Articles by Ibt Business Desk

Gold, silver prices drop ahead of key US inflation data

Gold prices fell on Friday morning on the Multi Commodity Exchange (MCX), as investors awaited key US inflation data due later in the day. The MCX Gold December futures were down 0.44 per cent at Rs 1,23,552 per 10 grams, while MCX Silver December contracts declined 0.98 per cent to Rs 1,47,052 per kilogram. Experts said that gold prices were on track to end their nine-week winning streak, as heavy selling pressure pulled the yellow metal down from record highs. "The drop comes as investors book profits amid stretched valuations, renewed optimism over a potential US-China trade deal, and a stronger US dollar," they added. "Looking ahead, markets will focus on the release of US CPI data later today, updates on the US government shutdown, and next week's meeting between US President Donald Trump and Chinese President Xi Jinping," analysts said. Earlier this week, gold saw its biggest intraday fall in five years, dropping more than 5 per cent in a single session. Despite the recent correction, gold remains up over 50 per cent so far this year, supported by global trade tensions. Market focus has now shifted to the upcoming trade talks between US President Donald Trump and Chinese President Xi Jinping next week. In the international market, spot gold fell 0.2 per cent to $4,118.68 per ounce at 3:15 am GMT, marking its first weekly decline in ten weeks. Bullion has dropped about 3 per cent this week, heading for its biggest weekly loss since mid-May. A stronger US dollar also weighed on gold prices, making the metal more expensive for holders of other currencies. The dollar index rose for the third straight session. Market attention is now on the US Consumer Price Index (CPI) report, which is expected to show that core inflation stayed at 3.1 per cent in September. The release of this report was delayed earlier due to a temporary government shutdown. Investors are also factoring in a likely 25-basis-point interest rate cut by the US Federal Reserve next week. Lower interest rates generally boost gold prices, as they reduce the opportunity cost of holding the non-yielding asset. (With inputs from IANS)

Oct 24, 2025

Technology

Sensex, Nifty open lower amid US-China trade tension

Indian stock markets opened lower on Friday amid reports that the United States may launch a fresh investigation into China over their 2020 trade deal. Rising oil prices, driven by new US sanctions against Russia, also weighed on investor sentiment. At the opening bell, the Sensex was down 113 points, or 0.13 per cent, at 84,443, while the Nifty slipped 27 points, or 0.10 per cent, to 25,866. Commenting on Nifty's technical outlook, analysts said, "The index continues to exhibit a sideways to bullish bias, holding firmly above key support levels at 25,700 and 25,750." "Immediate resistance is placed at 25,950, with further upside targets at 26,000 and 26,100. The overall trend remains bullish, provided the index sustains above 25,780 on a closing basis," they added. Heavyweights such as Hindustan Unilever, Kotak Bank, Axis Bank, Titan, Power Grid, ITC, NTPC, Tech Mahindra, Maruti Suzuki, and Axis Bank were among the top laggards, losing up to 3.5 per cent. On the other hand, ICICI Bank, Tata Steel, Bharat Electronics (BEL), Mahindra & Mahindra, Bharti Airtel, HDFC Bank, and State Bank of India were trading in the green, helping limit the overall losses. In the broader markets, buying activity continued as the Nifty MidCap index inched up 0.05 per cent, and the Nifty SmallCap index added 0.09 per cent. Sector-wise, metal stocks were the top performers, with the Nifty Metal index rising 1 per cent, followed by modest gains in the Realty and Financial Services indices. However, FMCG stocks faced pressure, with the Nifty FMCG index falling 1.4 per cent, making it the biggest sectoral loser of the day. "Given the current setup of heightened volatility and mixed market signals, traders are advised to adopt a cautious "buy-on-dips" approach, especially when using leverage," market analysts said. Booking partial profits during rallies and maintaining tight trailing stop-losses will be key to managing risk effectively, as per the analysts. (With inputs from IANS)

Oct 24, 2025

Technology

Strong Q2 growth, GST reforms to help India's growth expand at 6.6 pc this year: IMF

