JKB Financial Services Ltd.

As on : 13-Jun-2025

Market Commentary - Mid-Session
13-Jun-2025 12:36

Nifty trades below 24,750 mark; FMCG shares decline

The key domestic indices traded in negative terrain with significant losses in early afternoon trade, weighed down by negative global sentiment after Israel declared a state of emergency following strikes on Iranian nuclear and strategic sites. Market participants moved toward safe-haven assets, while investors closely tracked trends in Brent crude oil prices. The Nifty traded below the 24,750 mark.

FMCG shares declined for the third consecutive trading session.

At 12:25 IST, the barometer index, the S&P BSE Sensex, declined 567.79 points or 0.69% to 81,118.36. The Nifty 50 index fell 178.70 points or 0.72% to 24,710.80.

The broader market outperformed the frontline indices, the S&P BSE Mid-Cap index slipped 0.51% and the S&P BSE Small-Cap index dropped 0.46%.

The market breadth was weak. On the BSE, 1,270 shares rose and 2,548 shares fell. A total of 155 shares were unchanged.

MCX Gold futures for 5 August 2025 settlement jumped 1.57% to Rs 99,949.

In the commodities, Brent crude for August 2025 settlement jumped $4.20 or 6.06% to $73.56 a barrel amid heightened geopolitical tensions

Economy:

India's Consumer Price Index (CPI)-based inflation eased to 2.82% in May 2025, down 34 basis points from April's 3.16%, marking the lowest reading since February 2019. A key driver of the decline was food inflation, which dropped to 0.99%, the lowest since October 2021, significantly below both April's 1.78%.

Derivatives:

The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, up 7.13% to 15.02. The Nifty 26 Jun 2025 futures were trading at 24,744.80, at a premium of 34 points as compared with the spot at 24,710.80.

The Nifty option chain for the 26 June 2025 expiry showed a maximum call OI of 61.6 lakh contracts at the 26,000 strike price. Maximum put OI of 50.1 lakh contracts was seen at the 24,000 strike price.

Buzzing Index:

The Nifty FMCG index fell 1.05% to 54,527.15. The index dropped 2.97% for the three consecutive trading sessions.

United Spirits (down 2.26%), United Breweries (down 2.09%), Colgate-Palmolive (India) (down 2.02%), Godrej Consumer Products (down 1.73%), Varun Beverages (down 1.37%), Tata Consumer Products (down 1.35%), Emami (down 1.17%), Dabur India (down 1.16%), Hindustan Unilever (down 0.93%) and ITC (down 0.9%) declined.

Stock in Spotlight:

TANFAC Industries rallied 4.04% after the company announced that it has has successfully commissioned its 5,000 tonnes per annum (TPA) Solar Grade Dilute Hydrofluoric Acid (DHF) plant.

CSB Bank shed 0.87%. The company announced that Reserve Bank of India (RBI) has approved the reappointment of Pralay Mondal as managing director (MD) & CEO of the bank for a period of three years with effect from 15 September 2025.

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