Business

A view of the Bombay Stock Exchange in Mumbai.
| Photo Credit: Reuters

Benchmark equity indices Sensex and Nifty declined in early trade on Friday (June 6, 2025) ahead of the RBI monetary policy outcome.

Moreover, a sluggish trend in global equity markets and fresh foreign fund outflow also drove investors to stay on the sidelines.

The 30-share BSE Sensex declined 159.93 points to 81,282.11 in early trade. The 50-share NSE Nifty dropped 27.65 points to 24,723.25.

From the Sensex firms, Tata Motors, Bajaj Finance, ICICI Bank, Bajaj Finserv, Reliance Industries and Bharti Airtel were among the laggards.

IndusInd Bank, Tata Steel, Eternal, Adani Ports and Mahindra & Mahindra were among the gainers.

“In today’s monetary policy the RBI is likely to cut policy rates by 25 bps. This is already factored in by the market. More important will be the RBI commentary on growth and inflation projections for FY26,” VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited, said.

In Asian markets, South Korea’s Kospi and Japan’s Nikkei 225 index were trading in the positive territory while Shanghai’s SSE Composite index and Hong Kong’s Hang Seng quoted marginally lower.

US markets ended lower on Thursday.

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 208.47 crore on Thursday, according to exchange data.

“For Indian equities, the immediate focus shifts to two key events: the RBI policy meeting and the US May jobs report,” Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, said.

Global oil benchmark Brent crude dipped 0.29 per cent to USD 65.15 a barrel.

On Thursday, the 30-share BSE Sensex climbed 443.79 points or 0.55 per cent to settle at 81,442.04. The Nifty rose 130.70 points or 0.53 per cent to 24,750.90.

A view of the Bombay Stock Exchange in Mumbai.
| Photo Credit: Reuters

 Benchmark equity indices Sensex and Nifty surged on Friday (June 6, 2025) morning trade after the RBI cut repo rate by a higher-than-expected 50 basis points to prop up growth.

Recovering all the early lost ground, the 30-share BSE Sensex jumped 591.94 points to 82,033.98 in morning trade. The 50-share NSE Nifty climbed 205.2 points to 24,956.10.

Interest-rate-sensitive realty index jumped 2.80%, while auto index surged 1.14% and bankex climbed 0.98%.

The RBI on Friday cut repo rate by a higher-than-expected 50 basis points to prop up growth, which has slowed to a four-year low of 6.5% in FY25.

Following the rate cut, the key policy rate eased to a three-year low of 5.5%, providing relief to home, auto and corporate loans borrowers.

This is the lowest repo rate in three years.

After a detailed assessment of the evolving macroeconomic and financial development, as well as the economic outlook, the Monetary Policy Committee (MPC) decided to reduce the repo rate by 50 basis points, RBI Governor Sanjay Malhotra said.

Malhotra, however, retained the GDP forecast for the current fiscal at 6.5%. The inflation projection was lowered to 3.7 per cent from the earlier estimate of 4%, supported by expectations of a good monsoon.

From the Sensex firms, Bajaj Finance, Axis Bank, Maruti, Kotak Mahindra Bank, IndusInd Bank, State Bank of India, Bajaj Finserv and HDFC Bank were among the major gainers.

Sun Pharma, Infosys, Nestle and HCL Tech were the laggards.

“A third straight cut in the repo rates this year with 50 bps cut instead of an estimate of 25 bps is a pleasant move. This demonstrates a pro-growth stance and a front-loading of rate cuts given our stable economic growth and declining inflation. A change in policy stance from accommodative to neutral is also justified as it can help to strike a right balance between growth and inflation, especially if geopolitical issues escalate further,” Umeshkumar Mehta, CIO, SAMCO Mutual Fund, said.

In Asian markets, South Korea’s Kospi and Japan’s Nikkei 225 index were trading in the positive territory while Shanghai’s SSE Composite index and Hong Kong’s Hang Seng quoted marginally lower.

US markets ended lower on Thursday.

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 208.47 crore on Thursday, according to exchange data.

Global oil benchmark Brent crude dipped 0.28 per cent to USD 65.16 a barrel.

