Options data suggests a shift in a trading range between 18000 to 18600 zones while an immediate range between 18100 to 18500 zones.
Fear gauge index India VIX was up by 2.48% from 13.73 to 14.07 levels. Volatility spiked from lows as the market reacted sharply on the negative side after a long time.
!1 New UpdateClick here for latest updates
“This is a great move by SEBI to create clear distinct categories of products and more transparency for clients by selecting appropriate benchmarks. This helps in reflecting the true performance of the strategy. For eg A multi asset or hybrid strategy that is compared to equity benchmarks might grossly outperform in bear market and underperform in a bull market, therefore misrepresenting the strategy performance. Having relevant benchmarks helps in fair evaluation of the strategy. A Hybrid fund managers true performance can be best observed by comparing it to a hybrid benchmark. SEBI evolving its reporting norms for PMS is a step in the right direction.”
– Siddharth Vora – Head of Investment Strategy and Fund Manager – PMS, Prabhudas Lilladher (on SEBI circular for performance benchmarking of PMS)
US stocks extend losses as recession fears weigh
The Dow Jones Industrial Average fell 35.76 points, or 0.11%, at the open to 33,166.46.
“Volatility in the market this week was dictated by the release of favourable inflation numbers, which were offset by major global central bank’s aggressive decisions. US CPI inflation eased to 7.1% in November, while India’s retail inflation eased sharply to 5.88%, which was within the RBI’s tolerance band. However, the Fed startled the market by maintaining its hawkish tone, as investors were expecting a softer approach after the release of better-than-expected inflation numbers. Following the Fed, BOE and ECB raised their interest rate by 50bps while maintaining their hawkish stance in combating inflation. While the selloffs were broad-based, IT stocks dragged in the domestic market as recession fears boomed in the global economies. Lack of major triggers will push the domestic market to follow its global peers, in the coming week”
– Vinod Nair, Head of Research at Geojit Financial services
Forex reserves swell by USD 2.91 bn to USD 564.06 bn as of Dec 9
India’s forex reserves rose by USD 2.908 billion to USD 564.06 billion for the week ended on December 9, according to the Reserve Bank data released on Friday. In the previous reporting week, the overall reserves had soared by USD 11 billion to USD 571.16 billion. This is the fifth consecutive week of an increase in the reserves.In October 2021, the country’s foreign exchange kitty had reached an all-time high of USD 645 billion. The reserves had been declining as the central bank deployed the reserved to defend the rupee amid pressures caused majorly by global developments.
FUND FLOW ACTIVITY
#MarketsWithETNOW | Check out the #FundFlow activity for December 16th! https://t.co/knKrrjbZlP
— ET NOW (@ETNOWlive) 1671192537000
Bond yields rise as debt auction sees weak demand; dip on weekly basis
Indian government bond yields ended higher on Friday after weaker than expected demand at the weekly debt auction turned investors more cautious.The benchmark 10-year yield ended at 7.2768%, after closing at 7.2676% on Thursday. The yield fell 2 basis points this week, after rising 8 bps last week.The overall sentiment remained weak because of hawkish commentary from central bankers across the world, which dimmed the hopes of domestic interest rate cuts later in 2023, said a dealer at a state-run bank.
Tech View: Nifty charts blinking red. What traders should do next week
: Indicating a sell-on-rise mood in the market, the headline equity index Nifty on Friday formed a bearish candle with a long upper shadow on the daily chart. Now till it holds below 18350, weakness could be seen towards 18081 and 18000 zones, whereas hurdles are placed at 18350 and 18442 zones, said Chandan Taparia of Motilal Oswal.Options data suggests a shift in a trading range between 18000 to 18600 zones while an immediate range between 18100 to 18500 zones.Fear gauge index India VIX was up by 2.48% from 13.73 to 14.07 levels. Volatility spiked from lows as the market reacted sharply on the negative side after a long time.
Domestic equities slipped into negative territory following US Fed hawkish commentary and weakness in global markets. Nifty open gap down and declined for third consecutive day to close with loss of 146 points (-0.8) at 18269 levels. Broader market too saw some selling pressure with Nifty midcap 100 down 1.6% while smallcap 100 down 0.6%. All sectors ended in red with PSU bank down more than 3%. Markets seems to have taken pause after making new highs with Nifty down by 3% in last few. Markets are likely to remain in consolidative range due to lack of triggers in the near term. Also lower participation from institutional investors due to upcoming year-end holidays would keep the markets lackluster. Though investors would keep eye on US Home Sales and GDP (QoQ) numbers to be released next week. On sectorial front, sugar stocks are likely to remain in lime light on after news reported, government might consider increasing sugar export quota for the current 2022-23. However, some selling might be seen in Banking stock especially in PSU banks on account of profit booking after the sharp rally in last few months.
– Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services
Global markets extended their rout as the ECB and BoE followed the Fed in raising policy rates by half a percent while maintaining a hawkish tone on inflation. The aggressiveness of central banks in combating inflation has raised concerns about the global economy’s health. Despite attempts to recoup losses, a lack of global support pushed the indices back into negative territory
– Vinod Nair, Head of Research at Geojit Financial Services.
Rupee ends at lowest since November 3, down 0.7% this week
Closing Bell: Sensex slumps for 2nd straight day, ends 461 points lower; Nifty below 18,300; Yes Bank drops 6%, UBI 5%
Mafatlal Industries establishes a garment unit at MIDC, Sangli
Price as on 16 Dec, 2022 03:11 PM, Click on company names for their live prices.
Jaihind Synthetics proposes to invest in Blue Sapphire Healthcares
Price as on 16 Dec, 2022 03:08 PM, Click on company names for their live prices.
Rossell India approves conversion of 1 million compulsorily convertible preference shares issued to BMG Enterprises
Price as on 16 Dec, 2022 02:55 PM, Click on company names for their live prices.
AU Small Finance Bank announced entering into bancassurance tie-up with HDFC Life Insurance Company.
Price as on 16 Dec, 2022 02:19 PM, Click on company names for their live prices.
PE/VC investments drop 42 pc to USD 4 bn in Nov
Investments by private equity and venture capital funds have declined by 42 per cent year-on-year to USD 4 billion in November, a report said on Friday. However, compared to the preceding month of October, investments have increased by 18 per cent, the report by industry lobby IVCA and EY, a consultancy, said, adding this is the second sequential rise in monthly investments.
Advani Hotels and Resorts (India) declared interim dividend of Rs 2 per share.
Price as on 16 Dec, 2022 01:26 PM, Click on company names for their live prices.
Why are sugar stocks in a sweet spot?
#StocksInNews | Sugar stocks in focus! Few stocks are up anywhere between 1-4%; @Ashesha_A joins in to explain the… https://t.co/GIUNWpGoEn
— ET NOW (@ETNOWlive) 1671174284000
Dilip Buildcon bags order worth Rs 976 crore
These stocks fall the most in a weak market
Price as on 16 Dec, 2022 12:40 PM, Click on company names for their live prices.
These stocks plummeted to 52-week lows in trade today
Tokyo shares close lower
Tokyo stocks closed lower on Friday, extending sharp falls on Wall Street driven by lacklustre US retail sales data and fears of a global recession. The benchmark Nikkei 225 index dropped 1.87 percent, or 524.58 points, to end at 27,527.12, while the broader Topix index fell 1.20 percent, or 23.69 points, to 1,950.21.
Dr Reddy’s Laboratories says Aurigene Oncology reports results of Aur101 in Phase II Study In patients with moderate to severe psoriasis
Price as on 16 Dec, 2022 11:45 AM, Click on company names for their live prices.
Evans Electric approves bonus issue of equity shares in ratio of 1:1
Price as on 16 Dec, 2022 11:21 AM, Click on company names for their live prices.
Patel Engineering approves buyback worth Rs 350 crore
Price as on 16 Dec, 2022 11:19 AM, Click on company names for their live prices.
Engineers India gets order for 30,000 MTPA Polysilicon and 500 MTPA Monosaline project from Mundra Solar Technology.
Price as on 16 Dec, 2022 11:08 AM, Click on company names for their live prices.
Sensex extends fall, slides over 400 points
WATCH | Will India outperform?
LIVE | Will India's outperformance continue? Adrian Lim of abrdn shares his India outlook @abrdn_plc @nikunjdalmia… https://t.co/j98GJdHtu1
— ET NOW (@ETNOWlive) 1671162847000
Check out the top gainers from oil & gas pack
Price as on 16 Dec, 2022 10:46 AM, Click on company names for their live prices.
Shares of GMM Pfaudler fell as much as 18.1% on Friday, their worst intraday percentage fall in nearly 5 years, after a report said that one of its promoters will sell its majority stake in India’s largest glass-lined equipment maker. Pfaudler Inc, which holds a 31.9% stake in GMM Pfaudler, will sell about 29.88% of its holding via block deals at a floor price of 1,700 rupees.
Price as on 16 Dec, 2022 10:26 AM, Click on company names for their live prices.
Institutional bids in IRCTC OFS strong; is it worth buying for retail investors?
The discount offered in the OFS does make it a compelling investment opportunity, but money managers don’t think so purely because of the valuation. IRCTC stock trades at 61.6 times its trailing 12 month earnings, according to Trendlyne. Year-to-date, shares of IRCTC have fallen 17% and is the only one within the railway PSU space to give negative returns. But, the stock tripled in value in 2021, giving the best-ever returns to investors.