India's economy is projected to expand at a healthy pace of 6.6 per cent this year (FY26), up from 6.5 per cent in 2024 (FY25) -- owing to strong Q2 growth and GST 2.0 reforms, the International Monetary Fund (IMF) on Friday said in its latest regional economic outlook report for Asia. The forecast for India has improved since April 2025 as strong Q2 growth and the goods and services tax (GST) reform are expected to outweigh the negative effects of higher US tariffs on demand for Indian goods. India's growth is expected to moderate to 6.2 per cent in 2026, according to the IMF report. "Economies in the Asia-Pacific region have been resilient in 2025, posting stronger-than-expected economic growth in the first half of the year amid external and domestic challenges. Nevertheless, higher US tariffs and increasing protectionism will likely reduce demand for Asian exports and eventually weigh on growth in the near-term," said the IMF. China's growth is expected to moderate to 4.8 per cent in 2025, from 5.0 per cent in 2024. "India will still expand at a healthy pace of 6.6 per cent this year, the most among major emerging economies," the IMF noted. The latest IMF report further stated that higher US tariffs and increasing protectionism will likely reduce demand for Asian exports and eventually weigh on growth in the near-term. "Amid these forces, policies should focus on increasing regional integration by reducing barriers to trade and investment, and boosting productivity growth with better financial intermediation and allocation of capital. Additional measures to support the services sector, mitigate the impact of population aging, and upgrade policy frameworks are critical for resilient and sustainable growth, and would help prepare for future shocks," the report suggested. Growth in Asia is expected to hold broadly steady in 2025 and moderate noticeably in 2026, given building negative effects of higher US tariffs and headwinds to medium-term potential growth. "Reflecting the higher tariffs and higher trade policy uncertainty, GDP growth forecasts for most Asian countries in 2025 and 2026 are below those of October 2024 — China and India being notable exceptions," the IMF report noted. The IMF projects Asia's economy to expand 4.5 per cent in 2025, slowing from 4.6 per cent last year but up 0.6 percentage point from its estimate in April, due to strong exports driven in part by front-loading of shipments ahead of higher US tariffs. Asia is projected to continue to contribute around 60 per cent of global growth in 2025 and 2026. Inflation is expected to stay soft in 2025 in most emerging markets and move closer to targets in 2026, said the IMF. (With inputs from IANS)

Oct 24, 2025

Technology

Sensex, Nifty extend winning streak for 6th day, led by IT stocks

Equity benchmark indices continued their upward momentum for the sixth consecutive session on Thursday, supported mainly by strong buying in IT stocks. However, both indices ended the day off their highs as some profit booking emerged later in the session. The Sensex touched a new 52-week high of 85,290 during the day, gaining as much as 864 points. It finally settled with a modest rise of 130 points, or 0.15 per cent, at 84,556. The Nifty also surged to an intra-day high of 26,104 before closing almost flat at 25,891, up 23 points. Analysts said that the Nifty completely erased its morning gains during the day; nevertheless, the short-term trend remains strong. "On the daily chart, a large red candle has formed, indicating the possibility of a pullback towards the 25,700 level in the next few days. However, the short-term trend remains intact, with the potential to revisit higher levels around 26,200 in the next 10–15 days," market experts said. Infosys led the rally among Sensex stocks, jumping 4 per cent after its promoters decided not to participate in the company's Rs 18,000 crore share buyback. Other IT stocks followed suit, with HCL Technologies and TCS climbing more than 2 per cent each amid reports that India and the US may soon sign a trade deal. Among other gainers, Axis Bank, Kotak Mahindra Bank, Titan, and Tata Motors rose over 1 per cent each. On the losing side, Eternal dropped 3 per cent to become the top Sensex laggard, while Bharti Airtel, Ultratech Cement, ICICI Bank, and Reliance slipped between 1 and 2 per cent. In the broader market, sentiment remained weak. The BSE MidCap index declined 0.2 per cent, and the SmallCap index fell 0.5 per cent. Among sectors, IT was the standout performer, with the BSE IT index rising 2.2 per cent. Textile and shrimp-related stocks also saw strong gains on optimism surrounding the potential US-India trade deal. Rupee saw a positive move of 0.19 paise, settling at 87.82 -- up by 0.22 per cent, as optimism around a potential US tariff deal provided support to the domestic currency. (With inputs from IANS)

Oct 23, 2025

Technology

UPI clocks highest ever single-day payments of Rs 1.02 lakh crore as GST rate cuts spur demand

Finance Minister Nirmala Sitharaman highlighted on Thursday that the unified payments interface (UPI) platform processed 754 million payments worth Rs 1.02 lakh crore on October 18, marking the highest single-day tally, as consumer demand surged due to the GST rate cuts. During the three-day period between Dhanteras and Diwali, the average UPI volumes stood at 736.9 million — higher than 647.46 million in the corresponding period a month ago, the Finance Minister said. "It has been a cracker of a Diwali for retailers this year as GST rate cuts have boosted consumption, enabling the middle class to add more items to their shopping bags this festive season," she observed. From lab-grown diamonds to casual wear and products to adorn homes, both mass and premium segments of the market picked up, Sitharaman remarked. She pointed out that the roll-out of Goods and Services Tax (GST) 2.0 has injected fresh momentum into India's growth story by enhancing household purchasing power, easing business operations, and simplifying tax administration. "By rationalising slabs and lowering rates across a range of consumer goods, the reform has delivered tangible savings for households, freeing up disposable income and helping stimulate demand," the Finance Minister added. According to the Confederation of All India Traders (CAIT), Diwali sales soared to an all-time high of Rs 6.05 lakh this year. This marks a 25 per cent jump over the 2024 festive sales of Rs 4.25 lakh crore from the Navratri to Diwali period and is the highest-ever sales in India's trading history, according to Research and Trade Development Society, the research wing of CAIT. Mainline retail accounted for nearly 85 per cent of total sales, indicating a strong revival of the brick-and-mortar market, the survey showed. The reduction in GST rates across key consumer and retail categories such as confectionery, home decor, footwear, and ready-made garments, consumer durables and daily use items significantly improved price competitiveness and increased purchase momentum. About 72 per cent of surveyed traders reported higher sales volumes directly attributable to reduced GST, according to the survey. Consumers expressed greater satisfaction with stable prices amid festive demand, aiding consumption continuity post-Diwali. The non-corporate and non-agricultural sector has emerged as a central pillar of India's growth, driven by 9 crore small businesses, crores of small manufacturing units and the largest base of consumers. (With inputs from IANS)

