Sensex sinks 1,628 pts, Nifty breaks below 21,600 as HDFC Bank plunges 8%

Stock market highlights on January 17, 2024: The Nifty Bank, Financial Services, and Private Bank indices declined over 4 per cent each.

4:00 PM

Tech View :: 'Drop below 45,900 could initiate a correction towards 45,500'

Bank Nifty experienced a sharp decline on the back of sell off in the heavyweight HDFCBANK. The index sharply fell below the 38.20% Fibonacci Retracement level of the previous leg of rally (from 43,230 to 48,347).

Additionally, the index retreated within the area of the previous swing high after a consolidation breakdown on the daily chart.

The sentiment may remain weak with immediate support at 45,900-45,930.

A drop below 45,900 could potentially initiate a further correction towards 45,500. On the upside, resistance is identified at 46,350.

Views by: Rupak De, Senior Technical Analyst at LKP Securities

3:52 PM

Currency outlook :: 'US retail sales data could be the next trigger'

Rupee traded flat in range of 83.10-83.16 with dollar index rising and sell off in capital markets rupee weakness can continue towards 83.25-83.30. US RETAILS data will be in focus in evening which can give dollar new triggers. Range for rupee can be seen between 82.90-83.3

Views by: Jateen Trivedi, VP Research Analyst, LKP Securities

3:51 PM

Tech View :: 'Sentiment could potentially deteriorate if Nifty drops below 21,550'

Nifty witnessed a significant decline driven by profit-taking following its record high of 22,124 in the previous trading session.

Wednesday's profit booking led the index to the 21-day Exponential Moving Average, a crucial short-term moving average.

Sentiment could potentially deteriorate further if Nifty drops below 21,550, where the 21-EMA is situated.

On the downside, a breach of 21,550 may result in the index descending towards 21,350. Conversely, on the upside, resistance is observed at 21,650.

Views by: Rupak De, Senior Technical  Analyst, LKP Securities

3:43 PM

Comment :: What triggered correction in markets on Jan 17?

A nosedive correction in banking stocks, along with concerns over delays in US FED rate cuts, impacted market sentiments.

The addition of discouraging Chinese growth data and rising US bond yields, also resulted in widespread profit-booking.

Given the elevated valuations, coupled with the fact that optimism regarding earnings and GDP growth for FY24 is already reflected in the market, triggered the correction.

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

3:41 PM

Currency check :: Rupee ends 6 paise weaker at 83.136/$

3:41 PM

Broader markets outperform benchmarks; MidCap, SmallCap indices slip 1% each

3:38 PM

Nifty Heatmap :: IT stocks buck trend, HDFC Bank slides 8%

3:37 PM

Closing Bell :: Nifty ends near 21,550

3:36 PM

Closing Bell :: Sensex tanks over 1,600 pts

3:29 PM

Q3 results :: Som Distilleries posts profit of Rs 18 crore

>> Ebitda at Rs 31.8 crore

>> Ebitda margin at 6.36%

>> All numbers beat estimates

3:14 PM

ALERT :: BEL receives orders worth Rs 1,034.31 crore

2:55 PM

Q3 results :: Asian Paints posts net profit of Rs 1,475 crore

>> Ebitda at Rs 2,056 crore, beats estimate

>> Ebitda margin at 22.59%, bets estimate

2:46 PM

ALERT :: Shakti Pumps invests Rs 13.6 crore in Shakti EV Mobility

>> The consolidated investment is Rs 26.92 crore after subscribing equity shares at Rs 10 per share

2:29 PM

Market view: 'Disconnect between price and value may sustain for a while'

"The Indian economy’s reasonable macroeconomic fundamentals, with solid growth and external position and improving inflation and fiscal deficit, the Indian market’s strong earnings growth prospects over FY2024-26E  and likely decline in global interest rates may result in the large disconnect between price and value across sectors and stocks sustaining for a while," said Sanjeev Prasad of Kotak Institutional Equities. READ MORE

2:11 PM

Stock market crash: Here's what sent Sensex, Nifty into free fall on Jan 17

Bets of higher rate cuts wane: Fed governor Christopher Waller on Tuesday said the central bank should take a cautious approach to cutting rates. This was seen as a push back against expectations for as many as six rate cuts this year. US 10 year yield popped above 4 per cent overnight as US stock indices logged losses of up to 0.6 per cent. READ MORE

1:52 PM

UK inflation rate rises to 4% in December for first time in 10 month

Surging gas prices following Russia's invasion of Ukraine pushed British inflation to a 41-year high of 11.1 per cent in October 2022, adding significantly to existing inflation pressures from supply chain difficulties following the COVID-19 pandemic. Wednesday's figures showed that core inflation - which excludes volatile food, energy, alcohol and tobacco prices - was 5.1 per cent in December, the same rate as November.  READ MORE