On Thursday, the 30-share BSE Sensex climbed 443.79 points or 0.55 per cent to settle at 81,442.04. The Nifty rose 130.70 points or 0.53 per cent to 24,750.90.

Gold’s recent price action indicates exhaustion at higher levels, creating an ideal setup for contrarian traders. (AI image)

Gold price prediction today: Gold prices have been rising, but are also below their record low. Gold rate rise is showing signs of exhaustion. Where are MCX Gold prices headed and what should investors do? Should they buy or sell gold? Here’s the analysis from Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities:Gold Market OverviewMCX Gold June 2025 contract is expected to open slightly higher around ₹98200 levels on Friday, following mixed global cues. However, the 30-minute chart reveals critical resistance zones that suggest any upward move should be viewed as a selling opportunity. The precious metal’s recent price action indicates exhaustion at higher levels, creating an ideal setup for contrarian traders. Technical Analysis: 30-Minute TimeframeCurrent Market Structure: Gold has been trading in a volatile range with clear signs of distribution near the ₹99000 psychological level. The recent sharp decline from highs of ₹99300 followed by a recovery attempt suggests a classic bear flag formation. Key Technical Parameters:

Strategic Foundation: The ₹98500 level represents a confluence of multiple resistance factors that make it an optimal selling zone: 1. Fibonacci Retracement: 38.2% retracement of the recent decline from ₹99300 to ₹97500 2. Previous Support Turned Resistance: Earlier support level now acting as resistance 3. Bollinger Band Resistance: Approaching the upper band of the current range 4. Volume Profile: Low volume acceptance above ₹98400 levels 5. Psychological Resistance: Round number significance Entry Parameters: Primary Sell Zone: ₹98450-98550 Optimal Entry: ₹98500 Stop Loss: ₹98750 (above recent swing high) Target 1: ₹98000 (immediate support) Target 2: ₹97750 (next significant support) Intraday Execution:

Market Sentiment FactorsSupporting Bearish View:

Risk Factors:

Alternative ScenariosBull Case (Low Probability): If gold sustains above ₹98750 with strong volume, it could target: ₹99000 (psychological resistance) ₹99300 (previous high) Trading PsychologyThe expected higher opening might create false optimism among retail traders. Professional traders should use this sentiment against the crowd by selling into strength. The key is patience – wait for the right technical setup at the resistance zone. ConclusionThe technical setup presents a high-probability selling opportunity near ₹98500. The confluence of resistance factors, combined with bearish momentum indicators, supports the sell-on-rise strategy. However, traders must remain disciplined and execute the plan systematically while maintaining strict risk management protocols. (Disclaimer: Recommendations and views on the stock market and other asset classes given by experts are their own. These opinions do not represent the views of The Times of India)

Asian shares traded mostly higher on Friday as investors awaited a crucial update on the US job market, which could provide fresh signals on the health of the world’s largest economy.Tokyo’s Nikkei 225 rose 0.5% to 37,730.67, while South Korea’s Kospi jumped 1.5% to 2,812.05. While, Hong Kong’s Hang Seng fell 0.4% to 23,817.10, and China’s Shanghai Composite edged up 0.1% to 3,385.91.The S&P/ASX 200 in Australia remained stable at 8,536.40. US futures showed slight gains whilst oil prices decreased.Wall Street’s main indexes closed lower as Tesla shares dropped over 14% following a public clash between Elon Musk and President Trump, shaking investor confidence. The stock has lost nearly 30% this year due to tensions between Musk and Trump over a key tax and spending bill.On Thursday, the S&P 500 decreased 0.5% to 5,939.30, ending its three-day winning streak. The index, crucial for numerous retirement accounts, lost momentum after a strong performance in May.The Dow Jones Industrial Average reduced by 0.3% to 42,319.74, whilst the Nasdaq composite declined 0.8% to 19,298.45..The US Labour Department is set to release job data for May, with Wall Street expecting a slowdown in hiring compared to April. A strong job market has helped support the US economy, but uncertainty over President Trump’s shifting tariff policies may cause businesses to hold back on hiring. Meanwhile, a report on Thursday showed more Americans filed for unemployment benefits than expected, reaching the highest level in eight months—though still low by historical standards.Markets remained cautious despite signs of easing tensions with Beijing, as investors remain wary of unpredictable US tariff moves under Trump.The yield on the 10-year US Treasury was stable at 4.40% on Thursday, slightly up from 4.37% the day before. Yields had dropped sharply on Wednesday amid growing expectations that the Federal Reserve may cut interest rates later this year to support the economy.In early Friday trading, US benchmark crude slipped 21 cents to $63.16 per barrel, while Brent crude fell 18 cents to $65.16. Currency movements were mixed: the US dollar rose to 143.77 yen from 143.49, while the euro dipped to $1.1438 from $1.1448.

