Share Market News Today | Sensex, Nifty, Share Prices Highlights: Benchmark indices BSE Sensex and NSE Nifty end in flat after a volatile session of trade. Sensex fell over 500 points intraday before recouping losses to end at 62,130, while Nifty gave up the 18,500 level. The broader markets shifted from losses to gains intraday, while the sectoral indices traded between green and red. The Nifty IT index dropped 0.4% in trade, while Nifty PSU Bank rose 1.4%.
“A tepid start-off in the domestic market was flattened due to a recovery in banking, metals, and oil & gas, while continued selling in IT stocks weighed on the indices. Key inflation numbers are expected to soften from the previous month, owing to a moderation in food prices. Extending the stock market route, the global markets remained fragile as rate decisions by major central banks took centre stage.”
– Vinod Nair, Head of Research, Geojit Financial
On the NSE Nifty index, Coal India, Divis Lab, BPCL, UPL and Nestle India are the top gainers, with BPCL up 3.13%. The biggest laggards are Kotak Bank, Asian Paints, Infosys, Titan and Eicher Motors.
Benchmark indices BSE Sensex and NSE Nifty end in flat after a volatile session of trade. Sensex fell over 500 points intraday before recouping losses to end at 62,130, while Nifty gave up the 18,500 level.
“Revenue of the fast-moving consumer goods (FMCG) sector will grow 7-9% this fiscal compared with ~8.5% in the last, primarily driven by price hikes, given surging input costs. Volume growth will, however, be just 1-2% compared with 2.5% last fiscal. Next fiscal, too, the sector should see almost similar pace of growth, but driven by volumes. That’s because rural demand is expected to improve with inflation gradually beginning to moderate, even as urban demand will continue to remain steady.”
– CRISIL Ratings
Three stocks will be in focus this week as they will turn ex-dividend ahead of the record date. Two of these stocks are government-owned companies. The companies will pay a dividend in the range of 16% to 80%. Dividends are incentives distributed by a listed company from their profits to shareholders. When a company generates a profit and accumulates retained earnings, those earnings can be either reinvested in the business or paid out to shareholders as a dividend. A stock that goes ex-dividend does not carry the value of its next dividend payment. The ex-date is one working day before the record date when a listed company determines the eligible shareholders for the dividend benefit.
The Indian government will not make the Reserve Bank of India’s (RBI) recent letter on inflation public, Minister of finance Pankaj Chaudhary. The central bank monetary policy committee met last month to discuss the bank’s report to the government for having failed to keep inflation below 6% for three straight quarters for the first time since it was set up in 2016.
Yes Bank shares rallied over 7% in trade today, hitting a two-year high at Rs 21.20, while surging 19.7% over two sessions of trade. The stock has been rising since Friday, when the bank received approval from the RBI to raise fresh capital from Verventa Holdings and Carlyle Group.
Domestic equity indices were trading marginally higher in the mid-day session on Monday with BSE Sensex rising 37.55 points and NSE nifty up 0.06%. In other Asian markets, Japan’s Nikkei 225 fell 48.87 points or 0.18% to 27,853.39, Taiwan’s FTSE TWSE Taiwan 50 Index dipped 86.85 points or 0.77% to 11,179.17, China’s Shanghai Composite Index dropped 21 points or 0.66% to 3,185.93, South Korea’s KOSPI slipped 13.66 points or 0.57% to 2,375.38 while Hong Kong’s Hang Seng sank 410 points or 2% to19,490.60.
Abans Holdings IPO opened for public subscription on Monday, 12 December, and will close on 15 December 2022. The company has fixed the IPO price band at Rs 256 – 270 per equity share. Abans Holdings aims to raise Rs 345.60 crore from this IPO. The initial share sale comprises fresh issuance of equity shares of up to 38 lakh and an offer-for-sale (OFS) of up to 90 lakh equity shares by promoter Abhishek Bansal. Abans Holdings IPO shares were commanding a grey market premium of Rs 15 today. Bigshare Services Pvt Ltd is the registrar for the IPO. Abans Holdings shares are proposed to be listed on BSE and NSE on 23 December 2022. Sula Vineyards IPO also opened for public subscription on Monday.
After falling over 0.7% in the morning trade, benchmark indices NSE Nifty and BSE Sensex recoup their losses to trade mildly in the green. Nifty reclaims the 18500 level, trading 0.1% up, while Sensex gains 35 points from previous close to trade at 62,217.
Sula Vineyards IPO opened for public subscription on Monday, 12 December, and the issue will close on 14 December. The IPO price band has been fixed at Rs 340-357 per equity share. The offer is entirely an offer for sale (OFS) of up to 2.69 crore shares by selling shareholders.
“The Nifty shed slightly over a percent on a week-on-week basis. With couple of heavyweights imposing pressure on the last day of the week, Nifty was on the verge of a breakdown; but fortunately, bulls managed to defend their territory at the end. Now, taking a glance at the daily time frame chart, the Nifty is now placed slightly above the key support of ’20-day EMA’ which coincides with previous swing high of 18450. Hence, we continue to remain upbeat as long as 18400 – 18300 is not violated on a closing basis. Until then, any intermediate decline should only be construed as a profit booking before resuming the upward trend. On the flipside, 18650 – 18700 are the levels to watch out for. The moment Nifty surpasses this, one should gear up for yet another milestone of 19000 in near future.”
– Sameet Chavan, Chief Analyst-Technical and Derivatives, Angel One
“The upward trend in the yellow metal continued, with bullion rising by almost 2%. Given the strength fin the prices, gold reached $1800. The dollar index was on track to post a weekly loss and foreign buyers of dollar-priced gold benefited from a weaker dollar. Investors are presently anticipating the US Fed Reserve rates, which are anticipated this week, in order to get an idea of the pace of rate hikes. We expect gold to trade lower towards 53920 levels, a break of which could prompt the price to move lower to 53770 levels.”
