drop non-tariff barriers, give greater access to its markets and buy more American energy and military hardware as he laid out a broader roadmap of deeper ties between the two nations for a ‘prosperous and peaceful’ 21st century.

NRI deposit inflows grew 23% till February: The NRIs inflow in deposits grew by 23.3 percent, i.e. $14.55 billion during the first 11 months of the financial year 2024-25 (FY25) against the same period a year ago.

Venture capital investment in India dips to $2.4 billion: According to a private report, Venture capital (VC) investment in India has declined to $2.4 billion in the first quarter of 2025, influenced by geopolitical uncertainties. While India's VC funding decreased marginally, the Asia Pacific region witnessed a more significant decline, hitting a 10-year low, except Singapore. 

IMF lowers India's growth projection to 6.2% for FY26: The International Monetary Fund (IMF) said that the Indian economy is projected to grow at 6.2 per cent in 2025-26, slower than earlier estimated rate of 6.5 per cent, due to escalated trade tensions and global uncertainty. 

On the global front: The US markets ended in green on Tuesday, while Asian markets are trading in green on Wednesday as optimism grew over a potential easing of trade tensions between the U.S. and China.  

Back home, Indian equity benchmarks extended gains for the sixth straight day on Tuesday, on continuous foreign fund inflows and buying in Realty, FMCG and Consumer Durables shares. Finally, the BSE Sensex rose 187.09 points or 0.24% to 79,595.59, and the CNX Nifty was up by 41.70 points or 0.17% to 24,167.25.      

Some of the important factors in trade:

Continuous foreign fund inflows: Foreign Institutional Investors (FIIs) bought equities worth Rs 1,970.17 crore on Monday, according to exchange data. Since the last four trading sessions, FIIs have been on a buying spree. 

EPFO reports net addition of 16.10 lakh members in February: Employees' Provident Fund Organisation (EPFO) added 16.10 lakh net members in February, marking a 3.99 per cent increase compared to the same month last year. 

India ‘actively engaging’ with US: Finance Minister Nirmala Sitharaman has said India is ‘actively engaging’ with the new US administration and hopes to conclude the first tranche of the bilateral trade agreement ‘positively’ by fall (September-October) this year.  


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