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Tata Group shares are in focus as former chairman Ratan Tata passed away at age 86. He was a pivotal figure in the company’s history. Tributes pour in from industry leaders and Prime Minister Modi. Shares of Tata Motors, Tata Steel, and Tata Consultancy Services have risen significantly in 2024. Tata companies will begin reporting second-quarter earnings today.

TCS is set to announce its Q2FY25 earnings, with analysts expecting revenue growth of up to 7.7% YoY, and net profit to rise by 8-10%. Key focus areas include discretionary spending, deal ramp-up, customer behavior post Fed rate cuts, and potential interim dividends.

The Indian market is expected to consolidate on Thursday, influenced by mixed global cues. The Nifty futures experienced a slight decline of 0.05%, closing at 25,119. Key options data indicate maximum Call OI at 25,500 and 26,000 strikes, while maximum Put OI is at 24,000 and 24,500. Analysts suggest a broader trading range of 24,600 to 25,500, with immediate levels between 24,800 and 25,300.

Brokerage firms have issued varied ratings on several stocks: HSBC and Jefferies maintain buy ratings on Varun Beverages and GMR Airports, respectively. Bernstein has an outperform call on PB Fintech, Axis Capital rates Tata Technologies as reduce, and UBS initiates a buy on 360 One, reflecting a mix of optimism and caution in the market.

The RBI projects CPI inflation to decrease to 4.1% in FY26 from 4.5% in the current fiscal. Economic growth is predicted to slightly decline to 7.1% in FY26. Key risks include geopolitical conflicts, uneven rainfall, and commodity price volatility, while strong domestic demand and government initiatives may support growth.

The yield on the most liquid 10-year government bond closed at 6.77% on Wednesday, five basis points lower than the previous close. Bond prices and yields move inversely. A fall in government bond yields brings down the cost of borrowing across the economy as sovereign debt is the benchmark used to price corporate debt.

"Expect sequential weakness in the September quarter due to slowdown in the UK business. BSNL deal ramp-up continues to provide support to growth, but overall growth will be weak in the quarter," said HSBC Securities and Capital Markets (India) in a preview report.

Supporters of the half-point cut "observed that such a recalibration of the stance of monetary policy would begin to bring it into better alignment with recent indicators of inflation and the labour market", said the minutes of the September 17-18 session, at which the Fed lowered the benchmark policy rate to a range of 4.75% to 5.00% from the 5.25% to 5.50% range it had maintained since July of 2023. Others noted there had been a "plausible case" to have cut rates at the July meeting and the data since then had only buttressed the case for easier policy.

Of the three new external members, Nagesh Kumar, director and chief executive, Institute for Studies in Industrial Development, voted for a cut, the central bank said.

The Adani Group is in discussions with a Middle Eastern sovereign fund to secure up to $1 billion for its airports business. They have also launched a qualified institutional placement to raise $500 million with a greenshoe option of an equal amount. The funding will support expansion in the airport sector.