HUL, Marico, Nestle, Bikaji in focus as FMCG stocks outperform amid RBI easing and lower inflation forecast

NIFTY50 and SENSEX skyrocketed on Tuesday morning, with both the indices rallying more than 2% at opening. FMCG stocks showed strong momentum last week despite lukewarm sentiment in the broader markets. The NIFTY FMCG index rose by 3.5%, outperforming the NIFTY50 index, which declined by 0.3%. Key FMCG stocks such as Hindustan Unilever, Nestle India, Marico, Godrej Consumer Products, and ITC rose between 2% and 6%.

The rally in FMCG stocks was driven by multiple positive triggers. One of the most prominent was investors' shift towards defensive sectors amid growing concerns about an economic slowdown. News of U.S. reciprocal tariffs and the U.S.-China trade war has heightened fears of a global economic slowdown and potential recession.

As a result, FMCG stocks offer a degree of protection during periods of economic uncertainty, as demand for daily necessities and essential FMCG products typically remains stable even during downturns.

Additionally, the forecast of an above-normal monsoon could boost rural demand, especially in the later quarters of FY26. Besides this, the Reserve Bank of India's (RBI) rate cut and lower inflation forecast have also raised hopes of stronger demand in the new financial year.

Key stocks on radar

Bullish outlook on HUL, Marico and Nestle India

Range-bound outlook on HUL, Marico and Nestle India

Conclusion

In summary, a long-call strategy benefits if the share price gains and moves upward. Options offer the flexibility to capitalise on different market conditions—whether bullish, bearish, or range-bound. However, past performance does not guarantee future results. It’s essential to evaluate risks carefully and have a well-defined risk management plan before executing any strategy.

Disclaimer Derivatives trading must be done only by traders who fully understand the risks associated with them and strictly apply risk mechanisms like stop-losses. The information is only for educational purposes. We do not recommend any particular stock, securities and strategies for trading. The stock names mentioned in this article are purely for showing how to do analysis. Take your own decision before investing.