India's FMCG stocks hold firm in broader weak market

Colgate-Palmolive (India)

04/06/2024 06:25

** India's consumer goods stocks  .NIFTYFMCG  down 0.2%, the
major sub-index that is down the  least amid broader weak market
    ** Nifty FMCG index rose as much as 1.6% earlier in the
session as analysts predict PM Narendra Modi's third term in
government to be more "welfare-oriented"
    ** Broader markets down  .BO  as early lead trends for
alliance led by Modi's party fall below expectations
    ** Hindustan Unilever  HLL.NS , the second-heaviest stock on
sub-index, up 2.2% and top gainer on blue-chip Nifty 50 index
 .NSEI 
    ** Dabur  DABU.NS  and Colgate-Palmolive (India)  COLG.NS 
rise most among FMCG stocks up, 4% and 3%, respectively
    ** It is possible that Modi's third-term may not be as
reform-oriented as the market expected and may turn more
welfare-oriented. This is getting reflected in the strength in
FMCG stocks - V K Vijayakumar, Chief Investment Strategist,
Geojit Financial Services
    ** Consumer goods have underperformed benchmark indexes for
over a year as key rural consumption is yet to see complete
revival
    ** FMCG stocks narrow their YTD losses to 4%, in contrast to
Nifty 50's 4% rise

 (Reporting by Nandan Mandayam in Bengaluru)
 ((Nandan.Mandayam@thomsonreuters.com; Mobile: +91 9591011727;))