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WEEKLY MARKET REVIEW
The Indian market snapped a two-week gaining streak and posted the biggest weekly losses in two months amid volatility due to uncertainty on Trump’s tariff policies, mixed corporate earnings, relentless FII selling, and rupee depreciation against the dollar.
This week, BSE Sensex shed 1,920.98 points or 2.46 percent to close at 75,939.21, while the Nifty50 index fell 630.67 points or 2.67 percent to end at 22,929.25.
The market capitalization of BSE-listed companies fell nearly Rs 26 lakh crore this week. Reliance Industries lost most of its market value, followed by Tata Consultancy Services, Mahindra and Mahindra, and HDFC Bank. On the other hand, Bharti Airtel, Bajaj Finserv, and Kotak Mahindra Bank added most of their market cap.
All the sectoral indices ended in the red this week. The Nifty Realty index shed 9.4 percent, Nifty Media fell 8 percent, the Nifty Energy index declined 7 percent, the Nifty Auto index shed 6 percent, the Nifty Pharma down 5.7 percent and the Nifty PSU Bank index shed 5.2 percent.
Considering the Broader indices, the BSE Large-cap Index fell 3.3 percent while the BSE Mid-cap Index shed 7.7 percent and the BSE Small-cap index declined 9.5 percent.
During the week, Foreign Institutional Investors (FIIs) extended their selling as they sold equities worth Rs 19,004.03 crore, while Domestic Institutional Investors (DII) bought equities worth Rs 18,745.02 crore. However, during this month, the FII sold equities worth Rs 29,183.43 crore, while the DII bought equities worth Rs 26,019.07 crore.
During the week, the Indian rupee tested a fresh record low of 87.95 but managed to close 59 paise higher at 86.83 per dollar on February 14 against the February 7 closing of 87.42.
STOCKS IN NEWS
Hindalco Industries: A 2% gain propelled Hindalco’s shares to Rs 615. This positive shift stemmed from the company’s Q3FY25 performance. Financial analysts have acknowledged the company’s strong operational performance within the Indian market. However, they are also keeping a watchful eye on the potential repercussions of US trade tariffs, indicating a balanced perspective that considers both present achievements and possible future challenges.
United Breweries (UBL): United Breweries’ stock initially demonstrated significant upward movement, climbing as high as 6.6% to Rs 2,166. Subsequently, the stock’s price retreated somewhat, suggesting a degree of investor uncertainty. This price fluctuation occurred even though the company’s Q3 results fell short of analysts’ projections. The initial surge could be attributed to investors anticipating positive developments despite the less-than-ideal quarterly figures.
Maruti Suzuki India: Maruti Suzuki India’s shares saw a 1% appreciation, reaching Rs 12,780. This positive trend followed international brokerage firm HSBC reiterating its “buy” recommendation for the stock and increasing its target price to Rs 14,000. HSBC’s optimistic valuation is reportedly linked to the promising prospects for Maruti’s inaugural electric vehicle, scheduled to debut later in the year. This highlights the market’s focus on innovation and the potential of new product launches to influence stock valuations.
Godfrey Phillips India: Godfrey Phillips India’s shares experienced a 10% surge. This substantial increase was triggered by the company’s impressive Q3FY25 results. The company reported a 49% year-over-year surge in net profit, reaching Rs 316 crore, a clear indication of robust financial health that resonated positively with investors.
Redington (India): Redington (India) Limited’s shares achieved a new peak value. This milestone followed an announcement concerning the successful divestment of its stake in Paynet Ödeme Hizmetler A.Ş by its subsidiary, Arena. This strategic divestment appears to have been well-received by the market, potentially due to the anticipated financial benefits or the company’s strategic refocusing.
NATCO Pharma: NATCO Pharma’s shares experienced a further 10% decline, extending the previous day’s 20% drop. This sustained negative movement was prompted by the company’s disappointing Q3 earnings. Analysts have noted the challenges facing the company’s core business growth, excluding Revlimid, as well as the significant pressure on its profit margins. These concerns raise questions about the company’s fundamental business strength and its capacity to generate profits.