Sensex drops 555 pts, Nifty below 17,650 as energy woes hit global markets

Stock market LIVE: All sectoral indices ended in the red with capital goods, IT, metal, pharma, auto, realty and PSU Bank indices falling in the 1-3 per cent range

3:54 PM

TECH VIEW :: Rohit Singre, Senior Technical Analyst at LKP Securities

Strong pressure has been witnessed in the nifty since the start of the day resulting index managed to closed a day at 17646 with loss of more than one percent and formed a bearish candle after forming two consecutive bullish candle previously. The index has decisively breached majority support zone now going ahead immediate support zone is coming near 17600-17500 zone if managed to sustain above-said levels one can expect a swift pullback and now good resistance is formed near 17700-17770 zone where again we may see some sort of profit taking.

3:54 PM

CLOSING COMMENTS :: Vinod Nair, Head Of Research at Geojit Financial Services

Weak global markets which resulted in profit booking in metals and IT stocks led domestic indices to trade in red, trimming its early gains. Spike in crude prices is spooking the Indian market while inflation is affecting US bond yields. RBI commenced its three-day MPC meeting in which the central bank is expected to keep rates unchanged, however, it is likely to announce measures to gradually pump out liquidity from the economy.

3:53 PM

ONGC extends gains, hits fresh 52-week high as crude prices rise further

3:51 PM

Marico ends off day's high on profit taking

>> The stock hit a new high in intraday deals on healthy Q2 biz update

3:43 PM

Sector Watch :: All sectors bleed; Metals & PSU Banks worst perfomers

3:42 PM

Broader markets end in the red

3:38 PM

Top Sensex drags in today's session

3:35 PM

Sensex Heatmap | Only 3 stocks close in the green

3:34 PM

CLOSING ALERT :: Nifty ends below 17,650

3:32 PM

CLOSING BELL :: Sensex snaps 2-day winning run, tanks 555 points

3:30 PM

ALERT :: Aramco's m-cap rises above $2 trillion for the first time since 2019

>> Aramco close to becoming world's most valuable company

(Source: TV Report, Agencies)

3:22 PM

Currency check :: Rupee at 6-month low, nears 75/$-mark

Source: Bloomberg

3:19 PM

ALERT :: ZEEL has moved to NCLAT in Invesco case

(Source: Agencies)

3:13 PM

EXPERT TAKE :: How should investors ride energy crisis?

Currently, India’s electricity demand are largely met by coal, the inventory of which is low today. In the near term it can have a negative effect on the economy due to the rise in electricity prices. However, it is expected to be supplemented by higher imports and dispatches by Coal India. The current high demand is also expected to normalize as festival season demand is addressed, it is unlikely to impact India in the medium to long term"

 

What investors should do?

 

Largely, it will have a negative impact on Indian listed companies which depends on energy-related inputs like crude, gas & coal. While, it will have a positive effect on integrated companies like Oil & Gas, Metals & Mining.

Investors should avoid this space in the short term due to high global volatility and uncertainty on the Indian economy which are mostly takers of price hike. On a medium to long-term basis, buy into sectors like Gas, Pipe Lines & Green Energy companies due to positive government reforms and plan to reform the power sector.

Views by: Vinod Nair, Head of Research at Geojit Financial Services

 

 

3:13 PM

CABINET BRIEFING

>> Cabinet approves 78-day bonus to non-gazetted railway employees

>> Cabinet okays mega textile park scheme for Rs 4445 crore

2:57 PM

Stock of this Tata Group company has zoomed over 1,100% from March 2020 low

Tata Elxsi shares defied the weak market mood and hit a new high of Rs 6,274.70, up 7.5 per cent on the BSE in Wednesday’s intra-day trade. In comparison, the S&P BSE Sensex was down 0.36 per cent. In the past one year, the stock of the Tata Group information technology (IT) products company has rallied 345 per cent, as compared to a 50-per cent surge in the S&P BSE Sensex. READ MORE

2:51 PM

Sensex Heatmap | HDFC twins only stocks in the green as index tanks 500 points

2:40 PM

Global markets :: Dow Jones Futures tumble over 300 pts

2:22 PM

European markets log notable losses in early trade as rising oil weighs

All major European markets were down more than a per cent each in early trade on Wednesday as rising oil sparked inflation concerns. The FTSE 100 was down 1.3 per cent. DAX and CAC had tumbled nearly 2 per cent each.

