The stock market had a sluggish start on Wednesday (8 October). Sensex and Nifty remained stable in early trade. Consumer durables and metal shares were in the red, while all other sectoral indices were trading in the red. Sensex opened 27 points down at 81,899. Nifty opened 29 points lower at 25,079. Bank Nifty opened 141 points lower at 56,098. Rupee opened 2 paise stronger at 88.75/dollar.
On Nifty, stocks like Tata Motors, Axis Bank, Trent, Tata Consumer and Hindalco fell by 1.5 to 2 percent. Bharti Airtel and Jio were also the biggest gainers on Nifty today. UltraTech Cement, HCL Tech and Bajaj Finance were also the biggest gainers. However, in terms of triggers, the market’s focus is on both global and domestic markets, including the withdrawal of foreign investors, record gold prices and the pace of quarterly results.
Profit booking in US markets
After a slow start, US markets closed lower. The Dow fell nearly 100 points, while the Nasdaq dropped 150 points after hitting intraday highs. The S&P 500 also snapped its seven-day high. Dow futures are seen falling ahead of the FOMC meeting, and GIFT Nifty is trading steady at 25,200.
FII withdraw, DII buying continues
After nine consecutive days of selling, foreign investors finally returned to the market yesterday. FIIs made net purchases of ₹1,423 crore in the cash segment. Meanwhile, buying by domestic funds continued for the 30th day, maintaining market fundamentals.
Important triggers for the market today
FII bought cash after 9 days
Gold hits all-time high of ₹121,250 ($4,020)
US markets fall, Nasdaq and S&P slip from all-time highs
Dollar index at one-month high, crosses $98
Tata Capital’s IPO closed, LG’s IPO on the second day
Advance Agrolife, OM Freight Listed
Record breaking rise in gold and silver
In the domestic market, gold reached an all-time high of ₹1,21,250 per 10 grams. However, silver fell by ₹1,700 to close at ₹1,45,800. In the international market too, gold reached a record high of ₹ 4,020 per ounce. Base metals are also on the rise—aluminum is at a 3-year high and zinc is near a 10-month high.
Corporate Update: Focus on Titan, JLR and Godrej Consumer
Titan’s consumer business grew 20% in the second quarter, while jewelry sales increased 19%. Meanwhile, JLR’s wholesale sales declined by 24% and retail sales by 17% due to the cyber attack. Godrej Consumer fears a decline in operating profit due to GST cut, while Lodha Group’s second quarter pre-sales rose 7%.
IPO market excited
LG Electronics’ mega IPO was fully subscribed on the first day. Market expert Anil Singhvi said, “Don’t miss this IPO. It has the potential to yield huge listing gains and long-term investment opportunities.” Meanwhile, Tata Capital’s IPO, which closes today, has been 75% subscribed. The price band has been set at ₹310-₹326. Anil Singhvi’s opinion is to invest for the long term.
Major announcements on the government front
The Financial Services Secretary said that the disinvestment of IDBI Bank will be completed in this financial year and clarified that there will be no MDR charges on UPI transactions.
Today’s major events
Prime Minister Narendra Modi will inaugurate the 9th Indian Mobile Congress in Delhi this morning and launch several projects, including the Navi Mumbai International Airport, at 3 pm. Meanwhile, British Prime Minister Keir Starmer is on a two-day visit to India from today. During this, there will be discussion on strengthening economic relations between the two countries under Vision 2035.