Sensex drops 890 points amid negative global cues

The benchmark indices continued to trade with major losses during the afternoon trade. All the sectoral indices on the NSE traded in red. The Nifty traded above the 16,400 level.

At 13:26 IST, the barometer index, S&P BSE Sensex tumbled 890.88 points or 1.55% to 54,836.35. The Nifty 50 index was down by 263.20 points or 1.58% to 16,419.45.

Investor sentiment were dented on concerns that the US Federal Reserve's 50 basis points rate hike would not be enough to control the multi-year high inflation.

In broader market, the S&P BSE Mid-Cap index fell 2.26% while the S&P BSE Small-Cap index lost 2.45%.

Sellers outnumbered buyers. On the BSE, 555 shares rose while 2,705 shares fell. A total of 105 shares were unchanged.

Gainers & Losers:

Hero Motocorp (up 2.66%), Tech Mahindra (up 1.69%), ITC (up 1.2%), Power Grid (up 0.45%) and NTPC (up 0.22%) were top Nifty gainers.

UPL (down 5.1%), Axis Bank (down 4.66%), Hindalco (down 4.65%), Divis Laboratories (down4.49%) and Bajaj Finance (down 4.48%) were top Nifty losers.

Earnings Impact:

Indus Towers rose 0.02% to Rs 202.20 after the company reported a 34.1% jump in net profit to Rs 1,828.50 crore on 9.6% increase in net sales to Rs 7,116.30 crore in Q4 FY22 over Q4 FY21. Consolidated profit before tax surged 35.4% to Rs 2,431.40 crore in Q4 FY22 from Rs 1,795.70 crore posted in Q4 FY21. Meanwhile, consolidated EBITDA was at Rs 4,070 crore, up 19% YoY with an operating margin of 57.2%. The total tower base grew 3.47% to 1,85,447 as on 31 March 2022 as compared to 1,79,225 as on 31 March 2021.

Marico fell 2.55% to Rs 507.20. The company reported 13.2% rise in the net profit to Rs 257 crore on a 7.4% increase in net sales to Rs 2,161 crore in Q4 FY22 over Q4 FY21. Profit before tax grew 13.8% to Rs 322 crore in Q4 FY22. EBITDA was up by 11% year on year to Rs 354 crore in the quarter ended 31 March 2022.

Voltas fell 6.26% to Rs 1085.80 after the company's consolidated net profit declined 23.15% to Rs 182.70 crore on 0.22% rise in net sales to Rs 2633.72 crore in Q4 March 2022 over Q4 March 2021. On a consolidated basis, profit before tax (PBT) fell 23% year-on-year to Rs 247.40 crore in Q4 March 2022.

Global Markets:

Shares in Europe and Asia declined on Friday. The Bank of England on Thursday raised interest rates to their highest level since the financial crisis and warned the economy is on course to shrink under pressure from double-digit inflation. The increase to 1% from 0.75% was backed by six of the bank's nine policy makers, with three voting for a 50-basis-point move.

Us stock market slumped on Thursday, which sent the Dow Jones Industrial Average to its worst day since 2020. Tech stocks in the region sold off, following the tech-heavy Nasdaq Composite's nearly 5% drop overnight stateside. Investor sentiment cratered in the face of concerns that the Federal Reserve's interest rate hike the previous day would not be enough to tame surging inflation.

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