Sensex drops 143 pts, Nifty ends below 19,400

Equity indices closed lower on Thursday after two days of flat trading. The market showed limited movement, with the Nifty50 settling near its daily low. The realty and auto sectors saw positive momentum, while FMCG and oil & gas sectors experienced selling pressure. The Nifty Bank index traded sideways, staying above the support level of 43,500 but failing to break through the crucial resistance at 44,000. The market was supported by lower bond yields in the US and a drop in Brent crude to $80 mark, leading to reduced selling by Foreign Institutional Investors (FIIs).

The barometer index, the S&P BSE Sensex declined 143.41 points or 0.22% to 64,832.20. The Nifty 50 index lost 48.20 points or 0.25% to 19,395.30.

Adani Enterprises (down 1.97%), Infosys (down 1.22%) and Reliance Industries (down 1.11%) were major drags.

In the broader market, the S&P BSE Mid-Cap index gained 0.06% while the S&P BSE Small-Cap index slipped 0.27%.

The market breadth was negative. On the BSE, 1,587 shares rose and 2,129 shares fell. A total of 111 shares were unchanged.

Numbers to Watch:

The yield on India`s 10-year benchmark federal paper rose 0.14% to 7.256 from its previous close of 7.266.

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 83.2875, compared with its close of 83.3000 during the previous trading session.

MCX Gold futures for 5 December 2023 settlement declined 0.33% to Rs 59,811.

The US Dollar index (DXY), which tracks the greenback`s value against a basket of currencies, was up 0.06% to 105.65.

The United States 10-year bond yield advanced 0.60% to 4.554.

In the commodities market, Brent crude for January 2024 settlement gained 48 cents or 0.60% to $80.02 a barrel.

Global Markets:

Markets in Europe and Asia advanced on Thursday as US equities achieved a notable winning streak, raising optimism that interest rates may have reached their peak.

However, China`s economy faced challenges as it slipped back into deflation, with October consumer prices contracting by 0.2% year-on-year, and producer prices declining by 2.6%.

In the US, the S&P 500 and Nasdaq managed to secure slight gains, continuing their recent winning streaks, while attention was focused on Federal Reserve officials` remarks concerning interest rates and the movement of Treasury yields. Notably, the Dow Jones ended its seven-session winning streak with a decline. Thursday`s discussions featured appearances by prominent figures such as Fed Chair Jerome Powell, Atlanta Fed President Raphael Bostic, Richmond Fed President Tom Barkin, and Bank of England chief economist Huw Pill, who engaged in conversations regarding monetary policy challenges.

Stocks in Spotlight:

MTAR Technologies slumped 11.23% after the company lowered its annual guidance for FY24. The company has reported 17.1% fall in net profit to Rs 20.5 crore in Q2 FY24 from Rs 24.7 crore in Q2 FY23. Revenue from operations stood at Rs 166.8 crore in Q2 FY24 as against Rs 126.2 crore in Q2 FY23, 32.2% increase YoY.

Parvat Srinivas Reddy, managing director & promoter, MTAR Technologies, said: "We revise our annual guidance for FY24 to a revenue of around Rs 670 crore � Rs 700 crore as against previous guidance of around Rs 830 crore � Rs 860 crore with an EBITDA of around 26% [(+/-) 100 basis points] as against previous guidance of around 28% [(+/-) 100 basis points] due to deferment of shipment plans against the confirmed orders from Clean Energy to the next fiscal year."

Adani Ports and Special Economic Zone (APSEZ) declined 1.50%. On consolidated basis, APSEZ�s net profit rose marginally to Rs 1,761.63 crore in Q2 FY24 as against Rs 1,737.81 crore recorded in Q2 FY23. Revenue from operations jumped 27.55% year on year to Rs 6,646.41 crore in the quarter ended 30 September 2023.

Apollo Hospitals Enterprise gained 3.66% after the healthcare major`s consolidated net profit grew 14.17% to Rs 232.9 crore in Q2 FY24 as compared to Rs 204 crore in Q2 FY23. However, revenue from operations stood at Rs 4,846.9 crore during the quarter, up 14.02% from Rs 4,251.1 crore recorded in the same period last fiscal.

Tata Power Company shed 2.73%. The company reported 9% rise in consolidated net profit to Rs 1,017 crore in Q2 FY24 as compared with Rs 935 crore in Q2 FY23. Revenue from operations increased 9% YoY to Rs 15,442 crore in Q2 FY24, largely driven by higher revenue from core businesses of Generation, Transmission & Distribution.

Pidilite Industries skid 0.64%. The company has reported 35% jump in standalone net profit to Rs 455 crore on a 2.4% rise in net sales to Rs 2,768 crore in Q2 FY24 as compared with Q2 FY23.

Bata India advanced 0.89% The footwear major�s consolidated net profit dropped 38% to Rs 33.99 crore in Q2 FY24 as against Rs 54.82 crore recorded in Q2 FY23. Revenue from operationS declined marginally to Rs 819.12 crore during the quarter as compared with Rs 829.76 crore reported in the same period a year ago.

United Spirits lost 0.29%. The company reported consolidated net profit of Rs 339.3 crore in Q2 FY24 as compared to net profit of Rs 547.7 crore in Q2 FY23. Total income dropped to Rs 6776.6 crore in Q2 FY24 from Rs 8290.3 crore in Q2 FY23.

Multi Commodity Exchange of India tumbled 5.55% after the company reported consolidated net loss of Rs 19.07 crore in Q2 FY24 as compared with net profit of Rs 63.28 crore posted in Q2 FY23. Revenue from operations stood at Rs 165.11 crore in the September 2023 quarter, registering a growth of 29.6% YoY.

Welspun Corp jumped 5.06% after the company reported consolidated net profit of Rs 384.7 crore in Q2 FY24 as against a net loss of Rs 56.6 crore posted in Q2 FY23. Revenue from operations surged 106.71% to Rs 4,059.45 crore in Q2 FY24 as against 1,963.81 crore recorded in Q2 FY23.

KRBL slumped 8.84% after the company`s consolidated net profit fell 28.07% to Rs 153.29 crore on 8.03% decrease in net sales to Rs 1213.39 crore in Q2 September 2023 over Q2 September 2022.

IPO Update:

The initial public offer (IPO) of ASK Automotive received bids for 1,05,85,71,809 shares as against 2,06,99,974 shares on offer, according to stock exchange data at 17:00 IST on Thursday (9 November 2023). The issue was subscribed 51.14 times.

The issue opened for bidding on Tuesday (7 October 2023) and it will close on Thursday (9 November 2023). The price band of the IPO is fixed at Rs 268-282 per share. An investor can bid for a minimum of 53 equity shares and in multiples thereof.

Powered by Capital Market - Live News