Markets Today: Cipla, Bajaj Auto Q3; RBI; Nasdaq; DeepSeek; CLN Energy IPO

Stock Markets Today, January 28, 2025: Benchmark indices, Sensex and Nifty50, are likely to be influenced by mixed global cues, Budget jitters, and Q3 results. 

 

At 6:31 AM, GIFT Nifty futures pointed to a positive start, trading 76 points higher at 22,922. 

 

In the previous session, Sensex tumbled as much as 824.29 points or 1.08 per cent to settle at 75,366.17. Mirroring the Sensex, Nifty50 also ended lower by 263.05 points or 1.14 per cent at 22,829.15.

 

Read More: Bears on the prowl as markets turn skittish; individual stocks hit hard

 

Global cues

 

A major drop in tech stock on Wall Street dragged Japanese markets lower on Tuesday. Meanwhile, several Asia-Pacific markets including Taiwan, South Korea, China and Australia were closed due to a holiday.

 

In the US, the S&P 500 and Nasdaq saw major declines amid fears of an AI stock bubble bursting due to DeepSeek's competitive AI model, which is said to cost much less than those developed in Silicon Valley. 

 

The Nasdaq dropped 3.07 per cent, while the S&P 500 slid 1.46 per cent. However, the Dow Jones gained 0.65 per cent, boosted by strong performances from Apple and J&J.

 

Notably, Nvidia suffered a $600 billion loss in market value on Monday, marking the largest one-day drop for any company in US history.

 

Domestic cues

 

Investors will keep an eye on Q3 earnings from companies including Bajaj Auto, Indian Oil, Colgate, Bosch, TVS Motor, Cipla, BHEL, Hyundai Motor, Indian Oil and JSW Energy among others.

 

Domestic investors will be reacting to Q3 results from several companies, including Tata Steel, Bajaj Housing Finance, Coal India, and Emami, among others.

 

Tata Steel reported a 36.37 per cent year-on-year decline in consolidated net profit, which fell to Rs 326.64 crore in Q3FY25. The decline was attributed to subdued steel prices across various markets.

 

The Ministry of Finance has called for applications for the position of Securities and Exchange Board of India (Sebi) chairman, as current chairperson Madhabi Puri Buch's term is set to end in a month.

 

Also Read: Reserve Bank of India tightens vigil on P2P lending after revising rules

 

The Reserve Bank of India (RBI), on Monday, unveiled a three-pronged strategy to address the tight liquidity conditions in the banking system, just 10 days ahead of the Monetary Policy Committee's upcoming decision on the repo rate.

 

Credit information bureau TransUnion CIBIL today warned that the trend of rising defaults in consumption-led loans — credit cards, personal loans, and consumer durable loans — in India risks spreading to secured credit, i.e., loans with collateral. READ MORE

 

Also Read: UPI's share in total digital payments in India grows to 83% in 2024

 

Other market triggers

 

FII, DII

 

FIIs sold shares worth Rs 5,015.46 crore on January 27, while DIIs bought shares worth 6,642.15 crore.

 

IPO market

 

H M Electro Mech IPO (SME) and GB Logistics IPO (SME) will enter Day 3, while CLN Energy IPO (SME) will see its allotment.

 

Also Read: Dorf-Ketal files for Rs 5,000 crore IPO; Navi Finserv raises Rs 1,200 crore

 

Commodity market 

 

Gold prices dropped over 1 per cent on Monday, retreating from near-record highs as investors liquidated positions amid a broader market sell-off linked to rising interest in Chinese AI startup DeepSeek. Spot gold fell 1.3 per cent to $2,736.75 per ounce, while US gold futures dropped 1.5 per cent to $2,738.40.

 

Also Read: Yellow metal: Maintain allocation; tariff battles may sustain bull run

 

Oil prices also declined about 2 per cent, impacted by losses in Wall Street tech and energy stocks, along with weak economic data from China and concerns over potential tariffs. Brent futures fell 1.81 per cent to $77.08 per barrel, and US WTI crude settled 2 per cent lower at $73.17.

 

Here's how analysts are assessing today's (January 28) trading session:

 

Shrikant Chouhan, head of equity research at Kotak Securities

 

The 23,000/76300 level will be key to watch, as long as it trades below this threshold, weak sentiment is likely to continue. On the downside, the market could slip to 22,750-22,650/75200-74800. However, if it rises above 23,000/76300, the sentiment may change. Above this level, a pullback formation is likely to continue until it reaches 23,100-23,150/76700-76900.

 

Rupak De, senior technical analyst at LKP Securities

 

Sentiment is likely to favour bearish trades in the short-term, particularly as long as the index remains below 23,000. On the lower side, the prevailing weakness could potentially lead to a decline toward 22,500.