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• The Nifty ended slightly lower, down by 27 points or 0.1%, closing at 22,470, driven by weak global cues, escalating trade tensions, and a sharp decline in IT stocks. Despite this, Nifty managed to limit its losses due to fresh buying in private banks. The market remained cautious ahead of the domestic and US inflation data set to be released today.

• Globally, the US market dropped 1% overnight as uncertainty continued after US President Donald Trump announced a 50% tariff on Canadian steel and aluminum, following Canada’s 25% tariff on electricity exports to the US. A positive note came from the US Dollar Index falling to a 7-month low below 104, and oil prices cooling down to a 4-month low below $70 per barrel.

• Markets across Asia, Europe, and US Index Futures showed mixed reactions after Ukraine accepted a ceasefire proposal with Russia. Back home, IT stocks were the biggest losers, underperforming mid-cap and small-cap stocks.

• The continued sell-off in Indian IT shares was attributed to concerns about a potential economic slowdown, especially following declines in the Nasdaq Composite, driven by fears of a recession due to US tariffs. This led to a 3% drop in major IT stocks, pushing them to 9-month lows. L&T Tech Services fell 5% to close at 4,390, while Infosys, Tech Mahindra, L&T Mindtree, Wipro, and Coforge all saw losses between 2-4%

Technical Outlook:

• Nifty Index opened positive and witnessed a fall in the first half of the session but took support near 22330 zones. It recovered in the second half of the day and recouped half of its day’s losses and closed near its opening levels.

• It formed a bearish candle on daily frame with longer lower shadow indicating support based buying is intact at lower levels. Now it has to hold above 22330 zones for an up move towards 22650 then 22900 zones while supports can be seen at 22300 then 22222 zones.

Derivative Outlook:

• Nifty future closed negative with losses of 0.17% at 22527 levels. Positive setup seen in Tata Motors, Crompton, Jio Financial services, AB Capital, Manappuram, Kotak Bank, Voltas, MCX, Adani Green, Bharat Forge and NHPC while weakness in LTTS, Indus Tower, Infosys, Ramco Cements, Coforge, Lodha, LTI Mindtree, PB Fintech, Wipro, Berger Paints, and KPIT Technologies.

• On option front, Maximum Call OI is at 23000 then 22500 strike while Maximum Put OI is at 22300 then 22400 strike. Call writing is seen at 22600 then 22500 strike while Put writing is seen at 22300 then 22400 strike. Option data suggests a broader trading range in between 21800 to 22800 zones while an immediate range between 22200 to 22600 levels.

• India's GDP growth to exceed 6.5 pc in FY26: Moody's - Moody's Ratings said India's economic growth will exceed 6.5 per cent in the next fiscal, up from 6.3 per cent this year, on higher government capex and consumption boost from tax cuts and interest rate reduction.

• Power Finance Corp. Approves $16B Borrowing Plan for FY26 – Company has approved raising a total of Rs1.4trillion ($16 billion) via domestic and overseas borrowings in the financial year starting April. Includes Rs1 trillion long and medium term borrowings in domestic markets, plans to raise Rs20000cr via foreign currency borrowings, another Rs15000cr maybe raised via short term borrowings and Plans commercial paper issue of upto Rs5000cr.

• IndusInd is said near to completing Reliance Capital acquisition – Company said that it is close to completing its acquisition of Reliance Capital for Rs9860cr ($1.1 billion).

• After Airtel, Jio joins hand with Elon Musk's SpaceX to offer Starlink services in India - The Reliance Group's digital services company Jio Platforms has signed an agreement with SpaceX to offer Starlink's broadband internet services to its customers in India, the company said on Wednesday. The agreement is subject to SpaceX receiving authorisation to sell Starlink in India.The development came a day after Jio's rival Bharti Airtel signed a similar pact with SpaceX.

• Ola Electric sees automotive segment Ebitda breakeven in 1Q FY26 – Company expects its automotive segment to achieve Ebitda breakeven in the first quarter of fiscal year starting April, after it completed an operating costs reduction program, the company said. Company reduced operating expenses by Rs90cr rupees a month through the program launched in November.

• Bank of India – Rating agency Fitch Ratings affirmed its BBB- long-term issuer default rating on Bank of India and upgraded the viability rating of the bank to BB- from B+. The rating outlook is stable.

Global Market Update

• European Market - European stocks rebounded Wednesday after four days of declines as Ukraine accepted a ceasefire proposal brokered by the US. The sentiment in European shares was supported by Ukraine’s acceptance of a US proposal for a 30-day truce with Russia. Both France and Germany’s DAX gained 0.7% each.

• Asian Market - Asian shares were mixed on Wednesday as investors weighed the impact of President Donald Trump’s tariffs after another day of losses on Wall Street. Japan Index gained marginally while both China and Hong Kong Index declined 0.4% and 0.7% respectively.

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