The Economic Times News

In a recent report, the brokerage has identified seven smallcap stocks spanning utilities, financials and consumer discretionary that could offer value and potentially deliver returns of up to 54% over the next year.

Despite the modest market rally, 15 stocks from the BSE 500 index recorded gains in all five sessions.

India's 2026 IPO market begins cautiously with no mainboard issues, focusing instead on three SME offerings in infrastructure, electric mobility, and textiles. Gabion Technologies, Victory Electric Vehicles, and Yajur Fibres are set to launch their public issues next week, aiming to raise funds for expansion and working capital amidst a typical slow start to the year.

Markets kicked off the new year with a strong rally, mirroring 2025's trend. Investors saw significant gains across stocks, bonds, and commodities, driven by AI enthusiasm and easing inflation. However, this broad synchrony raises concerns about diversification's effectiveness and the sustainability of future returns, with some experts warning of anemic growth ahead.

The U.S. stock market anticipates a dynamic start to 2026, with crucial jobs data on January 9th poised to signal the Federal Reserve's next move on interest rates. Investors are also keenly awaiting Supreme Court decisions on tariffs and a new Fed chair, alongside the upcoming corporate earnings season.

Major hedge funds like D.E. Shaw and Bridgewater Associates achieved significant double-digit gains in 2025, fueled by an AI-driven stock market rally and global economic volatility. These top performers navigated a year of record fluctuations, with some funds posting their highest profits ever, attracting substantial investor interest.

Markets anticipate a busy start to the year. Key U.S. jobs data is due. OPEC+ meets on oil output. Commodity indexes rebalance. Initial public offerings are expected to increase. Investors remain optimistic despite potential risks from U.S. Supreme Court rulings and a new Federal Reserve chair announcement.

Berkshire Hathaway's post-Buffett era commenced with a slight dip in shares as Greg Abel assumed the CEO role. The conglomerate, now valued over $1 trillion, faces challenges finding needle-moving acquisitions amidst a record cash pile. Abel inherits a strong financial position, with Buffett remaining as chairman to support the transition.

Major indexes like the Dow and S&P 500 closed higher on Friday, ending a four-day losing streak to begin 2026. Chip makers, industrials, and utilities fueled the gains, while tech giants and consumer discretionary stocks saw declines.

ITC shares plummeted to a three-year low following a government excise duty hike on tobacco products. Brokerages downgraded the stock, citing fears of dampened cigarette demand and significant impact on profitability. Investors are advised to wait for clarity on price hikes and volume trends before considering buying.

IndusInd Bank announced the resignations of two senior executives, Rana Vikram Anand and Anish Behl, who are leaving to explore new opportunities. Anand will depart in April 2026, while Behl's tenure concludes in January. These departures follow a series of senior-level exits, though the bank has simultaneously bolstered its leadership with recent appointments in wholesale banking, data, and human resources.

Adani Enterprises is launching a public issue of non-convertible debentures to raise up to one thousand crore rupees. The issue offers various tenors and interest payment options. This fundraising aims to meet the company's financing needs, including refinancing and general corporate purposes. The debentures are rated CARE AA- and AA- (Stable) by respective agencies.

Sebi is developing an AI-powered tool to analyze the cyber safety preparedness of regulated entities, aiming to strengthen risk-based supervision. Additionally, a working group is being formed to create a technology roadmap for market infrastructure institutions, ensuring innovation enhances market integrity.

The Indian rupee depreciated by 22 paise to settle at 90.20 against the US dollar on Friday. This decline was attributed to disappointing macroeconomic data, foreign fund outflows, and strong dollar demand from importers. However, weak crude prices and a surge in domestic equities provided some support.

Indian benchmark indices, Nifty50 and Sensex, closed at record highs on Friday, marking their best weekly gains in seven weeks. This surge followed a period of range-bound trading, with analysts predicting further upward movement. Market participants anticipate significant gains for both indices in 2026, despite a cautious VIX.

President Trump has ordered the divestment of a $2.9 million computer chips deal, citing national security concerns. The transaction, involving Emcore Corp. and HieFo Corp., was previously announced during the Biden administration. Trump's executive order demands HieFo, reportedly owned by a Chinese citizen, relinquish the technology within 180 days.

PRAGATI has fast-tracked over 3,300 delayed projects worth Rs 85 lakh crore, resolving land, forest and clearance hurdles, and accelerating mega infrastructure works like the Kashmir rail link and Navi Mumbai airport.

