CLOSING BELL: Nifty at 24,750, Sensex slips 180 points as auto, metal, IT dampen sentiment

The Nifty opened at 24,812 and traded within a narrow range, touching an intraday high of 24,863 and a low of 24,717, mirroring the subdued movement seen in recent sessions. Sectoral performance was mixed, with PSU banks leading the gains, while private banks saw mild buying interest. On the flip side, metals, automobiles, IT, and media sectors faced selling pressure.

Investors remained cautious amid lingering global trade uncertainties after a US federal appeals court upheld former President Trump’s tariff measures. Market participants are also awaiting key economic cues, including the US PCE price index due later today, China’s official PMI data over the weekend, and the RBI’s monetary policy decision next Friday.

On the derivatives front, the market breadth tilted negative, with 59 stocks advancing and 156 declining. Notable open interest buildup was seen in Manappuram Finance, Chambal Fertilisers, Nykaa, Muthoot Finance, and SJVN, indicating heightened trader activity in these counters.

A range-bound movement continued in the market, with the temporary reinstatement of US tariffs by the appeal court influencing investors to stay sidelined. The global market may contend with macroeconomic concerns as the global trade landscape has yet to see stability, which may navigate a short-term consolidation. Meanwhile, FII inflows continued due to the volatility in the US 10-year yield and an expectation of solid domestic Q4 GDP data later today and a rate cut by the RBI.

At close, the Sensex was down 182.01 points or 0.22 percent at 81,451.01, and the Nifty was down 82.90 points or 0.33 percent at 24,750.70. About 1,751 shares advanced, 2,087 shares declined, and 114 shares were unchanged.

• Supply chain issues are improving
• Have been able to deal with operational challenges
• IndiGo's leadership in pricing is important when looking at profitability
• Domestic US aviation market can't be compared to the Indian aviation market
• India's aviation market is very competitive

QIB – 14.66 times

NII - 83.80 times

Retail – 15.46 times

Overall – 29.83 times

QIB – 6.59 times

NII - 63.55 times

Retail – 13.27 times

Overall – 22.14 times

• Grew 18-19 percent in April-May, will maintain this growth for FY26
• Diamond sales are seeing an upward trend currently
• Margin was over in FY26 due to the customs duty impact
• Q4 saw expected recovery in margin, and can maintain margin at 6.80-7.20 percent in FY26
• The diamond business should see 20-25 percent growth
• Consumers will opt for diamonds if gold prices remain at an all-time high
• Average ticket size has increased by 15 percent to Rs 72,000

QIB – 5.48 times

NII - 49.96 times

Retail – 11.45 times

Overall – 17.99 times

The Nifty May series rollover stood at 79.1%, slightly below the three-month average of 79.6% but above the six-month average of 74.6%. It remained unchanged from the previous expiry’s 79.1%, indicating a stable yet relatively subdued rollover compared to short-term trends.

Similarly, the Bank Nifty May series rollover stood at 79.3% on Thursday, marking a strong carry-forward from the previous expiry's 75.0%. This figure also exceeded the three-month average of 73.6% and the six-month average of 74.5%, suggesting stronger conviction in extending positions to the June expiry.

In contrast, the market-wide May series rollover remained steady at 92.5%, marginally higher than the previous expiry’s 92.4%, above the three-month average of 92.3%, though slightly below the six-month average of 92.6%. This consistency signals stable positioning across the broader market despite mixed trends in key indices.

“Gold prices rebounded above $3,300 an ounce as markets grappled with a U.S. lower court ruling striking down former President Donald Trump’s tariff authority—a decision that may further delay Federal Reserve rate cuts this year. This has sparked confusion again supporting gold prices – The US DXY is also holding near 99 levels thus not making it clear which way risk aversion is likely to move in the near term. In all this background, the Fed may delay rate cuts which is dollar positive and gold negative. However, the US unemployment data incrementally is not positive and there are definitive signs of a US slowdown sometime in the near future which will support gold."

