Stock Market Update: Sensex falls 1,023 points, Nifty slips below 17,250; India VIX up 8%

The Budget week turned in favour of bulls as the benchmark equity indices rallied over 2 per cent for the week ended February 4. The 30-share BSE Sensex surged 1,445 points to 58,644.82 in the past five trading sessions. Likewise, the 50-share NSE Nifty index gained 414 points to 17,516.

On Friday, the benchmark indices ended lower tracking weakness in banking and energy stocks amid a mixed trend overseas. The 30-share BSE index ended 143.20 points or 0.24 per cent lower at 58,644.82. Similarly, the NSE Nifty shed 43.90 points or 0.25 per cent to close at 17,516.30.

Here's a look at the latest updates of the market action on BSE and NSE today.

3: 36 pm: Sensex closes 1023 points lower at 57,621 and Nifty loses 302 points to 17,213. India VIX rises 8.10%.

3: 23 pm: Adani Wilmar IPO: Here's how much you can gain on listing day

The shares of Adani Wilmar, a joint venture between Adani Group and Singapore-based Wilmar, will list on BSE and NSE on February 8. Analysts expect the Adani Group firm to make a decent market debut amid ongoing correction in the market.

The Grey Market Premium (GMP) of the IPO stood at Rs 23-Rs 24 today, indicating a listing of over 10% to the issue price.

The IPO had a price band of Rs 218-230  per  share.

Also read: Adani Wilmar IPO: Missed the allotment bus? Here's how much you can gain on listing day

3: 20 pm: Expert quote on upcoming MPC

Churchil Bhatt, EVP Debt Investments, Kotak Mahindra Life Insurance Company said, “The upcoming MPC will convene in the shadow of FY23 Union Budget, which rightly maintained its focus on growth but at the expense of high market borrowing. In the upcoming meeting, the MPC will likely acknowledge the inevitability of policy normalization and the challenges we face as global central banks accelerate their fight against inflation. However, recent sharp rise in bond yields may already have tightened the local financial conditions a bit too hastily for RBI’s comfort.

We therefore expect MPC to embark on a gradual tightening cycle, tilting its focus a little more on inflation as Brent Crude prices near $100 per barrel. To begin with, we expect the MPC to normalize the repo rate-reverse repo corridor (to 25 bps) over the next 2 meetings, starting with a 20 bps reverse repo rate hike in February. Subsequently, the MPC may change its accommodative policy stance to neutral, eventually embarking on a measured rate hike cycle.

With policy normalization underway, RBI’s support to bond markets is expected to remain constrained going forward even as headline inflation remains within the RBI’s target band.Tough as it may be, RBI will have to non-disruptively juggle between its objectives on policy normalization and management of government’s borrowing program in FY23.”

2:50 pm: Market turns volatile

India VIX index, the measure of volatility in the equity market, zooms 9.97% to 20.75.

2:30 PM: Global markets

France’s CAC 40 added 0.3% in early trading to 6,968.99, while Germany’s DAX edged up 0.4% to 15,153.17. Britain’s FTSE 100 gained 0.4% to 7,546.10. The future for the Dow Jones Industrial Average lost 0.4% to 34,848.0. The S&P 500 future was 0.3% lower, at 4,477.25.

In Asian trading, Japan’s benchmark Nikkei 225 lost 0.7% to finish at 27,248.87. Australia’s S&P/ASX 200 slipped 0.1% to 7,110.80. South Korea’s Kospi declined 0.2% to 2,745.06. Hong Kong’s Hang Seng was little changed, inching up less than 0.1% to 24,579.55, while the Shanghai Composite added 2% to 3,429.58.

2:01 pm: Sensex falls over 1,200 points

Sensex loses 1232 pts to 57,412 in afternoon session. Nifty down 387 points to 17,128.

1:54 pm: Market extends losses

Sensex tanks 1,121 pts to 57,523 and Nifty falls 337 pts to 17,178.  BSE bankex crashes 771 points to 43,619.

1: 42 pm: Market update

 Sensex crashes 957 points to 57,687 and Nifty loses 287 points to 17,229.

1: 30 pm: Godrej Properties stock zooms 7% after calling off DB Realty deal

Shares of Godrej Properties zoomed 7 per cent to hit an intraday high of Rs 1,608.85 on BSE after the firm decided to cancel its plans to invest Rs 700 crore in DB Realty.

On Thursday, Godrej Properties had announced that it would invest Rs 400 crore to acquire around 10 per cent stake in DB Realty and another Rs 300 crore to set up a joint platform for undertaking a slum redevelopment project.

