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Indian equity markets are likely to make a positive start on Tuesday, tracking supportive global cues from the US and Asian markets, as China injected additional liquidity to bolster its economy. However, gains may remain limited by outflows from Foreign Institutional Investors (FIIs). 

Some of the key factors to be watched:

RBI proposes to ease norms for investments in AIFs by banks, NBFCs: The Reserve Bank has proposed to ease norms for investments by banks, NBFCs and other regulated entities in Alternate Investment Funds.

DGFT issues new notification to streamline import of precious metals: The Directorate General of Foreign Trade (DGFT) has issued a new notification to streamline the import of precious metals, ensuring consistency between customs duties and import regulations.

DGTR recommends anti-dumping duty on imports of fungicide from EU: The commerce ministry's investigation arm Directorate General of Trade Remedies (DGTR) has recommended an anti-dumping duty of $733 per tonne on imports of a fungicide - Thiram - from the European Union (EU) to protect the domestic industry from cheap inbound shipments.

India's food grain production rises by 106 lakh tonnes in FY25: Union Agriculture Minister Shivraj Singh Chouhan said that India's total foodgrain production in the financial year 2024-25 increased by over 106 lakh tonnes, reaching 1,663.91 lakh tonnes, up from the previous year's output.

Manufacturing sector's stocks will be in focus: S&P Global said that India has made progress in making its manufacturing sector more attractive to global investors, and ongoing changes in international trade policy would benefit India in the long run.

On the global front: The US markets ended mostly in green on Friday, as lower Treasury yields helped ease investors’ concerns following Moody’s downgrade of the US credit rating.  Asian markets are trading in green on Monday, tracking firm cues from global markets as China cut its benchmark lending rates for the first time in 7 months to boost its struggling economy.

Back home, Indian equity benchmarks languished in negative territory for major part of the trading session and ended lower on Monday due to selling in IT and TECK stocks and a weak trend in global markets after rating downgrade of the US by Moody's Ratings. Finally, the BSE Sensex fell 271.17 points or 0.33% to 82,059.42 and the CNX Nifty was down by 74.35 points or 0.30% to 24,945.45.                  

Some of the important factors in trade:

Proposed 5% US tax on remittances may hit Indian households, rupee: The Global Trade Research Initiative (GTRI) has said that a proposed 5 per cent US tax on remittances sent abroad by non-citizens is raising alarm in India as it may hit Indian households and the rupee. 

DGFT imposes port restriction on import of certain goods from Bangladesh to India: The Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industry, has imposed port restrictions on the import of certain goods such as readymade garments, processed food items etc., from Bangladesh to India. 

India's GDP growth projected at 6.9% in Q4, 6.3% in FY25: ICRA has projected India's GDP growth at 6.9 per cent in the quarter ended March 31, and at 6.3 per cent for the full 2024-25 fiscal, undershooting the National Statistics Office (NSO) estimates made in February. 

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