Old income tax demands from as early as 2005 are resurfacing on tax portals, with accumulated interest often exceeding the principal amount. This digitisation effort has created a piquant situation, as taxpayers may challenge the validity of these demands due to potential issues with timely delivery of notices and assessment orders.

Vodafone Idea's promoters will settle legacy merger liabilities worth 3,529 crore by earmarking 3.28 billion equity shares. This follows an amended agreement securing 5,836 crore, with 2,307 crore in cash and the rest via shares held by three Vodafone promoter entities. These shares, representing 3.03% of Vi's equity, will be sold over five years.

India now permits full foreign ownership in insurance firms. However, industry experts believe this change will not immediately bring many new foreign companies. Setting up an insurer requires substantial investment and a long-term view in a competitive market. Existing joint ventures might see increased stakes, but new ventures from scratch are unlikely.

India is preparing a policy road map to protect senior citizens from digital scams, with Niti Aayog working on a multi-ministerial action plan. The plan will focus on digital literacy, stronger security and coordinated monitoring as cases of digital arrest fraud rise. The initiative will form part of broader elderly care measures, with details likely in Budget 2026-27.

India has launched a significant export support package worth 7,295 crore. This initiative aims to make trade finance faster and cheaper for exporters. The package includes an interest subvention scheme and collateral support. These measures will be implemented over six years, starting from 2025. The goal is to boost India's exports by addressing critical trade finance challenges faced by businesses.

Indias new Labour Codes are expected to boost hiring by giving firms greater flexibility to restructure operations. The Industrial Relations Code raises the threshold for government approval for layoffs and closures to 300 workers from 100, easing compliance for MSMEs and mid-sized firms. Experts say labour-intensive sectors will benefit most, though some warn of higher labour turnover and income volatility.

India's manufacturing sector experienced a slowdown in December, reaching a two-year low as new orders, output, and employment eased. Despite this, the industry concluded 2025 on a resilient note, with strong demand expected to sustain activity. While export orders saw a dip, manufacturers anticipate future growth, though business sentiment has softened.

Indias forex reserves rose by $3.3 billion to $696.61 billion in the week ended December 26, RBI data showed. The increase was led by a sharp $2.95 billion jump in gold holdings and a modest rise in foreign currency assets. Reserves remain near record highs, providing cover for 910 months of imports amid global volatility.

The Indian government has designated core customs and indirect tax digital platforms, including ICEGATE, ECCS, and ACES-GST, as critical information infrastructure. This move significantly enhances cybersecurity controls and restricts access to authorized personnel only. Unauthorized access to these protected systems now carries criminal penalties under the Information Technology Act.

Sebi has introduced a phased hike in net-worth and liquid capital norms for merchant bankers starting January 2026, alongside tighter underwriting limits, governance standards and revenue thresholds. The move aims to strengthen market intermediaries amid Indias booming IPO pipeline, ensuring stronger compliance, better capital buffers and improved investor protection.

Indias core industries are transforming as the nation advances toward Viksit Bharat. In 2026, technology-led reinvention, sustainability, and talent transformation are key drivers. AI, smart systems, and digitalization are reshaping manufacturing, energy, healthcare, and finance, while companies focus on low-carbon operations and workforce upskilling.

Sebi has cleared eight companies, including Indira IVF, Chartered Speed, Glass Wall Systems, Shriram Food Industry, RKCPL, Tempsens Instruments, Jerai Fitness and Rays of Belief, to proceed with IPO plans. The approvals span healthcare, mobility, infrastructure and consumer sectors, signalling steady regulatory momentum ahead of an expected listing window in 2026.

Sebi Chairman Tuhin Kanta Pandey said the Sensexs 40-year journey mirrors Indias transformation from manual, inward-looking markets to a globally integrated, technology-driven ecosystem. Speaking at a BSE event, he highlighted how the indexs evolving composition reflects shifts in industry, governance, innovation and long-term value creation across decades.

Cupid expects Q3 FY26 to be its best-ever quarter, driven by strong demand and smooth execution. The company said its order book is at a record high and expressed confidence in surpassing its FY26 revenue and profit guidance. Capacity expansion and new FMCG products are also progressing as planned.

Tesla is no longer the leading electric vehicle maker globally. Chinese company BYD has surpassed Tesla in sales. Tesla's deliveries decreased in 2025, falling short of expectations. This decline is attributed to customer dissatisfaction with Elon Musk's politics and increased overseas competition.

