🚀 Zomato & Jio Join Nifty 50 + 💰 Crypto’s $1.4B Heist (Feb 22)

Good Morning & Happy Saturday!

It’s been a choppy week for the markets, but there’s plenty brewing elsewhere. From crypto’s biggest heist to Tesla’s India dilemma and BluSmart’s new pet-friendly rides, here’s what’s stirring up the business world today. 👇

📰 Chai Shots

• 🚨 Crypto’s Largest Heist Ever – Hackers stole $1.4 billion in Ethereum from Bybit, making it the biggest crypto theft in history. The exchange says it can cover the loss even if funds aren’t recovered.

• 📉 Mizoram May Ease Liquor Ban – The state plans to allow the sale of wine and beer, while keeping a ban on hard liquor. A bill to amend the liquor prohibition law will be introduced soon.

• ⚡ Tesla’s India Puzzle – India will limit how much automakers can count EV charging investment toward tax breaks, forcing companies like Tesla to prioritize manufacturing over infrastructure.

• 🏦 RBI Cracks the Whip – The Reserve Bank of India (RBI) imposed ₹46.7 lakh in penalties on Citibank, JM Financial, and Asirvad Microfinance for regulatory non-compliance.

• 📈 Zomato & Jio Financial Join Nifty 50 – The semi-annual reshuffle of the Nifty 50 index has brought in Zomato and Jio Financial Services, while Britannia and BPCL have been shown the exit. The move could lead to passive inflows of over $1.1 billion into these stocks. Read more in The Big Brew! 🔥

📉 Market Masala

• 🔻 Another Rough Week for Markets – Nifty 50 closed below 22,800, down 117 points, while the Sensex slipped 425 points to 75,311. The broader Midcap index plunged 648 points.

• 🚗 Auto Stocks Take a Hit – Mahindra & Mahindra (M&M) dropped 7%, marking its worst day in 7 months. The Nifty Auto index has now closed in the red for 11 of the last 13 sessions.

• 🏭 Metal Stocks Shine – The Nifty Metal index surged 5% this week on optimism over a potential US-China trade agreement. Meanwhile, FMCG stocks struggled, with Nifty FMCG down nearly 2% amid weak consumption trends.

• 📉 India’s Forex Reserves Dip – After a three-week streak of gains, India’s forex reserves slipped by $2.54 billion to $635.72 billion, largely due to a drop in foreign currency assets.

• 🌾 Edible Oil Prices Set to Rise? – India is likely to hike import taxes on vegetable oils to support local farmers, which could increase prices for palm, soy, and sunflower oil.

🌍 Global Masala 

• 📉 US Markets Slide as Consumer Sentiment Drops – The Dow fell 1.7%, the S&P 500 lost 1.3%, and the Nasdaq dropped 1.4%, marking a rough week for Wall Street. Walmart’s cautious outlook and tariff uncertainty weighed on investor confidence, while consumer sentiment tumbled to its lowest level since 2023 due to fears of rising prices.

• 📈 European Markets End Strong – The Stoxx 600 gained 0.52%, extending its winning streak to 9 weeks, led by chemicals and food & beverage stocks.

• 🏦 Standard Chartered’s Big Win – The bank beat profit expectations with $1.6 billion in Q4 earnings and announced a £1.5 billion share buyback.

• ⚒️ Ferrexpo’s Wild Ride – The London-listed miner’s stock rebounded 15%, a day after losing a third of its value due to Ukraine’s nationalization threat.

• 🚗 Japan Seeks Tesla’s Help for Nissan – After the collapse of Nissan’s $58B merger with Honda, a Japanese government-backed group is exploring a Tesla investment in Nissan to keep it from falling into foreign hands. Elon Musk, however, hinted Tesla isn't interested, emphasizing that Tesla’s factory model is unique and may not align with Nissan’s operations. 🚘

🍵 The Big Brew – Zomato & Jio Financial Join Nifty 50: What It Means

Two of India’s biggest digital-first companies, Zomato and Jio Financial Services, have officially made it into the Nifty 50 index, replacing Britannia Industries and Bharat Petroleum Corporation (BPCL). This change will take effect from March 28, 2025.

Why Were Zomato & Jio Added?

📈 Market Cap Surge – Both companies have far outpaced BPCL and Britannia in market capitalization, making them eligible for the index reshuffle.
💰 Institutional Inflows – Index funds & ETFs tracking Nifty 50 will now buy these stocks, leading to passive inflows of over $1.1 billion.

What’s Next?

✅ More Stability – Entry into the Nifty 50 means more institutional investor confidence and stronger liquidity.
✅ Britannia & BPCL Face Outflows – Passive funds will now offload these stocks, which could impact their short-term performance.
✅ New-Age Companies Gain Ground – This reshuffle highlights the growing dominance of tech-driven businesses in India’s stock market.

Meanwhile, Swiggy entered Nifty Next 50, signaling its growing influence in India’s digital economy. Expect more market volatility as investors rebalance their portfolios before the changes take effect! 📊🔥

🚀 Startup Scoop – India’s Hottest Biz Moves

• 🐶 BluSmart’s New Pet-Friendly Rides – EV ride-hailing firm BluSmart launched ‘Pet Rides’ in Delhi & Gurugram, featuring dog-seat hammocks, designated carrier spaces, and enhanced ventilation.

• 🧼 PayRange Buys Noida-Based Turns – The US fintech startup acquired Turns, a laundromat tech company, to expand its presence in the U.S. laundry industry.

• 🏥 Plum Bets Big on Personal Insurance – Insurtech startup Plum will invest $6M over two years to expand beyond corporate health coverage and cover 10 million Indians by 2030.

• 🍽️ Swiggy Injects ₹1,000 Cr Into Scootsy – The food delivery giant is pumping funds into its logistics subsidiary Scootsy for business expansion, dark store network growth, and working capital.

❓ Chai Break Trivia

🔍 Did you know? The first stock exchange in India was established in 1875 in Mumbai and was originally called The Native Share & Stock Brokers' Association. Today, we know it as BSE (Bombay Stock Exchange)! 📈

📅 What’s Brewing Next?

• 🚗 Tesla’s India Push – India’s EV policy update could impact Tesla’s plans as it finalizes showroom locations.

• 📊 Market Watch – After two rough weeks for the Nifty & Sensex, will metals and IT stocks lead the rebound?

• 🔬 AI & Tech – Musk’s xAI chatbot Grok-3 launched this week—watch for the next big AI breakthrough.

That’s a wrap for today! Enjoy your weekend ☀️ and catch us tomorrow for your fresh dose of Masala Chai! ☕🔥

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