Share Market Today: Sensex, Nifty Extend Losing Run; Broader Markets Follow Suit

The yield on the 10-year bond rose marginally to 7.27% after the intraday spike of upto 7.31% on Wednesday after RBI's decision to hike interest rate.

Source: Bloomberg

The rupee gained against the U.S. dollar to settle at 82.48 on Tuesday, rising nearly 13 paise on Wednesday.

The local currency closed at 82.61 on Monday.

Source: Bloomberg

The Indian benchmark indices closed lower in trade on Wednesday after RBI monetary policy committee's decision to hike interest rates by 35 bps to 6.25%.

The S&P BSE Sensex closed 215 points lower, down by 0.34% at 62,410.68. While, NSE Nifty 50 ended the trading day 82 points lower, down by 0.44% at 18,560.50.

After closing flat on Monday and lower on Tuesday, the benchmarks extended their losses on Wednesday.

Among the NSE Nifty 50 stocks only 11 advanced, while 39 declined.

SBI Life Insurance Co., NTPC Ltd., Bajaj Finserv Ltd., Tata Motors Ltd. and Bajaj Auto Ltd. were the top laggards in the NSE Nifty 50 gauge.

On the other hand, Hindustan Unilever Ltd., BPCL Ltd., Asian Paints Ltd., Larsen and Toubro Ltd. and Axis Bank Ltd. were the top gainers on the index.

The broader indices underperformed their larger peers, with the mid-cap and small-cap gauges losing 0.41% and 0.44%, respectively.

Sixteen of the 20 sectoral indices compiled by BSE Ltd. declined with BSE Utilities and Realty declining the most over 1%.

The market breadth is skewed in favour of the bears. About 1,523 stocks rose, 1,980 fell and 138 stocks remained unchanged.

• The Enforcement Directorate has provisionally attached land in Kerala worth Rs. 201.6 crore pertaining to an ongoing inquiry.

• Company said it has no plans to develop this land, hence there won’t be a short or medium term impact on operations.

Source: Exchange filing

Indiabulls Real Estate Ltd. shares were up 2.81% in trade on Wednesday. The stock gained as much as 4.61%, the most since Nov. 25.

The scrip was trading at 2.3 times its 30-day average trading volumes. The stock outperformed the S&P BSE Sensex Index by 2.5%.

Indiabulls Real Estate Ltd. advanced while the NSE Nifty Realty index and it's constituents were amongst the worst performers in trade. The index slipped 1.19% in trade as of 2:09 pm, on Wednesday.

Source: Bloomberg

The shares of GlaxoSmithKline Pharmaceuticals Ltd. rose 1.33% in trade on Wednesday, as of 1:43 pm, after a US judge rejected the scientific evidence behind claims that heartburn drug Zantac can cause cancer

This means that the drugmaker will not have to face a slew of lawsuits, resulting the scrip to gain as much as 2.43%, the most since Nov. 25.

About 40% of analysts have changed their price targets on the stock over the past month. Of the seven analysts tracking the company, four maintain a 'buy' rating, one suggests 'hold' and two recommend 'sell'. The average 12-month consensus price target implies that the return potential of the stock is 14%.

Similarly, the shares of Sanofi India Ltd. spiked in trade on Wednesday and cooled off.

The stock gained as much as 1.64%, after the U.S. court's announcement, the most since Nov. 25.

Of the eight analysts tracking the company, seven maintain a 'buy' rating, one suggests 'hold'. The average 12-month consensus price target implies that the return potential of the stock is 25.2%.

After increasing its 33.42% stake in Delectable, ITC shares were up by 0.92% in trade on Wednesday, as of 1:03 pm.

ITC acquired 1,967 compulsorily convertible preference shares of Rs 10 each of Delectable, in the fourth tranche on Dec. 6.

Of the 35 analysts tracking the company, 33 maintain a 'buy' rating and suggest 'hold'. The average 12-month consensus price target implies that the return potential of the stock is 15.1%%.

