India Stocks: Indian shares set to open higher as moderating US inflation aids sentiment

Karnataka Bank

01/04/2024 03:35

BENGALURU, April 1 (Reuters) - Indian shares are likely
to open higher on Monday, tracking Asian peers, after a
moderation in a key U.S. inflation reading heightened hopes of a
Federal Reserve rate cut in June.
    The Gift Nifty  GIFc1  was trading at 22,533 as of 8:00 a.m.
IST, indicating that the blue-chip NSE Nifty 50  .NSEI  will
open above Thursday's close of 22,326.90. 
    Asian markets opened marginally higher, with the MSCI Asia
ex-Japan index  .MIAPJ0000PUS  adding 0.2%, after data showed
U.S. inflation eased in February.
    Fed Chair Jerome Powell said on Friday that the latest
inflation reading was in line with the central bank's
expectations.  MKTS/GLOB 
    Indian shares closed fiscal year 2024 with gains, aided by
strong fund inflows and robust macroeconomic fundamentals. The
benchmark Nifty 50 rose about 29% while BSE Sensex  .BSESN 
added 25% in financial year that ended March 31.
    "We expect the bullish trend in Indian markets to continue
is fiscal year 2025," Rakeshh Mehta, chairman of Mehta Equities,
said.
    Strong participation from domestic investors and return of
foreign investors will bolster the market further, Mehta said.
    Foreign portfolio investors turned buyers in Indian equities
after selling over the previous two financial years, while
domestic mutual fund investors continued to purchase domestic
equities for 36 months in a row.
    On Thursday, overseas investors bought 1.88 billion rupees
(about $22.6 million) of shares on a net basis while domestic
institutional investors purchased shares worth 26.92 billion
rupees, according to provisional data from the National Stock
Exchange.
    
    
    STOCKS TO WATCH:
    
    ** Hindustan Aeronautics  HIAE.NS : Company signed contract
worth 11.73 billion rupees for supply of gas turbines.
 urn:newsml:reuters.com:*:nFWN3G617
    ** HG Infra Engineering  HGIN.NS : Company received letter
of award for a project worth 2.20 billion rupees from Jodhpur
Vidyut Vitram Nigam.  urn:newsml:reuters.com:*:nFWN3G700E
    ** Karnataka Bank  KBNK.NS : Lender signed pact with ICICI
Lombard  ICIL.NS  to distribute their general insurance
products.   urn:newsml:reuters.com:*:nFWN3G6184
    ** Rail Vikas Nigam  RAIV.NS : Company's joint venture with
Salasar Techno Engineering emerged as the lowest bidder for a
project worth $7.2 million from Energy Development Corporation.
 urn:newsml:reuters.com:*:nFWN3G626C

($1 = 83.3210 Indian rupees)

 (Reporting by Bharath Rajeswaran in Bengaluru; Editing by
Mrigank Dhaniwala)
 ((bharath.rajeswaran@thomsonreuters.com; +91 9769003463;))