Indian shares set to open higher ahead of March quarter earnings

Indian shares are set to open higher on Tuesday ahead of corporate earnings for the March quarter, and amid caution on rising odds of a U.S. Federal Reserve rate hike in May.

India's NSE stock futures listed on the Singapore exchange were up 0.21% at 17,721.50 as of 8:04 a.m. IST.

The Nifty 50 has risen nearly 4% over the past six sessions. Corporate earnings, scheduled from Tuesday, will be the near-term trigger for markets, according to analysts.

Casino gaming firm Delta Corp Ltd will report its Q4 earnings on Tuesday, followed by top information technology firm Tata Consultancy Services Ltd on Wednesday.

J.P. Morgan recently said that TCS and Infosys Ltd have highest exposure to regional banks in the United States that are gripped under financial turmoil.

The two companies, and smaller rival LTIMindtree Ltd, might need to set aside provisions in the fourth quarter, according to J.P. Morgan.

Wall Street equities closed marginally higher overnight as rising chance of a Fed rate hike in May added to caution. Investors await consumer price index data and minutes of the Fed's March policy meeting on Wednesday.

Asian markets edged higher after Bank of Korea held interest rates for second consecutive time. But Chinese shares were subdued after inflation in March hit the slowest pace since September 2021, suggesting demand weakness after reopening the economy. [MKTS/GLOB]

India's consumer inflation likely eased in March to 5.80%, dipping below the RBI's upper tolerance limit for the first time in 2023, according to a Reuters poll of economists. The data is due on Wednesday.

Meanwhile, foreign investors extended their buying streak to the seventh session in a row on Monday, adding 8.83 billion rupees ($107.7 million) worth of equities.

Stocks to Watch:

** IRB Infrastructure Developers Ltd: Co records toll collection of 3.70 billion rupees in March 2023.

** Bank of Baroda Ltd: Lender says total advances up 19% YoY for quarter ending March; also revises one-year MCLR to 8.6% from 8.55%, effective April 12.

** Shilpa Medicare Ltd: Co gets U.S. FDA approval for drug to treat adult patients with active psoriatic arthritis.

** Star Health: March quarter total gross direct premium up 13% YoY at 114.64 billion rupees.

($1 = 81.9650 Indian rupees)