Closing Bell: Sensex, Nifty end higher amid volatility ahead of Fed meet outcome

Indian benchmark indices ended with marginal gains in the volatile session on March 20. At close, the Sensex was up 89.64 points or 0.12 percent at 72,101.69, and the Nifty was up 21.60 points or 0.10 percent at 21,839.10.

We wrap up today's edition of the Moneycontrol live market blog, and will be back tomorrow morning with all the latest updates and alerts. Please visit https://www.moneycontrol.com/markets/global-indices for all the global market action.

Ajit Mishra, SVP - Technical Research, Religare Broking

Markets traded volatile and ended almost unchanged, taking a breather after Tuesday’s decline. After the initial uptick, it resumed decline in no time however recovery in select heavyweights pared losses as the session progressed. On the sectoral front, a mixed trend continued wherein energy, FMCG and realty edged higher while metal and financials ended in the red.

We may see a breather after the recent fall but the tone is likely to remain negative. Participants should continue with the “sell on rise” approach until Nifty decisively reclaims 22,100 level. Also, we reiterate our preference for index majors over others and avoid adding to the loss making positions.

Rupak De, Senior Technical Analyst, LKP Securities

The index remained volatile ahead of the Fed's policy meeting. The overall sentiment remains negative as the index closed below the previous consolidation low. Additionally, the index ended the session below the critical moving average. However, a further fall is anticipated below the recent swing low on the hourly chart, which is positioned around 21700. On the higher end, resistance is placed at 21900-22000.

Prashanth Tapse, Senior VP (Research), Mehta Equities

Markets displayed range-bound trend and ended marginally higher as caution prevailed ahead of the US Fed meet outcome on interest rate. While there will be little chance of rate tinkering, the Fed's commentary on inflation and its take on interest rate will be keenly watched. Rising oil prices and currency losing momentum in the last few days could fuel more volatility in the near term.

Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas

The Nifty witnessed an extremely volatile day of trade today. It opened with gains however was unable to sustain and sold off. Intraday it witnessed a sharp pullback from 21710 levels and closed the day marginally in the green up ~22 points. On the daily charts we can observe that the Nifty has taken support around the 78.6% Fibonacci retracement level of the previous rise from 21530 – 22526.

The momentum set up on the hourly time frame suggests exhaustion of selling pressure as there are signs of a positive divergence and is currently having a positive crossover. In terms of price pattern, the daily candle has taken form of a Doji pattern which suggests indecision among market participants regarding the direction as both bulls and bears are trying hard to defend their respective boundaries. This could lead to consolidation and the range could be 21700 – 22000.

Bank Nifty closed the day on a negative note for the Ninth consecutive trading session. The fall has found support at the lower end of the rising channel and daily lower Bollinger band placed at 45800. The hourly momentum indicator has a positive crossover which is a buy signal. Thus, we can expect a recovery to 46800 – 46950 over the next few trading sessions.

Mandar Bhojane, Research Analyst at Choice Broking

On March 20, Indian benchmark indices closed with marginal gains amidst a volatile session. At the close, the Sensex was up 89.64 points or 0.12 percent at 72,101.69, while the Nifty gained 21.60 points or 0.10 percent, closing at 21,839.10.

The Sensex and Nifty ended higher amid volatility ahead of the Fed meeting outcomes. After a flat positive start, the Nifty experienced a dip near the 21,700 level, reaching a low of 21,710.65, then bounced back above 21,900, peaking at 21,930 before closing at 21,855.10. The daily chart showed the formation of a doji candlestick, indicating continued bearish pressure in the market.

Technical analysis suggests that the Nifty has broken down daily trend line, hinting at a potential reversal of the uptrend. Furthermore, it has dipped below the critical short-term moving average, signaling weakening momentum. The Relative Strength Index (RSI) has also displayed a bearish crossover, indicating mounting selling pressure. Key levels to monitor include resistance at 22,000 and support at 21,700. A breach below 21,700 could trigger further correction towards the 21,600 levels.

Examination of the Open Interest (OI) data reveals the highest OI on the call side at the 22,000 strike price, followed by the 22,300 strike price. On the put side, the highest OI was observed at the 21,500 strike price.

Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities

The Bank Nifty encountered another round of volatility, with the ongoing struggle between bulls and bears persisting, particularly ahead of the US Fed meeting. Key support lies within the 46000-45800 zone, and maintaining these levels on a closing basis suggests a continued bullish stance.

Immediate resistance is positioned at 47000, coinciding with the 20DMA, and a decisive close above this level could reignite the upward trend, targeting levels around 48000-48500.

Vinod Nair, Head of Research, Geojit Financial Services

Lifted by favourable global sentiment and solid direct tax collection, Indian markets rebounded, closing with modest gains. Robust FII & DII inflows sustained the market. As per latest market consensus, the odds of rate cut in June have reduced.

The US Fed is likely to delay the cut rate to the latter part of the year due to a resilient economy. Domestic mid & small caps are likely to lag large caps driven by premium valuations, in the short-term.

Rupee Close:

Indian rupee ended 13 paise lower at 83.17 per dollar on Wednesday versus Tuesday's close of 83.04.

Sensex Today | Zomato shares end near day's high

Market Close: Indian benchmark indices ended with marginal gains in the volatile session on March 20.

At close, the Sensex was up 89.64 points or 0.12 percent at 72,101.69, and the Nifty was up 21.60 points or 0.10 percent at 21,839.10. About 1563 shares advanced, 2064 shares declined, and 119 shares unchanged.

Top gainers on the Nifty included Eicher Motors, Maruti Suzuki, Power Grid Corporation, Nestle India and ONGC, while losers were Tata Steel, Tata Consumer Products, Tata Motors, Axis Bank and Cipla.

Among sectors, auto, FMCG, realty, oil & gas, power up 0.5-1 percent each, while metal index down nearly 1 percent.

BSE Midcap and Smallcap indices ended on flat note.

BNP Paribas View on Adani Ports

Broking house value port assets on a DCF basis and estimate capex at Rs 60 bn p.a. and ROCE level of 16% to arrive at Targer Price of Rs 1,562, implying 23% upside potential.

Initiate coverage on ADSEZ with outperform. Key risks are weaker-than-estimated volume delivery and deteriorating Group’s financials, leading to elevated share pledges.

Stock Market LIVE Updates | Investec On AU Small Finance Bank

-Buy call, target Rs 570 per share
-Loan growth to be calibrated to nearly 25 percent, in-line with deposit growth
-Corrective actions in credit card improved asset quality indicators
-MFI to be restricted to 10 percent of AUM
-RoA guidance of 1.8 percent by 2027 assuming rate cuts in H2FY25
-See company clocking 1.7 percent/15 percent RoA/RoE & 22 percent-23 percent loan growth post FY27
-Could see upgrades if company gets universal bank licence

Sensex Today | Yen falls close to intervention levels, dollar edges up before Fed

The U.S. dollar edged up while the yen remained around its multi-month low on Wednesday ahead of the Federal Reserve policy meeting and after the Bank of Japan (BOJ) raised interest rates for the first time in 17 years.

Stock Market LIVE Updates | Jefferies initiates coverage on Syrma SGS Technology with buy call and target at Rs 640 per share

JSW Group-MG Motor’s first premium vehicle cyberster could be priced around Rs 50 lakh. JSW Group & Volkswagen group in exploratory talks for a partnership: CNBC-TV18.

Stock Market LIVE Updates | HSBC View On Hindustan Unilever

-Hold call, target Rs 4,100 per share
-Unilever plans to separate its ice cream unit by 2025 end
-Post separation of ice cream business, company expects organic growth, from 3-5 percent
-Potential benefits are some way out, and there is more near-term upheaval
-Some positive reaction to the planned ice cream separation
-Still see a challenging near-term outlook for the company
-Market share trends remain a concern
-We also see risks to pricing from increased levels of promotion
-View the 2024 PE of 16.4x as unchallenging

Sensex Today | Anuj Choudhary Research Analyst, Sharekhan by BNP Paribas

Indian Rupee depreciated by 0.11% on Wednesday on strong US Dollar and elevated crude oil prices. However, late recovery in domestic markets cushioned the downside. US Dollar strengthened on weak Euro and Pound after disappointing inflation data. German PPI declined by 0.4% in February 2024 versus forecast of -0.1%. UK CPI rose at 3.4% in February 2024, at a slower pace as compared to 4% in January 2024 and forecast of 3.5%.