Market experts anticipate consolidation with an upward trend. (AI image)

Stock market today: Nifty50 and BSE Sensex, the Indian equity benchmark indices, opened in red on Friday ahead of the RBI policy review. While Nifty50 was below 24,750, BSE Sensex was down over 100 points. At 9:18 AM, Nifty50 was trading at 24,731.05, down 20 points or 0.080%. BSE Sensex was at 81,306.31, down 136 points or 0.17%.Market experts anticipate consolidation with an upward trend, influenced by international market performance, economic indicators and developments in US-India trade talks.VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited says, “Uncertainty, which has been looming large on the global economic horizon, has spiked with the open spat between President Trump and Elon Musk. This unprecedented clash between two of the world’s most powerful and mercurial personalities will have its consequences on the policies of the US administration. Chinese restrictions on exports of rare earth minerals and magnets, in response to the reciprocal tariffs imposed by US, have already started impacting the EV automobile industry. Important US data like US ISM PMI and jobless claims indicate that the US economy is slowing down. US is likely to end 2025 with a GDP growth of mere 1%. US bond yields are likely to fall further which will be positive for EMs, particularly India, whose growth prospects are the brightest.“In today’s monetary policy the RBI is likely to cut policy rates by 25 bp. This is already factored in by the market. More important will be the RBI commentary on growth and inflation projections for FY26. If the inflation forecast is cut from 4% the market would respond positively.”US equity indices declined on Thursday in volatile trading, with Tesla’s downturn overshadowing positive developments in trade discussions between US President Donald Trump and Chinese leader Xi Jinping.Asian shares opened with caution before US employment data release, which could indicate future Federal Reserve rate decisions.Gold prices advanced on Friday and were set for weekly gains, as disappointing U.S. economic indicators strengthened demand whilst a weakening dollar provided additional support. Investors remained focused on upcoming U.S. payroll figures for insights into the Federal Reserve’s policy decisions.FPIs recorded net sales of Rs 208 crore on Thursday, whilst DIIs emerged as net purchasers with Rs 2,382 crore.FIIs’ net short position in futures trading increased to Rs 1.06 lakh crore on Thursday from Rs 1.02 lakh crore on Wednesday.(Disclaimer: Recommendations and views on the stock market and other asset classes given by experts are their own. These opinions do not represent the views of The Times of India)

Walmart bought a controlling stake in Flipkart in 2018, which also gave it ownership of PhonePe, a fintech firm also preparing for an IPO [File]
| Photo Credit: REUTERS

Walmart’s Flipkart has secured a lending licence from the Indian central bank and banking regulator, enabling it to offer loans directly to customers and sellers on its platform, a spokesperson for the company confirmed after Reuters reported the development citing documents and a source.

This is the first time the Reserve Bank of India has granted a large e-commerce player in India a non-bank finance company (NBFC) licence, allowing it to lend but not take deposits.

Most e-commerce platforms currently offer loans in tie-ups with banks and NBFCs, but a lending licence will enable Flipkart, India’s largest e-commerce firm, to lend directly, a more lucrative model for the group.

The central bank issued its certificate of registration, a document that officially recognises a company as an NBFC, to Flipkart Finance Private Limited on March 13.

Reuters has reviewed a copy of both the certificate of registration and the approval letter also dated March 13. The approval has not been previously reported.

Flipkart, in which U.S. retail behemoth Walmart holds a more than 80% stake, applied for the licence in 2022, according to the central bank’s approval letter.

The Reserve Bank of India did not immediately respond to Reuters’ request for comments.

The e-commerce giant may commence its lending operation “in a few months”, according to a source aware of the matter who declined to be identified as the talks are private.

