Markets Brace for RBI Rate Cut Boost Amid DII Power Play, Global Tug-of-War, and a Wave of Corporate Momentum

Today's Market at 08:00am
US Market (Futures)
      Nasdaq = -2.30
      Dow Jones = +102.80
      S&P 500 = +8.10
European (Futures)
      Ftse 100 = +2.70
      Cac 40 = +19.50
      Dax = -62.50
Asian
      Nikkei 225 = +275.00
      ASX 200 = +17.00
      Straits Times = +1.97
      Hang Seng = -103.50
      KOSPI = +4.60
      Taiwan weighted = -32.60
      Shanghai (SSE) = -0.19
Gift Nifty = 24848.00 (+14.00)

FII and DII Trading Activity June 5, 2025 in Cash market:
FIIs: Net Sell of ₹208.47 crore
DIIs: Net Buy of ₹2,382.40 crore

RBI Monetary Policy Outcome (10:00 AM)
The repo rate is expected to see a shallow cut of 25 basis points to 5.75% during the MPC. The rate sensitive sectors like banks, NBFCs, automobile and housing will be in focus

The Reserve Bank of India's Monetary Policy Committee, led by RBI Governor Sanjay Malhotra, had cut the repo rate by 25 basis points each in February this year, followed by another in April. These cuts reduced the key lending rate to 6%. Further, the RBI also changed its stance from 'neutral' to 'accommodative' in April. Accordingly, most banks reduced their repo-linked lending rates.

Key Corporate Developments and Updates:

Ashok Leyland: The company received Letters of Intent worth ₹1,387 crore from the Motor Vehicles Department, indicating strong order inflow. [Positive]

JSW Energy: Subsidiary JSW Renew Energy signed a 25-year PPA with Adani Electricity Mumbai for a 250 MW wind capacity at ₹3.65/KWh, providing long-term revenue visibility. [Positive]

Praj Industries: Signed a strategic agreement with Paraguay-based Enersur SA for a large-scale biorefinery project, expanding international footprint and diversification. [Positive]

Power Grid Corp: Commissioned a key transmission network expansion project in Gujarat, contributing to operational growth. [Positive]

Ashoka Buildcon: Received LOIs for implementing Intelligent Traffic Management Systems across Maharashtra, which adds to its order book. [Positive]

Ireda: Board approved fundraising of up to ₹5,000 crore via QIP with up to 5% discount, which is routine capital raising. [Positive]

Imagicaaworld Entertainment: The company has executed a facility agreement worth Rs 275 crore with HDFC Bank to avail a loan for financing the purchase of the park business undertaking—Wet’n Joy (Amusement Park and Water Park) at Lonavala and Wet’n Joy (Water Park and Saiteerth Devotional Theme Park) at Shirdi—from Giriraj Enterprises. [Positive]

Coal India: Signed a non-binding MoU to develop rail infrastructure with Indian Port Rail and Ropeway Corp. It's an early-stage collaboration. [Neutral]

Life Insurance Corp: Appointment of Executive Director Ramakrishnan Chander as CIO is a standard leadership update. [Neutral]

Mphasis: Launched a Centre of Excellence for financial services in Argentina, indicating a strategic initiative but not material to financials yet. [Neutral]

Life Insurance Corp: Appointment of Executive Director Ramakrishnan Chander as CIO is a standard leadership update. [Neutral]

Ceat: Scheduled board meeting to consider issuing ₹500 crore worth of NCDs, which is a typical debt financing move. [Neutral]

Bajaj Finserv: Promoters plan to sell ₹5,800 crore worth of shares via open market, potentially increasing supply and causing stock overhang. [Negative]

Shyam Metalics: Despite YoY rise, stainless steel sales fell 2% MoM and price realization dropped 0.2% YoY, showing weak pricing power. [Negative]

Bulk Deals
Hilton Metal Forging
Promoter Yuvraj Hiralal Malhotra has sold a 0.56% stake (1.31 lakh shares) in the company.
Khadim India
Bandhan Mutual Fund has sold 1 lakh shares in Khadim India.

SME Listing on June 6
3B Films
Stocks Trade Ex-Dividend
Bank of Baroda, Tata Steel, Container Corporation of India, HDFC Asset Management Company, High Energy Batteries India, ICICI Lombard General Insurance Company, IFGL Refractories, IndiaMART InterMESH, JSW Energy, Dr Lal PathLabs, L&T Technology Services, Maithan Alloys, Nicco Parks & Resorts, Panchsheel Organics, QGO Finance, Ramkrishna Forgings, TAAL Enterprises, Technocraft Industries (India), Torrent Power, Toss The Coin
Stock Trades Ex-Date for Spin Off
Khadim India
Stock Trades Ex-Bonus
Shilchar Technologies
Stock Trades Ex-date for Buyback
SIS
Stock Trades Ex-Date for Rights
Som Datt Finance Corporation
Stocks in F&O Ban
Aditya Birla Fashion and Retail (ABFRL), Chambal Fertilisers and Chemicals, Manappuram Finance

Source: NDTV Profit, Financial Express, Moneycontrol, NSE India, Investing.com