Key Indian Stocks to Watch Out for on June 12 Amid Inflation and Global Market Dynamics

On June 12, 2024, the Indian stock market will operate under the influence of various domestic and international economic events. One such key local factor is the anticipation of private sector capital expenditure (capex) increase post-general elections, especially in fiscal year 2025, according to Larsen & Toubro (L&T).

Market Indices and Global Influence

Early in the day, the GIFT Nifty was slightly down, impacted by the broader Asian market's performance. Key indices like Hong Kong's Hang Seng and Japan's Nikkei experienced declines, while South Korea's Kospi managed to stay in green. China's inflation data reported a steady rate, falling short of the estimates, which could signal caution to investors tracking the Asia-Pacific economies.

Meanwhile, the US stock market witnessed a mixed outcome with the S&P 500 and Nasdaq Composite achieving new highs, juxtaposing the Dow Jones Industrial Average's decrease. This came ahead of a highly anticipated decision from the US Federal Reserve, which could potentially sway global markets, including India's.

Corporate Highlights and Announcements

L&T, in its Annual Report, suggests that while the current year saw moderated private industrial capex, there is an optimistic outlook for the next fiscal with drivers such as global supply chain diversification and the Indian government's PLI scheme. Yet, L&T remains wary of global geopolitical tensions, financial volatility, and climate-induced disruptions which could pose significant challenges.

Cipla is due to appeal a recent unfavorable decision regarding input tax credit claims for FY 2017-18, while Patanjali Foods discusses a potential business realignment with Patanjali Ayurved's non-food business that is under due diligence.

Tata Consultancy Services (TCS) continues to push the envelope in technological services as it opens a new IoT engineering lab in the US to foster innovative solutions in AI and IoT.

TVS Supply Chain Solutions has secured a five-year contract for services in Singapore with Daimler Truck South East Asia, marking significant company growth. Additionally, Dollar Industries targets substantial sales growth in South India, aiming to derive a sizable portion of its revenue from this region.

Tube Investments of India, together with its subsidiary, has struck a financial agreement for convertible shares, marking yet another key business development in the sector.

Stocks, Economy, Markets