News

Published: Jan 17, 2023
Updated: Jan 17, 2023

Indian Stock Market Volatility Continues as Private Financials Decline and IT Sector Rises

Overall volatile session

Monday's trading session on Dalal Street saw the Indian equity benchmarks Sensex and Nifty50 fluctuate throughout the day. The session was marked by a decline in private sector financial stocks, offset by gains in the IT sector.

Stock Market Performance:

The Sensex closed at 60,093, down 168.2 points or 0.3%. The Nifty50 settled at 17,894.9, down 61.8 points or 0.3%. Many stocks in the Nifty50 basket ended the day lower, with Adani Enterprises, Axis Bank, Hindalco, JSW Steel, Maruti Suzuki, NTPC, Apollo Hospitals, HDFC, SBI Life and Larsen & Toubro among the top laggards, closing around 1-3% lower. On the other hand, TCS, Infosys, HCL Tech, Wipro and Tech Mahindra were among the top gainers, rising around 1-3%.

How was the Sector Performance?

The Nifty Bank and the Nifty Private Bank saw a decline of 0.5% each, while the NSE's PSU bank gauge was the top gainer, rising 1.6%. The Nifty IT index, comprising of companies such as TCS, Infosys, HCL Tech, Wipro and Tech Mahindra, saw a rise of 1.1%.

Market Breadth: Bears rule

Overall market breadth was skewed in favour of the bears, with 1,691 stocks rising and 1,910 falling on BSE.

Awaiting Results: Many more companies yet to declare Q3 results

Analysts await more financial results from India Inc. for cues, after HDFC Bank, Wipro and DMart reported their quarterly numbers last weekend.

Currency and Commodities:

The rupee weakened by 28 paise or 0.3% to end at 81.61 against the dollar. Crude oil prices held steady near this year's highs, as easing COVID restrictions in China raised expectations for a demand recovery in the world's top crude importer. Brent crude was down 0.5% at $84.9 a barrel.

International Market:

European markets edged higher, with gains in healthcare shares. The pan-European Stoxx 600 index was up 0.1%. S&P 500 futures were down 0.3%. Wall Street will observe a holiday later in the day and resume trade on Tuesday.

Asia Pacific data:

Earlier on Monday, MSCI's broadest index of Asia Pacific shares outside Japan rose 0.4%. Japan's Nikkei fell 1.2%, China's Shanghai Composite rose 1% and Hong Kong's Hang Seng finished flat.

US Markets holiday on Monday , global markets await move of FED:

Monday's session on Dalal Street saw the Indian equity benchmarks experience volatility, with a decline in private sector financial stocks offset by gains in the IT sector. Analysts await more financial results from India Inc for cues, and the market awaits Wall Street's trading session to resume on Tuesday.