Sensex, Nifty to open flat as market looks for Trump’s tariff clarity; HUL, RIL, BPCL shares in focus

Indian share markets to open flat to lower on Thursday, undermining firm cues from global peers. Markets in Asia-Pacific region traded on positive note after stocks in U.S. ended higher overnight amid easing concerns about rising tariffs and trade barriers. The subdued trend at Gift Nifty also indicates a muted start for domestic benchmark indices, with Nifty futures trading 5.5 points, or 0.02%, lower at 23,133 mark, at 8:20 AM.

The market is expected to see range-bound trade in the near term, tracking global cues and corporate earnings. The anticipated policy changes under President Trump, including higher tariffs and trade barriers, will be key trigger for the equity market, while movement of the dollar index and trend in capital flows will influence the exchange rate of the Indian rupee.

Stocks in banking space will be in focus after index heavyweight HDFC Bank reported better than expected earnings in the last hour of yesterday’s trade. Also, the FMCG sector may see reaction to sectoral leader HUL’s earnings report, which came post market hours.

Wall Street ends higher on tech boost

In the overnight trade, Wall Street witnessed rally for the third consecutive session as investors cheered strong corporate earnings and Donald Trump's announcement of $500 billion private sector investment in artificial intelligence (AI) infrastructure which undermined fresh tariff worries. His latest push to boost the U.S. tech landscape and a roll-back of Biden-era safety measures pushed tech-heavy Nasdaq Composite higher on Wednesday, led by gains in heavyweights Netflix and Oracle.  All three major indices closed higher, with the S&P 500, the Dow Jones Industrial Average, and the Nasdaq Composite rising 0.61%, 0.3%, and 1.28%, respectively.

Asian stocks follow U.S. rally

Markets in Asia-Pacific region started on a positive note today as traders assessed Trump's tariff delay. China’s Shanghai Composite surged 1.4%, Hong Kong’s Hang Seng rose 0.4%, and Japan’s Nikkei 225 climbed nearly 0.5%. On the other hand, Australia’s ASX 200 ended 0.6% lower, while South Korea’s KOSPI was down 0.8%.

D-Street ends higher in pull-back rally

Back home, the benchmarks BSE Sensex and NSE Nifty ended higher on Wednesday as indices staged a smart recovery following better-than-expected results from HDFC Bank and possibility of a delay in tariff implementation by President Trump. In the volatile trade, the 30-share Sensex closed 567 points higher at 76,405, and the NSE Nifty settled up by 131 points at 23,155, supported by buying in IT and pharma stocks. Bucking the trend, broader markets extended losses, with Nifty Midcap100 and Smallcap100 indices losing over 1% each.

Technical outlook

Nifty might remain range-bound or oscillate within a broader zone of 22,850–23,400, says Om Mehra, Technical Analyst, SAMCO Securities. A decisive trend reversal would require a sustained close above 23,430 for consecutive sessions; until then the trend remains vulnerable, he adds.

While some near-term relief is expected, the market remains on uncertain ground, and volatility may persist due to several key triggers, including upcoming earnings announcements, says Rajesh Bhosale, Technical Analyst, Angel One. “In this scenario, the 23000–22900 support zone is followed by an additional support zone around the 22800–22700 mark.”

On the weekly expiry, Bhosale recommended traders to monitor these key levels and adjust their strategies accordingly. With approximately seven trading sessions left before the Union Budget, individual themes may come into focus, offering potential outperforming opportunities. He advised traders to stay alert and focus on such sectors or stocks for near-term gains.

Stocks to watch

Reliance Industries: The FMCG arm of Reliance Industries, Reliance Consumer Products Ltd (RCPL) has announced the acquisition of Maharashtra-based Sil Food India Private Limited. In a separate development, RIL has signed a MoU worth ₹3,05,000 crore with Government of Maharashtra at Davos.  

HUL: The FMCG heavyweight released its December quarter earnings post market hours yesterday. It also announced the acquisition of the premium actives-led beauty brand Minimalist, which is set to provide a boost to its Beauty & Wellbeing portfolio.

Go Digit General Insurance: The new-age general insurance company has reported 176.5% growth in profit after tax at ₹ 119 crore in Q3 FY25. Gross Written Premium of the company stood at ₹ 2,677 crore compared to ₹ 2,428 cr in Q3 2024, achieving a growth of 10.2%.

Bharat Petroleum Corporation Ltd (BPCL): The state-owned oil company released its Q3 results post market hours yesterday, with its profit nearly doubling on yearly basis. Its board approved formation of joint venture company with Praj Industries for setting up compressed bio gas (CBG) plants across India.

Paras Defence and Space Technologies: The company has signed a MoU with the Maharashtra government for the proposed Optics Park Project in Navi Mumbai.

Q3 earnings today: Some of the big player that will release their earnings today include UltraTech Cement, Dr Reddy's Laboratories, Hindustan Petroleum Corporation, Indus Towers, United Spirits, Zee Entertainment Enterprises, Adani Energy Solutions, Mankind Pharma, and Adani Green Energy. Among other, Amber Enterprises India, Capri Global Capital, Cyient, Greaves Cotton, Indian Energy Exchange, KFin Technologies, Mphasis, Nippon Life India Asset Management, Senores Pharmaceuticals, Sona BLW Precision Forgings, Spandana Sphoorty Financial, Suryoday Small Finance Bank, Syngene International, Tejas Networks, Thyrocare Technologies, Ujjivan Small Finance Bank, and V2 Retail will also unveil their numbers.

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