We expect Rupee to trade with a negative bias on strong US Dollar and expectations of bounce back in crude oil prices. However, positive global equities may support the domestic currency. Traders will watch out for FOMC meeting outcome. Markets expect the monetary policy to remain unchanged but will look forward to Fed Chair, Jerome Powell’s speech for further guidance and Fed’s Dot plot. USDINR spot price is expected to trade in a range of Rs 82.90 to Rs 83.40.

Sensex Today | Market at 3 PM

The Sensex was up 71.48 points or 0.10 percent at 72,083.53, and the Nifty was up 14.50 points or 0.07 percent at 21,832.00. About 1471 shares advanced, 1840 shares declined, and 79 shares unchanged.

Stock Market LIVE Market | The Board of Directors of The Anup Engineering at their Meeting held today approved issue of bonus equity shares in the proportion of 1:1.

Stock Market LIVE Market | HUDCO board approves interim dividend

The board of directors of HUDCO in their meeting held today, has approved the declaration of Interim Dividend for the financial year 2023-24 at 15%, Rs 1.50 per equity share of Rs 10 each. The Board of Directors has also fixed Fr'iday, the 29" March, 2024 as the Record date for determining the eligibility of shareholders for payment of Interim Dividend.

Board also approved raising of funds through issue of bonds/debentures, up to a maximum amount
of Rs 40,000 crore during financial year 2024-25, depending upon actual funds requirement and increase in overall borrowing limit to Rs 1,50,000 crore from existing limit of Rs 1,00,000 crore as earlier approved by shareholders.

Stock Market LIVE Market | Aster DM Healthcare separation plan near to complete

Aster DM Healthcare announced that the separation of its India and GCC businesses and the proposed investment in the company’s GCC business by a consortium of investors led by Fajr Capital, a sovereign-owned private equity firm headquartered in the UAE, is nearing imminent completion.

Sensex Today | 3.87 million shares of Delhivery traded in two different bunches: Bloomberg

Stock Market LIVE Updates | Most Active Nifty 50 stocks

Stock Market LIVE Updates | Anindya Banerjee, Head of Currency and Derivatives Research, Kotak Securities

Investors are exhibiting caution in anticipation of the upcoming US Fed meeting. The fear is Fed’s dot plot may hint at two cuts instead of three, which the US bond market is hinting at. If the Fed sticks with the three rate cut path and sounds dovish, then it can be positive for Indian equity markets and currency.

Stock Market LIVE Updates | Vinod Nair, Head of Research, Geojit Financial Services

Whenever, the US Bond yield reaches or is nearing 4.335% level, the equity markets world over, including Indian markets start correcting. Currently, the US Bond yields are hovering around its peak level and if it crosses once again above the previous high of October 2022, prospects of correction in the domestic market are expected to brighten. The correction which we are seeing right now may continue further and Foreign Portfolio Investors (FPIs), which are currently in a lull phase in the domestic market, may turn active in pulling out funds.

Stock Market LIVE Updates | Market expecting 3 rate cuts by Fed in 2024

"Market is anticipating three rate cut announcements by the US Federal Reserve (US Fed) in calendar year 2024 (CY24). The first-rate cut is expected in June but the probability of this rate cut to materialize has come down from 69% a week ago to 59% currently. There’s no possibility of any rate cut announcement by the Federal Open Markets Committee (FOMC) of the US Fed during its Wednesday meeting. Also, the possibility of the US Fed cutting its interest rates soon is fading fast as the US inflation rate, currently at 3.15%, is still hovering much above the comfort level of 2%. All eyes and ears are now glued to the commentary to be given by US Fed chairman Jerome Powell," said Apurva Sheth, Head of Market Perspectives & Research, SAMCO Securities

Stock Market LIVE Updates | European markets fall; luxury stocks drag

European shares opened lower, weighed down by a sell-off in luxury stocks after a sales warning from Kering, while investors remained cautious on concerns the US Federal Reserve could signal a slower path of rate cuts this year. The pan-European STOXX 600 index was down 0.2%, as of 0806 GMT.

