Indian Shares Likely to Start Positively Amid Market Cues

Positive global cues suggest a potential rebound for Indian shares despite recent losses. Fluctuating trade policies and investor nerves could impact stock prices. Market dynamics indicate cautious optimism as companies like Glenmark Pharmaceuticals report net profit after losses.

Date: 17-02-2025

AI Rating: 6

Market Overview
Indian shares extended losses for eight consecutive days leading up to this report, indicating a period of selling pressure amidst a backdrop of mixed global market performances. The benchmark indices witnessed declines: the BSE Sensex fell by 199.76 points, while the NSE Nifty index decreased by 102.15 points.

Corporate Performance
Glenmark Pharmaceuticals reported a consolidated net profit of Rs 348 crore for the quarter ending December 31, 2024, contrasting with the net loss of Rs 315 crore in the same period a year ago. This shift from loss to profit is a positive indicator for the company, potentially boosting investor confidence and influencing its stock price positively.

Investments and Expansion
Godrej Properties Limited's acquisition of 12 land parcels for housing projects valued at Rs 23,450 crore is a significant development that aligns with growth strategies in the real estate sector, possibly enhancing stock performance. Additionally, SAIL's plan to invest $800 million in a new rail mill could signify confidence in growth and expansion, reflecting positively on the company’s future.

Economic Factors
The report highlights the Reserve Bank of India's update on foreign exchange reserves, which rose by $7.654 billion to $638.261 billion, a factor that could add stability and support to market performance overall.

Challenges Ahead
Despite positive cues from higher GIFT Nifty and firm Asian markets, uncertainty regarding U.S. trade and economic policies, especially fears related to tariffs, continues to weigh on investor sentiment. U.S. stocks displayed a mixed performance, reflecting caution among traders due to fluctuating data regarding producer prices and retail sales, which have shown weaker than expected results.

Stocks: GLENMARK GODREJPROP SAIL