Latest news with #NuvamaAlternativeandQuantitativeResearch
Business Recorder
30-05-2025
- Business
- Business Recorder
Foreign investors raise bets that India stock market rally may stall
Foreign investors are becoming more cautious about the Indian stock market, indicating a three-month rally may run out of legs despite retail traders growing optimistic, according to monthly derivatives data analysed by two brokerages. The Nifty 50 has risen about 12% from March through May, largely due to better-than-expected corporate earnings and easing global trade risks. That is nearly double the 6.6% gain in the MSCI Emerging Markets index in that time. Foreign portfolio investors (FPIs) pumped $2.66 billion into Indian equities over that period and cut their short positions on the Nifty. A short seller borrows stock at a higher price betting its value will decline, at which point they buy the stock and pocket the profit. However, FPIs have started the June derivatives series – which runs from May 30 to June 25 – with about $2 billion in Nifty index futures shorts, the highest since February, according to Nuvama Alternative and Quantitative Research. In contrast, retail investors and high-net-worth individuals (HNIs), called the client category, turned bullish with long positions worth $1.54 billion on Nifty futures, compared with $546 million in shorts from early May. Indian benchmarks end May with gains as investors wait for growth data 'This divergence sets up a potential tug-of-war between institutional caution and retail optimism, and could lead to a brief pause in the market rally in June,' said Abhilash Pagaria, head of Nuvama. Indeed, the Nifty's gains have weakened in each month – from 6.3% in March to 3.5% in April and to about 2% in May. 'Markets appear to be waiting for some concrete cues before turning bullish,' said Sriram Velayudhan, VP at IIFL Securities. Velayudhan expects the Nifty 50 to trade between 24,300 and 25,300 points over the June series, compared with its current level of about 24,800 points. Analysts expect the Nifty to hit new highs by end-2025, but say a correction is likely in the next three months, according to a Reuters poll.
Time of India
30-05-2025
- Business
- Time of India
Foreign investors grow wary of Indian stock market rally
Foreign investors are becoming more cautious about the Indian stock market, indicating a three-month rally may run out of legs despite retail traders growing optimistic, according to monthly derivatives data analysed by two brokerages. The Nifty 50 has risen about 12% from March through May, largely due to better-than-expected corporate earnings and easing global trade risks. That is nearly double the 6.6% gain in the MSCI Emerging Markets index in that time. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like "봉자인터넷"이 105만원을 드립니다 봉자인터넷 더 알아보기 Undo Foreign portfolio investors (FPIs) pumped $2.66 billion into Indian equities over that period and cut their short positions on the Nifty. A short seller borrows stock at a higher price betting its value will decline, at which point they buy the stock and pocket the profit. However, FPIs have started the June derivatives series -- which runs from May 30 to June 25 -- with about $2 billion in Nifty index futures shorts, the highest since February, according to Nuvama Alternative and Quantitative Research. In contrast, retail investors and high-net-worth individuals (HNIs), called the client category, turned bullish with long positions worth $1.54 billion on Nifty futures, compared with $546 million in shorts from early May. Live Events "This divergence sets up a potential tug-of-war between institutional caution and retail optimism, and could lead to a brief pause in the market rally in June," said Abhilash Pagaria, head of Nuvama. Indeed, the Nifty's gains have weakened in each month -- from 6.3% in March to 3.5% in April and to about 2% in May. "Markets appear to be waiting for some concrete cues before turning bullish," said Sriram Velayudhan, VP at IIFL Securities . Velayudhan expects the Nifty 50 to trade between 24,300 and 25,300 points over the June series, compared with its current level of about 24,800 points. Analysts expect the Nifty to hit new highs by end-2025, but say a correction is likely in the next three months, according to a Reuters poll.
Business Recorder
25-04-2025
- Business
- Business Recorder
Indian stocks retreat as Kashmir attack fuels geopolitical concerns
India's benchmark indexes reversed early gains on Friday, weighed down by broad-based sector losses and geopolitical jitters after an attack in Indian Illegally Occupied Jammu and Kashmir's (IIOJK) Pahalgam raised tensions with Pakistan. The Nifty 50 fell 0.73% at 24,069.2 and the BSE Sensex lost 0.67% to 79,299.65 as of 9:57 a.m. IST. Both the benchmarks rose about 0.4% each in early trade before swinging to losses. All the 13 major sectors declined. The broader, more domestically-focussed small-caps and mid-caps lost 2.6% and 2%, respectively. Both benchmarks snapped a seven-session winning streak on Thursday as investors turned risk-averse after an attack on tourists in Kashmir killed 26 men and heightened geopolitical tensions. 'With the peak quarterly results season kicking in, we expect the momentum in markets to rotate across sectors, keeping traders and investors actively engaged,' said Abhilash Pagaria, head of Nuvama Alternative and Quantitative Research. However, signs of escalating tensions between India and Pakistan after this week's Pahalgam attack which killed 26 civilians, could cap market gains and keep investors on edge, analysts said, noting India's move to downgrade diplomatic ties and suspend the Indus water treaty. Oil-to-telecom conglomerate Reliance Industries gained 1.5% while car maker Maruti Suzuki added 1% ahead of reporting their March quarter results later in the day. IT stocks power India's stocks to their best close of 2025 Private lender Axis Bank lost 3.7% after reporting their quarterly results on Thursday. Morgan Stanley said that Axis Bank could face near-term pressure as the bank indicated that it may take a few quarters for asset quality to improve. In contrast to domestic equities, the MSCI Asia ex-Japan index advanced 1.1%. Overnight, Wall Street equities rose after Trump said trade talks between the world's top two economies were underway, pushing back against contradicting Chinese claims.
Business Recorder
25-04-2025
- Business
- Business Recorder
Indian benchmarks retreat as Kashmir attack fuels geopolitical concerns
India's benchmark indexes reversed early gains on Friday, weighed down by broad-based sector losses and geopolitical jitters after a deadly militant attack in Kashmir raised tensions with Pakistan. The Nifty 50 fell 0.73% at 24,069.2 and the BSE Sensex lost 0.67% to 79,299.65 as of 9:57 a.m. IST. Both the benchmarks rose about 0.4% each in early trade before swinging to losses. All the 13 major sectors declined. The broader, more domestically-focussed small-caps and mid-caps lost 2.6% and 2%, respectively. Both benchmarks snapped a seven-session winning streak on Thursday as investors turned risk-averse after an attack on tourists in Kashmir killed 26 men and heightened geopolitical tensions. 'With the peak quarterly results season kicking in, we expect the momentum in markets to rotate across sectors, keeping traders and investors actively engaged,' said Abhilash Pagaria, head of Nuvama Alternative and Quantitative Research. However, signs of escalating tensions between India and Pakistan after this week's Pahalgam attack which killed 26 civilians, could cap market gains and keep investors on edge, analysts said, noting India's move to downgrade diplomatic ties and suspend the Indus water treaty. Oil-to-telecom conglomerate Reliance Industries gained 1.5% while car maker Maruti Suzuki added 1% ahead of reporting their March quarter results later in the day. IT stocks power India's stocks to their best close of 2025 Private lender Axis Bank lost 3.7% after reporting their quarterly results on Thursday. Morgan Stanley said that Axis Bank could face near-term pressure as the bank indicated that it may take a few quarters for asset quality to improve. In contrast to domestic equities, the MSCI Asia ex-Japan index advanced 1.1%. Overnight, Wall Street equities rose after Trump said trade talks between the world's top two economies were underway, pushing back against contradicting Chinese claims.
