Stock market today: BSE Sensex and Nifty50, the Indian equity benchmark indices, tanked in trade on Wednesday after hitting fresh lifetime highs. While BSE Sensex plunged 800 points, Nifty50 was near 24,200. At 10:58 AM, BSE Sensex was trading at 79,648.29, down 703 points or 0.88%. Nifty50 was at 24,222.55, down 211 points or 0.86%.
NSE Nifty 50 and the S&P BSE Sensex, opened at record highs, driven by the continued rally in Maruti Suzuki.However, the gains were short-lived as the benchmarks succumbed to the pressure from M&M and banking stocks.
According to an ET report, the market sentiment was dampened by the US Federal Reserve Chair Jerome Powell’s testimony to the U.S. Congress, where he refrained from providing clear signals about the timing of future interest rate cuts in the United States.
According to the CME FedWatch Tool, the probability of a 25 basis point Fed rate cut in September slightly decreased to 73% from 77% the previous day, while expectations for 50 bps cuts in 2024 remained unchanged.
Among the Sensex stocks, M&M led the losers, declining over 4% in early trade. Other stocks that opened with losses included Axis Bank, Kotak Bank, JSW Steel, IndusInd Bank, and ICICI Bank. On the other hand, Maruti, Adani Ports, NTPC, Infosys, and Titan opened with gains. HDFC Bank experienced a 0.5% drop in early trade following a downgrade by BofA from ‘Buy’ to ‘Neutral’.
Sectorally, Nifty Bank and Nifty Auto declined by 0.5% and 0.3%, respectively. Nifty Financial Services, Media, Metal, Pharma, and Healthcare also opened in the red. The broader market indices, Nifty Midcap100 and Smallcap100, had a flat opening.
In individual stock news, Delta Corp’s shares fell nearly 4% after reporting a 34% year-on-year decline in standalone net profit for the first quarter ended June 2024. On the other hand, RVNL shares surged 10% following the receipt of a Letter of Acceptance for a project worth Rs 187.34 crore from Maharashtra Metro Rail Corporation Limited (Nagpur Metro).
Experts weighed in on the market trends, with V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, attributing the ongoing bull market in India to the global rally and sustained retail investor inflows. However, he cautioned investors about the high level of speculative activity in the smallcap space. Deven Mehata, Research Analyst at Choice Broking, provided support and resistance levels for the Nifty index.
Global markets rallied on the back of growing expectations of a Fed easing cycle, with the MSCI’s broadest index of Asia-Pacific shares outside Japan gaining 0.09% and remaining close to a more than two-year high. Japan’s Nikkei rose 0.13%, while Hong Kong’s Hang Seng Index climbed about 1%.
Foreign institutional investors (FIIs) and domestic institutional investors (DIIs) continued their buying spree, purchasing equities worth Rs 314 crore and Rs 1416 crore, respectively, on July 9.
Oil prices rebounded on Wednesday after three days of declines, supported by a report showing a fall in U.S. crude and fuel stockpiles, indicating steady demand, and an improved outlook for interest rate cuts. Brent futures rose 21 cents to $84.87 a barrel, while U.S. West Texas Intermediate (WTI) crude rose 26 cents to $81.67 a barrel.
The Indian rupee traded flat at 83.49 in early trade on Wednesday, while the dollar index, which tracks the movement of the greenback against a basket of six major world currencies, declined 0.03% to the 105.1 level.
NSE Nifty 50 and the S&P BSE Sensex, opened at record highs, driven by the continued rally in Maruti Suzuki.However, the gains were short-lived as the benchmarks succumbed to the pressure from M&M and banking stocks.
According to an ET report, the market sentiment was dampened by the US Federal Reserve Chair Jerome Powell’s testimony to the U.S. Congress, where he refrained from providing clear signals about the timing of future interest rate cuts in the United States.
According to the CME FedWatch Tool, the probability of a 25 basis point Fed rate cut in September slightly decreased to 73% from 77% the previous day, while expectations for 50 bps cuts in 2024 remained unchanged.
Among the Sensex stocks, M&M led the losers, declining over 4% in early trade. Other stocks that opened with losses included Axis Bank, Kotak Bank, JSW Steel, IndusInd Bank, and ICICI Bank. On the other hand, Maruti, Adani Ports, NTPC, Infosys, and Titan opened with gains. HDFC Bank experienced a 0.5% drop in early trade following a downgrade by BofA from ‘Buy’ to ‘Neutral’.
Sectorally, Nifty Bank and Nifty Auto declined by 0.5% and 0.3%, respectively. Nifty Financial Services, Media, Metal, Pharma, and Healthcare also opened in the red. The broader market indices, Nifty Midcap100 and Smallcap100, had a flat opening.
In individual stock news, Delta Corp’s shares fell nearly 4% after reporting a 34% year-on-year decline in standalone net profit for the first quarter ended June 2024. On the other hand, RVNL shares surged 10% following the receipt of a Letter of Acceptance for a project worth Rs 187.34 crore from Maharashtra Metro Rail Corporation Limited (Nagpur Metro).
Experts weighed in on the market trends, with V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, attributing the ongoing bull market in India to the global rally and sustained retail investor inflows. However, he cautioned investors about the high level of speculative activity in the smallcap space. Deven Mehata, Research Analyst at Choice Broking, provided support and resistance levels for the Nifty index.
Global markets rallied on the back of growing expectations of a Fed easing cycle, with the MSCI’s broadest index of Asia-Pacific shares outside Japan gaining 0.09% and remaining close to a more than two-year high. Japan’s Nikkei rose 0.13%, while Hong Kong’s Hang Seng Index climbed about 1%.
Foreign institutional investors (FIIs) and domestic institutional investors (DIIs) continued their buying spree, purchasing equities worth Rs 314 crore and Rs 1416 crore, respectively, on July 9.
Oil prices rebounded on Wednesday after three days of declines, supported by a report showing a fall in U.S. crude and fuel stockpiles, indicating steady demand, and an improved outlook for interest rate cuts. Brent futures rose 21 cents to $84.87 a barrel, while U.S. West Texas Intermediate (WTI) crude rose 26 cents to $81.67 a barrel.
The Indian rupee traded flat at 83.49 in early trade on Wednesday, while the dollar index, which tracks the movement of the greenback against a basket of six major world currencies, declined 0.03% to the 105.1 level.
