☕ Your Wednesday Brew

Good morning chai fam!

☕ Chai Shots

• 📈 Markets Notch 6-Day Win Streak: Indian benchmarks extended gains for a sixth straight session. Nifty Bank hit a fresh record high of 55,647, backed by HDFC Bank, ICICI, and Kotak Mahindra Bank. Sensex closed 187 points higher at 79,596.

• 🟡 Gold Hits ₹1 Lakh Landmark: Futures prices on the MCX breached ₹1,00,000 per 10g as global uncertainties pushed investors toward safe-haven assets. A weak dollar, tariff tensions, and central bank buying all fueled the surge.

• 🧮 IndusInd’s Bookkeeping Blunder Grows: Already facing a ₹1,979 crore derivatives loss, IndusInd Bank is now grappling with irregularities in its microfinance arm. EY is reviewing the issue, which may involve interest accrual misstatements worth ₹600 crore.

• 📉 Tesla’s Q1: Slump City: Tesla posted its sharpest drop in profits in over two years — down 71%. Revenue and auto sales both missed estimates. CEO Elon Musk blamed tariffs, factory upgrades, and weak demand, while promising to refocus his time on the company. More in the Big Brew.

📈 Market Masala

• 📊 Markets Roar Back: Indian equities lit up on Tuesday — Sensex rose 187 points and Nifty gained 42 points to close at 24,167. Nifty Bank hit another record, rising 343 points to 55,647, and midcaps weren’t far behind, with the index up 423 points.

• 🏦 HDFC Bank Joins the Big League: With a market cap now over ₹15 lakh crore, HDFC Bank became the third Indian firm to hit that milestone, following RIL and TCS. The stock has surged over 11% since April 9.

• 🚗 Auto Stocks Under Pressure: Bajaj Auto and Hero Moto took a hit after Jefferies downgraded both stocks, citing margin risks. Meanwhile, AC makers like Voltas saw a lift after reports suggested potential relaxation in BIS norms.

• 🏭 Steel Stocks Rally on Duty Buzz: Shares of top steel companies ended higher but trimmed gains after the government notified a 12% safeguard duty.

• ✈️ Air India Express Reshuffles Board: Campbell Wilson steps down as Chair, with Nipun Aggarwal and COO Basil Kwauk taking the reins amid broader Tata-led airline restructuring.

• ✉️ India Post Eyes Profit Path: Communications Minister Jyotiraditya Scindia says India Post could break even in 5–6 years through tech overhauls, new verticals, and satellite tech.

🌍 Global Masala

• 💥 Wall Street Bounces Back — But for How Long?: After a bruising four-day slide, the Dow jumped 1,000+ points on hopes of a thaw in US-China trade tensions. Analysts, however, warn this may be a classic bear market bounce. More insights in the Big Brew.

• 🚢 China-to-US Trade Sinks: Freight volumes into LA and Long Beach fell 44% YoY as Trump’s tariffs choke shipping. Truck demand also plunged as port activity dropped.

• 💳 Capital One Sees a Spending Surge: American shoppers went into pre-tariff overdrive, pushing Capital One’s credit card purchase volume up 5% to nearly $158B. Q1 profit rose 10% to $1.4B, thanks to strong retail activity — particularly in big-ticket categories like electronics and cars.

☕ The Big Brew: 🚘 Tesla’s Q1 Crash Test

• 📉 Profits Nosedive: Tesla’s Q1 net income plunged 71% to $409M, with revenue falling 9% YoY to $19.3B. Auto revenue tanked 20%, its worst in two years.

• 🔧 Blame Game: Musk pointed to factory upgrades, soft demand, and policy uncertainty (like tariffs) for the miss. Meanwhile, cheaper EV models are delayed.

• 📊 Regulatory Credits Save the Day: Tesla booked $595M in regulatory credit sales — without that, the company would’ve reported a loss.

• 🤖 Robotaxi + Robots = Vague Plans: While Musk promises a robotaxi pilot in Austin by June, details remain thin. Tesla's humanoid robot line is also still in testing mode.

• 💼 Musk Refocusing: Elon says he’ll cut time spent at DOGE to focus more on Tesla’s roadmap.

🔍 What does this mean? Tesla’s crown as the EV king is slipping. Slower growth, rising competition, political distractions, and execution delays are taking a toll. Investors are hoping Musk delivers more product, and fewer promises.

🚀 Startup Scoop

• ⚡ Ather Revises IPO Target: Ather Energy trimmed its IPO target by 18% amid market jitters. It now seeks to raise $308M at a $1.4B valuation. Hero MotoCorp, its largest shareholder, won’t offload any shares.

• 🏥 Pristyn Care Turns a Profit Fast: Pristyn's first standalone hospital in South Delhi hospital hit profitability in under two months — a rare feat in a sector where breakeven often takes years.

• 🚍 Tummoc Bags $1.6M: The public transport app, active in 22 Indian cities, is now eyeing international expansion with enhanced transit booking, real-time tracking, and payment solutions.

• 👚 MyDesignation Raises ₹10.7 Cr: The fashion brand from Kerala combines quirky design and tight execution. With a 35% repeat rate and no third-party dependencies, it’s now expanding offline.

• 🏢 Zetwerk Eyes IPO: Manufacturing unicorn Zetwerk is prepping for a public listing within 24 months. The focus now: daily profitability and automation across verticals.

• 🍔 Rebel Foods Gets $25M Boost: Qatar’s sovereign fund is backing its omnichannel vision — including expansion of dine-in formats and food courts to counter quick-commerce disruption.

🧠 Chai Break Trivia

🫖 Did you know India pulled in over $129 billion in remittances in 2024 from Indians working abroad.

These inflows — called remittances — are money sent home by those living or working in other countries, and they play a huge role in supporting families, boosting savings, and powering our economy.

🔮 What’s Brewing Next

• 🌐 RBI Pushes Safer Net Banking: All banks must shift to ‘.bank.in’ domains by October 31 to fight phishing and fraud.

We close today’s edition with a moment of reflection.

As the country reels from yesterday’s tragic events and senseless violence in Pahalgam, our hearts remain with those affected 🙏 The road ahead may feel heavy, but our strength as a nation lies in standing together — resolute, compassionate, and unshaken. Until tomorrow, stay safe and take care. 🇮🇳🕯️