HOME > MARKETS > MARKET COMMENTARY
  MARKET COMMENTARY
EQUITY
Markets to make cautious start on Thursday
Apr-24-2025

Indian markets are likely to make a cautious start on Thursday, even as global markets rally on the back of easing concerns over U.S. monetary policy and trade tensions. Also, traders will remain watchful ahead of the monthly F&O expiry, which could lead to volatility in markets. However, sustained buying by Foreign Institutional Investors (FIIs) over the past few sessions likely to boost markets sentiment. 

Some of the key factors to be watched:

RBI Governor says rate cut will boost private consumption, investment: Reserve Bank Governor Sanjay Malhotra, in the minutes of the Monetary Policy Committee (MPC) meeting, said that Benchmark interest rate reduction will bolster private consumption and support a revival in private corporate investment.

US tariff moves to have limited impact on Indian banks: Global rating agency Moody's said that India's diversified and low exports will ensure banks in the country have a limited impact of the US tariff moves.

RBI eases regulations to promote exports through warehouses in Bharat Mart: The Reserve Bank of India (RBI) relaxed norms to facilitate export through warehouses in Bharat Mart, a multimodal logistics network-based marketplace in the United Arab Emirates, that will provide Indian traders, exporters, and manufacturers access to the markets around the world.

US tariffs could shave up to 0.5% off India's GDP: Finance Secretary Ajay Seth reportedly said the direct hit from tariffs introduced by Donald Trump’s administration on India could shave off between 0.2% and 0.5% from GDP growth. 

Insurance industry stocks will be in focus:  Life insurers recorded a marginal 5.1 per cent increase in new business premium collection to Rs 3.97 lakh crore during the financial year ended March 2025. According to Life Insurance Council data, the industry had collected Rs 3.77 lakh crore in the preceding financial year. 

On the global front: The US markets ended in green on Wednesday after President Donald Trump appeared to soften his stance on Federal Reserve Chair Jerome Powell. Asian markets are trading mixed on Thursday after U.S. Treasury Secretary Scott Bessent said the president hasn't offered to take down China levies on a unilateral basis and there was no timeframe for engagement, casting doubt on a timely resolution to the trade war.  

Back home, Indian equity benchmarks continued their positive momentum for the seventh day in a row and settled with gains of over half percent on Wednesday driven by strong gains in IT, TECK and auto shares. Foreign fund inflows and positive global cues also boosted the market sentiment. Finally, the BSE Sensex rose 520.90 points or 0.65% to 80,116.49, and the CNX Nifty was up by 161.70 points or 0.67% to 24,328.95.               

Some of the important factors in trade:

India Composite PMI hits 8-month high in April: The HSBC Flash India PMI report has showed that India's private sector growth hit an eight-month high in the month of April on the back of buoyant international demand for goods and services. The HSBC Flash India Composite Output Index surged to 60.0 in April from a final reading of 59.5 in March. 

India aims to double share of manufacturing in GDP by boosting sunrise sectors: With an aim to create jobs and drive economic growth, Finance Minister Nirmala Sitharaman has indicated that India is planning to increase the share of the manufacturing sector in country’s GDP from 12 per cent to 23 per cent over the next two decades.

IMF lowers India’s growth projection: The International Monetary Fund (IMF) in its World Economic Outlook (WEO) report for April has lowered growth projection for India to 6.2 per cent for FY26, from earlier estimated rate of 6.5 per cent.   


  RELATED NEWS >>