The Dow Jones Industrial Average rose 42.7 points, or 0.09%, at the open to 48,105.98. The S&P 500 rose 32.6 points, or 0.48%, at the open to 6,878.11, while the Nasdaq Composite rose 239.5 points, or 1.03%, to 23,481.493 at the opening bell.

Ahmedabad, Adani Enterprises Limited (AEL), the flagship company of the Adani Group, on Friday announced the launch of its third public issuance of secured, rated, listed, redeemable, non-convertible debentures (NCDs) of Rs 1,000 crore, offering up to 8.90 per cent per annum.

Avenue Supermarts, operator of DMart, posted a 13% YoY increase in standalone Q3 revenue to Rs 17,613 crore, while its store count rose to 442. The provisional update reflects steady growth momentum for the retail chain, supported by continued expansion and consistent improvement in revenue across its operations.

PNB reported a steady Q3 update with global business rising 9.6% YoY to Rs 28.92 lakh crore and advances growing 11%. Deposits saw healthy expansion, while domestic business improved 9% YoY. The banks shares gained over 1% as it continued to trade above key moving averages, reflecting strong investor interest.

Five Sensex heavyweights, Maruti Suzuki, SBI, Reliance Industries, L&T, and M&M, hit fresh 52-week highs on Friday amid a strong market rally.

LIC has incurred losses of over Rs 10,400 crore in just two days as ITC shares plunged 14% following a steep excise duty hike on cigarettes. The tax increase triggered heavy selling and multiple broker downgrades, with analysts warning that significant price hikes may be required to offset the higher duty burden.

India's foreign exchange reserves surged by $3.29 billion to $696.61 billion in the week ending December 26, 2025. This marks a second consecutive week of growth, following a substantial $4.36 billion increase in the preceding week. The Reserve Bank of India's data highlights a robust upward trend in the nation's forex holdings.

Indian government bonds slipped on Friday after a weak auction revived supply concerns, with traders wary ahead of the states' January-March borrowing calendar due later in the day.

Marico delivered a steady Q3 performance with revenue growth in the high twenties and improving India volumes. Lower copra costs aided margins, while Parachute remained resilient and value-added hair oils grew strongly. International markets posted double-digit growth. Marico expects sustained volume-led expansion and sequential margin improvement in the coming quarters.

The government has unveiled a Rs 7,295-crore export support package, including a Rs 5,181-crore interest subvention scheme and Rs 2,114-crore collateral support, to enhance exporters' access to credit. These initiatives, spanning 2025-31, aim to address trade finance challenges, offering subsidies and guarantees to eligible MSMEs, particularly for defence and SCOMET products.

Siddhartha Bhaiya, the celebrated contrarian investor behind the India Opportunities Fund, built a 33% CAGR track record by spotting smallcap and midcap multibaggers early. His bold callsfrom raising 80% cash to shifting heavily into gold ETFsturned Rs 10 lakh into Rs 4 crore in 13 years, cementing his legacy.

The Central Information Commission has upheld the denial of exporter-wise details for limestone sold to Bangladesh. This information is protected under the commercial confidence clause. The commission stated that releasing such data could harm exporters' competitive positions. No overriding public interest was found to justify disclosure.

ICICI Bank introduces a Capital Gains Account Scheme starting January 1, 2025. This scheme allows resident individuals and HUFs to deposit long-term capital gains for tax exemption. Funds can be parked for up to three years in savings or term deposit accounts. This offers a solution for taxpayers unable to reinvest gains before the ITR deadline.

Indian equity benchmarks ended Fridays session firmly in the green, supported by strong buying in auto, metal and PSU banking stocks. While Ola Electric and Coal India emerged as key gainers, stocks such as ITC and Cupid witnessed sharp selling pressure.

In a significant move, gig and platform workers will soon be required to log a minimum number of working days to qualify for social security benefits. Proposed regulations indicate a threshold of 90 days with a single aggregator or 120 days across various platforms each year. This initiative is designed to integrate workers into essential programs like Ayushman Bharat.

Prateek Agarwal, MD & CEO of MOAMC says 2026 could mark a selective recovery for Indian equities as earnings improve, valuations ease and foreign investors return. After a narrow, FPI-driven market in 2025, broader participation may emerge if Q3Q4 results remain strong and currency stability supports renewed global risk appetite.

Banks can now sponsor pension funds for National Pension System assets. The Pension Fund Regulatory and Development Authority approved this framework. This move aims to boost competition and protect subscribers. Banks must meet strict eligibility criteria. New guidelines will apply to all pension funds. Three new trustees were also appointed to the NPS Trust Board.