IGI Logo

Below the Quote on Daily market commentary by Mr. Siddhartha Khemka, Head - Research, Wealth Management, Motilal Oswal Financial Services Ltd

Nifty ended with loss of 73 points at 22,397 level (-0.3%), following decline in Asian markets as concerns over US President Trump’s tariff policies outweighed the optimism from cooler than expected US inflation data. The broader market continued to witness selling pressure with Nifty Midcap100 down 0.9% and Smallcap100 down by 1%. Amongst sectors, except PSU Banks, all sectoral indices ended in the red. In a negative development for cement companies, the Tamil Nadu government notified the levy of a “mineral-bearing land tax” of INR160/tonne on limestone in the state. Limestone being a key raw material in cement manufacturing, the additional tax will increase the overall production cost and hurt margins unless the cost is passed on to consumers. With the ongoing global developments, a recovery in the IT sector is likely to remain stalled in the near term. The probability of US rate cuts has diminished and heightened geopolitical/tariff risks are weighing on short-term stability for US and European enterprises. Clients are still not prioritizing services spending, thus turning the sentiment cautious for IT companies. This is a truncated week as Friday is a market holiday on account of Holi celebrations. Going ahead, we expect the market to remain range-bound with some volatility and sector rotation, driven by global market cues and cautiousness ahead of US Fed’s interest rate decision on Wednesday, 19th March

Above views are of the author and not of the website kindly read disclaimer