Closing Bell: Sensex tanks 570 pts, Nifty below 19,750 pts in broad-based selloff

Stock Market Today | Rupak De, Senior Technical analyst at LKP Securities

Nifty extended its decline as the benchmark index slipped towards 19,700. The Nifty index closed below the 20EMA, signaling a diminishing bullish sentiment. Weakness appears evident with a bearish crossover in the RSI. Selling on rallies remains the favored strategy as long as it stays below 20,000. On the downside, support is situated in the range of 19,700/19,630.

Stock Market Today |Kunal Shah, Senior Technical & Derivative analyst at LKP Securities

Bank Nifty experienced a significant correction during the day, with the Banking benchmark Index dropping below the 45,000 mark for the first time in several days. Furthermore, it fell below both the 20EMA and 50EMA on the daily timeframe. The RSI is signaling bearishness with a bearish crossover on the daily timeframe. In the short term, it could potentially move towards 44,000 on the lower end, while encountering resistance at 45,000 on the higher end.

Stock Market Today | Shrikant Chouhan, Head of Research (Retail), Kotak Securities

Bearish sentiment across the global equities led to selling in the domestic market for the third straight session as investors fretted over the US Fed statement indicating one more rate hike later this year. Other negative catalysts like lingering overseas fund outflows, rising US Dollar index and treasury yields, and higher crude oil prices are making investors jittery. Technically, the Nifty has completed one leg of correction, and for the bulls now, 19700 would be the key level to watch out for. If the index succeeds to trade above the same, then we could expect one relief rally, and above 19700 the market could rally till 19825-19875. On the flip side, fresh selling is possible only after the dismissal of 19700 and below the same, the index could slip till 19650-19600.

Taking Stock: Hawkish Fed commentary pushed Sensex down for 3rd day, Nifty below 19,750

Stock Market Today | Vinod Nair, Head of Research at Geojit Financial Services

Domestic market declined following a hawkish stance by the Fed chair and prolonged high interest rate trajectory which is not positive for a slowing global economy. PSU banks and mid & smallcaps were the worst hit due to stretched valuations and concern over moderation in yields. Rising oil prices and erratic rainfall further led investors to stay cautious in the market.

Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas

The Nifty opened gap down for the second consecutive day and closed around the lows for the day. It closed down ~159 points. On the daily charts we can observe that the nifty is in the process of retracing the rise it has witnessed 19223 – 20222. It has now reached the zone of 19720 – 19680 where support in the form of the 20-day moving average and the 50percentFibonacci retracement level is placed. We expect Nifty to hold on to this support and provide a pullback. The daily momentum indicator today has provided a negative crossover which is a sell signal and is now in sync with the price action. In terms of levels, 19680 – 19604 is the crucial support zone while 19850 – 19900 shall act as an immediate hurdle zone.

Bank Nifty has witnessed a sharp correction today and, in the process, has breached the 20 and 40-day moving averages which is a sign of weakness. The daily momentum indicator has a negative crossover which is a sell signal. thus, both price and momentum indicator suggest a further decline. On the downside we expect it to target levels of 44500 – 44360 which coincides with the 20-week moving average and the 78.6 percentfibonacci retracement level.

Hitesh Jain, Strategist, Institutional Equities Research, Yes Securities India

“Although the Fed decided to maintain a status quo on the policy rate, the posturing sounded a little hawkish, with the majority of the Fed members endorsing another rate hike later this year. However, we deem 5.5 percentto be the terminal rate and do not see any rate hikes from here on. Core PCE inflation projections are downwardly revised for 2023 when compared with previous estimates, which indicates a series of rate hikes are working. We see the Fed rate unchanged at 5.5percentfor this calendar year, while fancy a chance of one rate cut in Q1 2024 as economic growth is likely to see deceleration, manifesting the lagged impact of cumulative 500bps rate hikes.”

Rupee close

Rupee ends at 83.09/$ against Wednesday’s close of 83.07/$

Market close

Benchmark indices ended lower for the third straight session, with the Nifty breaking below 19,750.The Sensex was down 570.60 points or 0.85 percent at 66,230.24, and the Nifty was down 159.10 points or 0.80 percent at 19,742.30. Declines outnumbered gains as about 1,288 shares rose, 2,254 fell and 127 were unchanged.

