Indian equity benchmarks to open higher after five weeks of losses
Gift Nifty futures were trading at 24,678.5 points as of 7:42 a.m. IST, indicating that the Nifty 50 will open above its previous close of 24,565.35.
The Nifty and Sensex indexes fell about 1.1% last week, marking their fifth straight weekly loss as the U.S. hit several trading partners with steep tariffs and imposed a 25% duty on India, stoking global growth worries.
Meanwhile, data showed that U.S. employment growth was weaker than expected in July and the count for the prior two months was revised down significantly, increasing the probability of a September interest rate cut by the Federal Reserve.
Lower U.S. interest rates are associated with lower Treasury yields and a weak dollar, making emerging market equities such as India's more attractive for foreign portfolio investors (FPIs), who have been on a selling spree recently.
FPIs sold Indian shares worth $2.05 billion last month, taking their total selling in Indian equities in 2025 to $11.63 billion.
Market participants will remain focused on tariffs until certainty emerges over a trade deal between the U.S. and India, analysts said.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
24 minutes ago
- Business Recorder
India's Berger Paints misses quarterly profit view on higher expenses, one-time charge
Berger Paints India reported quarterly profit below analyst estimates on Tuesday, as higher expenses and a one-time charge related to a fire incident weighed. Consolidated net profit shrank 11% to 3.15 billion rupees (about $36 million) in the quarter ended June 30. Analysts, on average, had predicted a profit of 3.62 billion rupees, as per data compiled by LSEG. Berger took a one-time charge of 368.1 million rupees during the quarter. Key context Indian paintmakers have been grappling with soft retail demand. 'The early onset of monsoon played spoilsport this quarter,' CEO Abhijit Roy said in a statement. However, India's largest paintmaker Asian Paints said last month that it sees some 'green shoots' of demand recovery in the sector. It had resorted to discounts in the quarter to buy back customers, while it posted an in-line quarterly profit. Rivals, Akzo Nobel India and Kansai Nerolac posted lower quarterly profit.
Business Recorder
an hour ago
- Business Recorder
Indian jeweller Titan eyes shifting some manufacturing to Gulf as US trade tensions escalate
DUBAI: India's biggest jeweller and watchmaker Titan is exploring shifting some manufacturing to the Middle East Gulf to maintain low-tariff access to U.S. markets amid trade tensions between Washington and New Delhi, Managing Director C.K. Venkataraman said on Tuesday. Titan, part of the Tata Group conglomerate, announced this month plans to acquire a majority stake in Dubai-based luxury retailer Damas, which operates 146 stores across the Gulf. In light of the deal, valued at $283 million, Venkataraman told Reuters the region is being considered 'as a manufacturing base to export to the U.S.' His comments reflect how global companies may seek new routes to navigate trade barriers, as the U.S. levies or threatens tariffs on international trade partners. Last month, U.S. President Donald Trump slapped a surprise 25% tariff on imports from India and threatened further hikes this week over India's purchases of Russian oil. In contrast, the United Arab Emirates faces a 10% tariff under Trump's baseline rate. Indian jeweller Titan to buy large stake in Dubai's Damas Titan's Tanishq brand has several U.S. stores and is planning a major expansion, while its diamond-focused label CaratLane launched in the U.S. in October, the company said. Titan began talks to buy Damas in 2024, before U.S. trade policy shifts came into focus. Shifting some manufacturing to a Gulf Cooperation Council country would be a way to mitigate recent rises in U.S. tariffs, Venkataraman said in a video call with Reuters. The U.S. is a less feasible manufacturing base due to cost and skills constraints, especially for artisan-made jewellery, he said. 'If the tariffs remain like what they are currently threatened to be, then any arbitrage on a tariff … any significant arbitrage would be meaningful for us to consider,' Venkataraman said.
Business Recorder
2 hours ago
- Business Recorder
Indian biscuit maker Britannia misses profit estimates, but flags urban demand uptick
Britannia Industries posted first-quarter profit below estimates on Tuesday, but the Indian biscuit maker said urban consumption — dull for a few quarters — is picking up. The seller of 'Marie Gold' and 'Bourbon' biscuits joins other domestic consumer goods makers such as Hindustan Unilever and ITC in forecasting early signs of a recovery in urban demand, aided by easing local inflation. India's annual retail inflation slowed every month in the quarter, easing to a six-year low in June at 2.1%. That helped spur a 'marginal uptick in consumption across both urban and rural markets,' said Varun Berry, managing director and chief executive. Britannia's quarterly sales grew 9.8% to 45.35 billion rupees ($516.5 million). The firm had previously flagged rise in popular demand for packaged food and confectionery items such as croissants, wafers and flavoured shakes - usually more likely to be bought on impulse. India's Bharti Airtel posts quarterly profit jump on tariff gains But total spends rose 10.4%, led by a 15% jump in raw material costs. Britannia has been hiking prices to partly offset the higher costs of raw materials such as cocoa, flour and palm oil. Profits in the reported quarter came in at 5.21 billion rupees, up 3% on-year, but below analysts' average estimate of 5.7 billion rupees, according to data compiled by LSEG.
