Stock Market Today: Nifty, Sensex Rebound Led By Reliance, ITC; All Eyes On US Fed Policy

Overseas investors turned net sellers of Indian equities on Wednesday.

Foreign portfolio investors offloaded stocks worth Rs 2,599.2 crore, according to provisional data from the National Stock Exchange.

Domestic institutional investors remained buyers and mopped up equities worth Rs 2,667.5 crore, the NSE data showed.

Foreign institutions have been net buyers of Rs 1,7463 crore worth of Indian equities so far in 2024, according to data from the National Securities Depository Ltd., updated till the previous trading day.

The NSE Nifty 50 settled 21.65 points, or 0.10% higher at 21,839.10, and the S&P BSE Sensex ended 89.64 points, or 0.12% higher at 72,101.69.

• The local currency weakened by 13 paise to close at 83.17 against the U.S. Dollar, marking the lowest level in near one-month.

• It closed at 83.04 a dollar on Tuesday.

Source: Bloomberg

India's benchmark indices recovered losses to end higher on Wednesday, lead by gains in shares of Reliance Industries Ltd., ITC Ltd., and State Bank of India.

The NSE Nifty 50 settled 21.65 points or 0.099% higher 21,839.10, and the S&P BSE Sensex ended 89.64 points or 0.12% up at 72,101.69.

Now, market participants shift their focus on the outcome of the U.S. Federal Reserve's monetary policy meeting, due to be published later today.

The NSE Nifty 50 rose 0.52% to 21,930.90, and the S&P BSE Sensex rose 0.54% to 72,406.67 during the day.

The U.S. central bank is expected to stand pat in the monetary policy meeting this week. However, market participants will closely monitor Chair Jerome Powell's remarks, and dot plots for fresh cues on rate trajectory moving ahead.

The Fed fund future traders are expecting 99% chance of benchmark federal fund rates to remain unchanged at current 5.25-5.55% in Fed's March monetary policy meeting, according to CME FedWatch Tool.

Due to profit booking at higher levels it trimmed some gains and in the second half of the day and finally close near 21,850/72,100 level, said Shrikant Chouhan, Head Equity Research, Kotak Securities.

"We are of the view that, as long as it is trading below 21950/72500 the weak sentiment is likely to continue. Below which, the market could retest the level of 21700- 21650/71700-71500. On the other side, above 21950/72500 the sentiment could change. Above 21950/72500, the chances of hitting 22050-22100/72800-73000 would turn bright," he said.

The Nifty Bank index extended losses for nine day and ended Wednesday's session lower in contrast to the benchmark indices, dragged by HDFC Bank Ltd., Axis Bank Ltd.

The index has recorded worst losing streak in over 20 years.

Reliance Industries Ltd., ITC Ltd., State Bank of India, Maruti Suzuki India Ltd., and Power Grid Corp of India added positively to the benchmark indices.

HDFC Bank Ltd., Axis Bank Ltd., Tata Steel Ltd., Tata Motors Ltd., and Hindustan Unilever Ltd. limited gains to the index.

On NSE, six sectors out of 12 ended higher and six ended lower. The Nifty Oil & Gas sector was the top performing sector, and the Nifty Metal was the top loser.

Broader markets underperformed. The S&P BSE Midcap index ended 0.05% higher, and the S&P BSE Smallcap fell 0.14%.

On BSE, 13 sectors ended higher and seven closed with losses. S&P BSE Energy and S&P BSE Oil & Gas rose the most.

Market breadth was skewed in favour of sellers. Around 2,188 stocks declined, 1,605 stocks rose, and 110 stocks remained unchanged on BSE

The scrip rose as much as 5.54% to Rs 166.70 piece, the highest level since March 6. It has risen 224.71% on a year-to-date basis. Total traded volume in the day stood at 0.8% times its 30-day average. The relative strength index was at 59.79.

• Separation of India and GCC business is nearing completion, said Aster DM Healthcare.

• Fajr Capital-led consortium gets key approvals from Saudi Arabia’s General Authority for Competition for the separation.

Source: Exchange filing