1: 10 pm: CMS Info Systems share rises 4% post Q3 earnings

CMS Info Systems share rose 3.97% today after the company reported a profit of Rs 60.24 crore in Q3FY22 against Rs 40.7 crore in Q3FY21. Revenue rose to Rs 403.65 crore from Rs 332.53 crore YoY.
The stock gained 3.97% to Rs 283.60 against the previous close of Rs 272.75 on BSE.

12: 25 pm: SBI shares hit all-time high post Q3 earnings

SBI stock touched an all-time high of Rs 549.05, rising 3.56% on BSE today. The lender reported a 62.27 per cent year-on-year (YoY) rise in its net profit to Rs 8,431.9 crore in Q3.  The net interest income (NII) of India's largest public-sector lender rose 6.48 per cent on-year to 30,687 crore from Rs 28,820 crore. Interest earned for the quarter jumped 4.41 per cent to Rs 69,678.12 crore from Rs 66,734.50 crore during the same quarter last year.

12:08 pm: Sensex tanks 800 points

Equity benchmark Sensex extended losses and plunged over 800 points to 57,825.27. Likewise, Nifty fell over 240 points to 17,275.

12:05 pm: Passenger vehicle sales fall 10% in Jan as chip shortage hurts production: FADA 

Passenger vehicle retail sales in India slid 10 per cent on-year in January 2022, as the automakers continued to bear production loss in view of semiconductor shortage, the Federation of Automobile Dealers Associations of India (FADA) said on Monday. 

The automobile dealers’ body, which represents over 15,000 automobile dealers having 26,500 dealerships, further stated that the passenger vehicle (PV) sales declined to 2,58,329 units last month, a dip of 10.12 per cent from 2,87,424 units in January 2021. 

It added that two-wheeler sales last month fell by 13.44 per cent to 10,17,785 units, as against 11,75,832 units in January 2021.
 

11:20 am: Market check

The benchmark indices were trading sharply lower amid mixed global cues. The 30-share BSE index was trading 619 points lower at 58,025.62, and the broader NSE Nifty was down 182 points to 17,333.55.

11:15 am: Tata Steel shares gain 3% post strong Q3 show

Shares of India's largest steel manufacturing company Tata Steel rose 3 per cent to hit an intraday high of Rs 1,214.45 on BSE after the firm posted a strong set of numbers for the quarter ended December 2021.

The company reported a surge of 139 per cent year-on-year in its consolidated net profit at Rs 9,572 crore for the quarter ended December 2021. The firm had posted a net profit of Rs 4,011 crore in the year-ago period. Sequentially, the steel maker had reported a profit of Rs 12,548 crore in the September quarter.

The company's consolidated revenues for the quarter climbed about 45 per cent YoY to Rs 60,783 crore compared with Rs 41,935 crore in the year-ago quarter. On a QoQ basis, the revenues were broadly stable as improvement in net realisations more than offset the drop in volumes, the company said in a regulatory filing.

11:00 am: InterGlobe Aviation stock zooms 9% after firm posts profit in Q3 

Shares of InterGlobe Aviation gained nearly 9% today after the budget carrier turned profitable in the December quarter. The stock of InterGlobe Aviation climbed 8.70%  to Rs 2,146.15 against the previous close of Rs 1,974.30 on BSE.

0.72 lakh shares of the firm changed hands amounting to a turnover of Rs 15.08 crore. The share trades higher than 5 day, 50 day and 200 day moving averages but lower than 20 day and 100 day moving averages.

The stock has gained 26.91% in one year and gained 5.86% since the beginning of this year. The market cap of the firm rose to Rs 82,565 crore.

10:30 am: Technical and Derivatives Report by Sameet Chavan, Chief Analyst-Technical and Derivatives, Angel One Ltd

On Friday, Nifty started on a flat note, and then it traded within a range with negative bias throughout the session. Eventually, it ended with a marginal loss of 0.25 at 17,516.

Despite all this, Nifty managed to conclude the week with over two percent gains and importantly above the key support of 17500. Practically speaking, Nifty rallied nearly 1000 points in merely five sessions and some sort of breather or profit booking was evident. Hence, we did not get carried away by this small profit booking, rather it is likely to provide an excellent trading opportunity for traders who missed the move due to sharp recovery. 

This view remains valid as long as we hold the sacrosanct support of 17,240 on a closing basis. On the higher side, 17,700 – 17,800 are the immediate levels to watch out for. If global markets support, we may see Nifty surpassing these hurdles to move towards the 18,000 mark. The banking remains the space to track as we expect the major contribution to come from this heavyweight basket.

The only disappointing factor last week was the underperformance of the individual stocks. Generally, in a quiet market, individual themes continue to shine; but it was clearly missing in the latter half of the week. We hope this picture changes and traders would find ample opportunities to trade in the broader market. 

9:40 am: Paytm in focus

Foreign brokerage Macquarie on Monday published yet another report on Paytm, retaining its ‘underperform’ rating but cutting the target price of the stock to Rs 700 per share.

