Indian Benchmark indices rebounded nearly 1% after on Wednesday following gains in real estate, FMCG, power and banking. Traders remained cautious after the International Monetary Fund diminished India’s GDP growth forecast by 60 basis points from its earlier forecast in July this year.
The Nifty50 has formed a reasonable positive candle on the daily chart beside the previous day’s long bear candle, according to Nagaraj Shetti, Technical Research Analyst at HDFC Securities.
This suggests the comeback of the bulls from support at the 50-scrip index’s 200-day exponential moving average around 16,900 in a positive sign, he said.
Also Read: US stocks rise riding on producer price inflation data
Indian Indices
The Sensex jumped 478.59 points or 0.84% to 57,625.91 while the Nifty was up by 140.05 points or 0.82% to 17,123.60 at the close of trading on Wednesday. The Sensex moved in a high and low band of high and low of 57,687.64 and 57,085.92. There were 25 stocks advancing against 5 stocks declining on the index. The Nifty traded in a range of 17,142.35 and 16,960.05. There were 42 stocks advancing against 7stocks declining on the index, while 1 on the index was stable.
Broader Indices
The broader indices ended in red with the BSE mid-cap index up by 0.66% and the Small-cap index up by 1.47%. The top gaining sectoral indices were Realty by 1.69%, FMCG by 1.38%, PSU by 1.30%, Power by 1.13%, and Bankex by 1.11%, while there were no losing sectoral indices on the BSE.
Also Read: US stocks rise ahead of FOMC meeting minutes
India VIX Index
Nifty or India VIX, a gauge of the market’s expectation of volatility over the near term, fell 1.54% to 20.18 on Wednesday.
SGX Nifty
The trends on SGX Nifty indicate a negative opening for the index in India with a 38 points loss. The Nifty futures were trading at 17,066.5 on the Singaporean Exchange at around 06:50 hours IST.
Support and Resistance levels
The key support level for the Nifty is placed at 17,008, followed by 16,893. If the index moves up, the key resistance levels to watch out for are 17,190 and 17,257, according to pivot charts.
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US Markets
The S&P 500 fell 11.81 points, or 0.3%, to 3,577.03 on Wednesday.
The Dow Jones Industrial Average fell 28.34 points, or 0.1%, to 29,210.85.
The Nasdaq fell 9.09 points, or 0.1%, to 10,417.10.
The Russell 2000 index of smaller companies fell 5.15 points, or 0.3%, to 1,687.76.
Asian Markets
Asian markets ended lower on Wednesday. Shanghai Composite was 1.53% down, followed by Hang Sang which fell 0.78%, KOSPI Composite and Nikkei 225 were down by 0.47% and 0.02% respectively.
Also Read: Behind India’s runaway inflation: Mounting crude, moody monsoons
European Markets
European markets finished lower yesterday with shares in London leading the region. The FTSE 100 was down 0.86% while Germany’s DAX was off 0.39% and France’s CAC 40 was lower by 0.25%.
Major Headlines
India retail inflation rises to 7.41% in September
India’s retail inflation rose to 7.41% in September from 7% in the previous month, government data on Wednesday showed. With this inflation has remained above the Reserve Bank of India’s (RBI) upper margin of 6% for three consecutive quarters.
Food inflation, which accounts for nearly half the CPI basket, surged 8.60% in September 2022 as compared to 7.62% in August.
Fuel and electricity grew 11.44% year-on-year in September, compared with a 10.78% increase in the previous month, according to data.
The housing sector gained 4.57% year-on-year in September as against a 4.06% rise in August. The clothing and footwear segment surged 10.17% year-on-year in the reported month, compared with a 9.91% increase in the previous month.
Vedanta group gets shareholder nod to reshuffle capital
Vedanta group on Wednesday said that its shareholders had approved a proposal to transfer Rs 12,857 crore from its general reserve to its profit and loss (P&L) account. According to data compiled by the BS Research Bureau, Vedanta paid the most dividend, Rs 16,740 crore in FY22. In FY23, the company had so far announced two interim dividends, amounting to an outflow of Rs 18,960 crore, data shows.
Wipro’s Q2 profit down by 9.2%, revenue up by 14.6%
IT services major Wipro witnessed a 9.2% decline in its net profit for the second quarter of FY23 on a year-on-year (YoY) basis. It reported a net profit of Rs 2,659 crore in the second quarter, against Rs 2,930.7 crore a year ago. The revenue for the quarter came in at Rs 22,539.7 crore, up 14.6% on a YoY basis; sequentially, the figure was up 4.69%.
Wipro’s Q2 performance was slightly below Bloomberg estimates, which pegged revenue at Rs 22,615 crore and net profit at Rs 2,844 crore.
Also Read: India retail inflation rises to 7.41% in September
Bulk Deal data
ICICI Prudential Life Insurance Company Limited sold 1,83,000 shares in Amber Enterprises (I) Ltd at Rs 2284.54 per share on the NSE.
Viney Equity Market LLP bought 5,64,000 shares in Swastik Pipe Limited at Rs 66 per share on the NSE.
SS Corporate Securities Limited sold 46,88,000 shares in Swastik Pipe Limited at Rs 66 per share on the NSE.
Jaya Chandrakant Gogri bought 1,00,000 shares in Varanium Cloud Limited at Rs 703 per share on the NSE.
Rikhav Securities Limited sold 5,00,000 shares in Varanium Cloud Limited at Rs 172.84 per share on the NSE.
Also Read: Rupee depreciates 14 paise to 82.35 against US dollar
DII and FII data
Foreign institutional investors (FIIs) have sold shares worth a net of Rs 542.36 crore, whereas domestic institutional investors (DIIs) purchased shares worth a net of Rs 85.32 crore on October 12, as per provisional data available on the NSE.
NSE F&O Ban
Delta Corp Ltd and Indiabulls Housing Finance have been placed under the F&O ban for October 13. Securities in the ban period under the F&O segment include companies in which the security has crossed 95% of the market-wide position limit.
