Indian Consumer Tax Cut Boosts Urban Spending and Auto Stocks

Indian equities show muted momentum as the Nifty index hovers NEAR 25,200, a critical resistance level tested twice in recent months. Asian markets provide modest support following Wall Street's record highs, while traders eye US-India trade talks and NSE expiry for directional cues.

Urban consumption shows early signs of revival, with Antique Stock Broking noting improved mass-market spending through promotional offers. Recent GST cuts are expected to further boost consumer staples, with companies like Godrej Consumer Products and Marico likely to benefit from volume growth and stable pricing power.

The alcoholic beverages sector emerges as a standout, with Jefferies highlighting double-digit growth in premium segments. United Spirits and Radico Khaitan capitalize on high barriers to entry and premiumization trends, offering investors concentrated exposure to India's consumption story.