Shares of Paytm were trading lower in the early trade on Monday. Also, the fintech major on Friday reported a widening of consolidated net loss to Rs 778.5 crore for quarter ending 31 December, 2021. The firm had posted a loss of Rs 481.70 crore in the September quarter and Rs 535 crore in the year-ago period. 

The consolidated revenue from operations grew 89 per cent year-on-year (YoY) to Rs 1,456 crore in the quarter under review as compared with Rs 772 crore in the corresponding quarter last year. 

9:16 am: Market opening

The benchmark indices opened lower amid mixed global cues. At 09:16 hours, the 30-share BSE index was trading 91 points lower at 58,552.91, and the broader NSE Nifty was down 25 points to 17490.80.

Power Grid was the top gainer in the Sensex pack, advancing over 2 per cent, followed by Tata Steel, SBI, Bajaj Finserv and Nestle India.

Infosys and Kotak Mahindra Bank were among the top losers.

8:55 am: Pre-market comment by Mohit Nigam, Head - PMS, Hem Securities 

Benchmark Indices are expected to open on a negative note as suggested by trends on SGX Nifty. US stock markets closed higher on Friday, NASDAQ added 193 points followed by upbeat earnings from Amazon. Asian share market mostly eased on Monday after strong US job data. 

Oil prices fell on Monday on expectations the US-Iran talks may be nearing a conclusion on reviving a deal. Asian markets showed mixed cues as Nikkei, Kospi down 1%, Shanghai Composite up nearly 2%.

Results today: Union Bank of India, TVS Motor Company, NALCO, Borosil, Camlin Fine Sciences, Castrol India, Chemcon Speciality Chemicals, Clean Science and Technology, Fortis Malar Hospitals, Future Supply Chain Solutions, Gabriel India, Glaxosmithkline Pharmaceuticals, Indo Count Industries, Indian Bank, JM Financial, Jindal Stainless, Lasa Supergenerics, Likhitha Infrastructure, Nucleus Software Exports, Paisalo Digital, Peninsula Land, The Phoenix Mills, PB Fintech, Punjab & Sind Bank, Sansera Engineering, S H Kelkar and Company, Talbros Engineering, Tarsons Products etc

On the technical front, 17,450 and 17700 are immediate support and resistance in Nifty 50. For Bank Nifty 38,500 and 39,300 are immediate support and resistance respectively.

8:45 am: Global Updates

Another bumpy ride on Wall Street ended on Friday as Amazon's positive earnings capped a run of mixed big-tech numbers, with the Nasdaq recovering much of its losses from the previous session and all three benchmarks ending the week in the positive territory.

The Dow Jones Industrial Average fell 21.42 points, or 0.06 percent, to 35,089.74, the S&P 500 gained 23.09 points, or 0.52 percent, to 4,500.53 and the Nasdaq Composite added 219.19 points, or 1.58 percent, to 14,098.01.

In Asia, the Nikkei Weighted index was down 0.86 per cent and Hang Seng was trading 0.73 per cent lower. Shanghai Composite was up 1.68 per cent.

8:40 am: Rupee surges 18 paise to close at 74.70

The rupee surged 18 paise to close at 74.70 (provisional) against the U.S. dollar on Friday tracking the weakness of the American currency in the overseas market.

At the interbank forex market, the local unit opened strong at 74.71 against the greenback and witnessed an intra-day high of 74.68 and a low of 74.77. It finally settled at 74.70, a rise of 18 paise over its previous close.

In the previous session, the rupee had settled at 74.88 against the greenback.

During the week, the rupee has appreciated 37 paise against the American currency.

8:35 am: FII and DII action

Foreign institutional investors (FIIs) sold shares worth Rs 2,267.86 crore on February 4, and domestic institutional investors (DIIs) bought shares worth Rs 621.98 crore, as per provisional data available on NSE.

8:30 am: SGX Nifty

The Indian equity market is likely to open on a flat note as SGX Nifty was down nearly 100 points at 17,424.

Singapore Nifty (SGX Nifty) is the Indian Nifty index that is traded in the Singapore Stock Exchange and is considered to be the first indication of the opening of the Indian market.

8:15 am: Market on Friday

The benchmark indices ended lower tracking weakness in banking and energy stocks amid a mixed trend overseas. The 30-share BSE index ended 143.20 points or 0.24 per cent lower at 58,644.82. Similarly, the NSE Nifty shed 43.90 points or 0.25 per cent to close at 17,516.30.
 
SBI was the top loser in the Sensex pack, shedding 1.92 per cent, followed by M&M, NTPC, Kotak Mahindra Bank and Bajaj Finserv.

Of the Sensex constituents, 19 shares closed lower while 11 were in the green.