While offering little or no visibility on the upside prospects for the last few days, we had been systematically pointing towards the extent of downsides that were to follow. We would soon be entering the 18,300-100 band which we had marked down yesterday. This region has the potential to either cool down the nerves, or to set off a powerful plunge that could revive talks of 16,800 again. However, the favoured view expects a pull back towards 18,480-520 region first, performance at which region would be crucial for setting further moves. A collapse is not the most favoured outcome though.
– Anand James – Chief Market Strategist at Geojit Financial Services
Reliance Consumer Products has announced the launch of its made-for-India consumer packaged goods brand called ‘Independence’ in Gujarat. The company will be selling products ranging from staples to processed foods.
Price as on 16 Dec, 2022 09:58 AM, Click on company names for their live prices.
Nifty Media pack in the green; check the top gainers
Price as on 16 Dec, 2022 09:48 AM, Click on company names for their live prices.
India has cut windfall tax on crude oil and aviation turbine fuel (ATF) and reduced export tax on diesel, according to a government order dated Dec. 15. It cut the tax on locally produced crude oil steeply to 1,700 rupees ($20.52) per tonne from 4,900 rupees, effective Friday, the order said. The federal government also cut export tax on diesel to 5 rupees per litre from 8 rupees, while slashing the windfall tax on ATF to 1.5 rupees per litre from 5 rupees, the document showed.
Price as on 16 Dec, 2022 09:31 AM, Click on company names for their live prices.
Tata Consumer, Hindustan Unilever in talks to buy Girnar Food & Beverages (Source: Media reports)
Price as on 16 Dec, 2022 09:29 AM, Click on company names for their live prices.
There is a near term risk aversion in global equity markets. Following the 50 bp rate hike and hawkish message from the Fed on 14th the ECB and BoE also hiked rates on 15th by 50 bp each and delivered, perhaps, a more hawkish message than the Fed. Other central banks like the Swiss National Bank and Bank of Thailand also have raised rates. This synchronised rate hiking cycle has impacted sentiments leading to sharp cuts of more than 3% in Nasdaq, CAC and DAX. India is likely to be less impacted by the bearish trend but investors can wait for the global markets to stabilise before making fresh commitments in this overvalued market. Moving some money to fixed income makes sense since fixed income returns are turning attractive.
– Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services
Active stocks in morning trade
Price as on 16 Dec, 2022 09:21 AM, Click on company names for their live prices.
Opening Bell: Sensex sheds 300 pts, Nifty nears 18,300; GMM Pfaudler tanks 10%, HCL Tech 2%
Pre-open session: Sensex slips over 300 points; Nifty below 18,310
Asian stocks knocked down by hawkish rate views
Asian stocks dropped Friday after hawkish signals from central banks sparked a rout in European and US equities.
Oil rises, poised to end week higher despite economy concerns
Oil prices rose in early Asian trade on Friday after falling 2% in the previous session on central bank interest rates hikes, and is poised to end the week higher after a series of positive oil demand forecasts.
SGX Nifty signals a negative start
Nifty futures on the Singapore Exchange traded 64 points, or 0.35 per cent, lower at 18,395.50, signaling that Dalal Street was headed for a negative start on Friday.
Tech View: Large red candle on Nifty charts looks scary.
Indicating more weakness in the short term, headline equity index Nifty today formed a large red candle on the daily charts and negated its higher highs – higher lows formation of the last two sessions.
Tokyo stocks open lower on global recession worries
Tokyo stocks opened lower on Friday, extending sharp falls on Wall Street driven by lacklustre US retail sales data and fears central bank interest rate hikes will prompt a global recession. The benchmark Nikkei 225 index was down 1.34 percent, or 376.58 points, at 27,675.12 in early trade, while the broader Topix index fell 0.98 percent, or 19.12 points, to 1,954.61.
Wall Street slumps as Fed heightens recession fears
U.S. stock indexes closed sharply lower on Thursday, with each of the major averages suffering their biggest daily percentage drop in weeks, as fears intensified that the Federal Reserve’s battle against inflation using aggressive interest rate hikes could lead to a recession.
Rupee falls 27 paise to 82.76 against US dollar
The rupee declined by 27 paise to close at 82.76 against the US dollar on Thursday after the US Federal Reserve’s interest rate hike and its hawkish stance dented investor sentiments.
Sensex, Nifty on Thursday
The 30-share Sensex ended 879 points lower at 61,799, while its broader peer Nifty50 ended at 18,415 level.
Good morning, dear reader! Here’s something to kickstart your trading day
Read More:sensex today: Stock Market Highlights: Nifty charts blinking red. What traders should do