Source: Bloomberg, Exchanges

• Winemaker Sula Vineyards’s Rs 960-crore IPO to run from December 12-14.

• Price band for the IPO set at Rs 340-357.

• The issue is a pure offer-for-sale.

Source: Company press conference

The Indian benchmark indices continued to slip marginally in trade after the RBI announced its monetary policy decision to hike interest rate by 35 bps to 6.25%.

As of 12:18 pm, the S&P BSE Sensex was trading 120 points lower, down 0.19% at 62,507.15 points. While NSE Nifty 50 traded day 48 points lower, down 0.26% at 18,594.60 points.

Out of the 50 stocks compiled by the Nifty 50 index, 13 stocks advanced and 37 stocks declined.

Bajaj Finserv Ltd., NTPC Ltd., HCL Technologies Ltd., Hero MotoCorp Ltd. and Tata Motors Ltd. were the top Nifty 50 laggards. While BPCL Ltd., Hindustan Unilever Ltd.,Larsen and Toubro Ltd., Asian Paints Ltd., and ITC Ltd. gained the most in the gauge.

The broader indices mirrored their larger peers, with the mid-cap and small-cap gauges losing 0.26% and 0.31%, respectively.

Thirteen of the 20 sectoral indices compiled by BSE declined with S&P BSE Realty losing over 0.95%.

The market breadth is skewed in favour of the bears. About 1,503 stocks rose, 1,862 fell and 138 stocks remained unchanged.

Source: Bloomberg, Exchanges

1. India’s GDP Growth is resilient. It is holding on and doing well in a world of slowing growth.

2. Headline inflation is moderating and worst of inflation is behind us. Globally, the same trend is visible.

3. While inflation is moderating, there is no room for complacency. The battle on inflation is not over.

4. We are ready to undertake liquidity operations but will look for durable signs of turn in liquidity cycle.

5. Story of Indian rupee is one of resilience and stability. We remain committed to act in the event of excessive volatility in currency market.

6. Current account deficit is eminently managed. Let there be no doubt about it.

The shares of 5Paisa Capital Ltd. saw a spike in its volumes by more than 1.32 times on Wednesday, as per BSE.

The shares were trading at 2.59% and gained as much as 6.84%, the most in seven weeks since Oct. 13, as of 11:56 am.

The company's board announced in an exchange filing that they have acquired IIFL Securities’ online retail trading business.

5Paisa Capital Ltd.'s customer base will increase by 40% after the acquisition, whereas equity dilution will be at 20%.

The single analyst tracking the stock maintains a 'buy' rating.

Source: Bloomberg, Exchanges

Realty stocks fall the most after RBI announced its decision to hike rates by 35 bps to 6.25%.

Oberoi Realty, Brigade Enterprises, Godrej Properties, DLF and Macrotech Developers fell the most out all the stocks complied by the NSE Nifty Realty Index.

The index itself slipped the most by 1.49%, as of 11:12 am on Wednesday.

Out of the 10 stocks complied by the gauge, eight declines while two advanced.

Source: Exchanges

The shares of Dabur India rose 2.09% in trade on Wednesday, after Morgan Stanley raised the target price, while upgrading the consumer goods company to ‘overweight’.

The stock gained as much as 3.06%, the most in since Nov 29, 2022.

The research house upgraded the consumer goods company on accelerating signs of rural recovery and improving portfolio mix in favour of food & beverages to drive top-line growth.

Morgan Stanley is backing up increased distribution with a product portfolio tailored to rural markets and targeted marketing initiatives.

The stock of Dabur India Ltd. trades at 4.5 times its 30-day average traded volumes. The relative strength index is 75, suggesting that it may be overbought.

Of the 45 analysts tracking the company, 32 maintain a 'buy' rating, 12 suggest 'hold,' and one recommends 'sell,' according to Bloomberg data. The average 12-month consensus price target implies that the return potential of the stock is 4.1%.

