Markets Today: Trump tariff concessions; RBI; FIIs; NAPS Global IPO Day 3

In the previous session, equity markets logged their biggest single-day gain in a month, aiding Nifty50 to end its record 10-day losing streak. The Nifty settled at 22,337.30, up 254.65 pts or 1.15%

Stock Markets Today, March 6, 2025: The key benchmark indices, Nifty50 and Sensex, are likely to react to US President Donald Trump’s tariff concessions, along with FIIs and mixed global cues, in Thursday’s session.

 

Trump agreed on Wednesday to delay tariffs for one month on certain vehicles produced in North America, following discussions with the CEOs of General Motors and Ford, as well as the chair of Stellantis, according to the White House.  READ: Stock Market Updates Today LIVE

 

The automakers had requested that Trump waive the 25 per cent tariffs on vehicles from Mexico and Canada that meet the 2020 US-Mexico-Canada Agreement's rules of origin. The decision will benefit both US automakers and foreign automakers that are in compliance with the agreement.

 

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Also Read: No reciprocal tariff reprieve for India, signals Trump in address to Cong

 

Back home, at 6:31 AM, GIFT Nifty Futures were up 16 points at 22,457, hinting at a flat to positive start. 

 

In the previous session, equity markets logged their biggest single-day gain in a month, aiding the Nifty50 to end its record 10-day losing streak. The Nifty50 settled at 22,337.30, up 254.65 points or 1.15 per cent. Similarly, Sensex ended at 73,730.23, up 740.30 points or 1.01 per cent.

 

Also Read: Expect India to keep doing well irrespective of geopolitics: GIC execs

 

Global cues

 

Asia-Pacific markets mostly were trading higher on Thursday, following a rally on Wall Street after US President Donald Trump delayed tariffs on certain automakers. 

 

Nikkei rose 1.25 per cent, while the Topix jumped 1.31 per cent. ASX 200, bucking the trend, slipped 0.53 per cent.

 

Kospi increased 0.615 per cent. South Korea's consumer inflation for February rose 2 per cent year-on-year (Y-o-Y), surpassing Reuters' forecast of a 1.95 per cent increase, but slower than the 2.2 per cent rise in January. 

 

In the US, the Dow Jones jumped 1.14 per cent. The S&P 500 rose 1.12 per cent, while the Nasdaq climbed 1.46 per cent. 

 

The Street now awaits US January trade data, Q4 nonfarm productivity, along with initial jobless claims for the week-ended March 1.

 

Domestic cues

 

The Reserve Bank of India (RBI) announced measures to infuse Rs 1.9 trillion in liquidity into the banking system, anticipating tight conditions by FY25 due to tax outflows and banks meeting targets.

 

Meanwhile, India's market capitalisation has dropped below 3 per cent of the global total for the first time in nearly two years, standing at 2.99 per cent of the $126 trillion global market cap.

 

Also Read: Defensive sector weightage in Nifty 50 declines to 15 year low

 

In other developments, the rupee saw its biggest gain since February 11, boosted by a weaker dollar and RBI's dollar sales through state-owned banks.

 

Securitisation volume is expected to reach Rs 60,000 crore in Q4 FY25 as banks and NBFCs raise funds to meet priority sector lending (PSL) norms amid liquidity challenges.

 

Also, private sector investment is projected to fall further below 11 per cent of GDP in FY25, following a decline in FY24, according to India Ratings.

 

Other triggers

 

FII, DII

 

FIIs net sold shares worth Rs 2,895.04 crore, while DIIs net bought shares worth Rs 3,370.60 crore, on March 5.

 

Also Read: Do foreign investors not pay capital gains tax in other countries? Not true

 

IPO market

 

NAPS Global IPO (SME) will enter Day 3 of its subscription.

 

Commodity market 

 

Gold prices increased on Wednesday, supported by a weaker dollar, as investors awaited the release of US payroll data later this week for further clues on the Fed’s monetary policy. US gold futures climbed 0.2 per cent to $2,927.50, while spot gold rose about 0.1 per cent, reaching $2,919.54 per ounce.

 

Meanwhile, oil prices fell for a third consecutive session on Wednesday, as concerns grew over OPEC+'s plans to raise output in April and Trump’s tariffs on Canada, China, and Mexico, which heightened trade tensions. Brent crude futures dropped 2.53 per cent to $69.24 per barrel, while US WTI crude lost 3 per cent to settle at $66.21 per barrel.

 

Here's how analysts are assessing today's (March 6) trading session:

 

Rupak De, senior technical analyst at LKP Securities

 

In the short term, the trend is likely to remain strong, with the potential to rise towards 22,700 and higher. On the lower end, support is placed at 22,100/22,000.

 

Shrikant Chouhan, head of equity research at Kotak Securities

 

We are of the view that as long as the market is trading above 22,200/73200, the bullish sentiment is likely to continue. On the higher side, it could move up to 22,500-22,550/74300-74500. On the flip side, if it falls below 22,200/73200, the uptrend would be vulnerable. Below this level, traders may prefer to exit their long positions.