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Indices snap two-day fall on Monday
Jun-16-2025

Indian equity benchmarks rebounded by nearly 1 per cent on Monday following value buying in IT, TECK and Oil & Gas stocks and a rally in global shares amid a drop in Brent crude oil prices.  Some support came as the RBI said that India's forex reserves increased by $5.17 billion to $696.65 billion for the week ended June 6. 

Some of the important factors in today’s trade:

WPI inflation dips to 0.39% in May: Wholesale price inflation (WPI) declined to 0.39 per cent in May as prices of food articles, manufactured products, and fuel eased. WPI-based inflation was 0.85 per cent in April. It was 2.74 per cent in May last year.

Rupee rises against US Dollar: Indian rupee clawed back most of its early losses to close with a minor appreciation against the US dollar amid a strong show at the domestic equity markets, weakening dollar, and easing of global crude oil prices.

Govt must urgently review energy risk scenarios amid intensifying Israel-Iran conflict: With the Israel-Iran conflict intensifying, the Global Trade Research Initiative (GTRI) has said that the government must urgently review energy risk scenarios, diversify crude sourcing, and ensure strategic reserves are sufficient. 

FPIs stay net sellers for third session: Foreign portfolio investors (FPIs) remained net sellers of Indian equities for the 3rd straight session on Friday, offloading stocks worth Rs 1,263.52 crore, according to the provisional data from the National Stock Exchange.

Global front: European markets were trading higher as world leaders gathered in Canada for the G7 summit, which will address global security, economic resilience, and tech cooperation. Asian markets settled mostly higher on Monday, despite lingering concerns over rising geopolitical tensions between Israel and Iran that continued to impact global market sentiment. 

Finally, the BSE Sensex rose 677.55 points or 0.84% to 81,796.15 and the CNX Nifty was up by 227.90 points or 0.92% to 24,946.50.  

The BSE Sensex touched high and low of 81,865.82 and 81,012.31 respectively. There were 27 stocks advancing against 3 stocks declining on the index.

The broader indices ended in green; the BSE Mid cap index rose 0.93%, while Small cap index was up by 0.38%.

The top gaining sectoral indices on the BSE were IT up by 1.50%, TECK up by 1.35%, Oil & Gas up by 1.22%, Realty up by 1.21% and Consumer Durables up by 1.05%, while there were no losing sectoral indices on the BSE. 

The top gainers on the Sensex were Bharat Electronics up by 2.40%, Ultratech Cement up by 2.39%, Tech Mahindra up by 2.12%, HCL Technologies up by 1.66% and Trent up by 1.63%. On the flip side, Tata Motors down by 3.56%, Adani Ports &SEZ down by 0.35% and Sun Pharma down by 0.19% were the top losers.

Meanwhile, CareEdge Ratings in its latest report has said that India's household savings continued their downward trajectory for the third straight year, slipping to 18.1 per cent of GDP in financial year 2024 (FY24). It stated that gross domestic savings declined to 30.7 per cent of GDP in FY24 from 32.2 per cent in FY15. 

On the other hand, it said household financial liabilities surged to 6.2 per cent of GDP, nearly doubling over the past decade, reflecting growing reliance on credit amid consumption needs further, in the broader economy, labour cost growth for major IT firms has slowed significantly from a peak of 26 per cent in Q3 FY23 to just 4 per cent in Q3 FY25, highlighting a broader trend of cost rationalisation in the corporate sector, as per the observations of the report. 

Besides, it stated, on the inflation front, CPI eased to 3.2 per cent in April 2025, the lowest since August 2019. However, high prices of edible oils (17.4 per cent) and fruits (13.8 per cent) continue to keep overall food inflation in check. It added the upcoming Rabi harvest, healthy reservoir levels, and forecast of above-normal monsoon rains are expected to further support food price stability. It said ‘Going ahead, RBI policy rate cuts, lower tax burden and continued easing of price pressures remain key tailwinds for the broad-based demand recovery’. 

The CNX Nifty traded in a range of 24,967.10 and 24,703.60. There were 45 stocks advancing against 5 stocks declining on the index.   

The top gainers on Nifty were Bharat Electronics up by 2.49%, HDFC Life Insurance up by 2.34%, SBI Life Insurance up by 2.27%, Ultratech Cement up by 2.20%, and Tech Mahindra up by 2.07%. On the flip side, Tata Motors down by 3.76%, Dr. Reddy's Lab down by 0.92%, Sun Pharma down by 0.52% and Adani Ports &Special down by 0.34% and were the top losers.

European markets were trading higher; UK’s FTSE 100 increased 43.99 points or 0.5% to 8,894.62, France’s CAC rose 57.36 points or 0.75% to 7,742.04 and Germany’s DAX gained 90.77 points or 0.39% to 23,607.00.

Asian markets settled mostly higher on Monday, despite heightened Middle East geopolitical tensions as the conflict between Israel and Iran continued. Japanese shares rallied ahead of the Bank of Japan's upcoming policy meeting, with the central bank widely expected to keep interest rates unchanged. Meanwhile, a weaker yen also boosted export-related shares. Moreover, Chinese and Hong Kong shares gained as investors digested mixed macroeconomic data. Data showed that Chinese factory output growth hit a six-month low in May, while retail sales picked up steam offering temporary relief for the world's second-largest economy amid a fragile truce in the country's trade war with the United States.

Asian Indices

Last Trade            

Change in Points

Change in %      

Shanghai Composite

3,388.73

11.73

0.35

Hang Seng

24,060.99

168.43

0.70

Jakarta Composite

7,117.59

-48.48

-0.68

KLSE Composite

1,519.99

1.88

0.12

Nikkei 225

38,311.33

477.08

1.25

Straits Times

3,908.46

-2.96

-0.08

KOSPI Composite

2,946.66

52.04

1.77

Taiwan Weighted

22,049.90

-23.05

-0.10
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