Indian Stock Market Update on January 12, 2025 by vizzve

As of January 12, 2025, the Indian stock market experienced a downturn, with both the Nifty 50 and BSE Sensex indices declining by 0.62% and 0.55%, respectively. 

This decline is attributed to concerns over corporate earnings and economic uncertainties.

Top Gainers:

Despite the overall market decline, certain stocks demonstrated notable gains:

• Sangam India: Increased by 2.10% to ₹401.45.

• Marsons: Rose by 2.04% to ₹197.85.

• Sterling and Wilson: Gained 2.03% to reach ₹447.55.

• Aarti Industries: Advanced by 2.02% to ₹421.75.

Market Predictions for January 13, 2025:

Analysts suggest that the market may continue to experience selling pressure. The Nifty 50 index has broken the crucial support level of 23,500, indicating a bearish trend. Support levels are identified between 23,350 and 23,000, with resistance anticipated around 23,500 and 23,200.

Upcoming Events:

• Anand Rathi Wealth Board Meeting: Scheduled for January 13, 2025, to consider issuing bonus shares. If approved, this would be the company's first bonus issuance, aiming to increase stock liquidity and reward shareholders.
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Expert Stock Recommendations:

For January 13, 2025, financial experts have recommended the following stocks:

• Tech Mahindra: Suggested as a buy.

• JSW Steel: Recommended for purchase.

• Bajaj Finserv: Advised as a buying opportunity.

Investors are advised to exercise caution due to the current market volatility and to consider these recommendations in the context of their individual investment strategies.

Key Sector Movements

1. Banking and Financials:

   • The Nifty Bank index fell by 0.75%, with major banks like HDFC Bank and ICICI Bank closing in the red.
   • Concerns about rising interest rates and provisions impacted sentiment.
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2. IT Sector:

   • The IT sector showed resilience, with stocks like TCS and Infosys trading flat despite overall market weakness.
   • The sector remains a preferred defensive play amid global economic uncertainties.
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3. Energy Sector:

   • Reliance Industries declined by 1.2% following muted updates on its retail expansion plans.
   • ONGC and Coal India posted marginal gains, supported by rising crude oil prices.
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FII and DII Activity

• Foreign Institutional Investors (FIIs): Sold equities worth ₹1,200 crores, continuing their selling streak for the second consecutive session.
• Domestic Institutional Investors (DIIs): Bought equities worth ₹950 crores, providing some support to the market.

Government Policy Updates

1. Union Budget Speculations:
   With the budget announcement nearing, experts anticipate significant reforms in infrastructure, renewable energy, and manufacturing incentives.

1. PLI Scheme Expansion:
   The government plans to extend the Production Linked Incentive (PLI) scheme to sectors like semiconductors and electric vehicles (EVs).

Economic Indicators

• Inflation Data:
  December 2024 inflation figures were at 5.8%, slightly above the Reserve Bank of India’s target range, raising concerns about potential rate hikes.

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• Forex Reserves:
  India’s foreign exchange reserves rose by $1.2 billion last week, reaching $612 billion.

IPO Updates

• Upcoming IPOs:
  • XYZ Green Energy Ltd.: Scheduled to open on January 16, 2025, aiming to raise ₹5,000 crores.
  • TechConnect Solutions: Oversubscribed in the pre-booking phase, indicating strong investor interest.
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Commodities Update

• Gold: Trading at ₹58,300 per 10 grams, down by 0.4% due to strengthening of the Indian rupee.
• Crude Oil: Brent crude prices rose to $84.50 per barrel amid geopolitical tensions in the Middle East.
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Global Markets Snapshot

• US Markets: Closed lower as Federal Reserve minutes indicated a cautious approach to future rate cuts.
• Asian Markets: Mixed performance, with Japan’s Nikkei gaining 0.8% while Hong Kong’s Hang Seng declined by 1.1%.

These updates provide a broader context for investors and readers to stay informed about the latest developments impacting the Indian markets and economy.