Informist, Friday, Oct 13, 2023

By Neeshita Beura

MUMBAI – Benchmark indices ended lower today, dragged down by information technology and banking stocks amidst weak global cues. Although the consumer price index data in India fell to a three-month low of 5.02% in September from 6.83% in August, the increase in US CPI, US Treasury yield, and the tight labour market in the US ignited worries that the Federal Reserve will keep its interest rates higher for longer.

"While the market is already coping up with global economic uncertainty, concerns over the flare up in Israel-Palestine conflict has been making investors jittery," said Amol Athawale, vice-president of technical research at Kotak Securities. He also highlighted that investors are worried about the persistent selling by foreign portfolio investors, rising US dollar, and a rise in crude oil prices.

The negative sentiment seeped into markets all around the globe. As a result, there was weakness in India as well as other Asian and European nations.

Inflation data in China showed that there was no rebound in prices on the consumer and producer side. In China, the CPI in September came in flat on month, while Dow Jones said that market players had expected it to rise by 0.2%. Further, the producer price index declined by 2.5%, while Dow Jones had estimated a fall of 2.4%.

European indices were also lower as market participants assessed a rise in September's consumer inflation in several countries in the region.

In the domestic market, technology giants like Infosys faced losses, while HCLTech saw gains. Shares of Infosys fell as much as 4.5% today, hitting their lowest level in over a month on the National Stock Exchange after the company lowered its 2023-24 (Apr-Mar) revenue growth guidance to 1.0-2.5% from 1.0-3.5% earlier. Brokerages said a cut in the company's 2023-24 (Apr-Mar) revenue guidance was surprising despite strong execution and deal wins in Jul-Sep. Despite this, brokerages have not taken an "uber pessimistic" view on the stock as they are expecting a modest revenue growth from the company in this financial year.

"IT company's management commentary indicates that the pain is gradually getting over. IT companies have big deal wins and they are also executing their contracts. So. I don't feel that these are weak results, but, it shows that the bedrock has been reached and IT won't be deep diving any more going forward," said Viraj Vyas, technical analyst at Ashika Stock Broking.     

Nifty Bank fell 0.7%, after global brokerage UBS downgraded its rating on the stocks of prominent state-owned lender State Bank of India and private lender Axis Bank.

Today, Nifty 50 constituent HDFC Life Insurance Co reported its Jul-Sep earnings. The company's net profit increased to 3.77 bln rupees in Jul-Sep from 3.26 bln rupees a year ago. The net premium income in the quarter increased to 147.56 bln rupees from 131.11 bln rupees a year ago.

Indices opened lower today, but started going off lows after 1300 IST. While it seemed that they might recover, bechnmark indices closed lower. "While the recovery mood exhibited enthusiasm, the last hour dampened the euphoria as the index failed to close over the key hurdle of 19800 points," said Avdhut Bagkar, technical and derivatives analyst at StoxBox.

Today, both Nifty 50 and Sensex closed 0.2% lower at 19751.05 points and 66282.74 points, respectively. 

* Of the Nifty 50 stocks, 11 rose, 23 fell, and 1 was unchanged

* Of the Sensex stocks, 16 rose, 12 fell, and 2 were unchanged

* On the BSE, 1,805 stocks rose, 1,859 fell, and 156 were unchanged

* Nifty Auto: up 0.9%; Nifty Bank: up 0.7%, Nifty IT: down 0.6%

BSE                                                NSE
Sensex: 66282.74, down 125.65 pts or 0.2%          Nifty 50: 19751.05, down 42.95 pts or 0.2%

S&P BSE Sensitive Index                            Nifty 50
Lifetime High: 67927.23 (Sep 15, 2023)          :  Lifetime High: 20222.45 (Sep 15, 2023)
Record Close High: 67838.63 (Sep 15, 2023)      :  Record Close High: 20192.35 (Sep 15, 2023)

2023 1st day close: 61167.79 (Jan 2)            :  2023 1st day close: 18197.45 (Jan 2)
2023 Closing High: 67838.63 (Sep 15, 2023)      :  2023 Closing High: 20192.35 (Sep 15)

2023 Closing Low: 59288.35 (Feb 27)             :  2023 Closing Low: 17311.80 (Oct 17)

2023 High (intraday): 67927.23 (Sep 15)         :  2023 High (intraday): 20222.45 (Sep 15)

2023 Low (intraday): 58699.20 (Jan 30)          :  2023 Low (intraday): 17098.55 (Jan 17)

2022 1st day close: 59183.22 (Jan 3)            :  2022 1st day close: 17625.70 (Jan 3)
2022 Closing High: 63284.19 (Dec 1)             :  2022 Closing High: 18812.50 (Dec 1) 
2022 Closing Low: 51360.42 (Jun 17)             :  2022 Closing Low: 15293.50 (Jun 17)
2022 High (intraday): 63583.07 (Dec 1)          :  2022 High (intraday): 18887.60 (Dec 1)

2022 Low (intraday): 50921.22 (Jun 17)          :  2022 Low (intraday): 15183.40 (Jun 17)
2021 Closing High: 61305.95 (Oct 14)            :  2021 Closing High: 18338.55 (Oct 14) 
2021 Closing Low: 46285.77 (Jan 29)             :  2021 Closing Low: 13634.60 (Jan 29)
2021 High (intraday): 61353.25 (Oct 14)         :  2021 High (intraday): 18350.75 (Oct 14)
2021 Low (intraday): 46160.46 (Jan 29)          :  2021 Low (intraday): 13596.75 (Jan 29)-

2020 Closing High: 47751.33 (Dec 31)            :  2020 Closing High: 13981.95 (Dec 30)
2020 Closing Low: 25981.24 (Mar 23)             :  2020 Closing Low: 7610.25 (Mar 23)
2020 High (intraday): 47896.97 (Dec 31)         :  2020 High (intraday): 14024.85 (Dec 31)
2020 Low (intraday): 25638.90 (Mar 24)          :  2020 Low (intraday): 7511.10 (Mar 24)
2019 High (intraday): 41809.96 (Dec 20)         :  2019 High (intraday): 12293.90 (Dec 20)
2019 Low (intraday): 35287.16 (Feb 19)          :  2019 Low (intraday): 10583.65 (Jan 29)
2018 High (intraday): 38938.91(Aug 28))         :  2018 High(intraday): 11760.20 (Aug 28)
2018 Low (intraday): 32483.8 (Mar 23)           :  2018 Low (intraday): 9951.9 (Mar 23)
2017 High (intraday): 34005.37 (Dec 26)         :  2017 High(intraday): 10515.10 (Dec 26)

End

Edited by Manisha Baxla

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