1:28 PM

Capri Global zooms 29% in 2 days; to consider bonus, stock split on Jan 27

Meanwhile, on Tuesday, CGCL announced that the company has received a composite corporate agency licence from the Insurance Regulatory and Development Authority of India (IRDAI) to distribute life, general, and health insurance products. READ MORE

1:17 PM

ALERT :: Ganesh Housing targets 30 million sq ft infrastructure

>> Eyes million minds IT-SEZ, township projects

>> Targets sales of Rs 14,650 crore

Source: Post earnings management commentary

1:00 PM

67% of ongoing corporate insolvency resolution cases cross 270-day timeline

Last week, Reserve Bank of India Governor Shaktikanta Das flagged the issue of delays in resolution of stressed assets through bankruptcy courts and said the delays erode the value of assets. READ MORE

12:47 PM

Govt may earmark Rs 4 trillion for next year's food, fertiliser subsidies

The Ministry of Consumer Affairs, Food and Public Distribution has estimated next year's food subsidy bill at Rs 2.2 trillion ($26.52 billion), the two sources said. That is 10 per cent higher than a projected outlay of nearly Rs 2 trillion ($24.11 billion) for the current 2023-24 fiscal year. READ MORE

12:30 PM

ALERT :: LIC becomes most valued PSU stock

>> M-cap tops Rs 5.7 trillion

>> Surpasses SBI, which has m-cap of Rs 5.56 trillion

12:21 PM

This PSU stock has zoomed over 100% in last six weeks

MSTC earns stable service income through the e-commerce business. The direct trading sales and service income from trading through facilitator mode (majorly purchase of raw material for secondary steel producers and petrochemical industry) has been gradually reducing with shift in focus towards the e-commerce business. READ MORE

12:08 PM

Fund houses on Sebi's radar for sops to mutual fund distributors

Incentivising MFDs with such reward trips based on achievement of specific sales targets is not in line with the letter and spirit of regulatory guidelines. It should be totally avoided, Amfi said, asking industry players to withdraw such incentive programmes. READ MORE

11:53 AM

Trading Strategy :: How to trade markets amid Wednesday's crash?

>> 21,650–21,500 is a key demand zone for the Nifty till buy-on-dip texture continues.

>> Below 21,500, we can expect short-term weakness towards the 21,000–20,800 zone.
 

>> Bank Nifty has key demand zone around 46,500–46,250; we can expect a bounceback at these levels.

>> Below 47,250, there will be a risk of further weakness. On the upside, 47,500–48,000 will be resistance areas

Views by: Santosh Meena, Head of Research, Swastika Investmart

11:40 AM

Market Check :: Indices remain under pressure; Nifty tests 21,700

11:22 AM

Adani stocks found buyers in India's retail investors during Hindenburg row

“Many of the retail investors came in after the crash,” said Chakri Lokapriya, managing director at Mumbai-based asset manager RedStrawBerry LLP and former fund manager at BNP Paribas Asset Management. “They have exhibited a sense of maturity to hold on given that infrastructure companies take longer to realize their earnings potential.” READ MORE

11:08 AM

PNC Infratech sale could lead to valuation upgrades for road assets

Nearly 6,000-7,000 km of road projects are in the final stage of approval, which could come up for awarding in the near term. There are reports of the revamp of the process and drawing up of a new mega pipeline. Key players who stand to gain as awards pick up include L&T, NCC, HG Infra Engineering, PNC Infratech and Ashoka Buildcon. READ MORE

10:55 AM

ALERT :: PTC Ind arm signs long-term purchase agreement with Dassault Aviation

>> Aerolloy Technologies Limited, a wholly owned subsidiary of PTC Industries Limited, and Dassault Aviation, the French global leader in military aircraft, have announced a multi-year agreement for the supply of Titanium casting parts made in India.

>> From 2024 onwards, Aerolloy will produce the full range of Titanium castings parts for the Rafale multirole fighter aircraft and the Falcon business jet program.

10:39 AM

ALERT :: Nifty IT reverses losses led by LTTS, HCL Tech

10:25 AM

ALERT :: L&T Construction wins significant orders for its Buildings & Factories biz

>> The Buildings & Factories (B&F) Business of Larsen & Toubro (L&T) has secured orders in India & Oman.

 

>> The Residential Business of B&F has secured a significant repeat order from Government Planning & Development Authority, Maharashtra to construct EWS Housing, 14 towers and related infrastructure works in Navi Mumbai.

>> Further the business through the L&T Oman entity has been awarded the contract for a Mixed-Use Development project in Muscat by a reputed private client.

Alert: Significant order falls under 'Rs 1,000 to 2,500 crore' category