 (Source: Bloomberg, Morgan Stanley Report)

The NSE Nifty PSU Bank index pared the opening gains and slipped in red by 0.26% as of 11:01am.

The gauge had gained in early trade and after the RBI announced its decision on rate hikes.

The Indian benchmark indices continued trading flat on Wednesday after RBI Governor Shaktikanta Das announced the Monetary Policy Committee's decision to hike interest rate by 35 bps to 6.25%.

As of 10:45 am, the S&P BSE Sensex was trading 19 points lower, down 0.03% at 62,607.51 points. While NSE Nifty 50 traded day 17 points lower, down 0.09% at 18,626.30 points.

Out of the 50 stocks compiled by the Nifty 50 index, 16 stocks advanced and 34 stocks declined.

Kotak Mahindra Bank Ltd., NTPC Ltd., Tata Motors Ltd., HCL Technologies Ltd. and HDFC Ltd were the top Nifty 50 laggards. While BPCL Ltd., Larsen and Toubro Ltd., Asian Paints Ltd., Hindustan Unilever Ltd. and ITC Ltd. gained the most in the gauge at the opening bell.

The broader indices mirrored their larger peers, with the mid-cap and small-cap gauges losing 0.08% and 0.15%, respectively.

Fourteen of the 20 sectoral indices compiled by BSE declined with S&P BSE Realty losing over 0.5%.

The market breadth is skewed in favour of the bulls. About 1,732 stocks rose, 1,457 fell and 149 stocks remained unchanged.

Source: Exchanges, Bloomberg

The local currency, rupee appreciated after RBI hiked rates by 35 bps to 6.25% on Wednesday.

The yield on the 10-year bond spiked by 5 bps to 7.29% after the RBI announced their decision to hike the repo rate on Wednesday.

Out of the 12 stocks compliled by the NSE Nifty PSU Bank Index, 10 advanced while two declined after RBI's Monetary Policy Committee decided to hike repo rate by 35 bps to 6.25%

The NSE Nifty PSU Bank Index rose 0.83% as of 10:19 am.

Central Bank, UCO Bank, Indian Overseas Bank, Bank of Maharashtra and Bank of India were the top gainers in the gauge.

Source: Exchanges, Bloomberg

The Monetary Policy Committee decides by 5:1 majority to increase repo rate by 35bps.

• L&T Construction secured orders from ArcelorMittal Nippon Steel India to carry out their expansion plans in Gujarat and Odisha.

• The stock was up 1.34% on Wednesday, trading at three times the 30-day average volumes.

• Of the 42 analysts tracking the company, 41 maintained a 'buy' and one recommend 'sell'. The return potential of the stock implies an upside of of 7.4% in over the next 12 months.

• The orders comprise installation of two blast furnaces at Hazira, Gujarat, building a 6 MTPA ore beneficiation plant at Sagasahi, Odisha among others.

• L&T defines ‘mega’ orders as those valued above Rs 7,000 crore.

  Source: Exchange filing, Bloomberg

The shares of Siemens India Ltd. rose 5.34% in trade on Wednesday. The scrip gained 5.82%, the most in seven months, since May 5, 2022.

Engineering firm Siemens has emerged as the lowest bidder for a project for manufacturing 1,200 electric locomotive of 9000 HP (horse power) worth over Rs 20,000 crore at Dahod in Gujarat.

Indian Railways had floated the tender for manufacturing and maintenance of 9,000 HP electric locomotives at Dahod in April this year.

The stock of Siemens India Ltd. trades at 20.6 times its 30-day average traded volumes.

Of the 29 analysts tracking the company, 20 maintained a 'buy,' seven suggest to 'hold' the stock and two recommend 'sell'. The return potential of the stock implies an upside of of 3.3% in over the next 12 months.

Source: Bloomberg, Exchange Filings

The Indian benchmark indices opened flat on Wednesday ahead of RBI's announcement of the Monetary Policy Committee's decision on the interest rates.

