Indian equity benchmarks fell sharply on Tuesday, extending their fall for the third straight session amid weak global cues. Asian shares slipped today as Japan's Nikkei index dived 2.64 per cent, South Korea's KOSPI plunged 1.83 per cent and Hong Kong's Hang Seng Index tanked 2.23 per cent. Shanghai Composite, however, edged 0.19 per cent higher.
Investors worried about rising interest rates and an escalation in the Russia-Ukraine conflict amid the backdrop of warnings from the World Bank and the International Monetary Fund (IMF) of growing global recession risks.
On the domestic front, market participants also awaited September's retail inflation data, due to be released on Wednesday.
The benchmark BSE Sensex declined 844 points or 1.46 per cent to settle at 57,147 today, while the broader NSE Nifty moved 257 points or 1.49 per cent lower to close at 16,984.
On the stock-specific front, Divi's Lab was the top Nifty loser as the stock cracked 5.05 per cent to close at Rs 3,500.25. JSW Steel, IndusInd Bank, Eicher Motors and Nestle India were also among the laggards. In contrast, Axis Bank, Adani Enterprises and Asian Paints were among the top gainers.
On the global front, S&P futures dropped 0.80 per cent, while Nasdaq futures cracked 0.81 per cent, and Dow futures fell 0.67 per cent, indicating a cautious start for Wall Street.
Here are the share market Live Updates:
After the end of the market it seems like the power of bulls is fading and bears are controlling the game, said Pravesh Gour, Senior Technical Analyst, Swastika Investmart Ltd. Weak global cues, Bank of England’s plan to extend bond buying and some further escalation in the Russia-Ukraine war are some of the reasons for the heavy sell-off in Tuesday session, he added.
On the technical front, he said, "On the daily chart, Nifty has formed a bearish engulfing pattern and broken yesterday's low at 17,050. Now, 16,975 is the susceptible level because it lies on 200-SMA (simple moving average); if the Nifty slips below 16,975 then the next critical support level will be the 16,800/16,700 level at 100-DMA (day moving average). On the upside, 17,450 is an immediate hurdle then 17,600 will be the next resistance level," Gour further stated.
As of now, there's no respite on the global front and any disappointment on earnings or the macroeconomic front may put further pressure, said Ajit Mishra, VP - Research, Religare Broking Ltd.
"On the index front, we are now eyeing 16,800 in Nifty and its decisive break would reverse the recovery trend. Traders should align their positions accordingly," he added.
A fall below 16,980 may trigger a selling pressure in the market with a potential to fall towards 16,800, said Rupak De, Senior Technical Analyst at LKP Securities. "On the higher-end resistance is visible at 17,100," he added.
A string of primary share issues is set to hit the market in the next one month with over a dozen companies all set to raise nearly Rs 12,000 crore through initial public offerings. (Watch here)
Shares of Excel Realty N Infra Ltd jumped 9.09 per cent to close at 60 paise on NSE. On BSE, the stock rose 1.69 per cent to close at 60 paise. The company's standalone net profit for six months (ended September 2022) zoomed to Rs 170.37 lakh as against a loss of Rs 141.49 lakh in the same period last year.
Earlier, the company had announced the issue of bonus shares in the ratio of 1:2 (one new equity share for every two existing equity shares held) and stock split from Rs 10 to Re 1.
Investors are becoming risk-averse due to rising geopolitical turmoil as well as worries about the global economic slump, said Vinod Nair, Head of Research at Geojit Financial Services. Market participants' caution ahead of the announcement of inflation data prevented a better-than-expected start to IT earnings from improving market mood, he added.
Electronics Mart, whose Rs 500 crore-IPO was a hit among investors, is likely to finalise basis of allotment on Wednesday. As per marketmen, the counter was commanding a premium of about Rs 30 in the grey market, thanks to the consumer durables retailer’s decent financials and business model, attractive valuations and solid investor demand. (Read more)
The overall market breadth stood negative as 1,075 shares advanced while 2,353 declined on BSE. The market capitalization (m-cap) of BSE-listed companies fell to Rs 269.94 lakh crore, resulting in investor wealth erosion of nearly Rs 4.5 lakh crore.
All the 15 sector gauges -- compiled by the National Stock Exchange -- settled in the red. Sub-indexes Nifty Metal and Nifty FMCG underperformed the NSE platform by falling as much as 2.20 per cent and 1.21 per cent, respectively. On the flipside, Nifty IT rose 1.76 per cent today.
Mid- and small-cap shares finished on a lower as Nifty Midcap 100 fell 1.74 per cent and small-cap slipped 1.70 per cent.
On the stock-specific front, Divi's Lab was the top Nifty loser as the stock cracked 5.05 per cent to close at Rs 3,500.25. JSW Steel, IndusInd Bank, Eicher Motors and Nestle India were also among the laggards. In contrast, Axis Bank, Adani Enterprises and Asian Paints were among the top gainers. (Read more)
Sensex dives 844 points or 1.46 per cent to close at 57,147, Nifty moves 257 points or 1.49 per cent lower to trade at 16,984
Sensex dives 773 points or 1.33 per cent to trade at 57,218, Nifty moves 237 points or 1.38 per cent lower to trade at 17,004
Shares of Reliance Industries Ltd (RIL) have lost over 7 percent in a month amid high volatility in the market. The stock, which closed at Rs 2,568 on September 9 was trading at Rs 2,377 today, implying a decline of 7.43 per cent during the period. (Read more)
Sensex tanks 559 points or 0.96 per cent to trade at 57,432, Nifty moves 177 points or 1.02 per cent lower to trade at 17,064; Divi's Lab, Eicher Motors, IndusInd Bank, JSW Steel, Nestle India among top drags
Two IT majors Wipro and HCL Technologies (HCL Tech), whose shares have fallen up to 43 per cent year-to-date, are set to report their September quarter results on Wednesday. (Read more)
Sensex cracks 408 points or 0.70 per cent to trade at 57,583, Nifty moves 134 points or 0.78 per cent lower to trade at 17,107
Shares of Suzlon Energy dived 6.41 per cent to trade at Rs 7.16 in late deals.
Presently a trader needs to show patience and need to avoid trading aggressively in the market as the risk of a bare minimum correction of 38.2 per cent of the entire rally from 15,183 (Nifty) to 18,096 comes around 16,990, followed by 50 per cent correction at 16,650 remains, said Tirthankar Das, Technical & Derivative Analyst, Retail, Ashika Stock Broking Ltd.
Shares of Glenmark Life Sciences climbed 8.47 per cent to trade at Rs 418.85 in late afternoon deals.