Indian shares edge up; focus on TCS earnings, Mideast developments
- Nifty 50 rose 0.34% to 23,962.80, while the BSE Sensex added 0.31% to 76,741.82
Indian shares edged higher on Thursday after falling 2% in the previous session, as investors braced for quarterly earnings from IT major TCS and monitored geopolitical developments in the Middle East.
The benchmark Nifty 50 rose 0.34% to 23,962.80, while the BSE Sensex added 0.31% to 76,741.82. They had posted their biggest one-day loss in three months on Wednesday.
“Investors are positioning for the results season, with pre-earnings updates indicating strong growth from banks, fast-moving consumer goods, and jewellery companies,” said Aamar Deo Singh, senior vice president at Angel One.
“While the market seems to have discounted volatility in the Middle East with Wednesday’s sell-off, some concerns are likely to persist,” Singh added.
The U.S. military said on Wednesday it launched fresh strikes on Iran to keep the Strait of Hormuz open to shipping, triggering Iranian attacks on Kuwait and Bahrain in the latest escalation that threatens efforts to end the conflict.
Sentiment in the domestic market was supported by persistent foreign inflows. Overseas investors have bought Indian equities in the last six sessions, according to National Securities Depository data.
The NSE’s provisional data estimated net inflows of 19.63 billion rupees ($205.44 million) on Wednesday.
Fourteen of the 16 major sectors logged gains. The broader small-caps and mid-caps rose 1.8% and 1.4%, respectively.
India’s largest software exporter, Tata Consultancy Services, eased 0.4% ahead of its June-quarter earnings report due later in the day.
Benchmark heavyweights HDFC Bank rose 0.9% while and Reliance Industries added 0.4%.
Pharma and healthcare stocks advanced 0.9% and 1%, respectively, as investors rotated into sectors seen as relatively insulated from crude price swings and monsoon risks.
Dr Reddy’s Laboratories shed 5.9% as the drugmaker delayed the commercial supplies of semaglutide due to an issue related to the active pharmaceutical ingredient used in the drug.
Comments