The sell-off was broad-based following the hawkish tone of the US Federal Reserve, hinting towards holding high-interest rates for a longer duration. All sectoral indices ended lower, down upto 3 percent, with banks- public and private, auto and pharma being the worst hit.

Auto stocks saw profit booking ahead of monthly sales data while banks slipped on concerns related to margins with ICICI Bank being the top loser. PSU banks saw a fall with strong volumes, with SBI slipping below the Rs 300-mark.

Sensex Today |  Vivek Goel, Co-founder and Joint Managing Director, Tailwind Financial Services 

"The outcome from the latest US Fed meeting was in line with market expectations with the policymakers announcing a pause but not an end to the rate hike cycle.

The messaging from the Fed chair Powell was the trigger for equities markets to turn red. He continued to maintain a hawkish stance towards inflation and warned against easing off from the current stance too early.

The dot plot released highlighted the consensus view among policymakers of another rate hike this calendar year before a longer than expected pause and slower pace in cutting rates. This also indicates the belief in the strength of the US economy with ability to maintain tighter policy stance for longer."

Stock Market LIVE Updates |  HDFC AMC gets RBI nod to acquire 9.5% stake in City Union Bank

Following the Reserve Bank of India's nod to acquire a 9.5 percent stake each in DCB Bank and Karur Vyas Bank on September 21, HDFC AMC has also bagged approval from the RBI to pick up a similar stake in City Union Bank. Read More

Stock Market LIVE Updates | Vishnu Prakash R Punglia's JV gets LoA worth Rs 73 Cr From Municipal Board, Piparcity Rajasthan

Sensex Today | Market at 3 PM

The Sensex was down 620.93 points or 0.93 percent at 66,179.91, and the Nifty was down 176.40 points or 0.89 percent at 19,725.00. About 971 shares advanced, 2,133declined, and 91 were unchanged.

Stock Market LIVE Updates | BLS International says Canadian visa insurance contributes less than 2% of total annual revenue

Shares of BLS International have been under pressure on September 21after Indian visa services in Canada were suspended with immediate effect under further notice. However, the firm clarified that Canadian visa insurance made up only 2 percent of its total annual revenue, limiting the impact of the closure.

"Impact of this move will be negligible on our financials," the company said.

Signature Global IPO subscribed 98% on second day of bidding

The public issue of Signature Global (India) continued to get decent response from investors, subscribing 98 percent so far on the second day of bidding, September 21 with bids for 1.09 crore equity shares against offer size of 1.12 crore shares. High networth individuals (non-institutional investors) and retail investors looked aggressive in terms of bidding, buying 2.13 times and 2.04 times the allotted quota, which is 15 percent and 10 percent of the offer size, respectively. Qualified institutional buyers have bid for 9 percent shares of the reserved portion which is 75 percent of the issue size. The Rs 730-crore public issue of the real estate developer was subscribed 54 percent on its first day of bidding, September 20.

Sensex Today | Goodluck India to consider issuing convertible warrants on preferential basis

Sensex Today| Kotak Data Center Fund invests Rs 600 crore in Sify’s Data Center business

Kotak Data Center Fund (KDCF), managed by Kotak Alternate Asset Managers Limited (KotakAlt), today announced an investment of Rs 600 crore in Sify Infinit Spaces Limited (SISL), a wholly-owned subsidiary of Sify Technologies Limited (‘Sify’).

With this transaction, KotakAlt managed funds total equity commitment to SISL is Rs 1,600 crore, of which Rs 1,000 crore has been invested to date including the current investment of Rs 600 crore. The KDCF investment is in the form of Compulsorily Convertible Debentures, which will be converted into equity based on the operational performance of SISL over a specified reference period. The funds would be used to expand SISL’s Data Center capacity across India and invest in renewable energy.

