Share Market News Today | Sensex, Nifty, Share Prices Highlights: Domestic indices cut some losses but still settled in the red territory. The NSE Nifty 50 plunged 111.65 pts or 0.65% to 16,988.40, BSE Sensex tanked 360.95 pts or 0.62% to 57,628.95 and Bank Nifty tumbled 236.15 pts or 0.60% to 39,361.95. The top gainers on the Nifty 50 were Hindustan Unilever Ltd, BPCL, ITC, Grasim and Kotak Bank while the top losers were Bajaj Finserv, Adani Enterprises, Bajaj Finance, Hindalco and Tata Steel.
Share Market Today | Sensex, Nifty, BSE, NSE, Share Prices, Stock Market Highlights
The top gainers on the Nifty 50 were Hindustan Unilever Ltd, BPCL, ITC, Grasim and Kotak Bank while the top losers were Bajaj Finserv, Adani Enterprises, Bajaj Finance, Hindalco and Tata Steel.
Bank Nifty tumbled 236.15 pts or 0.60% to 39,361.95
The NSE Nifty 50 plunged 111.65 pts or 0.65% to 16,988.40, BSE Sensex tanked 360.95 pts or 0.62% to 57,628.95.
Nifty and Sensex crashed over one and a half percent on Monday as global banking turmoil dented investor sentiment. The fears of a further rate hike by the US Federal Reserve and the continued withdrawal of funds from domestic markets by FPIs have made traders nervous as they shift from riskier assets to safe havens like gold. The NSE Nifty 50 touched an intraday low of 16828.35, falling 1.58% or 271.7 pts from the previous close of 17100.05. The BSE Sensex crashed over 900 pts or 1.56%, hitting an intraday low of 57,084.91. Bank Nifty tanked 650 pts or 1.65% to a low of 38941.9.
“Indian Rupee depreciated today amid weak domestic markets and sustained selling pressure from FIIs. However, soft US Dollar and crude oil prices cushioned the downside. US Dollar declined on contagion fears from the US banking crisis and a fall in US Treasury yields. We expect Rupee to trade with a negative bias on deteriorating global risk sentiments. The banking crisis in US and Europe may continue to put downside pressure on riskier assets,” said Anuj Choudhary – Research Analyst at Sharekhan by BNP Paribas.
“In the aftermath of the American banking crisis, the gold market soared to a lifetime high. Bullion was purchased as a safe haven after the sudden fallout of the SVC bank and other banks. The U.S. bond rates saw unprecedented weakness, the dollar index fell, and gold prices increased. In view of the banking crisis and conflicting U.S. economic statistics, the U.S. Fed is expected to convene this week on March 22. The policy outcomes may provide further guidance for the bullion markets. Gold, a safe haven asset, is currently in a very favourable financial and economic situation. We anticipate a significant increase in price if gold closes over $2000 (spot), which could potentially occur at levels of $2070 and $2185. For domestic gold, the levels to watch after a close above Rs 60540 are Rs 61920 and Rs 64000. Yet, this week’s expected US Fed discussion is extremely significant,” said Rahul Kalantri, VP Commodities, Mehta Equities Ltd.
Oil prices fell on Monday to their lowest in 15 months on concerns risks in the global banking sector may cause a recession that would lead fuel demand to decline and ahead of a potential hike in U.S. interest rates this week. Brent crude futures for May settlement fell $2.32, or 3.2%, to $70.65 a barrel. The contract earlier declined to as low as $70.56, its lowest since December 2021.
“Consistently unfavourable signs in global markets are encouraging investors to turn to safe havens such as the dollar and gold, while FIIs are withdrawing funds from the domestic market in response to the Indian rupee’s depreciation. Considering the 50 bps rate hike by the ECB, all eyes will be on the US Fed and Bank of England, which are set to hold their policy meetings this week,” said Vinod Nair, Head of Research at Geojit Financial Services.
