Markets Today: GIFT Nifty; Trump Tariffs; FIIs; Titan Q3; Dr. Agarwal's IPO

Stock Markets Today, February 4, 2025: Ongoing concerns over Trump tariffs, mixed global equity markets, and Q3 earnings are expected to influence the benchmark indices, Sensex and Nifty, today.

 

At 6:33 AM, GIFT Nifty futures were trading 113 points higher at 23,556, hinting at a potential gap-up start for the bourses.

 

In the previous session, the Sensex fell 319.22 points, or 0.41 per cent to settle at 77,186.74, while Nifty50 declined 121.10 points, or 0.52 per cent, to 23,361.05.

 

Also Read: Donald Trump tariffs hammer markets globally, rupee sinks below 87/$

 

Domestic cues

 

With the dust settling after Budget 2025, investors are refocusing on Q3 results, along with FII movements and other domestic triggers.

 

 

Also Read: Budget 2025-26: Govt may clarify transfer pricing changes in 3 months  

Market participants are awaiting earnings reports from companies like Titan, Tata Power, Torrent Power, and Thermax, among others. The market will also respond to results from Power Grid, HFCL, Tata Chemicals, and Garden Reach Shipbuilders.

 

Apart from that, despite the surge in volatility during January, there was no major increase in derivatives turnover. The average daily turnover (ADTV) in the futures and options (F&O) segment rose by 6.44 per cent month-on-month, reaching Rs 298 trillion.

 

Also Read: Multiple demat accounts held against single PAN surge 500% since FY17

 

Additionally, the BSE has launched Sensex derivative contracts at the International Financial Services Centre (IFSC) in GIFT City, Gujarat. These US dollar-denominated contracts will be traded on the India International Exchange (India INX), BSE’s dedicated exchange for GIFT-IFSC.

 

Also Read: RBI may purchase Rs 2 trn of bonds in FY26, says DBS Bank's Vaidya

 

Regarding the Budget proposal to raise the foreign direct investment (FDI) limit in the insurance sector from 74 per cent to 100 per cent, it is expected to attract independent foreign insurers. However, experts note that these insurers will face challenges in navigating the complexities of the Indian market's distribution landscape without needing a minority Indian partner.

 

Also Read: India's pace of debt reduction remains gradual, says Fitch Ratings

 

Other market triggers

 

FII, DII

 

FIIs sold shares worth Rs 3,958.37 crore on February 3, while DIIs bought shares worth 2,708.23 crore.

 

IPO market

 

Dr. Agarwal's Healthcare IPO (Mainline) and Malpani Pipes IPO (SME) will list on the bourses.  Chamunda Electricals IPO (SME) will open for subscription.

 

Shiprocket is gearing up for an acquisition spree in 2025, even as the company prepares for its listing. The Gurugram-headquartered company recently converted to a public company ahead of its initial public offering (IPO). READ MORE

 

Commodity market

 

Gold prices hit a record high on Monday, rising 0.8 per cent to $2,818.99 per ounce, driven by safe-haven demand amid concerns over US tariffs on Canada, China, and Mexico that could spur inflation. US gold futures also climbed 0.8 per cent to $2,857.10.

 

Oil prices edged up but closed at a one-month low after the expiration of a higher-priced contract. Brent crude rose 0.4 per cent to $75.96, and US WTI gained 0.9 per cent to $73.16. 

 

Global cues 

Asia-Pacific markets saw gains on Tuesday after President Donald Trump postponed tariffs on Mexico for a month, and Canada confirmed the US president had also delayed tariffs on its exports. 

 

Last checked, the Nikkei was trading 1.53 per cent, while the Topix index rose 1.25 per cent. Kospi climbed 2.06 per cent, while ASX200 increased 0.4 per cent.

 

In the US, stocks declined following Trump's tariff delay announcement. The Dow Jones closed 0.28 per cent lower. The S&P 500 dropped 0.76 per cent, while the Nasdaq Composite fell 1.2 per cent.

 

Here's how analysts are assessing today's (February 4) trading session:

 

Shrikant Chouhan, head of equity research at Kotak Securities

 

The 20-day SMA, along with support levels of 23,270/77,000 and 23,220/76,800, would act as key support zones, while resistance areas for the bulls are around 23,500/77,500 and 23,550/77,800. However, if the market dips below 23,220/76,800, it may retest the levels of 23,100/76,500.

 

Rupak De, senior technical analyst at LKP Securities

 

On the daily chart, the index managed to close above the critical 21EMA; however, sentiment appears fragile, and support may be broken in the near term. On the lower end, support is placed at 23,200/23,100, while on the higher end, resistance is placed at 23,400.