Today is the last trading session in the domestic stock market before the Budget, and it started with a huge fall in the market. The Sensex fell 450 points to around 82,109, while the Nifty fell 160 points to around 25,250. Bank Nifty was down 228 points, with the index hovering around 59,675. Today heavy selling was clearly seen in midcap and smallcap indices. The metal index fell more than 3%, and the IT index also fell 1%. Selling was seen in all the sectoral indices of Nifty. Volatility index India VIX was up 3.55%.
Hindalco was the top loser on the Nifty, falling 5%. Heavy declines were also seen in Tata Steel, JSW Steel, Coal India, HCL Tech, Infosys and ONGC. However, FMCG stocks performed better today. Nestle India, Maruti Suzuki, Apollo Hospitals, ITC, Asian Paints, HUL, Indigo, Titan and Tata Consumer were among the top gainers today. Compared to the previous closing, the Sensex opened 619 points down at 81,947. Nifty opened 171 points down at 25,247. Bank Nifty opened 415 points down at 59,542. Rupee strengthened by 4 paise to open at 91.91/$.
Despite considerable volatility in US markets, closings took place in a very narrow range. In commodity markets, gold, silver and copper hit new records, while a huge surge in crude oil added to the tension. Meanwhile, selling by FIIs and continued buying by DIIs may weigh on today’s opening. It looks like the three-day rally will end today.
Huge ups and downs on Wall Street yesterday
Tremendous fluctuations were seen in American markets. The Dow closed with a modest gain of just 55 points after swinging in a wide range of nearly 700 points. After six consecutive days of gains, the Nasdaq fell nearly 170 points. Futures are also showing pressure, with Dow futures trading nearly 150 points lower.
GIFT signals weak start from Nifty
Asian indicators are also weak at the moment. GIFT Nifty is down around 140 points, trading around 25,400, indicating a slightly weak start for the domestic market. Nikkei also saw a sharp decline today. Dow futures fell 200 points.
Selling of FIIs, buying of DIIs continues
Foreign institutional investors (FIIs) made huge net sales of about ₹7,868 crore in the cash market despite some buying. Meanwhile, domestic institutional investors (DIIs) continued their buying for the 106th consecutive day and invested around ₹2,600 crore in the market. This support can prevent a major decline in the market.
Commodity market turmoil, gold and silver at record high
Tremendous fluctuations were seen in the commodity market. Silver hits new all-time high above ₹4.20 lakh amid heavy intraday volatility. Gold also reached a record high above ₹1.93 lakh. Gold and silver also touched new peaks in the international market.
Rising crude oil prices are raising concerns
There was a sharp rise in crude oil prices due to fear of American attack on Iran. Crude oil rose nearly 3 percent to above $70 a barrel, its highest level in nearly four months. Higher crude oil prices may increase inflationary pressure for importing countries like India.
Copper made a new record
LME copper saw its biggest intraday rise in 16 years. Prices rose nearly 11 percent during the day and ultimately closed at a record high, up 5 percent. This may affect metal stocks.
Signs of relief from geopolitics
A big sign has been received towards ending the Russia-Ukraine war. Russia has invited Ukrainian President Zelensky to Moscow for peace talks. This may provide some relief to global risk sentiment.
mixed results
ITC’s results were mixed, while Vedanta, Voltas, Paytm and Prestige Estates performed well. On the other hand, Dixon, Dabur, Manappuram, REC, Colgate, Concor, HUDCO and Bluestar had mixed results, and Swiggy underperformed.
Results worth seeing today
Today Bajaj Auto, Nestle, NTPC and Power Grid will declare their results in Nifty. In the F&O segment, the market will keep an eye on the results of 9 companies including Ambuja, Bank of Baroda, Chola Investment, Glenmark, NALCO and SAIL.
HAL got a big order
Activity in the defense sector may increase. HAL has received an order worth about ₹1,800 crore from Pawan Hans, under which the company will supply 10 Dhruv NG helicopters. This may affect the share price of HAL.