2:14 PM

ALERT :: Voltas launches 'Grand Mahotsav Offer 2021' festive offer for its customers

>> Offer includes, special cashback offers up to 15%, EMIs as low as Rs 2,000, up to 5-year warranty worth up to Rs 12,000 and a special exchange offer with zero down payment options
 

>> The offers will be valid till 10 November 2021 across all authorized dealers in India
 

2:13 PM

RBI Policy Expectation :: MPC may signal the end of ‘excessive’ Covid-era accommodation

The MPC in the October policy is expected to signal the end of ‘excessive’ Covid-era accommodation amidst a steady pick-up in economic activity and progress in vaccination.

The unrelenting build-up in inflationary pressures, even if deemed transitory, is likely to elicit a measured central bank response – especially on the surplus banking system liquidity.

Going forward, we expect the Repo rate, which ceased to be the operating rate since the pandemic, to regain its status as the Key Policy Rate through a gradual and guided transition.

The MPC may however continue to emphasize its intent to maintain what would still be an otherwise accommodative monetary policy. Hence, we expect that an emphasis on a dovish, gradual Taper, coupled with expected G-SAP 3.0 announcement, should keep any undue bond market volatility under check.

Views by: Churchil Bhatt, EVP Debt Investments, Kotak Mahindra Life Insurance Company

2:04 PM

Tata Steel Q2 update

>> Crude steel production grew 2% QoQ and 3% YoY in Q2FY22
 

>> Despite seasonal weakness, overall deliveries increased by 12% QoQ on the back of economic recovery post 2nd wave of COVID-19
 

>> Deliveries were lower by 8% YoY due to lower exports and stock liquidation focus in the previous year
 

1:55 PM

Margin pressure may hit paper cos in near-term despite price hike: Analysts

Investor interest in paper stocks seems to be far from over despite the near-term headwinds. Though the robust demand supports expectations of strong earnings going forward, analysts caution that the rise in input cost for paper manufacturers is likely to squeeze margins. READ MORE

1:45 PM

Cyient appoints Rajaneesh Kini as Senior VP and Chief Technology Officer

>> This new role will focus on technology development at Cyient
 

>> Rajaneesh will be responsible for shaping the company's technological vision, building competitive, relevant, and market-ready solutions, and seeding new skills within the organization
 

1:38 PM

Bosch soars 12% in a subdued market on heavy volumes; hits over 2-year high

Shares of Bosch rallied 12 per cent, hitting an over two-year high of Rs 17,333, on the BSE in the intra-day on Wednesday in an otherwise subdued market on expectation of demand improvement going-forward. At 01:15 pm, the stock was up 11 per cent at Rs 17,140, as compared to a 0.25-per cent decline in the S&P BSE Sensex at 59,565 points. Trading volumes on the counter jumped over 7-fold with a combined around 450,000 shares having changed hands on the NSE and BSE. In the past two weeks, an average sub 100,000 shares were traded on the counter. READ MORE

 

1:21 PM

ALERT :: Sharp slide in Sensex, index hits day's low

1:05 PM

Asia scrambles to stock up fuel as prices spike in global energy crunch

Asian buyers are paying top dollar for a variety of fuels that can be fed into steam boilers or power turbines as they seek alternatives to increasingly pricey natural gas. The electricity crisis is roiling energy markets from Europe to Asia, with fuels that can be used for heating or power generation such as propane, diesel and fuel oil in high demand. Goldman Sachs Group Inc. predicts the crunch will drive greater consumption of crude later this year, while China has ordered state-owned firms to secure energy supplies for winter at all costs. READ MORE

Photo: Bloomberg

12:54 PM

Sector Watch :: Nifty Metal falls 1.6% dragged by Nalco, Hindalco

12:38 PM

Asian shares fall with oil at multi-year highs, U.S. yields surge

Asian shares dropped on Wednesday and U.S. benchmark yields rose to a three-and-a-half month top as investors stayed jittery about inflation with oil prices reaching new multi-year highs.

 

MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.3 per cent, while Japan’s Nikkei lost 0.69 per cent.

 

Futures also pointed to a lower open in Europe with the pan-region Euro Stoxx 50 futures off 0.72 per cent in early trade and FTSE futures down 0.6 per cent. U.S. stock futures, the S&P 500 e-minis shed 0.4 per cent.

 

U.S. crude rose 0.24 per cent to $79.11 a barrel, its highest level since 2014. Brent crude gained 0.3 per cent to $82.80 per barrel, having hit a three-year high in the previous session, driven by concerns about energy supply and a decision on Monday by the OPEC+ group of producers to stick to a planned output increase rather than raising it further. 

 

Source: Reuters

12:20 PM

ALERT :: Cabinet approves 7 mega textile parks, says TV report

Source: ET NOW