Indian stock market extended losses for the fifth consecutive session today amid negative global cues. Sensex lost 1465 points to 57,571 and Nifty declined 446 points to 17,170 in the afternoon session. All 30 Sensex components were trading in the red. Bears dominated on Dalal Street last week with the benchmark equity indices falling more than three per cent amid bets on the US Federal Reserve’s faster rate hikes in 2022.
The 30-share BSE Sensex plunged 2,185.85 points, or 3.57 per cent, to 59,037.18 on January 21 against 61,223.03 on January 14. Likewise, the 50-share NSE Nifty index cracked 638.60 points, or 3.50 per cent, to 17,617.15 during the same period.
Here's a look at the updates of the market action on BSE and NSE today.
3:30 pm: Sensex logs biggest daily fall since November
Sensex crashed over 1500 points to end at 57,491.51 and Nifty plunged 468 points to 17,149. Nifty Realty and Nifty Metal index crashed the most, declining over 5 per cent each.
3:00 pm: Paytm shares tank 8%
Shares of Paytm crashed over 8 per cent to hit an intraday low of Rs 881.5 on BSE. The stock has been highly volatile today with an intraday volatility of 5.61%.
2:45 pm: Market check
Sensex plunged over 1900 points to 57,102.13 and Nifty was trading over 550 points at 17,053. All the 30 stocks were trading in red on the Sensex. Likewise, all the sectoral indices were trading in red on Nifty.
2:30 pm: More pain ahead
Mr. Yash Gupta- Equity Research Analyst, Angel One Ltd said that the market continues its 5th day of the downturn today the BSE IPO Index is down by more than 7% at 11,017, these are the lowest levels since May 2021. New-age companies are down by 6%-18% and several companies are trading below their listing price. Zomato down by 19%, FSN E-Commerce (Nykaa) down by 11% PB Fintech ltd down by 11%, Paytm down by 6%, etc.
Last week we have made a cautious stand on the market, today we are suggesting retail investors not to catch the falling knife at this point in time, we may see some more volatility as next week is going to be on budget i.e 1st February 2022. Markets are down on the back of global clues and not-so-good results by companies in Q3FY22 as of now.
1: 55 pm: Expert quote
Parth Nyati, Founder, Tradingo said,"We are seeing a meaningful correction in the market and the intensity of selling is very high on the back of heavy FIIs' selling. There is a risk-off sentiment across the globe amid fear of tightening by the US Fed. We are underperforming today and the main reason is global weakness while another reason is some margin calls got triggered especially in new edge companies and that is causing a ripple effect. Anecdotally, Monday remains ugly in a weak market because lots of unwinding is seen by those who carry over the weekend in hope of recovery.
Technically, 17150 will be a critical support level which is a 61.8% retracement of the previous rally from 17410 to 18350; below this, we can expect Nifty to move towards its 200-DMA that may coincide with 16800 level. If Nifty manages to recover from the 16150 level, then we can expect a pullback rally where 17600-17800 will be an immediate resistance area."
1:50 pm: Market update
Sensex falls 1465 points to 57,571 and Nifty slips 446 points to 17,170 in the afternoon session.
1: 40 pm: Reliance Industries shares fall 2.95% post Q3 earnings
RIL shares fell 3% today amid the market crash despite the energy-to-telecom behemoth reporting a 41.58 per cent year-on-year (YoY) growth in consolidated net profit (attributable to owners of the company) at Rs 18,549 crore. The company had posted a profit of Rs 13101 crore in the same period last year.
1: 20 pm: Sensex losers
All 30 Sensex components are trading in the red. Bajaj Finance, Tata Steel and Tech Mahindra are the top Sensex losers, falling up to 5.37 per cent.
12:45 pm: ICICI Bank stock rises post Q3 earnings
Shares of ICICI Bank rose over 1% amid a market crash today after the private sector lender reported a 25 per cent year-on-year (YoY) rise in its net profit for October-December quarter. ICICI Bank stock climbed 1.76% to Rs 818.80 against the previous close of Rs 804.60 on BSE.
12: 30 pm: Sensex, Nifty extend losses
Sensex loses 1294 points to 57,742 and Nifty falls 381 points to 17,235.
12: 25 pm: Budget Expectations
Puneet Maheshwari, Director, Upstox says, “In the past year, digital brokerages offered investors easy and convenient access to a range of products and services. In a welcome development, SEBI announced a shorter settlement cycle, called T+1, as an incentive to the investor community. Government may consider relieving traders of the securities transaction tax (STT). By doing so, new investors would be encouraged to start trading. There needs to be more participation in indexes or exchange-traded funds. By offering a lock-in and tax incentives on the lines of equity-linked tax savings schemes, the government can encourage long-term savings in Nifty or Sensex. A greater allocation by the government-owned provident funds and pension funds into equity markets could also help.
Given the enormous increase in medical expenses due to Covid-19, we urge the government to hike the standard deduction from the current Rs 50,000 to Rs 1,00,000. This will further lower the tax burden and put more money in the hands of the salaried class. The government should remove the concept of speculative income and restrict income classification arising from capital market transactions to business income, long-term capital gains and short-term capital gains. We hope that the Government considers tax exemption up to ?1,00,000 lakh on short-term capital gains tax as well as tax exemption on dividends up to ?50,000 for senior citizens.”
12:05 am: Sensex crashes 1000 points
Sensex crashed over 1000 points to 57,945 amid weak global cues. Nifty tanked over 300 points to 17,294.