The S&P BSE Sensex opened 11 points lower, down 0.02% at 62,615.52 points. While NSE Nifty 50 began the trading day 4 points lower, down 0.02% at 18,642.75 points.

Out of the 50 stocks compiled by the Nifty 50 index, 28 stocks advanced and 22 stocks declined.

ONGC Ltd., NTPC Ltd., Kotak Mahindra Bank Ltd., Tata Motors Ltd. and Wipro Ltd were the top Nifty 50 laggards. While Larsen & Toubro Ltd., Cipla Ltd., BPCL Ltd., ICICI Bank Ltd. and Asian Paints Ltd. gained the most in the gauge at the opening bell.

The broader indices outperformed their larger peers, with the mid-cap and small-cap gauges losing 0.23% and 0.25%, respectively.

Fifteen of the 20 sectoral indices compiled by BSE advanced with S&P BSE Capital Goods gaining the most over 1%.

The market breadth is skewed in favour of the bulls. About 1,721 stocks rose, 808 fell and 114 stocks remained unchanged.

• Rupee falls to lowest in over a month ahead of RBI’s monetary policy decision.

• The rupee fell as much as 15 paise to 82.76, the lowest levels since November 3.

• The central bank’s monetary policy committee is set to announce its rate decision today.

Source: Bloomberg

• The National Investment and Infrastructure Fund will invest in three of GMR’s airport projects, including the greenfield international airports at Mopa, Goa and Bhogapuram, Andhra Pradesh.

• NIIF will invest Rs 631 crore in GMR Goa International Airport.

• This investment will be NIIF’s first investment in an airport asset in India.

Source: Exchange filing

The Reserve Bank of India will announce the Monetary Policy Committee's decision on the interest rate at 10:00 a.m. on Wednesday.

Prior to today's announcement, the MPC had raised the benchmark repo rate four times in a row to quell inflation. The rate now stands at 5.9%. A Bloomberg poll of 35 economists forecasts a 35-basis-point hike to 6.25% on Wednesday.

• U.S. Dollar Index at 105.58

• U.S. 10-year bond yield at 3.54% on Wednesday

• Brent crude down 4.03% to $79.35 per barrel

• Nymex crude at $74.67 per barrel

• SGX Nifty down 0.13% to 18,729 as of 8:10 a.m.

• Bitcoin up 0.63% to $17,101.62

• Easy Trip Planners: Campbell Advertising sold 34.62 lakh shares (0.32%) at Rs 56.01 apiece.

• Jindal Stainless: Quant Mutual Fund-Small Cap Fund bought 26.3 lakh shares (0.5%) at Rs 182.97 apiece.

• New Delhi Television: Vikasa India EIF I Fund sold 4.72 lakh shares (0.73%) at Rs 375.39 apiece.

• Salasar Techno Engineering: Shri Balaji Investments sold 21 lakh shares (0.67%) at Rs 43.25 apiece.

• Craftsman Automation: Marina III (Singapore) sold 11.57 lakh shares (5.45%), White Oak Capital Management Consultants bought 1.29 lakh shares (0.61%), Abu Dhabi Investment Authority bought 2.4 lakh shares (1.14%), India Acorn ICAV bought 3.33 lakh shares (1.58%) at Rs 3,200 apiece.

• Sapphire Foods India: Fennel sold 6.02 lakh shares (0.95%) at Rs 1,390 apiece.

• HDFC Asset Management Company: Promoter Abrdn Investment Management has sought the required approvals from HDFC Trustee Company and SEBI to sell its entire 10.21% stake in the company and stop being a sponsor of HDFC Mutual Fund.

• Ircon International: The company won an order for procurement of design, installation, testing, commissioning and certifying of signalling and telecommunication system from Maho junction to Anuradhapura by Sri Lanka Railways under Indian Line of Credit at $14.89 million (Rs 122 crore).

