Markets Today: ICICI Bank, Tata Steel Q3; FIIs; Denta Water IPO allotment

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Stock Markets Today, January 27, 2025: With the Union Budget 2025 set to be announced this week on February 1, markets are bracing for potential reactions across major indices. 

 

The Sensex and Nifty50 are likely to be influenced by mixed global cues and the ongoing Q3 earnings reports today. At 6:30 AM, GIFT Nifty futures pointed to a negative start, trading 52 points lower at 23,062. 

 

Investors will closely monitor any fiscal measures or economic policies that could impact market sentiment, especially amid the earnings season and evolving global market conditions. The upcoming budget could set the tone for the market's trajectory in the short-term.

 

In the previous session, the Sensex declined 329.92 points, or 0.43 per cent to 76,190.46. Similarly, the Nifty50 ended the day 113.15 points, or 0.49 per cent, lower at 23,092.20.

 

Domestic cues

 

Domestic investors will react to Q3 results from companies like ICICI Bank, JSW Steel, JK Cement, IDFC First Bank, YES Bank, and NTPC.

 

Meanwhile, companies including Tata Steel, Coal India, Adani Total Gas, and Adani Wilmar will announce their Q3 financials today.

 

ICICI Bank reported a 15 per cent increase in Q3FY25 standalone net profit at Rs 11,792 crore, up from Rs 10,272 crore in Q3FY24. 

 

However, market volatility may persist for some time, as early trends from Q3 results and management outlooks have raised concerns, according to Vinay Paharia, CIO at PGIM India Mutual Fund. READ MORE

 

In discussions with the RBI leadership, including Governor Sanjay Malhotra, many economists noted that a rate cut alone may not be sufficient to revive the economy. 

 

Also Read: Wishlist for Budget 2025: Urgency to uplift India's manufacturing

 

Meanwhile, multi-asset allocation funds, which gained momentum following changes in debt fund taxation in April 2023, have continued their strong performance in 2024. 

 

Also Read: Runaway retail credit growth highlights urgent need to protect consumers 

Other market triggers

 

FII, DII

 

FIIs sold shares worth Rs 2,758.49 crore on January 24, while DIIs bought shares worth 2,402.31 crore.

 

IPO market

 

Denta Water IPO (Mainline) and Rexpro Enterprises IPO (SME) will see their allotment.

 

CapitalNumbers Infotech IPO (SME) will list on the bourses.

 

Additionally, H.M. Electro Mech IPO (SME) and GB Logistics IPO (SME) will enter Day 2, while CLN Energy IPO (SME) will enter Day 3.

 

Global cues

 

Asian markets opened higher on Monday but were mixed afterwards. Last checked, Nikkei was down 0.18 per cent while Topix was up 0.4 per cent. Meanwhile, Australian, Taiwan, and South Korean markets were closed due to holidays.

 

In a move to boost its struggling stock market, China introduced new initiatives on Sunday aimed at encouraging the growth of index investment products. The China Securities Regulatory Commission (CSRC) announced efforts to support the expansion of equity and bond ETFs, in addition to its previous measures last Thursday, which encouraged large state-owned mutual funds and insurers to buy more shares.

 

China is also expected to release key economic data later in the day, including its industrial profit figures for December and factory activity for January. 

 

In the US, the three major stock indexes ended a four-day winning streak. The S&P 500 closed 0.3 per cent lower. The Nasdaq dropped 0.5 per cent, while the Dow Jones fell 0.3 per cent.

 

Now, investors await the Bank of Japan’s Monetary Policy Meeting minutes on Wednesday, January 29, coupled with FOMC interest rate decision, Q4 GDP sales QoQ advance and jobless claims and ECB interest rate decision on January 30.

 

Commodity market 

  Gold prices rose over 1 per cent on Friday, nearing their October all-time high as a weakening dollar, driven by President Donald Trump's push for lower rates and tariff uncertainty, supported the metal’s fourth straight weekly gain. Spot gold climbed 0.7 per cent to $2,773.02 per ounce. US gold futures increased 0.5 per cent to $2,779.7 per ounce.

 

Oil prices remained steady on Friday but posted a weekly decline, ending a four-week streak of gains, after Trump unveiled plans to boost US production and urged OPEC to lower crude prices. Brent crude rose 0.27 per cent to $78.50 a barrel, while US WTI gained 0.05 per cent to $74.66. 

 

Here's how analysts are assessing today's (January 27) trading session:

 

Amol Athawale, VP of technical research at Kotak Securities

  For the bulls, the levels of 23,350/77000 and 23,450/77300 will act as key resistance areas, while 23,000/75700 and 22,900/75500 could serve as key support zones for traders. If the market surpasses 23,450/77300, it could rally till  23,600-23,650/77800-78000. Conversely, if it falls below 22900/75500 selling pressure may intensify, potentially slipping till  22800-22650/75200-74700.

 

Rupak De, senior technical analyst at LKP Securities

  In the short-term, the bears may maintain the upper hand as long as the index fails to surpass the 23,450 level. Any rise toward the 23,350–23,450 zone is likely to encounter selling pressure. However, the downside may remain limited unless the 23,000 level is breached.