Discover the top business headlines that are trending across the world today!
The Sensex soared over 1,300 points and the Nifty gained nearly 400 points on Monday, driven by strong momentum across sectors. The S&P BSE Sensex surpassed 80,000, while the NSE Nifty crossed 24,300, boosting the BSE’s market capitalisation to Rs 441.37 lakh crore, up from Rs 432.71 lakh crore in the previous session.
The National Democratic Alliance’s (NDA) victory in the Maharashtra elections, securing 233 of 288 seats, uplifted market sentiment. Additionally, Adani Group stocks rebounded after last week’s losses due to denied allegations of bribery and fraud. Positive global cues also supported the rally, with Japan’s Nikkei and South Korea’s Kospi indices rising.
Analysts remain optimistic but cautious, predicting potential resistance levels at 24,420-24,770 while maintaining upward momentum if dips stay above 23,800. This strong start reflects continued investor confidence in the market's trajectory.
Zomato shares jumped 7% to a day’s high of ₹282.85 on the BSE after news of its inclusion in the BSE Sensex, replacing JSW Steel in the 30-stock index, effective December 23. The reconstitution, announced by Asia Index Private Ltd, highlights Zomato's rise as a market leader.
Over the past year, Zomato’s stock has delivered 130% returns, significantly outperforming the Sensex’s 20% and JSW Steel’s 27%. The company’s robust financial performance has fueled investor confidence.
In Q2 FY24, Zomato reported a consolidated net profit of ₹176 crore, a 389% increase from ₹36 crore in the same period last year. Revenue from operations also surged by 69% year-on-year to ₹4,799 crore, up from ₹2,848 crore. Sequentially, it rose from ₹4,206 crore in the previous quarter.
India’s Adani Group has reassured creditors of its ability to meet debt obligations, stating it has sufficient cash flows and reserves, despite a U.S. bribery probe triggering a selloff in its stocks and bonds. The conglomerate reported cash balances of $6.33 billion, exceeding long-term debt repayments for the next 28 months.
In its financial report for the first half of the fiscal year ending March 2025, Adani highlighted an improved gross assets-to-net debt ratio of 2.7 times, up from 2.63 times the previous year. The group dismissed bribery allegations as baseless and plans to pursue legal recourse.
This comes as the group faces challenges following a $27 billion market value drop linked to the probe, which accused founder Gautam Adani of involvement in a $250 million bribery scheme. Adani emphasized its robust core infrastructure business, which generates 62% of revenue and 84% of EBITDA.
Foreign funds are increasingly shifting from Indian stocks to U.S. markets, according to a report by Elara Capital. Over the past three weeks, most inflows into U.S. funds originated from China, India, Taiwan, and South Korea, driven by currency depreciation against the U.S. dollar.
India-specific funds experienced outflows of $302 million last week, the largest since June 2022. Total outflows from India, including allocation funds, reached $569 million, marking the highest since March 2022. This suggests a potential end to a significant cycle of foreign fund allocations to India, with a softer trend expected ahead.
Japanese retail flows to India turned negative for the first time since 2018, while Japanese investments in U.S. markets remained robust. The latest cycle, beginning in November 2022, saw India receive $8.6 billion from Japanese retail funds. Meanwhile, U.S. inflows hit a record $57.6 billion last week, reflecting sustained global risk appetite despite slower momentum.