Stock Market LIVE Updates | Nifty PSU Bank plunges 2%, worst hit among sectoral indices

Stock Market LIVE Updates | ABB bags order from Samskip Group’s for Hydrogen-powered container vessels

Stock Market LIVE Updates | Tata Power partners with Nepal’s Dugar Power for country’s renewable energy initiatives

Sensex Today | Colin Shah, MD, Kama Jewelry on Gold Outlook post-Fed Announcement

"The US Federal Reserve announced its interest rate decision today with the benchmark interest rates unchanged at 5.25 per cent - 5.50 per cent. Fed's announcement to keep the rates unchanged is as per the expectations of the industry as assumed an impending fear of recession has limited the Fed's ability to hike rates further. In the International market, the movement of the yellow metal will majorly depend on the economic data in the West, the intensity of the recession in the US along with the global geo-political conditions.

However, with the onset of the festive season in the domestic market, this pause will give a much-needed boost to gold prices as the purchase of gold during this season is considered to be auspicious. This will further drive the demand for gold in this period. The current pause is in result of the estimation of a hike in the rates in the near future considering that inflation is not in control. Having said that, we need to wait and watch the outcome of the next Fed meeting as it will play a major role in defining the gold prices right ahead of Dhanteras.”

Stock Market LIVE Updates | Themis Medicare bucks market fall, hits record high amid selloff 

Shares of Themis Medicare jumped 5 percent to hit a fresh lifetime high of Rs 1,794 per share in Thursday’s intra-day trade after the pharmaceutical company fixed October 10, 2023, as a record date for the purpose of stock split or subdivision of equity shares.

So far this year, the stock of this smallcap pharma company has surged 33 percent, as against a 10 percent gain in the S&P BSE Sensex. The total market capitalisation or m-cap of the company stood at Rs 1,628 crore.

Stock Market LIVE Updates | MCX rises 3% in weak market amid heavy spurt in volumes

Shares of Multi Commodity Exchange of India (MCX) experienced a 3 percent gain on September 21, reaching Rs 1,761 per share during intra-day trading. This increase was attributed to reports suggesting the launch of a new trading platform by the end of the month. Additionally, trading volumes more than doubled, indicating a surge in investor interest and activity surrounding MCX shares.

On a year-to-date basis (YTD), shares of MCX surged 14 percent, as against 10 percent surge in the S&P BSE Sensex. In the past one year, the stock rallied over 37 percent.

Sensex Today | Market at 1 pm

The Sensex was down 621.50 points or 0.93 percent at 66,179.34, and the Nifty was down 174.60 points or 0.88 percent at 19,726.80. About 1,144 shares rose, 1,890 fell and 112 were unchanged.

Stock Market LIVE Updates | UPL gains on Citi's positive outlook for Latin American crop volumes

UPL shares gained 2 percent intraday on September 21 after having closed in red for two consecutive trading sessions.

Recent brokerage reports bearing positive outlook on business prospects for agri-chemical companies in Latin America seemed to have weighed in on the stock's upward move.

Citi has a ‘buy’ rating on the UPL stock. The brokerage seeing an upside potential from the current price levels has set a target price at Rs 800 per share.

Considering that UPL derives a major chunk of its revenue from Latin America, followed by the Northern American markets, the brokerage said, “Recent data for the first half of CY24 is positive on-demand recovery. United States farmer’s profitability in CY23 will be above historical levels. The US Agriculture Department also suggests a pick-up in soybean production in Latin America in the ongoing fiscal.” Read More

Stock Market LIVE Updates | Manappuram Finance gets board's approval for fund raise of up to Rs 1,000 crore via NCDs on a private placement basis 

Stock Market LIVE Updates | Government has received about Rs 338 crore from Oil India as dividend tranche

Stock Market LIVE Updates | Ideaforge gets Rs 1 lakh penalty notice from DGCA for non-compliance of Rule 17 of drone rules

Stock Market LIVE Updates | Unihealth Consultancy SME IPO: Shares see tepid listing at Rs 135 on NSE Emerge

Unihealth Consultancy saw a tepid listing on the bourses on September 21. It started trading at Rs 135 on NSE Emerge against its issue price of Rs 132, thus indicating only 2.2 percent upside from current level. At 12.28 am, the stock was quoting at Rs 132.30.

The Rs 56.55 crore IPO was entirely a fresh issue of 42.84 lakh shares. It was subscribed 18.22 times overall, while retail investors bid 24.61 times of the quota allotted to them.

