Weekly Market Recap: Nifty, Sensex Settled in Red on Weaking Rupee, Donald Trump Return, FPI Selling

The week ended January 17, 2025, saw the Indian securities market on a roller coaster ride. The benchmark indices NSE Nifty 50 and BSE Sensex started the week with steep selling pressure, with a fall of 1.47% and 1.36% on January 13, 2025, respectively. For the consecutive 3 days, the market rebounded and gained over 1%. At the close of the week, the Indian securities market broke its gaining streak and turned into losses with a drop of 0.47% in Nifty to 23,203.20 and a 0.55% fall in Sensex which settled at 76,619.33 on January 17, 2025.

This heightened volatility in the market was primarily caused by numerous factors, which include the potential return of Donald Trump as US President, cautious sentiment amid Q3FY25 earnings season, increasing US dollar and bond yields, FII selling, as well as weakening Indian rupee.

Review of Major Updates This Week

• The Government of India partially restored the allocation of affordable natural gas (APM gas) to city gas retailers, including Indraprastha Gas Ltd (IGL), Adani Total Gas, and Mahanagar Gas Ltd.
• The Indian market reacted negatively to the imposition of sanctions by the US on Russian crude by over 3% at the start of the week.
• The week closed with the Government’s announcement related to the establishment of the 8th pay commission to review the Central Government employee salary hike.
• Adani Group stocks gain momentum as Hindenburg Research ceases operations following its prominent 2023 report that accused the group of fraud and manipulation.

New Debutant on D-Street

On Jan 13, 2025, Standard Glass Lining shares were listed with a 26% premium on BSE. Quadrant Future Tek debuted on NSE at ₹370, up from its ₹290 issue price on January 14, 2025. Capital Infra Trust InvIT made a flat Listing at ₹99 on BSE and NSE.

Major Q3FY25 Earnings This Week

• During Q3FY25, HCL recorded revenue amounting to ₹29,890 crore, marking a 3.6% QoQ growth and a 5.1% YoY rise. In addition, EBIT reached ₹5,821 crore, indicating 19.5% of revenue
• During Q3FY25, Infosys posted a YoY growth of 7.6% in revenue to ₹41,764 crore, surpassing the previous year’s figure of ₹38,821 crore.
• Reliance Industries reported a 7% YoY rise in consolidated net profit, reaching ₹18,540 crore for Q3. RIL’s total revenues also saw a 7% YoY increase, totalling ₹2.43 lakh crore.

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