Tech Mahindra and Titan were the top losers on Sensex, declining over 4 per cent each.
11:40 am: Market check
The benchmark indices were trading sharply lower on Monday. Sensex crashed over 800 points to 58,209 and Nifty fell 260 points to 17,353.
11:00 am: Rupee falls 9 paise
The rupee declined 9 paise to 74.52 against the U.S. dollar in opening trade on January 24, as muted domestic equities and elevated crude oil prices weighed on investor sentiments.
Forex traders said the Indian rupee is trading in a narrow range ahead of the U.S. Federal Reserve meeting later this week.
10:30 am: Vodafone Idea shares slip 5%
Shares of telecom major Vodafone Idea fell over 5% in early trade after the firm reported a widening of loss to Rs 7,231 crore for the quarter ended December 2021.
The firm reported a net loss of Rs 4,532 crore in the year-ago period. The stock lost 5.04% to Rs 11.30 against the previous close of Rs 11.90 on BSE.
9:40 am: Zomato shares tank 19%
Shares of Zomato Limited crashed 19 per cent to hit an all-time low of Rs 91.70 on BSE.
According to Abhay Agarwal, Founder, Piper Serica, the sharp correction witnessed in the recently listed Internet and tech stocks like Zomato are driven primarily by more than 10% correction in Nasdaq over the last month. With an increase in interest rates, tech investors seem to be taking money off the table for the time being.
"With all technical indicators flashing red we do not see any sharp rebound in tech stocks. At the same time, it is a good opportunity for long-term investors to add stocks like Zomato to the portfolio since it is a leader in a fast-growing industry that has only one other player. Also, since the company is well funded and has profitable unit-level metrics, we are not worried about the correction in valuation," he added.
9:16 am: Market opening
Indian benchmark indices opened lower amid weak global cues. At 09:16 hours, the 30-share BSE index was trading 228 points lower at 58,808.81, and the broader NSE Nifty was down 70 points to 17,546.55.
Asian Paints was the top loser in the Sensex pack, declining over 2 per cent, followed by Tech Mahindra, Dr Reddy, HCL Tech, Wipro and Infosys.
Maruti Suzuki and ICICI Bank were among the top Sensex gainers.
8:55 am: Pre-market comment by Mohit Nigam, Head - PMS, Hem Securities
Benchmark Indices are expected to open on a negative note as suggested by trends on SGX Nifty. US stock markets closed lower on Friday, NASDAQ fell -2.72% followed by plunge in Netflix.
European Indices also closed lower on Friday. Asian markets were also trading lower in the early Monday trade with Hang Seng trading -1.12%, Nikkei trading -0.55% and Kospi trading -1.63% lower. So the markets seem to be under pressure today mainly led by surging bond yields, FII selling and average Q3 Results.
Some stock specific actions due to Q3 earnings can be witnessed in Reliance Industries, JSW Steel, ICICI Bank, Yes Bank etc. Earnings to watch today includes HDFC AMC, Axis Bank, SBI Cards, Deepak Nitrite, IEX etc.
On the technical front 17,400 and 17800 are immediate support and resistance in Nifty 50. For Bank Nifty 37,000 and 38,000 are immediate support and resistance respectively.
8:45 am: Global Markets
Wall Street's main indexes ended sharply lower on Friday as Netflix shares plunged after a weak earnings report, capping a brutal week for stocks that saw the S&P 500 and Nasdaq log their biggest weekly percentage drops since the onset of the pandemic in March 2020.
On Wall Street, the S&P 500 fell 1.89 per cent, the Nasdaq Composite declined 2.72 per cent and the Dow Jones dropped 1.3 per cent.
Asian share markets slipped on Monday with the Federal Reserve expected to confirm it will soon start draining the massive liquidity that has fuelled the huge gains in growth stocks in recent years.
In Asia, Nikkei Weighted index was down 0.55 per cent and Hang Seng was trading 1.18 per cent lower. Shanghai Composite was up 0.11 per cent.
8:40 am: FII and DII action
Foreign institutional investors (FIIs) sold shares worth Rs 3,148.58 crore on January 21, and domestic institutional investors (DIIs) bought shares worth Rs 269.36 crore, as per provisional data available on NSE.
8:35 am: Rupee rises 8 paise to close at 74.43
The rupee advanced by 8 paise to close at 74.43 (provisional) against the U.S. dollar on Friday on the back of easing crude oil prices and dollar selling by banks and exporters.
However, the rupee's further recovery was restricted by continuous foreign fund outflows and sell-offs in domestic equities, analysts said.
At the interbank foreign exchange market, the rupee opened at 74.50 a dollar and during the day, it witnessed an intra-day high of 74.40 and a low of 74.55 against the American currency.
8:30 am: SGX Nifty
The Indian equity market is likely to open on a negative note as SGX Nifty was down 83.9 points to 17,564 at 8:30 am.
Singapore Nifty (SGX Nifty) is the Indian Nifty index that is traded in the Singapore Stock Exchange and is considered to be the first indication of the opening of the Indian market.
8:15 am: Market on Friday
On Friday, Sensex closed 427 points lower at 59,034 and Nifty fell 139 points to 17,617.
BSE mid cap and small cap indices fell 512 points and lost 598 points, respectively. Of 30 Sensex stocks, 22 ended lower.
Market cap of BSE-listed firms fell to Rs 269.84 lakh crore against the previous session's Rs 273.28 lakh crore.
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