“FPIs have invested a total amount of Rs 11344 crores till 18th March. This includes the bulk investment of Rs 15446 crores by GQG in Adani stocks. So, net of the bulk deals the FPI is negative. For 2023, so far, FPIs have sold equity for Rs 23283 crores (NSDL). FPIs have been consistent buyers only of capital goods. In financial services, they have been alternating between buying and selling on different fortnights. Since risk-off is the dominant market mood now following the bank failures in the US and fears of contagion, FPIs are unlikely to turn buyers in the near term,” said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.
“In the short run, momentum and sentiment trump everything, even fundamentals. The Indian Banks are experiencing collateral damage caused by US Banking Crisis, despite having healthy balance sheets and liquidity. The consensus leader of the Bull Market has become the consensus leader of the ongoing Bear Market. Currently, the banking sector appears unattractive, but some pockets present interesting risk-reward opportunities for a small bounce,” said analysts at Artha Capital.
“Gold prices have risen almost 7-8% in the past month. The rally in the yellow metal is primarily due to the banking crisis in the west. The liquidity infused by the central banks and the expectations of lower to no rate hikes is pushing gold prices up. Gold is a safe haven, historically it has gained in periods of uncertainty. Gold prices hitting a fresh high is a sign of slower economic growth and lower interest rates with ample liquidity to help the system steer of the current situation.”
– Colin Shah, MD, Kama Jewelry
CSL Finance, Caplin Point Laboratories, UTI Asset Management Company, HDFC Asset Management Company, Kamdhenu, Cochin Shipyard, Aarti Drugs
Alternatively, 245 stocks including Blue Dart Express, Bayer Cropscience, Pfizer, Alkyl Amines Chemicals, V-Mart Retail, Reliance Industries, Balaji Amines, Mphasis, Dr. Lal Path Labs, Tatva Chintan Pharma Chem, Vinati Organics, Aavas Financiers
On the NSE Nifty, 26 stocks hit their 52-week highs including Safari Industries (India), Blue Star, KPIT Technologies, Narayana Hrudayalaya, Goyal Aluminiums, Sunflag Iron And Steel Company, Gujarat Pipavav Port, Tarmat, Medico Remedies, Marksans Pharma, Soma Textiles & Industries, Keerti Knowledge and Skills, Binani Industries, W S Industries (I) among others.
On the NSE Nifty, 38 stocks hit their upper price band. Kiri Industries, Bombay Super Hybrid Seeds, Medico Remedies, Asian Energy Services, One Point One Solutions, Kohinoor Foods, Sintex Plastics Technology were among the scrips. 70 stocks hit their lower price band including Adani Green Energy, Adani Transmission, Adani Total Gas, Patanjali Foods, PC Jewellers, Brooks Laboratories, Apollo Micro Systems, MEP Infrastructure Developers. Additionally, 24 scrips hit both bands.
On the NSE Nifty index, the top winners are BPCL, Divi’s Lab, Dr Reddy’s, Hindustan Unilever, with BPCL up 2.11%. The biggest laggards are Bajaj Finserv, Adani Enterprises, Hindalco, Bajaj Finance, Tata Motors, with Bajaj Finserv down 4.76%.
Reliance Industries, HDFC Bank, Infosys, ICICI Bank and Adani Enterprises are the most active Nifty 50 stocks intraday.
Udayshivakumar Infra’s Rs 66 crore IPO opened for subscription on Monday and will conclude on Thursday, 23 March. The price band for the IPO has been fixed at Rs 33-35 a share. Udayshivakumar Infra IPO comprises a fresh issue of two crore equity shares. Ahead of the IPO, the issue was opened for anchor investors on 17 March, Friday. Udayshivakumar Infra shares were commanding a grey market premium (GMP) of Rs 10 today. The shares of the company are expected to list on the stock exchanges on Monday, 3 April 2023.
In this eventful week, volatility would remain high wherein we expect the extended correction to get arrested around the key support zone of 16800 while sustainability above the immediate hurdle of 17200 would pave way for a meaningful pullback towards 17600 by the end of March 2023, as it is a confluence of 200 days EMA coincided with current week’s high. Thus, traders should refrain from creating aggressive short positions. Bank Nifty is expected to hold a key support zone of 38600-38200 amid high volatility surrounding the closely watched US Fed event and stage a gradual technical pullback towards 40300-40500 which is a confluence of last week’s high (40690) and 61.8% retracement of past two-week decline (41671-38613).
