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Markets pare initial gains, Nifty tests 9,300 ahead of Fed outcome

PowerGrid, ONGC, Dr Reddy's. HeroMoto and Wipro gained the most

SI Reporter  |  New Delhi 

bull, bear, market, flat, sensex, nifty

The Benchmark indices pared morning gains to slip in red following mixed global cues from Asian and ahead of the US Federal Reserve's policy outcome, due later today. 

As per Reuters, the Fed is widely expected to stand pat on interest rates, but may drop hints on the possibility of a rate hike in June.

 
At 12:49 am, the S&P BSE was trading at 29,893 down 27 points, while the broader Nifty50 was ruling at 9,306 down 7 points.
 
In the broader market, the BSE pared gains to turn flat, while the BSE was up 0.2%.

"A broadening wedge pattern seen in hourly charts suggests that ranges can continue to expand before finally sparking a directional move. Until then 9,330 and 9,280 will remain important pivots below which downside risks will increase," said Geojit Financial Services in a note.

Buzzing Stocks

Lupin, Adani Ports, and SBI were the top losers on and slipped anywhere between 0.9-2%.

Shares of Godrej Properties rallied 14% to Rs 575 after the company announced that it has sold over 1000 apartments across three new project launches since March 2017.

SpiceJet hit a record high of Rs 116.90, up 4% on BSE in intra-day trade, surpassing its previous high of Rs 115 touched on September 5, 2005.

The stock has zoomed 104% thus far in the calendar year 2017 from Rs 57.20 on December 30, 2016, against 12.5% rise in the S&P BSE during the same period. By comparison, Jet Airways and InterGlobe Aviation added 54% and 38%, respectively, during the same period.

was down 1% ahead of its March-quarter earnings due later in the day.

IRB's InvIT IPO opens today
 

Engineering company IRB Infrastructure became the first firm to announce a public offer in the InvITs space with a Rs 5,000 crore plus the public issue of its fund opening today.

The IPO, which is the first in this segment, closes on May 5 and commands a price band of Rs 100-102 per unit.

InvITs or infrastructure investment trusts are those debt instruments which be traded in the market and can act as investment vehicles for the sponsors.
 
Global Markets
 
Asian stocks followed global indexes higher on Wednesday, as strong earnings and manufacturing data boosted risk appetite, while expectations that the Federal Reserve will signal a June rate increase later in the session lifted the dollar.
 
Oil prices pulled higher after a sharp fall on Tuesday on technical selling in a market already worried about oversupply and following a rise in output from several members of the Organization of Petroleum Exporting Countries.
 
MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.1% early on Wednesday, within a hair of a near-two-year high hit on Tuesday.
 
Australian shares slipped 0.1%.
 
Hong Kong and South Korea are closed for the Buddha's birthday, and Japan is shut for the rest of the week for the Golden Week holiday.
 
The MSCI World index hit a record high overnight, while the pan-European Stoxx index jumped to its highest level since August 2015 overnight as major European indexes posted gains.
 
Overnight, closed higher, although Nasdaq futures fell alongside Apple shares in extended trading, after the company reported a surprise fall in iPhone sales for the second quarter.

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