Aabha Bakaya

The NSE IPO has drawn massive investor interest, with the issue receiving around 20 times subscription. Speaking to Business Today, Gaurang Shah of Geojit discusses the strong response to the long-awaited IPO and why he believes the listing could mark a new chapter for India’s capital markets. He also discusses NSE’s valuation, the limited OFS and the decision to keep the price band relatively reasonable. Shah says IPOs with rich valuations have faced pressure after listing in the past, while more moderate pricing can leave room for long-term investors. He also discusses the potential impact of the NSE IPO on other stocks with stakes or links to the exchange.

Indian markets remained relatively steady despite the US Fed’s 25-basis-point rate hike and renewed concerns over Trump’s tariff measures. Speaking to Business Today, Gaurang Shah of Geojit says markets may have already priced in much of the recent correction. He highlights crude oil near $108 a barrel and the rupee moving closer to ₹96 against the US dollar as key factors to watch. Meanwhile, gold and silver prices declined, while the India VIX also fell, suggesting limited signs of defensive positioning. Shah expects markets to potentially stabilise and attempt to build a base after the recent correction.

Indian refiners could face higher crude costs as reports suggest Saudi Aramco has halted crude supplies to some Indian refiners. The development comes as Brent crude prices surge and tanker rates rise amid ongoing disruption in the global oil market. Saudi Aramco accounts for around 9% of India’s crude imports, while refiners have already been diversifying supplies from more than 40 countries. Business Today’s Aishwarya Patil explains what the reported supply disruption could mean for India’s crude basket, refiners and oil marketing companies, and whether higher international oil prices could increase under-recoveries and eventually put pressure on pump prices.

The US Federal Reserve has raised interest rates by 25 basis points, as markets assess the outlook for inflation, monetary policy and future rate moves. Speaking to Business Today, Gaurang Shah of Geojit Investments discusses the Fed's decision, the pressure for rate cuts and why elevated inflation remains a key concern. He also shares his view on how Indian markets could react after the Fed move, including the possibility of a flat-to-negative opening followed by some stabilisation. Shah also discusses the broader implications of the Fed's stance for the economy and financial markets.

Tata Group’s leadership uncertainty is weighing on investor sentiment, with Tata Motors and Tata Steel stocks in focus. Gaurav Sharma, Associate VP & Head of Research, Globe Capital, discusses the impact of uncertainty surrounding the conglomerate and why investors are cautious. The discussion covers N. Chandrasekaran’s role in Tata Motors’ demerger, Air India’s restructuring and Tata Steel’s debt management. With recent gains in Tata stocks fading, the focus remains on clarity, investor confidence and the way forward for the group’s listed companies.

India’s banks may not return to the kind of secular growth seen over the past two decades, according to Christopher Wood, Global Head of Equity Strategy, Jefferies. In an exclusive conversation with Business Today TV, Wood says traditional large-cap sectors have become less exciting, while NBFCs have been performing better than banks. He says higher interest rates could create a near-term headwind for financials, even as private capital expenditure shows signs of improving. Wood does not view financials as a negative sector, but says the growth profile has changed. He also flags the expanding AI theme as a risk for India’s IT services sector. The comments come as investors track whether financials can regain momentum and whether India’s traditional large-cap sectors can deliver stronger growth.

When could foreign investor selling in India finally reverse? Jibi Jacob, Head Of Equity Capital Markets, India, Jefferies, points to three key factors: currency, crude prices and the global interest-rate environment. While uncertainty around these factors is keeping investors cautious on secondary-market positions, foreign investors continue to participate in IPOs, QIPs and block deals. Jacob also highlights the impact of elevated US yields and a potentially higher-for-longer rate environment on foreign participation in InvITs and Indian equities. He notes that the India-US rate differential is among the tightest seen in the past 15-20 years, creating pressure on the currency and potentially equities. A correction in this differential, along with improved macro conditions, could help support foreign flows into Indian markets.

Indian markets are showing some signs of stability as oil prices cool and global markets recover. But several headwinds remain, according to Ambareesh Baliga, Market Analyst. Tariff risks linked to India’s Russian oil purchases, elevated crude prices, rising interest rates, below-average monsoon trends and continued FII selling could keep pressure on equities. He also expects Q2 earnings to take centre stage over the next few weeks, while concerns over the October-December quarter could limit the market reaction even if Q2 results are strong. Ambareesh expects downside pressure to remain, although he does not see markets cracking unless there is major adverse news.

Q2 earnings are expected to remain resilient, with consumer-facing sectors likely to lead growth. Market expert Ambareesh Baliga expects FMCG, consumer durables and automobiles to report decent earnings, supported by robust domestic demand. Urban demand, in particular, is seen growing faster than rural demand. Companies have also taken price hikes to offset higher raw material costs, which could support margins. Amrish expects Q2 earnings to remain as strong as Q1, or potentially improve further, despite concerns around the broader market environment and the impact of geopolitical developments.

The Supreme Court has questioned the huge gap between the price to retailer (PTR) and maximum retail price (MRP) of essential medicines, particularly cancer drugs. The bench highlighted an example where a medicine had an MRP of ₹27,000 while the PTR was ₹2,700. The court described such inflated pricing in strong terms and raised concerns over the impact on patients and taxpayers. It also questioned the role of regulatory authorities and the pricing structure of medicines. The Indian Pharmaceutical Alliance argued that manufacturers may not retain the entire margin, pointing to markups at the stockist, retail and hospital levels.