Indian Markets Cautious As US Tariff Jitters Weigh On Sentiment; FMCG Stocks Shine

Indian markets opened on a cautious note on Monday, with the Nifty hovering around the 25,450 level as investors await clarity on US tariffs, 

Reports suggest that a mini-trade deal between the US and India is likely to be announced within the next two to three days. On the other hand, US President Donald Trump issued a warning to BRICS member countries, threatening to impose a 10% additional tariff on any nation that aligns itself with 'anti-American' policies of the bloc. 

At 09:40 a.m. IST, the Nifty 50 traded 16 points higher at 25,477, while the Sensex rose 35 points to 83,468. Broader markets underperformed, with the Nifty Midcap and Smallcap indices falling 0.1%.

The retail sentiment on Stocktwits for Nifty has remained ‘bullish’. 

Sectorally, the FMCG index rose nearly 1%, while oil & gas stocks rallied as the OPEC+ hiked August output more than expected. On the other hand, stocks in metals, pharmaceuticals, IT, and media sectors saw selling pressure. 

Godrej Consumer shares rose by over 5% after the company guided for high-single-digit value growth in Q1. Dabur India gained 3% as the street reacted to its first-quarter operational update. Dabur expects its home care and personal care divisions to perform well. 

BEL was the top Nifty loser, down over 2%. The rest of the defense stocks also traded in the red: Paras Defence fell 7%, GRSE and BDL fell nearly 3%. 

Mahindra Lifespaces rose 2%  after launching a new residential tower in Pune with a total gross development value of nearly ₹2,500 crore. While Puravankara shares surged 4%, it has been selected as the preferred developer for the redevelopment of eight residential societies in Chembur, Mumbai.

Hazoor Multi Projects surged 17% after securing a ₹913 crore order from Apollo Green Energy for executing a 200 MW grid-connected solar photovoltaic project in Gujarat.

From a technical standpoint, SEBI-registered analysts on Stocktwits shared the trade setup. 

A&Y Market Research sees the Nifty intraday resistance between 25,648 and 25,662 and support between 25,308 and 25,322. For Bank Nifty, they peg resistance at 57,028-57,071 and support at 56,467-56,510.

Analyst Varunkumar Patel noted that for options buyers in the Nifty, key levels to watch are 25,550 on the call side and 25,400 on the put side, based on Nifty cash prices. If the Nifty crosses and sustains above 25,550 for more than 10 minutes, traders are advised to buy the next higher strike call option, such as the 25,600 CE. On the other hand, if the index falls below 25,400 and holds for 10 minutes, the strategy is to buy the next lower put strike, which is 25,350 PE. For risk management, a stop-loss should be set at 13% of the respective option's entry price, while the target should be set at a 25% profit.

Globally, Asian markets traded lower, while crude oil prices retreated after the OPEC+ producer group agreed to a bigger-than-expected supply boost late last week amid concerns over demand.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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