A final decision on the launch will be subject to the completion of various internal processes such as the appointment of key management personnel and board members and the finalisation of business plans, the source said.

Flipkart plans to lend directly to its customers on its popular e-commerce platform and through its fintech app super.money, the source said. It may also offer financing to sellers on the platform, they added.

At present, the e-commerce giant offers personal loans to customers through tie-ups with lenders such as Axis Bank , IDFC Bank and Credit Saison.

Flipkart, last valued at $37 billion in 2024 when it raised $1 billion in a funding round led by Walmart, is shifting its holding company from Singapore to India. Walmart also aims to take the 17-year-old company public.

Walmart bought a controlling stake in Flipkart in 2018, which also gave it ownership of PhonePe, a fintech firm also preparing for an IPO.

Earlier this year Flipkart’s rival Amazon acquired a Bengaluru-based non-bank lender Axio, but the deal is yet to be cleared by the central bank.

JP Morgan has an overweight rating on Reliance Industries with a price target of Rs 1,568. Analysts feel that RIL’s Earnings in the next two years should be better than the last two. They said that RIL’s stock price has felt the pressure of large earnings cuts driven by weaker commodity EBIT (earnings before interest and taxes). This should not recur (given the already low margins). Consumer business growth should translate better to bottom-line, helping relative performance.Motilal Oswal Financial services has downgraded Bharti Hexacom to neutral with the target price at Rs 1,900 as analysts feel the risk-reward for the stock is no longer attractive. They said that since they started their coverage of the stock in Mar ch 2-25, the stock has delivered 40%+ returns. Given that Bharti Hexacom provides a pure-play exposure to Bharti’s fast-growing India wireless and homes business with slightly higher growth prospects, better RoCE (return on capital employed) and lower capital misallocation concerns, they had argued for a slight premium to its parent, Bharti Airtel. However, analysts now believe a premium of about 40% is steep and risk-reward is no longer attractive.Morgan Stanley has an overweight rating on Vishal Megamart with a price target of Rs 161. Analysts said that the management believes the company can continue the current pace of store expansion in the medium term. The company has come a long way from close to bankruptcy to emerging as a successful aspirational (value) retailer.Incred Equities has maintained its add rating on TCS but with a reduced target price of Rs 3,589 from Rs 3,925 earlier. Analysts said that TCS shows better operating cash flow, dividend payout ratio certainty, and healthy return ratios, all of which support valuation while a slower recovery in North America and the FSI vertical, weak bookings, and higher project cancellations are downside risks.Elara Securities India has an accumulate rating on KEC International with the target price at Rs 1,020. Analysts said their rating is based on a robust order pipeline from domestic as well as international markets, scope for margin improvement, reduction of debt, potential for value unlocking through demerger of the cables business, and recovery of stuck cash from both civil and rail projects. With robust momentum in power T&D, real estate and infra, KEC Intl remains a preferred player in the EPC space with a prominent international presence to further boost visibility, they said.

Top stocks to buy (AI image)

Stock market recommendations: According to Bajaj Broking Research, Idea Forge Technology, and Avantel are the top stock picks for today. Here’s its view on Nifty, Bank Nifty and the top stock picks for June 6, 2025:Bank NIFTYBenchmark indices extended their consolidation phase for the third consecutive week, reflecting a lack of directional conviction amid a backdrop of profit-taking at higher levels and macroeconomic event risk ahead of the RBI monetary policy outcome on Friday.The broader markets exhibited notable resilience, with the Nifty Midcap 100 and Small cap 100 indices climbing 1.3% and 3% respectively, signaling renewed risk appetite and accumulation in high-beta pockets of the market.From a technical standpoint, the Nifty continues to oscillate within a well-defined 17-session consolidation band, demarcated by support at 24,400–24,500 and resistance near the 25,050–25,080 zone. The 24,400–24,500 region remains pivotal, being both the site of the prior breakout and recent swing lows. This area has repeatedly attracted buying interest, indicating strong demand absorption and a possible accumulation zone.A decisive breach below the 24,400–24,500 support cluster could act as a bearish trigger, potentially exposing the index to deeper corrective downside. Conversely, sustained trade above 25080 levels will open upside towards 25,300 levels in the coming weeks.With the RBI monetary policy decision scheduled for Friday, the outcome of the policy, particularly commentary on liquidity, inflation trajectory, and growth forecasts, will be closely scrutinized for directional cues.NIFTY BANK

