Trade set-up, May 2: Here are 5 factors that will drive Sensex, Nifty today

Business Standard

02-05-2025

Stock Market Today, Friday, May 2, 2025: Developments in India and Pakistan response to the Pahalgam terror attack, macroeconomic data, and Q4 results will drive the stock markets today, May 2, 2025.
That apart, foreign investors' steady but declining pace of purchase of the Indian equities, coupled with other global cues will sway the markets.
At 7:15 AM, GIFT Nifty was up 14 points at 24,433 level.
Stock Market Recap, April 30:
During the last trading session on April 30, the BSE Sensex ended at 80,242, lower by 46 points or 0.06 per cent, while the NSE Nifty50 lost barely 2 points or 0.01 per cent to close at 24,334.
FII/FPIs bought Indian shares worth ₹50.57 crore on Wednesday, while DIIs bought shares worth ₹1,792.15 crore.
Stock Market Prediction Today; Factors that will affect Sensex, Nifty today:
Pahalgam Terror Attack:
There has been no major escalation in Indo-Pak tensions over the past few days. India, on its part, has "strongly objected" to Pakistan's consistent ceasefire violations a cross the Line of Control (LoC) during a call between senior army officials of both countries.
On Thursday, Union Home Minister Amit Shah asserted that the government would pursue every individual responsible for the Pahalgam attack. " No one will be spared," he warned.
Meanwhile, the US has urged India and Pakistan to work together to "de-escalate tensions" in the South Asian region, while expressing support to India in its "right to defend" itself.
Manufacturing PMI:
The HSBC Manufacturing PMI data for April is scheduled to be released today. Preliminary data for the month showed that the private sector output grew at its fastest pace in eight months in April.
The HSBC Flash India Composite PMI, compiled by S&P Global, improved to 60.0 from 59.5 in March. The Manufacturing Flash PMI rose to 58.4 in April from 58.1 in March.
Q4 Results Today, May 2:
City Union Bank, Godrej Properties, Indian Overseas Bank, Latent View Analytics, Parag Milk, RR Kabel, PNB Gilts, and V-Mart Retail are among the major companies set to report their Q4 results today. A total of 37 companies are set to report their March quarter earnings on Friday.
On Saturday, 22 companies will report their Q4FY25 results, including Avenue Supermarts (D-Mart), Kotak Mahindra Bank, and State Bank of India (SBI).
Analysts expect SBI to report a weak Q4 with a sharp decline in net profit expected.
IPOs Today:
The basis of allotment for Ather Energy IPO will be finalised today. The IPO closed on April 30 with a final subscription of 1.4 times.
Meanwhile, in the SME category, the IPO allotment of Iware Supplychain Services will be finalised today. The Iware Supplychain Services IPO closed with a subscription of around 3x.
Among the ongoing IPOs, Kenrik Industries IPO and Arunaya Organics IPO will enter their Day 3 of the subscription, while Wagons Learning IPO will open for subscription today.
Global Triggers:
In the global markets, Korea will release its inflation, and Manufacturing PMI data for April, Japan will report its Unemployment data for March, France will report its April Manufacturing PMI data, and the Euro zone will announce April core inflation data.
Ahead of this, Australia's S&P/ASX 200 increased 0.5 per cent, Japan's Nikkei 225 increased 1.24 per cent, and South Korea's Kospi index was flat.
Meanwhile, China is said to be "evaluating" US overtures to initiate trade negotiations. Markets in China are closed today.
Overnight, the Dow Jones Industrial Average climbed 0.21 per cent, the S&P 500 added 0.63 per cent, and the Nasdaq Composite increased 1.52 per cent amid the ongoing earnings season.
Stock Market Outlook; key levels to watch on Sensex, Nifty today:
According to Nandish Shah, deputy vice president at HDFC Securities, the trend in the Nifty index is bullish as it has held all the key moving averages. Immediate support for the Nifty is placed at 24,150, followed by 23,870.
On the higher side, 24,450-24,500 band may act as a significant resistance level.
Meanwhile, analysts at Bajaj Broking Research believe the Nifty could consolidate in the range of 24,550-23,800.
The current consolidation, they said, will help the index come out of the 'overbought' zone.
Stocks to Watch Today, May 2, 2025:
Auto stocks: Shares of automobile companies will be in focus today after they began releasing April sales data. So far, Eicher Motors, M&M, SML Isuzu, Maruti Suzuki, Atul Auto, TVS Motor Company, and Tata Motors have released their monthly sales data.
Q4 result reaction: Adani Enterprises, Adani Ports, Indus Towers, Eternal (Zomato), Nuvoco Vistas, Jindal Steel and Power, MOIL, Home First Finance, Godrej Agrovet, JSW Infrastructures, The Phoenix Mills, Sona BLW, Paras Defence and Space Technologies, Federal Bank, and Bandhan Bank.