Stock Market LIVE Updates | Nifty Bank below 45000 mark

Indian banking stocks declined for third straight sessions. The Nifty Bank index fell over 0.7 percent on September 21. Among losers, ICICI bank lost 2.1 percent, Indusind Bank declined 1.8 percent, AU Small Bank fell 1.5 percent while SBI, Axis Bank and HDFC Bank declined nearly 1 percent each

Stock Market LIVE Updates | RBI allows HDFC AMC buying stake in Federal Bank, AU Small Finance Bank

The Reserve Bank of India approved buying 9.5 percent stake each by HDFC AMC in Federal Bank and AU Small Bank, both lenders said in a note to exchanges. Earlier, RBI allowed HDFC AMC to buy stake in DCB and Karur Vysya Bank.

Stock Market LIVE Updates | Views on FOMC from Naresh Tejwani, Abans Group

US FED's decision to defer rate hike, although expected... may keep global markets on tenterhooks. Inflation in US is as yet high and other economic parameters are still showing little signs of slow down. US 10 year at 4.472% and 2 year at 5.184% does reflect the expectation that before year end further rate hikes may be expected.

Stock Market LIVE Updates | Cipla fell 1.5% after US FDA issues five observations

Cipla Ltd. shares dropped 1.5% after the US FDA issued five observations during its visit to the company's Long Island facility. These are not repeat or data integrity concerns, and Cipla plans to work with the US regulator to address them within the required timeframe, according to a company statement after Wednesday's trading session.

Stock Market LIVE Updates | Themis Medicare hit record high in a falling market!

Shares of Themis Medicare jumped 5 percent to hit a fresh lifetime high of Rs 1,794 per share in Thursday’s intra-day trade after the pharmaceutical company fixed October 10, 2023 as record date for the purpose of stock split or subdivision of equity shares. In comparison, the S&P BSE Sensex was down 493 points or 0.7 percent to 66,307 levels, as of 11.17 am.

So far this year, the stock of this smallcap pharma company has surged 33 percent, as against 10 percent gain in the S&P BSE Sensex, during the same period. The total market capitalisation or m-cap of the company stood at Rs 1,628 crore, showed the BSE website.

Stock Market LIVE Updates | Kaynes Technology India and Syrma SGS surge after Morgan Stanley's Overweight rating

Shares of Electronics manufacturing services companies Kaynes Technology India and Syrma SGS gained during morning trade on September 21, following a favorable rating initiation by brokerage firm Morgan Stanley.

Morgan Stanley, a foreign brokerage firm, has initiated Overweight ratings for these two high-growth EMS (Electronics Manufacturing Services) companies. It has assigned a Target Price of Rs 2,440 per share for Kaynes Tech and Rs 671 per share for Syrma SGS.

Morgan Stanley's rationale for these ratings stems from the ongoing transformation of global supply chains, leading to substantial shifts in the technology sector. The brokerage firm sees India's increasing potential in the electronic manufacturing landscape, forecasting a 21 percent compound annual growth rate (CAGR) in revenue for electronic manufacturing from FY22 to FY32, ultimately reaching $604 billion by FY32.

Stock Market LIVE Updates | TCS bags order from European home improvement company Kingfisher Plc    

Sensex Today | Market at 11 am

The Sensex was down 539.48 points or 0.81 percent at 66,261.36, and the Nifty was down 150.00 points or 0.75 percent at 19,751.40. About 1,409 shares advanced, 1,506 declined, and 113 were unchanged.

Stock Market LIVE Updates | RBI allows HDFC AMC to buy stake in DCB, Karur Vysya Bank 

The Reserve Bank of India (RBI) has allowed HDFC Asset Management Company (AMC) to acquire up to 9.5 percent stake each in the DCB Bank and Karur Vysya Bank.

RBI’s approval is valid for one year from the approval date, both the lender said in an exchange filing. The central bank also told HDFC AMC that its shareholding in both the private banks should not exceed 9.5 percent.

So far in September, DCB Bank gained over 6 percent while Karur Vysya Bank jumped over 10 percent. Year to date, DCB Bank lost 2 percent while Karur Vysya Bank advanced over 18 percent.