Stock Recommendations:Idea Forge TechnologyBuy in the range of Rs 600-617

The stock has generated a breakout above last 3 weeks broader range of 585-501 signaling resumption of up move thus offers fresh entry opportunityThe daily 14 periods RSI has generated a buy signal moving above its nine periods average thus validating positive bias. We expect the stock to head towards 670 levels in the coming months being the measuring implication of the recent range breakout (585-501)AvantelBuy in the range of Rs 178-182

The stock is currently trading above the short- and long-term moving averages signaling strength and overall positive bias. It has recently generated a breakout above the falling supply line joining the highs of August and December 2024 signaling resumption of up move.The daily ADX is in an up trend thus supports the positive bias in the stock. We expect the stock to head towards the all-time high placed around 200 levels in the coming months Disclaimer: The opinions, analyses and recommendations expressed herein are those of brokerage and do not reflect the views of The Times of India. Always consult with a qualified investment advisor or financial planner before making any investment decisions.

The unlikely political marriage between Donald Trump and Tesla CEO Musk exploded in a fiery public divorce on Thursday (local time), after Elon publicly warned that the US President’s “aggressive new tariffs could cause a recession in the country by the second half of this year.““The Trump tariffs will cause a recession in the second half of this year,” Musk posted on X, marking a significant departure from his previous support for the president he once supported and counselled.The pair then hurled insults at each other on social media, with Musk accusing Trump, without evidence, of being named in government files related to disgraced financier Jeffrey Epstein.In response, Trump said that he was “very disappointed” during a televised Oval Office address, slamming Musk for criticising his “big, beautiful” spending bill in Congress.“I’m very disappointed in Elon. I’ve helped Elon a lot,” Trump told reporters in the Oval Office while visiting German Chancellor Friedrich Merz observed quietly.“Elon and I had a great relationship. I don’t know if we will anymore,” he added.The 78-year-old president noted during a 10-minute address that merely a week had passed since he hosted a farewell for Musk’s departure from the cost-cutting Department of Government Efficiency (DOGE).Trump subsequently labelled Musk “crazy” and maintained that he had requested the businessman’s departure due to growing frustration.Musk responded immediately on X, asserting that Trump’s 2024 electoral victory wouldn’t have occurred without his support, whilst criticising Trump’s lack of appreciation.The dispute intensified when Musk posted that Trump “is in the Epstein files,” referencing US government documents about Epstein, whose 2019 death in custody sparked widespread speculation.“Have a nice day, DJT!” Musk added.White House Press Secretary Karoline Leavitt told the news agency AFP that Musk’s Epstein-related post “is an unfortunate episode from Elon, who is unhappy with the ‘One Big Beautiful Bill’ because it does not include the policies he wanted.”Musk, who contributed $300 million to Trump’s campaign, independently stated the Republican’s 2024 victory depended on his backing and denounced Trump’s ingratitude. He affirmed support for Trump’s impeachment and criticised Trump’s worldwide tariffs as potentially recession-inducing.The president suggested penalising the “crazy” entrepreneur by threatening his substantial government contracts, including rocket launches and Starlink satellite service usage.“The easiest way to save money in our Budget, Billions and Billions of Dollars, is to terminate Elon’s Governmental Subsidies and Contracts,” Trump posted on Truth Social.Musk in response hit back, saying he would start “decommissioning” SpaceX’s Dragon spacecraft — which is crucial for Nasa missions to the International Space Station.Also read: Tesla stock price crash wipes out $150 bn; investors dump company

The fallout triggered panic in financial markets, sending Tesla’s stock down over 14% on Thursday and wiping out nearly $150 billion in market value.The drop came just hours after Trump publicly attacked Musk, accusing him of turning against the administration over changes to a key tax and spending bill. This sharp decline erased some of the gains Tesla had made over the past two months, following Musk’s announcement that the company would begin testing its driverless “robotaxi” service in Austin, Texas, this month.After Donald Trump’s election, investors heavily backed Tesla shares, focusing more on politics than the company’s performance. But on Thursday, things changed dramatically in just three hours, revealing the risks of that strategy.Following the November presidential election, investor enthusiasm drove Tesla’s market value up by over $450 billion within weeks. The shares peaked in December, but subsequently declined when Musk’s leadership of a government efficiency committee sparked boycotts and damaged Tesla’s image.

