MARKET DRIFTS LOWER IN EARLY TRADE, BREADTH STRONG

The key equity indices were trading with minor cuts in early trade. The Nifty traded below the 17,850 mark. PSU bank, metal and media stocks were in demand while IT, healthcare and FMCG shares corrected.

At 09:30 IST, the barometer index, the S&P BSE Sensex, was down 185.72 points or 0.31% to 59,772.31. The Nifty 50 index shed 40.60 points or 0.23% to 17,814.20.

In the broader market, the S&P BSE Mid-Cap index fell 0.05% while the S&P BSE Small-Cap index gained 0.24%.

The market breadth was strong. On the BSE, 1,680 shares rose, and 971 shares fell. A total of 145 shares were unchanged.

Foreign portfolio investors (FPIs) sold shares worth Rs 1,662.63 crore, while domestic institutional investors (DIIs), were net buyers to the tune of Rs 2,127.65 crore in the Indian equity market on 12 January, provisional data showed.

Economy:

India`s annual retail inflation edged down from the previous month, while industrial output rose at the fastest pace since June. Annual retail inflation rose 5.72% in December from 5.88% in the previous month, government data showed on Thursday. India`s industrial output rose 7.1% in November compared to a contraction of 4% in the previous month.

Stocks in Spotlight:

Infosys shed 0.10%. Infosys reported 9.4% rise in consolidated net profit to Rs 6,586 crore on a 4.9% increase in revenues to Rs 38,318 crore in Q3 FY23 over Q2 FY23. The company`s net profit and revenues are higher by 13.4% and 20.2% as compared with Q3 FY22.

The IT major has revised its FY23 revenue guidance to 16.0%-16.5% from 15%-16% stated at the end of Q2 FY23. The operating margin guidance has been retained at 21%-22%.

HCL Technologies fell 1.86%. The IT firm reported 17.39% rise in consolidated net income to Rs 4096 crore on a 8.15% increase in revenues to Rs 26700 crore in Q3 FY23 over Q2 FY23.

HCL Technologies announced that State Farm, the leading provider of auto, home, and commercial insurance, has selected the company to reimagine its IT service desk and infrastructure operations. Also HCL Technologies announced that Mattel Inc., a leading global toy company and owner of one of the strongest portfolios of children`s and family entertainment franchises in the world, has selected HCL Technologies to drive transformation across Mattel`s global technology landscape cutting across applications, infrastructure and information security domains.

Larsen & Toubro (L&T) declined 1.31%. L&T has entered into a Business Transfer Agreement (Agreement) to transfer the Carved-out Business of Smart World and Communication (SWC) Business Unit to L&T Technology Services Limited (LTTS), a listed subsidiary of the company.

Godrej Properties rose 0.60%. The realty major announced that it has purchased 60 acres on an outright basis in the fast-developing micro market of Oragadam Junction, Chennai.

Rail Vikas Nigam (RVNL) rallied 3.69%. RVNL has received LOA for 撤rovision of Automatic Block Signaling with Dual MSDAC, EI/OC Interface and Block Optimization in Southern Railway. The project cost is Rs. 38.97 crore.

Global Markets:

Asian stocks were trading mostly higher after the U.S. consumer price index showed inflation cooled in December, raising investors` hopes that the Federal Reserve can return to slower interest rate hikes.

US stocks climbed on Thursday after a reading of consumer prices fed expectations the Federal Reserve may have the leeway to scale back the size of future interest rate hikes.

A key gauge of US inflation posted a moderate increase in December. Excluding food and energy, the consumer price index rose 0.3% last month and was up 5.7% from a year earlier, according to a US Labor Department report on Thursday. The overall CPI fell 0.1% from the prior month, with cheaper energy costs fueling the first decline in 2 1/2 years. The measure was up 6.5% from a year earlier.

Powered by Capital Market - Live News