“Nifty has bounced back from the rising channel formed on the hourly chart. The bulls have the upper hand as long as the Nifty is trading above 24,462. Further, 25,116 is a major resistance level - a decisive close above will put the bulls in a dominating position. Hourly low of 24,667 will be the immediate support.”

QIB – 2.1 times

NII - 27.03 times

Retail – 7.73 times

Overall – 10.26 times

Muthoot Finance stock extends gains, up nearly 4 percent after Finance Ministry tells RBI to ensure interest of small gold loan borrowers are not impacted by new draft guidelines.

The Sensex was down 88.27 points or 0.11 percent at 81,544.75, and the Nifty was down 21.50 points or 0.09 percent at 24,812.10. About 118 shares advanced, 58 shares declined, and 23 shares unchanged.

The Sensex was down 188.78 points or 0.23 percent at 81,444.24, and the Nifty was up 1.70 points or 0.01 percent at 24,835.30. About 9 shares advanced, 1 shares declined, and 3941 shares unchanged.

Citi On ICICI Bank

#1 Buy Call, Target `1,650/sh

#2 Mgmt Says, NIM Contraction Inevitable; To Bottom Out In Q3

#3 Mgmt Says, Deposit Rate Cuts, CASA Growth, Unsecured Scale-up To Act As Offset Levers

#4 Mgmt Says, Business Banking To Sustain Robust Growth Momentum

#5 Mgmt Says, Unsecured Segments To Rebound From FY25 Lows

#6 Unsecured Stress Has Stabilised; Expects Improvement Over 2-3 Quarters

#7 Guides For 45-50 bps Credit Cost With Only Gradual Normalisation Hereon

#8 Targets To Maximise PAT, Gain Profit Market Share; RoA To Sustain At >2% Levels

Morgan Stanley On Suzlon

#1 Overweight Call, Target `77/sh

#2 FY26 WTG Volume, Revenue, EBITDA & PAT Guidance Of 60% Growth YoY

#3 WTG Segment Contribution Margin Guided At 23%

#4 Tax Rate Guided At Approx 25% (Non-Cash Expense)

Jefferies On Bajaj Auto

#1 Hold Call, Target `8,000/sh

#2 Q4 EBITDA & PAT Grew 6% YoY, & 4-5% Above Est, Led By Better ASP

#3 Remain Positive On Growth Outlook For Both Domestic & Export 2-ws

#4 Like Co’s Rising EV Franchise

#5 Concerned About Mkt Share Dip In Domestic Motorcycles

#6 Concerned About Decline In Volume Share In India's 2w Exports

#7 Expect 13% EPS CAGR In FY25-28, But 26x FY26 PE Is Not Cheap

Bernstein On Bajaj Auto

#1 Outperform Call, Target `11,000/sh

#2 Continues To Demonstrate Its Ability To Sustain Margin Regardless Of Operating Environment

#3 Overall A Positive Outlook, Especially For Exports Was Communicated

#4 Respectable Q4 With Margin Sustaining Despite Headwinds From KTM Export Suspension

CLSA On Bajaj Auto

#1 Outperform Call, Target `10,149/sh

#2 EBITDA Margin Was 20.2% In Q4, Flat QoQ & In-line With Estimate

#3 Co Gained 12% Market Share YoY In e2ws To 25% In Q4, Led By The Launch Of The Affordable

#4 Building in 7% Volume Growth In Domestic 2ws & 12% In Exports In FY26

-US appeals court reinstates Trump’s reciprocal tariffs

-Asian markets slip; Nikkei down over 1.5%

-Dow futures sideways post appeals court ruling in tariffs

-Gift Nifty signals positive start

-Wall Street ends well off session highs

-Investors await personal consumption expenditure data today

-European markets end lower

-US 10-year yield slides 5 bps to 4.43%

-US jobless claims rise more than expected

-Dollar drops amid tariff developments

-Gold holds firm as markets digest court roadblock on tariffs

-Oil prices fall on demand concerns in volatile session