Investor confidence appears shaken, resulting in substantial paper losses for Musk’s personal Tesla shareholding, dropping $20 billion in a single day. (AI image)

Tesla share price crash: Elon Musk and Donald Trump’s escalating spat has wiped out a whopping $150 billion from Tesla’s market cap. Tesla’s share price crashed over 14% as shareholders hastily sold their positions during an escalating verbal dispute between the US President Donald Trump and the Tesla CEO Elon Musk, who is currently the wealthiest individual globally. The day’s trading concluded with Tesla’s market value reduced by $150 billion, an amount that exceeds the total market capitalisation of Starbucks and several other major US-listed corporations!Following Donald Trump’s election, investors poured vast sums into Tesla shares, prioritising political considerations over financial performance.The consequences of this strategy became evident on Thursday when within three hours, the situation took a dramatic turn!

The conflict originated from discussions about the president’s budget legislation before intensifying rapidly. Following Musk’s assertion regarding his role in Trump’s electoral victory, Trump suggested potential governmental actions against Musk’s enterprises, including Tesla and SpaceX.Trump expressed his views on Truth Social, stating: “The easiest way to save money in our Budget, Billions and Billions of Dollars, is to terminate Elon’s Governmental Subsidies and Contracts. I was always surprised that Biden didn’t do it!”Also Read | ‘Electric cars that nobody else wanted…’: Donald Trump’s shocking words on Elon Musk; says Biden should have terminated Musk’s subsidies

Tesla share price crash on Thursday partly offset a significant increase that occurred during the eight-week period after Musk announced Tesla’s plans to launch an autonomous, driverless “robotaxi” service in Austin, Texas, this month.The market participants are concerned that Trump’s potential stance might slow down the advancement of autonomous vehicles in the United States, which could adversely affect Tesla. The company’s current electric vehicle business faces challenges, making it crucial for them to swiftly transition into the era of driverless vehicles.“The whole goal of robotaxis is to have them in 20 or 25 cities next year,” said Wedbush Securities analyst Dan Ives, a prominent Tesla supporter who now expresses concern. “If you start to heighten the regulatory environment, that could delay that path,” Ives said according to an Associated Press report.He further stated, “There is a fear that Trump is not going to play Mr. Nice Guy.”The situation appears precarious now. Initially, Tesla’s stock benefited substantially from Musk’s association with Trump.Following the November presidential election, investor enthusiasm drove Tesla’s market value up by over $450 billion within weeks. Investors anticipated substantial gains from reduced regulatory oversight under Trump’s administration and were optimistic about Musk’s autonomous vehicle initiatives for American roads.The shares peaked on December 17, but subsequently declined when Musk’s leadership of a government efficiency committee sparked boycotts and damaged Tesla’s image. The stock has recently rebounded after Musk announced his renewed focus on Tesla and its forthcoming autonomous taxi service.Currently, investor confidence appears shaken, resulting in substantial paper losses for Musk’s personal Tesla shareholding, dropping $20 billion in a single day.

The potential reduction in government contracts appears to majorly affect SpaceX rather than Tesla. SpaceX, a private space enterprise, has secured substantial NASA funding for International Space Station missions, including astronaut transport, cargo delivery, and various space operations. The company is currently developing a large-scale rocket for NASA’s upcoming lunar mission scheduled for next year.Starlink, operating as a SpaceX division specialising in satellite internet services, has seemingly profited from Musk’s previous cordial relationship with Trump.During his Middle Eastern visit with Trump last month, Musk revealed Saudi Arabia’s approval for Starlink’s aviation and maritime operations. Although the influence of political factors remains uncertain, recent agreements in Bangladesh, Pakistan, India and other nations have emerged amid Trump’s tariff warnings and diplomatic pressures.SpaceX’s recent achievements are reflected in its valuation, which reached $350 billion through private financing and share sales, marking a significant increase from $210 billion in the previous year.