Stock Market Today: Sensex, Nifty Fall For The Second Day; FPIs Stay Net Sellers
Sensex closed down 140 points, or 0.21%, at 65,655.15 while Nifty was 38 points or 0.19% lower at 19,694.00.
KEY HIGHLIGHTS
Indian Rupee Records Lowest-Ever Close Of 83.35 Against The U.S. Dollar
Sensex, Nifty End Volatile Day Lower; Mid & SmallCaps Outperform: Market Wrap
Reversals In Trade: Nifty Realty, Nifty Metals Pare Gains
European Markets Trade mixed
YES Bank Appoints Tushar Patankar As Chief Risk Officer For Three Years Effective Dec. 1
FPIs Stay Net Sellers
Overseas investors stay net sellers for two consecutive sessions on Monday.
Foreign portfolio investors sold stocks worth Rs 645.72 crore, according to provisional data from the National Stock Exchange.
Domestic institutional investors who were sellers in the last session turned to buyers and purchased stocks worth Rs 77.77 crore, the NSE data showed.
Foreign institutions have been net buyers of Rs 97,032 crore worth of Indian equities so far in 2023, according to data from the National Securities Depository Ltd., updated till the previous trading day.
Yield On The 10-Year Bond Ends Higher
The yield on the 10-year bond closed 4 bps higher at 7.26% on Monday.
Source: Bloomberg
Indian Rupee Records Lowest-Ever Close Of 83.35 Against The U.S. Dollar
The local currency depreciated 8 paise to close at all time weakest level of 83.35 against the U.S. dollar on Monday.
It closed at 83.27 on Friday.
Source: Bloomberg
Sensex, Nifty End Volatile Day Lower; Mid & SmallCaps Outperform: Market Wrap
India's benchmark stock indices fell on Monday after swinging between gains and losses through the day. Auto sector dragged, whereas I.T. shares advanced in trade.
The S&P BSE Sensex closed down 140 points, or 0.21%, at 65,655.15 while the NSE Nifty 50 was 38 points or 0.19% lower at 19,694.00.
"The levels near 19,800-19,850 zone is a tough hurdle which needs to be breached to establish some conviction and proceed further for next higher targets of 20,000-20,200 levels. The further support is seen at 19,600 while the resistance is seen at 19,850," according to Vaishali Parekh, vice president - technical research, Prabhudas Lilladher Pvt.
"With October peak in the vicinity, expect sideways moves. Dips are likely to be limited to 19,600-570, keeping intact the prospects of an extended push towards record peak. Meanwhile, push above 19,765/40 could spark a few upswings, but they are likely to be challenged on approach to 19,800." said Anand James, chief market strategist at Geojit Financial Services.
Nifty Smallcap 250 Index rose 0.57% to hit an all-time high of 13,051.25 intraday, whereas Nifty Midcap 150 was volatile after scaling a record high at 15,654.40. Nifty Pharma also hit a life-high by rising 0.93% to 15,950.80, intraday.
Asian stocks were mixed fueled by the waning bet that the Federal Reserve would end its hiking cycle. Japanese shares declined after hitting a 33-year high, shares rose over 1.6% in Hong Kong and rose in Australian, South Korea and China.
On Friday, the S&P 500 inched above 4,500 to notch its third straight week of gains—the longest run since July.
Bharti Airtel Ltd., Tata Consultancy Services Ltd., HCL Technologies Ltd., Divi's Laboratories Ltd., and Kotak Mahindra Bank Ltd. were positively adding to the change in the Nifty 50 Index.
Whereas, Bajaj Finance Ltd., Mahindra & Mahindra Ltd., Larsen & Toubro Ltd., ITC Ltd., and Reliance Industries Ltd. were negatively contributing to the change.
"The ongoing rally in the mother market U.S. triggered by declining bond yields makes the market construct slightly favourable for the continuation of the rally in India, too. Like in cricket, there will be occasional set backs, but it is the long-term trend that matters in the market," Dr. V K Vijayakumar, chief investment strategist at Geojit Financial Services.
The broader markets ended mixed; the S&P BSE MidCap Index was down 0.06%, whereas S&P BSE SmallCap Index was 0.39% higher.
Fourteen out of 20 sectors compiled by BSE declined, while six sectors advanced. S&P BSE Information Technology rose the most and S&P BSE Auto fell the most.
The market breadth was split between buyers and sellers. About 1,880 stocks rose, 1,934 declined, while 166 remained unchanged on the BSE.
Clearly, this is a buy on dips market. Retail investor exuberance is pushing up the broader market, he added. "Investors should not be blinded by the recency bias and chase small caps running away without fundamental support. In spite of recent underperformance, safety is now in large caps," said Vijayakumar.
Reversals In Trade: Nifty Realty, Nifty Metals Pare Gains
Nifty Realty pare gains, down 0.24% post hitting intraday high of 1.16%
Nifty Metal pare gains, down 0.3% post hitting intraday high of 0.7%
Dish TV pared gain of 3.8% to trade 2.8% in the red
Ircon International pared gain of 2.9% to trade 2.4% in the red
Nifty Midcap 150 down 0.1%, slips in the red post hitting fresh record high at 15,654
