Sensex sinks 610 points; Nifty below 19,550; Berger Paints tanks 5%, TechM 4%

Sensex sinks 610 points; Nifty below 19,550; Berger Paints tanks 5%, TechM 4%

Ira Singh
28 Sep’23

The Indian equity market indices traded lower on Thursday amid weakness in global equities markets, rise in crude oil prices and persistent FII selling.

At close,the Sensex was down 610.37 points or 0.92 percent at 65,508.32, and the Nifty was down 192.90 points or 0.98 percent at 19,523.55.Losers outnumbered gainers as about 1,524 shares advanced, while 2,007 declined, and 136 were unchanged.

The end of today’s session also marked the end of the September F&O series. Nifty regained losses from the previous F&O series and ended 1.5 percent higher as against the previous series. The Nifty bank also gained nearly 1 percent while the midcap index continued to outperformed with almost 3 percent gains through the September F&O series.

Stocks and Sectors

The decline was widespread on the sectoral front wherein IT and FMCG were among the top losers. The broader indices also felt the heat wherein midcap shed over a percent and smallcap closed marginally in the red.

All sectors struggled with losses with information technology, banks-public and private,metals, pharma,FMCG,auto, energy and infra all slumping 1-2%.Sell off was even more intense within the broader market.

On 28 Sep’23,the Indian rupee edged up 1 paise to close at 83.21 against the U.S. dollar in a restricted trade amid gains in domestic equities.

The Indian rupee consolidated in a narrow range with a positive bias as the dollar index retreated and Asian currencies recovered. The index re-balancing-related inflows also supported the rupee in today’s trade. The Dollar is in demand, buoyed by factors like the repricing of the long-term Fed funds rate, high oil prices, and concerns over the direction of travel for both the European and Chinese economies. While the local rupee remained resilient to the greenback amid the central bank’s intervention.

The Indian currency was almost trading flat in the early session as gains from firm domestic stocks were offset by a rise in crude oil prices and the U.S. dollar index remaining above the 106-mark against the leading currencies, Forex dealers said.

Experts Take:
“The selling was broad-based, as investors are on alert given the rise of oil prices. If crude continues to stay above the 90 USD level, it will be a threat to inflation and boil the operational margins. Globally, US GDP data and the FED chief speech will be watched carefully, which will set the future trend. Currently, the combination of higher interest rates and US bond yields are influencing FIIs to stay in the selling mode.”, said Vinod Nair, Head of Research at Geojit Financial Services

The market experts have recommended six stocks to buy for Thursday-ITC, Hindustan Copper, Delhivery, Zydus Life, IIFL Securities, and Omaxe.