Indian Markets Likely to Start the Week in Green, Fuelled by FII Buying and Encouraging Earnings from Top Private Lenders
Pre Market Update: The Indian equity benchmark indices had a dream run last week, closing in the green on all three trading sessions and gaining nearly 4.5% for the week.
Now, the big question - will the D-Street bulls keep the momentum going?
As of 7:59 AM, the Gift Nifty is trading 23 points higher, suggesting that the rally may continue.
Another positive for the market is the earnings announced by index heavyweights HDFC Bank and ICICI Bank over the weekend. There were no major negative surprises. In fact, a key metric — Net Interest Margin (NIM) — was encouraging.
Together, these two private lenders hold a combined weight of about 22% on the index. So, their strong performance naturally boosts overall sentiment.
Adding to the bullish tone, FIIs have turned net buyers for the third straight session. They have made cumulative purchases worth ₹14,670 crore over the last three days.
Going forward, investors are expected to keep a close eye on major market-moving events this week, including the upcoming batch of Q4 earnings, the monthly derivatives expiry, and broader global trends that could shape market sentiment.
Infosys Q4FY25: Net profit rose 3.3% QoQ to ₹7,033 crore. Revenue declined 2% QoQ to ₹40,925 crore (down 4.2% in USD terms to $4,730 million). EBIT fell 4% to ₹8,575 crore; EBIT margin dropped 30 bps to 21%.
HDFC Bank Q4FY25: Net profit grew 6.7% YoY to ₹17,616 crore. NII rose 10.3% YoY to ₹32,070 crore. NIM stood at 3.54% on total assets and 3.73% on interest-earning assets. Dividend of ₹22/share declared.
ICICI Bank Q4FY25: Net profit increased 18% YoY to ₹12,629.58 crore. NII up 11% YoY to ₹21,193 crore. NIM rose to 4.41% from 4.25% QoQ. Dividend of ₹11/share announced.
Asian markets showed a mixed trend on Monday, reacting to China’s decision on the loan prime rate. Japan's Nikkei 225 slipped by 1.16%, and the Topix index was down 1.24%. In contrast, South Korea’s Kospi edged up 0.14%, with the Kosdaq gaining 0.13%. Markets in Hong Kong and Australia remained shut due to the Easter holiday.
U.S. markets closed mixed on Thursday as investors assessed developments in trade talks between the U.S. and Japan. The Dow Jones Industrial Average slipped 1.33% to finish at 39,142.23. In contrast, the S&P 500 edged up by 0.13%, ending the session at 5,282.70. Meanwhile, the Nasdaq registered a marginal decline of 0.13%, closing at 16,286.45.
For the sixth month in a row, China has left its benchmark lending rates unchanged. The one-year loan prime rate (LPR) remains at 3.1%, while the five-year LPR stays at 3.6%, maintaining the current stance on monetary policy.
Gold prices climbed to an all-time high, driven by increased demand for safe-haven assets amid a weaker US dollar and escalating trade war tensions. Spot gold rose by 1% to reach $3,361.53 per ounce, while US gold futures advanced 1.4%, settling at $3,375.90.
Meanwhile, crude oil prices witnessed a decline of over 1% following progress in US-Iran nuclear negotiations. Brent crude futures dropped 1.10% to $67.21 per barrel, and US West Texas Intermediate (WTI) crude slipped 1.14% to $63.94 per barrel.
Disclaimer: The article is for informational purposes only and not investment advice.
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