“MGL has formed a pole and flag pattern on the daily scale and it has formed a bullish candle which indicates strength in the counter. RSI on the daily and weekly scale is showing a positive setup which will support higher levels. Buy MGL with a stop loss of Rs 965 and a target of Rs 1030,” said Rahul shah is Senior Vice President, Group Advisory Leader-PCG, Broking & Distribution at Motilal Oswal Financial Services.
“Petronet has formed a strong bullish candle on a daily scale and managed to close above its crucial resistance zone in spite of market volatility. RSI is also picking up which is showing positive momentum and holding well above its short-term moving average. Buy Petronet with a stop loss of Rs 228 and a target of Rs 248,” said Rahul shah is Senior Vice President, Group Advisory Leader-PCG, Broking & Distribution at Motilal Oswal Financial Services.
Markets remain focused on what the Federal Reserve will do this week. US Fed interest rate decision will be released on 22nd March and the Bank of England policy meeting will be held on a subsequent day. The collapse of Silicon Valley Bank (SVB), followed by a few other mid & small-sized banks (Silvergate, Signature bank and First Republic Bank) led to increasing concern over a possible financial contagion in the US banking sector. Technically Nifty has formed a Doji candle with a long lower shadow on a daily scale and negated the formation of lower lows of the last seven trading sessions. Now, it has to hold above 17071 zones to witness a bounce towards 17171 and 17250 zones, while on the downside supports are seen at 16950 and 16800 levels.
On Monday, Adani Enterprises shares fell 3.4% to Rs 1813.40, Adani Power shares fell Rs 6.60 or 3.30% to Rs 193.35, Adani Wilmar shares tanked Rs 9.05 or 2.12% to Rs 418.30, Adani Ports shares were down Rs 11.10 or 1.63% to 669.00, Adani Total Gas shares were down Rs 29.95 or 3.30% at Rs 868.00, Ambuja Cements shares were down Rs 8.10 or 2.14% at Rs 370.15, NDTV shares were down Rs 1.60 or 0.78% at Rs 204.10, ACC shares were down Rs 18.80 or 1.09% at Rs 1710.00 while Adani Transmission shares rose Rs 15.15 or 1.48% to Rs 1040.00 and Adani Green Energy shares surged Rs 30.90 or 3.78% to Rs 847.70.
Adani Group stocks fell on Monday with Adani Enterprises shares falling 3.4% to Rs 1813.40 after the reports of Gautami Adani-led group suspending a Rs 34,900 crore petrochemical project at Mundra in Gujarat to focus on resources to consolidate operations and address investor concerns following a damning report by Hindenburg Research LLC.
“For today’s trade support remains at 16980 followed by 16900 while strong resistance is placed at 17300 zone. Metal stocks could be in focus after China's central bank cut the CRR by 25 basis points to spur economic growth,” said Deven Mehata, Equity Research Analyst at Choice Broking.
“The fears of financial contagion rising from the banking crisis in US and Europe appear to be largely contained by the quick response of the governments and central banks. The big learning from the global financial crisis of 2008 is that failure of large financial institutions will lead to systemic issues leading to financial contagion and ultimately to recession. Learning from this crisis, this time there has been a concerted global action – the latest being the buyout of Credit Suisse by UBS – to contain the crisis. The volatility index in the US at around 25 doesn’t indicate any panic like in 2008. However, investors may remain cautious and wait for stability. The boost to India’s macros arising from reduction in trade deficit and big decline in Brent crude to $73 are positives from the market perspective,” said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.
The top gainers on Nifty 50 were Dr Reddy, Divis Lab, Hindustan Unilever Ltd (HUL), Titan and BPCL while the losers were Adani Enterprises, Hindalco, Infosys, TCS and IndusInd Bank.