• Vedanta: The company’s board is meeting on Dec. 9 to consider the proposal to offer non-convertible debentures aggregating up to Rs 500 crore in one or more tranches.

• Apollo Hospitals Enterprise: The company issued a letter of comfort worth Rs 400 crore to Axis Bank on behalf of subsidiary Apollo Healthco. The company also issued NCDs worth Rs 105 crore with a coupon of 7.70%.

• Siemens: The company emerged as the lowest bidder for the 9,000 HP Electric Locomotives project in Dahod, Gujarat.

• Maruti Suzuki India: The company recalled 9,125 units of Ciaz, Brezza, Ertiga, XL6 and Grand Vitara manufactured between Nov 2-28, 2022, to fix fault seat belt assembly.

• Vodafone Idea: The company said preferential issue of optionally convertible debentures worth Rs 1,600 crore ATC Telecom Infrastructure lapsed due to absence of government response.

• Bikaji Foods International: Revenue from operation stood at Rs. 57,697.26 lakh in quarter ended September, as against Rs. 43,767.92 lakh for the same period last year. The company reported a consolidated profit of Rs 41.53 crore for the quarter ended September, 2022, up 32% year-on-year. Profit increased 43.5% to Rs 41.53 crore. Ebitda for the period stood at Rs 64.21 crore, up 41%, while Ebitda margin was at 11.1%, against 10.4% in the corresponding period last year. The board also approved acquisition of Hanuman Agrofood.

• Dynacons Systems & Solutions: The company bagged a private cloud solution order worth Rs 116 crore from Union Bank of India.

• 5Paisa Capital: The boards of 5Paisa Capital Ltd. and IIFL  Securities Ltd. approved the transfer of IIFL Securities’ online retail trading business to 5Paisa. IIFL Securities shareholders will receive 1 share of Rs 10 paid up of 5Paisa Capital for every 50 shares of Rs 2 paid up of IIFL Securities held by them as on the record date. 5Paisa customer base will increase by 40% whereas equity dilution is 20%.

• Infosys: Share buyback starts today at a price of Rs 1,850 apiece. The software services company will repurchase 5,02,70,270 equity shares, representing 1.19% of the total paid-up share capital, according to an exchange filing.

• Kama Holdings: To consider the proposal for buyback of equity shares, quantum and mode of buyback, appointment of intermediaries and other matters. The company is a subsidiary of SRF.

Asian markets slipped on Wednesday after major U.S. indices fell more than 1% overnight as recession concerns weighed on markets.

Japan's Nikkei 225 was down 0.69% in early trade, and the Topix fell 0.17%. South Korea’s Kospi shed 0.47%.

U.S. stocks dipped as bank CEOs raised alarm over downbeat economic conditions. The S&P 500 fell 1.3% and the tech-heavy Nasdaq fell 1.7%. The yield on 10-year Treasury notes declined one basis point to 3.56%.

Oil fell 3.6% amid a broader market selloff and high interest rates. Gold futures rose 0.1%, while Bitcoin continued to trade around the $17,000-level.

The Indian benchmark indices had a rough day, on Tuesday. Sensex lost 208 points, and Nifty closed 54 points lower. Fifteen of the 19 sectoral indices compiled by BSE Ltd. declined, with BSE Information & Technology, Telecommunication, Metal and Teck falling the most.

The rupee fell against the U.S. dollar to cross the 82-mark for the first time since Nov. 7. It depreciated 1.01% against the U.S. dollar to close lower at 82.61 on Tuesday, compared to Monday’s close of 81.79.

Overseas investors in Indian equities remained net sellers for the second day in a row on Tuesday. Foreign portfolio investors offloaded equities worth Rs 635.4 crore, according to data from the National Stock Exchange. Domestic institutional investors turned net sellers and sold equities worth Rs 558.7 crore.

At 8:10 a.m., the Singapore-traded SGX Nifty -- an early barometer of India's benchmark Nifty 50 -- fell 0.13% to 18,729.