Sensex, Nifty edge lower in early trade; Himadri Speciality Chemical, IRFC, RVNL down up to 9%
The 30-share BSE Sensex slipped 20 points or 0.03 per cent to trade at 65,760, while the broader NSE Nifty was down 8 points or 0.04 per cent to trade at 19,567. Mid- and small-cap shares were mixed as Nifty Midcap 100 shed 0.06 per cent and small-cap rose 0.13 per cent.
- Sep 6, 2023,
- Updated Sep 6, 2023 10:26 AM IST
Indian equity benchmarks traded lower in early trade on Wednesday, dragged by metals, state-owned banks and automobile stocks. Although, gains in energy, pharma and consumer shares limited losses. The 30-share BSE Sensex slipped 20 points or 0.03 per cent to trade at 65,760, while the broader NSE Nifty was down 8 points or 0.04 per cent to trade at 19,567. Mid- and small-cap shares were mixed as Nifty Midcap 100 shed 0.06 per cent and small-cap rose 0.13 per cent.
On the global front, Asian markets declined today. Overnight, Wall Street equities closed lower as investors turned cautious after comments from a Federal Reserve official suggested scope for the US central bank to raise rates further, if necessary.
An uptick in oil prices also added to the concerns. Brent crude futures crossed the $90-mark for the first time since November 2022 on concerns over supply shortage after Saudi Arabia and Russia extended their voluntary outputs cuts to the end of the year.
Back home, foreign institutional investors (FIIs) sold shares worth Rs 1,725 crore on a net basis during the previous session, while domestic institutional investors (DIIs) bought shares worth Rs 1,078 crore, according to stock exchange data.
"For the near term, there are mixed cues for the market. FIIs are likely to continue selling in the cash market. On the positive side, the sustained DII buying is imparting strength to the market. DIIs have bought stocks worth Rs 5,934 crores in the cash market during the last three trading days of September. Investors have to be cautious about the headwinds, particularly the rising crude," said VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services.
IT and the fairly valued banking stocks, particularly the leading private banks, have the potential to support the market, he added.
Seven out of the 15 sector gauges -- compiled by the NSE -- were trading in the red. Sub-indexes Nifty Metal, Nifty PSU Bank and Nifty Auto were underperforming the NSE platform by falling as much as 0.90 per cent, 0.41 per cent and 0.24 per cent, respectively. On the flip side, Nifty Oil & Gas, Nifty Pharma, Nifty FMCG and Nifty Consumer Durables rose 0.61 per cent, 0.46 per cent, 0.26 per cent and 0.19 per cent, each.
On the stock-specific front, Jio Financial Services was the top loser in the Nifty pack as the stock cracked 2.47 per cent to trade at Rs 248.75. Hindalco, Tata Steel, IndusInd Bank and NTPC fell up to 1.66 per cent.
In contrast, Cipla, HDFC Life, ONGC, SBI Life and Divi's Labs were among the top gainers.
The overall market breadth was positive as 1,783 shares were advancing while 1,068 were declining on BSE.
On the 30-share BSE index, ICICI Bank, Infosys, Tata Steel, IndusInd Bank and Bajaj Finance were among the top laggards.
Also, Himadri Speciality Chemical, IRFC, RVNL, APL Apollo Tubes and IRCON tanked up to 8.93 per cent. On the other hand, ZF Commercial Vehicle, Reliance Power, Indiabulls Real Estate, Castrol India and MMTC jumped up to 7.42 per cent.
On Tuesday, Sensex had climbed rose 152 points or 0.23 per cent to close at 65,780, while Nifty had moved 46 points or 0.24 per cent up to end the session at 19,575.
Nifty outlook
"We have reached the upper extremity of a one month trading range in less than four days, explaining the resistance to upsides yesterday. Though upside momentum persists, entry into the 19,580-19,630 region could attract rejection trades again, which now stands in the way of achieving our target of 19,790. Yet, we may retain upside hopes as long as above 19,556, while slippage past 19,496 could push Nifty back into a consolidation mode," said Anand James, Chief Market Strategist at Geojit Financial Services.