Bank Nifty plunged 305.95 pts or 0.77% to 39,292.15.
The NSE Nifty 50 fell 129.10 pts or 0.75% to 16,970.95 and BSE Sensex tanked 449 pts or 0.77% to 57,540.90.
Domestic indices ended pre-open in red. The BSE Sensex fell 216.38 pts or 0.37% to 57,773.52 and NSE Nifty 50 dropped 33.45 pts or 0.2% to 17,066.60.
“Following the sharp rebound in the global markets, the domestic indices took a breather in hopes of relief from the global banking turmoil. Global equities reversed their selling streak on reports of a rescue package for the beleaguered First Republic Bank, along with an aid provided to Credit Suisse from the Swiss Central Bank, which would soothe concerns over the global financial stability. On the other hand, the ECB further raised its rates by 50 bps, indicating its preparedness to provide liquidity to banks upon necessity,” said Vinod Nair, Head of Research at Geojit Financial Services.
“The Bank Nifty index witnessed a sharp recovery from the lowest levels and the index formed a morning star pattern on the daily chart. The index if it manages to hold the support of 39,000 on the downside can witness a pullback rally towards 40,000. A sustained move above 40,000 will open up room for a big rally toward the 41,000 level,” said Kunal Shah, Senior Technical Analyst at LKP Securities.
“Bank Nifty formed a kind of spinning bottom candlestick formation near the important support level of 38700 and managed to sustain above the 39400 level. Now we can expect a short-covering move towards the 40000 and 40500 levels. On the downside, 38700–38500 is a strong demand zone,” said Pravesh Gour, Senior Technical Analyst, Swastika Investmart Ltd.
Bank Nifty first support placed at 39365, and then 38896 and resistance at 40075 and then 40317, according to Rahul Sharma, JM Financial.
“A Doji pattern followed by a recovery candle on the daily chart indicates the possibility of a bullish reversal. On the higher end, immediate resistance is placed at 17250, where the bears might try to return to the market. However, if bulls take the Nifty above 17250, the index may move towards 17500–17600. On the lower end, support remains intact at 16950,” said Rupak De, Senior Technical Analyst at LKP Securities.
“The Nifty’s recent swing low of 16900-16850 is likely to act as the sheet anchor’s role, and it is highly anticipated that the dip would augur well for the bulls. On the flip side, the 17200-17250 is the immediate hurdle, followed by the sturdy wall of 200 SMA placed around the 17400-17450 odd zone,” said Osho Krishan, Sr. Analyst – Technical & Derivative Research, Angel One Ltd.
“If Nifty manages to hold 17100, then there is scope for a short-covering rally towards the 17250 and 17440 levels. On the downside, 17000 will be the first support level, while 16800 is a critical support level,” said Pravesh Gour, Senior Technical Analyst, Swastika Investmart Ltd.
Nifty first support is placed at 17070 and then 16951 and resistance is seen at 17258 and 17328, according to Rahul Sharma, JM Financial.
The National Stock Exchange has GNFC and IndiaBulls Housing Finance on its F&O ban list for 20 March. According to the NSE, stocks are prohibited in the F&O sector when they have exceeded 95% of the market-wide position limit (MWPL). During the F&O ban period, no new positions are permitted for F&O contracts in that stock.
Foreign institutional investors (FII) net sold shares worth Rs 1,766.53 crore, while domestic institutional investors (DII) net acquired equities worth Rs 1,817.14 crore on 17 March, according to the provisional data available on the NSE.
Asian markets were trading mostly in red with Japan’s Nikkei 225 falling 0.66%, Hong Kong’s Hang Seng tanking 1.65%, South Korea’s KOSPI dipping 0.09% while China’s Shanghai Composite index rose 0.33%.
The US market ended Friday’s session broadly in red with major indices falling over 1%. The Dow Jones Industrial Average tanked 1.19%, S&P .500 sank 1.10% and the tech-heavy Nasdaq plunged 0.74%.
The Nifty futures on the Singapore Exchange (SGX) were trading 103 pts or 0.60% lower at 17,058.50 in the early morning trade.