Latest Stock Market News

"Infosys should be good for at least another Rs 25-30 on the upside over the very near-term. Traders could look at a target of Rs 1,520 approximately and stop loss at Rs 1460. The two other calls which I would probably want to focus on are Federal Bank and Hero MotoCorp."

Coming off the worst first-half since 1970, US equities now face a triple whammy of sticky inflation, recession risks and the threat to corporate profits from sinking consumer confidence. After just about everyone on Wall Street got their 2022 predictions wrong, investors are now focused on a toxic mix that spells stagflation, as well as more damage to valuations.

The Ministry of Finance on Friday increased export duties on select petroleum products and announced an additional windfall tax on gains made by domestic refineries.

The imposition of export duty on oil products is estimated to garner Rs 655 billion on an annual basis. But it comes as a detriment to corporate profits, just like the earlier move to impose a 15% export duty on steel has made steel exports uneconomical, thereby increasing inventory level and depressing price realization for steel players in the domestic markets.

Gold is considered a safe haven, as well as, an inflation hedge. However, it has struggled to gain despite increasing growth concerns, persisting inflationary pressures, and selling pressure in the equity market.

"Spot gold prices for 24-carat gold in Delhi surged by Rs 1,088 after India raised import duty on gold by 5 per cent," said Tapan Patel, Senior Analyst (Commodities) at HDFC Securities.

However, despite repeated requests from the US and UK they are refusing to increase the current output levels. Meanwhile, other OPEC members are struggling to maintain their output due to under investment and lack of maintenance undershooting their production quotas.

Indian stock markets are still expensive on an aggregate basis notwithstanding the higher growth that India is witnessing versus other emerging markets. Countries across the world are now targeting inflation by raising interest rates to counter inflationary pressures.

Many stalwarts like Microsoft Corp, Apple and Google-parent Alphabet Inc have suffered declines on par with or exceeding those in broader stock indexes this year, as jumbo rate hikes delivered by an inflation-fighting Federal Reserve hit the tech and growth names that led markets in previous years.

Investment tools for the two categories are often different. An investor would opt to buy large-cap shares and invest in bonds & mutual funds. Traders would prefer more volatile small & midcap shares and also use commodity & currency market fluctuations to make quick profits.