Stock Market Today: Sensex crashes over 400 factors in early offers, Nifty dips beneath 17,650-mark

Sensex, Nifty Today: The fairness benchmark indices on the BSE and National Stock Exchange (NSE) opened over 0.6 per cent decrease on Monday taking cues from their Asian friends.

At 9:16 am, the S&P BSE Sensex was down 401.03 factors (0.67 per cent) at 59,245.12 whereas the Nifty 50 crashed 120.65 factors (0.68 per cent) to 17,637.80.

On the Sensex pack, Kotak Mahindra Bank, Wipro, Axis Bank, Tech Mahindra, Bajaj Finserv, HCL Technologies, IndusInd Bank, HDFC Bank, Tata Steel and Bajaj Finance have been the highest laggards in early commerce Monday. In distinction, Power Grid Corporation of India, Hindustan Unilver, Dr. Reddy’s Laboratories, ITC, NTPC and Reliance Industries have been buying and selling within the inexperienced.

“Despite a multiple headwinds like rising interest rate, monetary tightening and volatile commodity costs, the Nifty has outperformed global markets since Dec’21. The commodity prices corrected in few weeks, offers some relief to the adverse macros which supported the market to gain 16 per cent from its Jun’22 low. While DII started selling, FIIs bought worth Rs 445 bn so far in Aug’22 into Indian equites. The earnings season has ended with strong revenue growth while pressure continued on the margins due to commodity inflation. More downgrade seen in EPS compared to upgrades. We expect FII to remain net buyers as valuations are comparatively reasonable while India’s growth is high compared to other emerging nations. Though near term negatives in terms of concerns of depreciating rupee, widening trade deficit and volatility in global crude prices continue to exert pressure on economy and equity markets, we expect strong economic rebound, normalized commodity prices, inflation within a targeted range and better visibility in 2HFY23E,” stated Mitul Shah, Head of Research at Reliance Securities.

Global Market (from Reuters)

Asian shares slipped on Monday and the greenback prolonged its climb amid angst over international progress as most main banks maintain elevating charges, whereas a modest easing by China served solely to spotlight troubles in its property market.

Federal Reserve Chair Jerome Powell headlines a bunch of coverage makers at Jackson Hole later within the week and the dangers are that he is not going to meet investor hopes for a dovish pivot on coverage.

MSCI’s broadest index of Asia-Pacific shares outdoors Japan fell an extra 0.7 per cent, whereas Chinese blue chips dipped 0.1 per cent. South Korea’s KOSPI shed 0.7 per cent whereas Japan’s Nikkei fell 0.6 per cent, although it has drawn help from the latest sharp reversal within the yen.

EUROSTOXX 50 futures misplaced 0.3 per cent, whereas FTSE futures have been down a fraction. S&P 500 futures eased 0.4 per cent and Nasdaq futures 0.5 per cent. The S&P 500 has repeatedly did not clear its 200-day transferring common round 4,320 and ended final week down 1.2 per cent.