Monthly Market Wrap | February 2025

What’s Trending?

Rupee Hits Record Low of 87.59/USD

• New Low: Rupee closes at 87.59 per USD on February 6.
• Rate Cut Pressure: Expectations of an RBI rate cut weaken the currency.
• Global Impact: US trade tariff concerns add to volatility.

RBI Cuts Repo Rate by 25 bps to 6.25%

• First Cut in 5 Years: RBI lowers the repo rate to 6.25% on February 7.
• Neutral Stance: Governor Sanjay Malhotra highlights policy flexibility.
• Market Impact: Lower rates may boost borrowing and growth.

US Imposes New Trade Tariffs

• Higher Duties: President Trump announces 25% tariffs on steel and aluminium, effective March 12.
• More to Follow: Additional tariffs on autos, pharmaceuticals, and semiconductors expected by April 2.
• Market Reaction: Investors remain cautious amid trade tensions.

GSK Pharma Surges 20% on Strong Q3 Results

• Stock Hits Upper Circuit: Shares rise 20% to ?2,421 on February 17.
• Robust Growth: Revenue up 18% YoY to ?949 crore.
• Profit Boom: Net profit jumps fivefold to ?230 crore, boosting investor confidence.

Factors that will drive the market in March 2025

India’s Q3 GDP Data Release

• Release Date: February 28.
• Growth Indicator: Key metric for economic outlook before the RBI’s next meeting.

US Federal Reserve Meeting

• Next Meeting: March 18-19, 2025.
• No Change Yet: The Fed holds rates at 4.25%-4.5% in January.
• Market Watch: Investors await signals on future policy moves.?

PMI Data Release for February

• Manufacturing & Services PMI: Data expected in early March.
• Growth or Slowdown? A reading above 50 indicates expansion.
• Sector Impact: FMCG, Auto, and Pharma in focus.