Sensex Halts Record- Breaking Rally, Sheds 427 Points; Nifty at 24,324

Ira Singh
Khabar Khabaron Ki,10 July’24

The domestic share market extended their opening losses on Wednesday, with both the benchmark indices falling close to 1 percent in the early hours of trade, dragged by profit booking at higher levels.Profit booking at higher levels ahead of the release of India as well as US inflation print and the onset of the Q1 FY25 earnings season weighed on investor sentiment. At close, the Sensex was down 426.87 points or 0.53 percent at 79,924.77, and the Nifty was down 108.75 points or 0.45 percent at 24,324.45. About 1116 shares advanced, 2311 shares declined, and 59 shares unchanged.

Asian Paints, SBI Life Insurance, Divis Labs, HDFC Life and Britannia Industries were the biggest gainers on the Nifty while losers included,M&M, Tata Steel, TCS, Hindalco Industries and Hero MotoCorp, while gainers included

On the sectoral front, auto, bank, capital goods, IT, telecom, media and metal down 0.4-2 percent, while FMCG, healthcare, power and oil & gas ended in the green.The BSE midcap index was down 0.2 percent while smallcap index shed 0.7 percent.

Rupee Close:
On 10 July’24,the Indian rupee stayed range-bound and ended 2 paise lower at 83.51 against the US dollar on Wednesday amid rising crude oil prices overseas and selling in domestic equities.A softening American currency and inflow of foreign funds capped the fall in the local unit, forex traders said.

Meanwhile,Indian Rupee gained by 0.01% today on weak crude oil prices. However, weak domestic markets capped sharp upside. US Dollar gained as Fed Chair Jerome Powell offered no fresh cues on timing of rate cut. He said that the inflation trend is encouraging; however, the Fed will need more data to gain confidence in cutting rates. He cautioned that lowering interest rates too little or too late could put the economy and the labor market at risk as inflation is not the only risk the US economy faces now.We expect Rupee to trade with a slight negative bias on weakness in domestic market and positive tone in the Dollar. Investors may remain cautious ahead of Fed Chair, Jerome Powell’s testimony to the US Congress and inflation data tomorrow. USDINR spot price is expected to trade in a range of Rs 83.20 to Rs 83.80.

Trading Guide:
V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services reportedly quoted as saying,investors should be careful about the high level of speculative activity in the Smallcap space where operators are driving up the prices of many shares with low floating stock.

Market experts have recommended buying these five buy-or-sell stocks: Tega, Welcorp, Indigo, ATGL, and Navinfluor