Opening bell:  Sensex, Nifty to open in the red on geopolitical concerns, Fed status quo; Jio Financial, Vodafone Idea, Hero MotoCorp shares in focus

The Indian equity benchmark indices, the BSE Sensex and the NSE Nifty 50, are poised for a weak start on Thursday, tracking bearish trends in the global markets after the U.S. Federal Reserve kept its key benchmark lending rate unchanged. The possibility of the U.S. joining the Middle East conflict and Federal Reserve Chair Jerome Powell warning that inflation in America may pick up in the coming months, is likely to inject negativity into the market.

At 8:30 a.m., the GIFT Nifty futures were trading 28 points lower at 24,782, indicating a weak start for the benchmark indices, the Sensex and the Nifty.

On Wednesday, the Indian stock market extended its losses for the second straight session as the escalation in the Israel-Iran conflict weighed on investor sentiment. The 30-share Sensex closed at 81,444.66, down by 138.64 points or 0.17%, and the Nifty50 settled lower by 41.35 points, or 0.17%, at 24,812.05 levels. The broader market also saw selling activities, with the Nifty Midcap100 and the Nifty Smallcap100 indices falling 0.46% and 0.23%, respectively, amid profit booking.

Ajit Mishra of Religare Broking recommends that investors maintain a cautious approach until there is more clarity. In the meantime, market participants can consider selectively accumulating stocks that are showing relative strength amid the volatility, with a preference for large-cap and stronger mid-cap names.

U.S. stocks end mixed as Fed maintains status quo

On Wednesday, Wall Street closed on a mixed note after the U.S. Federal Reserve kept interest rates unchanged for the fourth meeting in a row. Caution prevailed in the market amid reports of the U.S. joining Israel-Iran hostilities and Fed Chair Jerome Powell’s indication that the central bank would wait to understand the impact of U.S. President Donald Trump’s tariffs on inflation before taking a call on a rate cut. The 30-stock Dow Jones Industrial Average lost 0.10%, the S&P 500 slid 0.03%, and the Nasdaq Composite closed marginally higher by 0.13%. 

Asian markets slide on Fed’s inflation warning

The equity markets in Asia-Pacific region were trading in the red zone on Thursday as investors turned jittery after U.S. Federal Reserve Chair Jerome Powell warned that inflation may pick up in the coming months. In the latest policy meeting, the U.S. central bank kept interest rates unchanged but signalled that there is still a possibility of two rate cuts this year.

Hong Kong’s Hang Seng extended its losing streak for the second straight session, falling over 1%, while the Nikkei 225 index in Japan and South Korea’s Kospi dropped 0.75% and 0.5%, respectively. China’s Shanghai Composite was trading 0.44% lower, Singapore’s Straits Times slid 0.3%, and the Taiwan Weighted index lost 1.2%. Among others, Indonesia’s Jakarta Composite also declined over 1%, while Australia’s ASX 200 ended lower with marginal losses.

Stocks to watch                    

Jio Financial Services: The company acquired 79,080,000 equity shares of Jio Payments Bank Limited (JPBL) from State Bank of India for ₹104.54 crore.

Vodafone Idea : The telecom operator has entered into a partnership with AST SpaceMobile to deliver direct-to-mobile satellite broadband.

Zydus Lifesciences : The pharma company informed exchanges that the U.S. Food and Drug Administration (FDA) recently conducted an inspection at its oncology injectable facility in Ahmedabad and concluded with two observations, neither of which relate to data integrity.

Hero MotoCorp : The two-wheeler manufacturer has announced the launch of ‘Battery-as-a-Service (BaaS)’ model for its Vida Vx2 electric scooter.

Abbott India:  The drug maker has signed an agreement with MSD Pharmaceuticals to distribute its Sitagliptin-based diabetes medications in India.

Tata Elxsi:  The Tata group company has inked a pact with Infineon Technologies to co-develop EV systems for the Indian market.

Aavas Financiers: The company plans to raise ₹200 crore through non-convertible debentures (NCDs) with a 60-month tenor.

Siemens:  The company said that Siemens Energy India Limited (SEIL) has received a nod from both the exchanges—the BSE and the NSE—for the listing of its equity shares on the domestic bourses, effective from June 19, 2025.

ESAF Small Finance Bank: The small finance bank is looking to sell a ₹735.18 crore pool of non-performing and written-off loans to an asset reconstruction company.

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