Indian Markets Likely to Begin May on a Subdued Note Despite Record-High GST Collections
Pre-Market Update: Indian benchmark indices, Sensex and Nifty 50, are likely to start Friday’s session on a muted note, as suggested by Gift Nifty trends, despite positive global cues. The Asian peers were mostly trading in positive terrain after Wall Street extended its rally overnight, with both the Dow Jones and S&P 500 marking their eighth consecutive day of gains.
Gift Nifty indicates a subdued start for Indian benchmark indices, trading around the 24,430 mark as of 7:40 AM—down 7 points from the previous close of Nifty futures. Big news for the domestic market for Friday is India’s Goods and Services Tax (GST) collections reached a record high in April 2025.
India’s Goods and Services Tax (GST) collections reached a record high of approximately ₹2.37 lakh crore in April 2025, marking a 12.6% year-on-year increase, according to government data released on May 1. This surpasses the previous record of ₹2.10 lakh crore collected in April 2024, which had been the second-highest since the GST regime was introduced on July 1, 2017. For comparison, March 2025 collections stood at ₹1.96 lakh crore.
Marico, Indian Overseas Bank, Godrej Properties, Jindal Saw, Newgen Software Technologies, City Union Bank and Gravita India to announce their Q4 earnings today.
On Wednesday, domestic markets ended with minor losses as the Nifty consolidated within a range, facing resistance at the 24,400 level. Heavyweight stocks across sectors helped the index retain last week's gains.
Foreign Institutional Investors (FIIs) were net buyers, purchasing ₹50.57 crore worth of shares on April 30, 2025. Domestic Institutional Investors (DIIs) purchased shares worth ₹1,792.15 crore during the same period.
FIIs remain net buyers for the last eleven trading sessions, infusing optimism in the Indian stock market, while DIIs are following the same trend since the last four trading sessions.
Asian markets were mostly positive on Friday, taking cues from the overnight rally on Wall Street and boosted by news that China is assessing the potential for renewed trade discussions with the United States.
Japan's Nikkei 225 climbed 1.24%, while the Topix index edged up by 0.67%. South Korea's Kospi hovered around the flatline, and the Kosdaq rose 0.60%. Hong Kong’s Hang Seng Index gained more than 1%.
Wall Street kicked off May with a solid rally as investor confidence surged following strong earnings from tech giants. Microsoft led the charge with a sharp rise after reporting better-than-expected results for its fiscal third quarter. Meta also gained momentum after posting impressive first-quarter numbers, adding to the positive sentiment in the markets.
The Dow Jones Industrial Average advanced by 83.60 points (0.21%) to settle at 40,752. The S&P 500 rose by 35 points (0.63%) to close at 5,604, while the Nasdaq Composite moved up by 264 points (1.52%) to end the session at 17,710.
Gold prices appeared set for their sharpest weekly decline in over two months, as easing global trade tensions reduced investor interest in safe-haven assets. Spot gold stood at $3,240.34 per ounce, while the metal has declined by more than 2% this week — marking its biggest weekly drop since late February.
The U.S. dollar was on track for its third consecutive weekly gain, supported by developments in trade negotiations involving Washington. The dollar index remained mostly flat but was heading for a 0.5% weekly rise.
Disclaimer: The article is for informational purposes only and not investment advice.
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