Stock Market Today: Nifty 50 and Sensex Close in Red Amid Intraday Volatility

Stock Market Today: Nifty 50 and Sensex Close in Red Amid Intraday Volatility

VoM News Desk | October 13, 2023 | 05:05 PM IST | Breaking News | Follow on Google News

Stock Market Today: Nifty 50 and Sensex Close in Red Amid Intraday Volatility

Stock Market Today: Nifty 50 and Sensex Close in Red Amid Intraday Volatility

Domestic benchmark equity indices experienced a turbulent trading session on Friday, with some intraday recoveries not preventing a late-hour selloff that affected index heavyweight stocks such as HDFC Bank, Kotak Mahindra Bank, State Bank of India, and Axis Bank, resulting in losses for the benchmark indices.

• Nifty 50 lost 42.95 points, settling at 19,751.05.
• Sensex fell 125.65 points, closing at 66,282.74.

Information technology stocks, influenced by US inflation concerns, weighed on market sentiment. While Tata Consultancy Services (TCS) gained 0.87%, Infosys fell by 2.23%, and HCL Tech saw a 2.64% decline.

On a positive note, buying interest was observed in the Nifty Auto Index, which increased by 0.87%, led by a 5% surge in Tata Motors. The market exhibited some volatility, but follow-through buying was lacking.

The recent US inflation statistics increased expectations of Federal Reserve rate hikes, leading to higher Treasury rates and a pause in Asian stock advances. Additionally, China’s sluggish economy added to the pessimism. Major Asian indices saw declines, with Hong Kong’s Hang Seng Index experiencing a 2.33% drop.

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On the other side of the globe, European stocks also declined due to concerns about interest rates, with the financial services and healthcare industries experiencing the most significant declines.

Oil prices rose by approximately USD 3 following an order by Israel’s military for residents in Gaza City to evacuate, anticipating a potential ground operation. US crude saw a gain of USD 2.97 to reach USD 85.88 a barrel on the New York Mercantile Exchange, while the global benchmark, Brent crude, increased by USD 2.98 to reach USD 89.01 a barrel.

Among the Nifty 50 index, 23 stocks ended in the green, with Tata Motors, HCL Technologies, IndusInd Bank, Tata Consumer, and Nestle India as the top gainers. The remaining 27 stocks ended in the red, with Axis Bank, Adani Enterprises, Infosys, State Bank of India, and Wipro among the laggards.

Experts’ views on the markets:

Vinod Nair, Head of Research at Geojit Financial Services, noted that the weak revenue guidance in the IT sector and the recent uptick in crude prices had a bearing on market sentiment. He highlighted the positive aspects of domestic factors such as a steep decline in domestic inflation, impressive industrial production data, and promising earnings expectations for Q2.

Rupak De, Senior Technical Analyst at LKP Securities, indicated that the bulls were able to protect the level of 19,600 during the day due to strong open interest build-up at the 19,600 strike price by put writers. As long as the index remains above 19,600, the strength may continue, and a buy-on-dips strategy could favor the market. Resistance is visible at 19,850, and a move above it could lead the index towards 20,000.

Stock Market Today: Nifty 50 and Sensex Close in Red Amid Intraday Volatility

VoM News Desk

VoM News is an online web portal in jammu Kashmir offers regional, National & global news.