Also read: Stocks to watch on September 6, 2023: Nykaa, TVS Motor Company, Route Mobile, Paytm, others
Indian equity benchmarks traded lower in early trade on Wednesday, dragged by metals, state-owned banks and automobile stocks. Although, gains in energy, pharma and consumer shares limited losses. The 30-share BSE Sensex slipped 20 points or 0.03 per cent to trade at 65,760, while the broader NSE Nifty was down 8 points or 0.04 per cent to trade at 19,567. Mid- and small-cap shares were mixed as Nifty Midcap 100 shed 0.06 per cent and small-cap rose 0.13 per cent.
On the global front, Asian markets declined today. Overnight, Wall Street equities closed lower as investors turned cautious after comments from a Federal Reserve official suggested scope for the US central bank to raise rates further, if necessary.
An uptick in oil prices also added to the concerns. Brent crude futures crossed the $90-mark for the first time since November 2022 on concerns over supply shortage after Saudi Arabia and Russia extended their voluntary outputs cuts to the end of the year.
Back home, foreign institutional investors (FIIs) sold shares worth Rs 1,725 crore on a net basis during the previous session, while domestic institutional investors (DIIs) bought shares worth Rs 1,078 crore, according to stock exchange data.
"For the near term, there are mixed cues for the market. FIIs are likely to continue selling in the cash market. On the positive side, the sustained DII buying is imparting strength to the market. DIIs have bought stocks worth Rs 5,934 crores in the cash market during the last three trading days of September. Investors have to be cautious about the headwinds, particularly the rising crude," said VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services.
IT and the fairly valued banking stocks, particularly the leading private banks, have the potential to support the market, he added.
Seven out of the 15 sector gauges -- compiled by the NSE -- were trading in the red. Sub-indexes Nifty Metal, Nifty PSU Bank and Nifty Auto were underperforming the NSE platform by falling as much as 0.90 per cent, 0.41 per cent and 0.24 per cent, respectively. On the flip side, Nifty Oil & Gas, Nifty Pharma, Nifty FMCG and Nifty Consumer Durables rose 0.61 per cent, 0.46 per cent, 0.26 per cent and 0.19 per cent, each.
On the stock-specific front, Jio Financial Services was the top loser in the Nifty pack as the stock cracked 2.47 per cent to trade at Rs 248.75. Hindalco, Tata Steel, IndusInd Bank and NTPC fell up to 1.66 per cent.
In contrast, Cipla, HDFC Life, ONGC, SBI Life and Divi's Labs were among the top gainers.
The overall market breadth was positive as 1,783 shares were advancing while 1,068 were declining on BSE.
On the 30-share BSE index, ICICI Bank, Infosys, Tata Steel, IndusInd Bank and Bajaj Finance were among the top laggards.
Also, Himadri Speciality Chemical, IRFC, RVNL, APL Apollo Tubes and IRCON tanked up to 8.93 per cent. On the other hand, ZF Commercial Vehicle, Reliance Power, Indiabulls Real Estate, Castrol India and MMTC jumped up to 7.42 per cent.
On Tuesday, Sensex had climbed rose 152 points or 0.23 per cent to close at 65,780, while Nifty had moved 46 points or 0.24 per cent up to end the session at 19,575.
Nifty outlook
"We have reached the upper extremity of a one month trading range in less than four days, explaining the resistance to upsides yesterday. Though upside momentum persists, entry into the 19,580-19,630 region could attract rejection trades again, which now stands in the way of achieving our target of 19,790. Yet, we may retain upside hopes as long as above 19,556, while slippage past 19,496 could push Nifty back into a consolidation mode," said Anand James, Chief Market Strategist at Geojit Financial Services.
Also read: Stocks to watch on September 6, 2023: Nykaa, TVS Motor Company, Route Mobile, Paytm, others