Oct 23, 2025

Technology

Bhai Dooj generates Rs 22,000 crore in business across India: CAIT

The festival of Bhai Dooj brought festive cheer and strong business momentum across India this year, generating an estimated Rs 22,000 crore in trade, according to the Confederation of All India Traders (CAIT) on Thursday. Delhi alone contributed nearly Rs 2,800 crore to this massive festive turnover, as people celebrated the special bond between brothers and sisters with gifts, sweets, and traditional rituals. Bhai Dooj, a festival that marks the love and affection between siblings, was celebrated with great enthusiasm across cities, towns, and villages on Thursday. From applying tilak and exchanging gifts to family gatherings and festive feasts, the day was filled with joy and togetherness. Markets across major cities -- including Delhi, Mumbai, Jaipur, Ahmedabad, Lucknow, Kolkata, Chennai, Hyderabad, Bengaluru, Pune, and Indore -- witnessed heavy footfall as shoppers flocked to buy sweets, gifts, apparel, jewellery, and festive items. According to CAIT, key categories that saw strong demand included sweets and dry fruits, garments and sarees, jewellery and accessories, electronics, home appliances, and gift hampers. Travel, cab services, restaurants, and hotels also reported a surge in business activity. Praveen Khandelwal, Member of Parliament from Chandni Chowk and National Secretary General of CAIT, said that Bhai Dooj not only strengthens family relationships but also contributes significantly to India's economy. "Bhai Dooj is not merely a family festival; it is the very soul of Indian culture that reinforces the spirit of love, sacrifice, and respect within familial relationships," he said. Khandelwal added that this year's celebrations also supported the government's 'Vocal for Local' and 'Aatmanirbhar Bharat' initiatives, as traders encouraged the sale of indigenous products. CAIT reported that sales of Swadeshi goods rose by nearly 50 per cent compared to last year, with strong demand for traditional sweets, handcrafted gifts, dry fruits, and handloom garments. Highlighting the wider economic impact, Khandelwal noted that such festivals showcase the resilience of India's non-corporate and non-agricultural sector, which plays a vital role in driving the country's growth. CAIT believes that occasions like Bhai Dooj not only promote social harmony but also rejuvenate India's traditional market culture by inspiring consumers to choose Swadeshi products, strengthening the spirit of self-reliance in the Indian economy. (With inputs from IANS)

Oct 23, 2025

Technology

Indian investors earn up to 72 pc returns from global mutual funds

Indian investors who explored opportunities beyond domestic equities have seen impressive gains over the past year, with several international mutual funds and fund-of-funds (FoFs) delivering returns as high as 72 per cent. These funds outperformed even the best-performing Indian equity categories, thanks to global rallies driven by technology, artificial intelligence, consumer spending, and commodities. According to data from ACE Mutual Fund as of October 20, the top 10 international funds delivered one-year returns ranging between 33 per cent and 72 per cent. In comparison, the benchmark Nifty rose only 5.7 per cent during the same period. The Mirae Asset NYSE FANG+ ETF FoF topped the chart with a stellar one-year return of 71.78 per cent and a three-year return of 62.72 per cent. Close behind was the Invesco Global Consumer Trends FoF, which surged 52.65 per cent, benefiting from the strong performance of global consumer brands and digital commerce companies. Broader US-focused strategies also posted solid gains. The Mirae Asset S&P 500 Top 50 ETF FoF returned 49.91 per cent, while the Motilal Oswal Nasdaq 100 FoF delivered 42.48 per cent in a year. Diversification beyond technology also proved rewarding. The DSP World Mining Overseas Equity FoF gained 32.83 per cent, supported by higher global commodity prices and improved capital discipline among leading mining companies. Overall, global diversification has clearly paid off for Indian investors this year, as international markets -- especially those driven by AI, technology, and resources -- delivered far stronger returns than domestic equities. Meanwhile, gold and silver prices stabilised around $4,050 and $48 per ounce after a sharp correction in the last two session as investors booked profits from Monday record highs. "The pullback reflected a shift toward risk assets amid optimism over US–India trade relations, weakening gold's safe-haven demand. Seasonal demand in India also eased, putting pressure on physical markets," experts noted. (With inputs from IANS)

Oct 23, 2025