– Prathamesh Mallya, AVP- Research, Non-Agri Commodities and Currencies, Angel One
“This week is crucial for equity markets globally since markets will be keenly waiting for the commentary of the Fed and that of ECB and BoE on 15th. However, the tone for the commentary of the central banks will be set by the US CPI data due on 13th. If the CPI data confirms a declining trend, the Fed can reaffirm its earlier comment of slowing down rate hikes, which will be interpreted by the market as a departure from the hawkish stance. On the contrary, if the CPI data reflects stubborn inflation, the Fed will have no alternative but to remain hawkish. This will be negative for equity markets.”
– Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services
Sectorally, all indices barring Nifty Media fall, with the Nifty IT index dropping 1.6% with constituents Infosys, LTIMindtree and L&T Technology Services down over 1.8%, dragging the index.
BSE Sensex and NSE Nifty open over 0.7% lower. Nifty trades at 18,371, while Sensex is at 61,373. Bank Nifty gives up the 43,500 level, trading 0.4% down.
Benchmark Indian indices BSE Sensex and NSE Nifty trade with sharp cuts in the pre-open session. NSE Nifty falls 0.5% to settle just above the 18400 level, while Sensex gives up over 400 points during pre-open, to end at 61,770.
“US S&P 500 Index recorded its worst return in five weeks, while the small-cap Russell 2000 Index endured its worst week since late September. Investors are waiting to hear what Chairman Powell says about the inflationary environment next Wednesday (14th December) when the two-day Federal Open Market Committee (FOMC) meeting wraps up. Markets ended lower for the week, as the DJIA descended 2.8%, the S&P 500 fell 3.4%, and the Nasdaq Composite dropped 4.0%. Weak Chinese trade data tempered optimism about China’s reopening. Its exports fell a bigger-than-forecast 8.7% in November from a year earlier, marking the steepest monthly drop in exports since February 2020.”
– Devarsh Vakil, Deputy Head of Retail Research, HDFC Securities
Foreign institutional inventors (FII) sold shares worth a net Rs 158.01 crore while domestic institutional investors (DII) bought shares worth a net Rs 501.63 crore on Friday, December 9, 2022, according to the data available on NSE. For the month till December 9, FII sold shares worth a net Rs 5,657.14 crore while DII bought shares worth a net Rs 7,089.40 crore.
The National Stock Exchange (NSE) banned the trading in futures and options (F&O) of up to four stocks/securities on Monday, December 12, 2022. Bharat Heavy Electricals Limited (BHEL), Gujarat Narmada Valley Fertilizers & Chemicals Limited (GNFC), Delta Corp and Punjab National Bank (PNB) are the stocks/securities placed on the National Stock Exchange’s futures and options (F&O) ban for trade on Monday.
“Domestic equity markets could witness a choppy start on Monday as global indices are trending lower after the US producer price index data on Friday showed inflation continues to be hotter than expected. Today, all eyes will also be on India’s CPI inflation for November. If the inflation print falls and stabilises below the upper threshold of 6% set by the RBI, then that would help the central bank take a pause in rate hike. Banking stocks will again come under spotlight this week as investors await this week's policy action by the US Fed. For Bank Nifty traders, buy on dips between 42900-43100 zone with a stop loss at 42659, while the immediate targets are 43750/44000 with aggressive targets at 44500 zone.”
– Prashanth Tapse, Research Analyst, Senior VP (Research), Mehta Equities
“The Bank Nifty index witnessed some selling pressure at higher levels where fresh short positions were built up. The index is still trading in a broad range between 43,000-44,000 where a significant amount of put and call writing has been witnessed respectively. The index must decisively breach the range for a trending move on either side.”
– Kunal Shah, Senior Technical Analyst, LKP Securities
“Nifty slipped into sharp weakness on Friday, the market failed to sustain the opening gains. A long negative candle was formed on the daily chart with minor lower shadow. This is not a good sign and point towards more weakness in the short term. Nifty on the weekly chart formed a reasonable negative candle this week, that placed beside the long bull candle of last week. This signal that the market is now preparing for more weakness in the next week. The short term uptrend status of Nifty seems to have reversed down. Having moved below the crucial support of 18550-18500 levels, the Nifty is expected to slide down to the next key lower support of 18150-18100 levels in the near term.”
– Nagaraj Shetti, Technical Research Analyst, HDFC Securities
“FPIs were big buyers in financial services. Buying was witnessed in segments like capital goods, autos and auto components. FPIs were sellers in consumer durables, textiles, power and telecom. Even though FPIs continued to buy in early December too, they turned sellers in recent days. The decline in the dollar index to below 105 was the major factor that triggered inflows.
There is a trend of money moving into cheaper markets like China and South Korea where the valuations are compelling now. Even though India will continue to attract foreign capital, the high valuations in India will be a deterrent. Going forward, in the near term, FPIs are likely to make only modest purchases in performing sectors and may continue to sell and book profits in sectors where they are sitting on big profits. More money is likely to move into cheaper markets.”
– Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services
The company will debut on bourses on December 12. The issue price is fixed at Rs 577 per share. Uniparts India shares are expected to list at a premium of around 10 per cent over the issue price. In the grey market, the premium has been hovering around 10 per cent over the final issue price due to market consolidation and the IPO being an offer for sale (OFS), according to analysts.
As the dollar pared its losses as inflationary pressure in America persists, Asian markets slipped mildly into the red. Japan’s Nikkei and South Korea’s KOPSI fell over 0.5%, while the MSCI index and Hong Kong’s Hang Seng index’s dipped almost 1.5%.