Sensex Today | Gold hemmed in tight range ahead of Fed verdict, Powell comments

Gold prices were stuck in a tight range on Wednesday as traders prepared for a key policy decision from the U.S. Federal Reserve and remarks from Fed Chair Jerome Powell later in the day, which could shed more light on prospects of rate cuts this year.

Spot gold was steady at $2,157.78 per ounce, as of 0752 GMT. U.S. gold futures were little changed at $2,160.80.

Sensex Today | 1 million shares of Samvardhana Motherson International traded in a bunch: Bloomberg

Stock Market LIVE Market | Time Technoplast receives PESO approval to manufacture high pressure Type-IV composite cylinder for hydrogen

Time Technoplast has received approval from the Petroleum and Explosives Safety Organization (PESO) for the manufacturing of high pressure Type-IV composite cylinder, prototype, for hydrogen. The testing of 1% lot of cylinders will be completed in six months’ time.

Sensex Today | 1.01 million shares of ICICI Prudential Life Insurance Company traded in a bunch: Bloomberg

Stock Market LIVE Market | Sudeep Bhatia resigns as Chief Financial Officer of Protean eGov Technologies

Sensex Today | BSE FMCG index rose 0.5 percent led by LT Foods, S H Kelkar, Agro Tech Foods

Stock Market LIVE Updates | SBI Cards declares interim dividend for FY24

SBI Cards and Payment Services has declared an interim dividend of Rs 2.50 per share for the current financial year (FY24).

Stock Market LIVE Updates | Yes Bank transfers stressed loan exposure in Katerra India to Prudent ARC

Yes Bank has transferred stressed loan exposure in Katerra India to asset reconstruction company Prudent ARC, for Rs 203.40 crore.

Stock Market LIVE Updates | The Reserve Bank of India (RBI) has imposed a monetary penalty of Rs 63.60 lakh on DCB Bank for non-compliance with certain directions related to interest rate on advances.

Stock Market LIVE Updates | ATC Telecom to convert optionally convertible debentures issued by Vodafone Idea amounting Rs 1,440 crore into equity shares

ATC Telecom Infrastructure has requested Vodafone for conversion of 14,400 optionally convertible debentures, amounting to Rs 1,440 crore, into 144 crore fully paid-up equity shares of Vodafone Idea. In February 2023, Vodafone had issued optionally convertible debentures (OCDs) amounting to Rs 1,600 crore to ATC Telecom post receipt of approval from the shareholders. In August 2023, term of redemption of the first tranche of OCDs amounting to Rs 800 crore was extended by 12 months.

Sensex Today | Oil retreats from multi-month highs, strong dollar dents deman

Oil prices edged lower on Wednesday, as a stronger dollar curbed investor appetite while traders took some money off the table after benchmarks rallied to multi-month highs in the previous session.

Brent crude futures for May fell 28 cents, or 0.3%, to $87.10 a barrel by 0711 GMT. U.S. West Texas Intermediate futures for April delivery, which expire on Wednesday's settlement, fell 47 cents, or 0.6%, to $83.00 a barrel. The more active May WTI contract was at $82.41 a barrel, down 32 cents.

Stock Market LIVE Updates | Kotak Mahindra Bank gets GST notice of Rs 33.63 lakh

Kotak Mahindra Bank received an order from the Deputy Commissioner of State Tax, Large Taxpayer Unit-I, Mumbai of the Government of Maharashtra Department of Goods and Service Tax, levying an amount of Rs. 33,63,392 towards Goods and Services Tax and interest of Rs 35,31,286 and a consequential non-discretionary penalty at 10% of tax amounting to Rs 3,36,339 on account of disallowance of input tax credit and alleged non-payment of GST under reverse charge in certain instances during the financial year 2018-19.

In another development, the bank re-designated Mr. K.V.S. Manian and Ms. Shanti Ekambaram, Whole-time Directors of the Bank, as Joint Managing Director and Deputy Managing Director, respectively.