Stock Market Today, Monday, January 20: India stocks markets could open higher today, Monday, January 20, 2025, amid firm global cues, including progress in Israel-Hamas ceasefire.
At 7:05 AM, GIFT Nifty futures were 16 points higher at 23,384.
In the Asia-Pacific markets, Australia’s S&P/ASX 200 rose 0.4 per cent, Japan’s Nikkei 225 climbed 1.38 per cent, and South Korea’s Kospi rose 0.15 per cent.
Last Friday, the Dow Jones Industrial Average added 0.78 per cent, the S&P 500 gained 1 per cent, and the Nasdaq Composite advanced 1.51 per cent.
Back home, however, the benchmark equity indices snapped their 3-day winning streak amid a sharp sell-off in IT and financial stocks, led by Infosys and Axis Bank post their Q3 results.
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The BSE Sensex shed 403.24 points or 0.52 per cent to settle at 76,639.58, while the NSE Nifty50 ended at 23,203.20, down 108.60 points or 0.47 per cent.
FIIs/FPIs net sold equities worth Rs 3,318.06 crore on Friday, January 17, while DIIs net bought equities worth Rs 2,572.88 crore.
Stock Market Prediction Today, Jan 20:
Indian stock markets will track the December quarter (Q3FY25) results today for major market moves. Besides, on the global front, US President-elect Donald Trump’s inauguration later tonight; China’s decision to hold the 1-year loan prime rate at 3.1 per cent and the 5-year LPR at 3.6 per cent; and Japan’s industrial production data for November 2024 will be on investors’ radar.
Further, investors will track the progress made on the Israel-Hamas ceasefire, which began on Sunday, and eye various policies and tariff, if any, implemented by Trump soon after his return to the White House.
Meanwhile, during the week, around 245 companies are expected to announce their Q3 results, including HDFC Bank, Hindustan Unilever, Dr Reddy's Laboratories, UltraTech Cement, and ICICI Bank.
The week remain light, otherwise, with the UK unemployment rate data due on Tuesday, Japan’s Balance of Trade data for December, 2024, and US’ initial jobless claims data for the week ending January 18 on Thursday, and Japan’s inflation data along with flash Manufacturing PMI data for India, Japan, the US, the UK, Germany, and France, for January, scheduled to be released on Friday.
Q3 Results Today, Jan 20:
A total of 37 companies are scheduled to report their December quarter results today. These include APL Apollo Tubes, Central Bank of India, Dixon Technologies, IDBI Bank, Indian Overseas Bank, IRFC, J&K Bank, MCX, Mangalore Refinery and Petrochemicals, Oberoi Realty, Paytm, Sunteck Realty, Supreme Industries, and Zomato.
As per Bloomberg estimates, Paytm's revenue is likely to decline by 34.4 per cent year-on-year (Y-o-Y) to Rs 1,868.4 crore in Q3FY25, while the company's net loss is likely to widen Y-o-Y to Rs 35.05 crore for the quarter ended December 31, 2024. READ PREVIEW HERE
Meanwhile, brokerages tracked by Business Standard estimate Zomato's profit after tax (PAT), on an average, to increase 65.5 per cent year-on-year (Y-o-Y) to Rs 228.5 crore as compared to Rs 138 crore a year ago. The company's revenue, on average, for the third quarter ended December 31, 2024, is estimated at Rs 5,497.86 crore. READ MORE
IPOs This Week, IPOs Today:
The initial public offering (IPO) of Denta Water and Infra Solutions (mainline) will open this week on January 22, 2024. Besides, four other SME (Small and Medium Enterprises) offerings, including CapitalNumbers Infotech (January 20), Rexpro Enterprises (January 22), CLN Energy (January 23), and GB Logistics (January 24) will open for subscription this week.
Among the ongoing IPOs, shares of Laxmi Dental will list on the stock exchanges today. Stallion India Fluorochemicals Limited IPO will close for subscription today in the mainboard category, and Landmark Immigration Consultants Limited IPO will close for subscription in the SME category. EMA Partners India IPO (SME) will enter its second day of subscription today.
Stock Market News
In other stock market news, the early-bird results for Q3FY25 suggest a continued slowdown in corporate revenues and earnings growth. The net profit (adjusted for exceptional gains & losses) of the 162 early-bird companies was up 8.7 per cent year-on-year in Q3FY25, an improvement from a 6.2 per cent growth in Q3FY24 and 4.4 per cent Y-o-Y growth in Q2FY25. READ MORE
Meanwhile, Motilal Oswal Asset Management Company (MO AMC) issued a statement on Sunday, stating that recent allegations of "unethical practices" against the firm and its officials are "totally false and a blatant attempt to mislead the public." In the past few weeks, social media posts have alleged that MO AMC officials may have been bribed to make significant investments in Kalyan Jewellers. READ MORE
That apart, in an interview with Business Standard, Trideep Bhattacharya, president and chief investment officer-equities, Edelweiss Mutual Fund (MF), said the ongoing correction in the equity market may persist for a few more months as domestic and global headwinds will take time to abate. Thus, time may be ripe to increase exposure to Indian equities. READ INTERVIEW
Separately, India Inc’s top brass, including Reliance Industries’ Mukesh Ambani, Tata Group’s N Chandrasekaran, JSW group’s Sajjan Jindal, and Aditya Birla group’s Kumar Mangalam Birla, will attend the World Economic Forum’s (WEF’s) annual summit in Davos, beginning Monday. READ HERE
Stock Markets Strategy: How to trade Sensex today, Nifty today?
Devarsh Vakil, Head - Prime Research, HDFC Securities:
The Nifty faces immediate support at 23,100, a breach of which could trigger further downside. On the upside, the index may encounter resistance at 23,391 and 23,500 levels.
Jatin Gedia – Technical Research Analyst at Mirae Asset Sharekhan:
On the daily charts, the counter-trend rally of the last three trading sessions fizzled out at the 40-hour moving average (23,390) on the Nifty and resumed its fall. On the downside, we expect the Nifty to slip towards the psychological level of 23,000 and below that, it can potentially slip towards 22,670. Failure of follow through selling pressure on the downside can lead to a consolidation within 23,100 – 23,300.