Snapping a 7-day losing
streak, Indian equity benchmarks settled with strong gains on Friday, as
investors cheered the RBI MPC announcement of the repo rate hike. Key gauges
opened with minor cuts but turned green and witnessed strong momentum in morning
deals after the Reserve Bank of India (RBI)’s Monetary Policy Committee (MPC)
announced a 50 basis points (bps) hike in the repo rate to 5.90% on Friday in
order to bring elevated inflation back to its target.

Nifty50 has formed a long bull candle on the daily chart, suggesting the making
of a bullish engulfing pattern, according to Nagaraj Shetti, Technical Research
Analyst at HDFC Securities.

a move following weakness from the highs above the 18,000 mark signals the
possibility of an important bottom reversal for the 50-scrip index around
16,800, he said.

Also Read | Suzlon Energy founder Tulsi Tanti dead at 64

Indian Indices

Sensex rose 1016.96 points or 1.80% to 57,426.92 while the Nifty was down by
276.25 points or 1.64% to 17,094.35 at the close of trading on Friday. The
Sensex moved in a high and low band of 57,722.63 and 56,147.23. There were 25
stocks advancing against 5 stocks declining on the index. The Nifty traded in a
range of 17,187.10 and 16,747.70. There were 41 stocks advancing against 9
stocks declining on the index.

Broader Indices

broader indices ended in green with the BSE mid-cap index up by 1.39% and the
Small cap index up by 1.45%. The top gaining sectoral indices on the BSE were
Telecom up by 3.49%, Metal up by 2.66%, Bankex up by 2.63%, Financial Services
up by 2.36%, and Consumer Durables up by 1.96%, while Oil & Gas down by
0.01% was the lone losing index on BSE.

Also Read | 5G rolled out in India: Key highlights

India VIX Index

or India VIX, a gauge of the market’s expectation of volatility over the near
term, fell 6.27% to 19.97 on Friday.

SGX Nifty

trends on SGX Nifty indicate a negative opening for the index in India with a
210-point loss. The Nifty futures were trading at 16,877.5 on the Singaporean
Exchange at around 7.17 hours IST.

Support and Resistance levels

key support level for the Nifty is 16,832, followed by 16,570. If the index
moves up, the key resistance levels to watch out for are 17,272 and 17,449,
according to pivot charts.

Also Read | 5G vs 4G: What the key differences are

US Markets

S&P 500 fell 54.85 points, or 1.51%, to 3,585.62.

Dow Jones Industrial Average fell 500.10 points, or 1.71%, to 28,725.51.

Nasdaq composite fell 161.89 points, or 1.51%, to 10,575.62.

Russell 2000 index of smaller companies fell 10.21 points, or 0.61%, to

Asian Markets

markets ended mostly lower on Friday. The KOSPI Composite fell 0.71%, the
Nikkei 225 fell 1.83% and the Shanghai Composite fell 0.55%.

Also Read | Modi launches 5G in India: Which cities get services in first rollout

European Markets

markets ended mostly in green on Friday. Germany’s DAX was up by 1.16%,
France’s CAC 40 was up by 1.51% and London’s FTSE was up by 0.18%.

Major Headlines

RBI hikes repo rate by 50 basis points to 5.90%

Reserve Bank of India (RBI) hiked the key interest rate, the repo rate, by half
a percentage point or 50 basis points in its policy review on Friday. This is
the RBI’s fourth straight hike since it started tightening monetary policy
earlier this year. The monetary policy committee remains focused on the
withdrawal of accommodation to ensure that inflation remains within target
while supporting growth, said RBI Governor Shaktikanta Das. The Standing
Deposit Facility (SDF) rate stands adjusted at 5.65%. The Marginal Standing
Facility (MSF) and bank rate are revised at 5.9%.   

Also Read | SEBI tightens IPO disclosure norms, approves dividend payout reforms

India’s April-August fiscal deficit at Rs 5.41 lakh crore

central government’s fiscal deficit stood at Rs 5.41 lakh crore in
April-August, accounting for 32.6% of the full-year target, according to data
released by the Controller General of Accounts on September 30. The fiscal
deficit for April-August 2021 stood at Rs 4.68 lakh crore, or 31.1% of the
budgeted target for the fiscal year 2021-22 target.

the fiscal deficit in April-August of the current financial year is 15.7%
higher on a year-on-year basis. In February, while presenting the annual
budget, Finance Minister Nirmala Sitharaman set the fiscal deficit target at
6.4% of GDP for 2022/23 starting April, compared to 6.7% in the previous
financial year. 

the April-August period, total receipts rose 4.9% year-on-year to Rs 8.48 lakh
crore, accounting for 37.2% of the budget target. Net tax revenue rose 8.6%
year-on-year to around Rs 7 lakh crore, accounting for 36.2% of the budget
target. While total expenditure was Rs 13.9 lakh crore or 35.2% of the full
year target, the data showed.

5G rollout in India: PM Modi calls it ‘step towards the
new era’

Prime Minister Narendra Modi on Saturday announced the start of 5G services,
describing it as a “step towards the new era.” Thirteen cities
received the 5G Internet services in the initial rollout phase. Ahmedabad,
Bengaluru, Chandigarh, Chennai, Delhi, Gandhinagar, Gurugram, Hyderabad,
Jamnagar, Kolkata, Lucknow, Mumbai, and Pune are the cities that are included.

front of India’s telecom leaders in New Delhi, Modi unveiled the eagerly
anticipated services that are meant to offer seamless coverage, high data
rates, minimal lag in internet connectivity, and extremely dependable
communications. “This event will be etched in history,” Modi said at the
launch. He said it was a “step towards the new era in the country” and “the
beginning of infinite opportunities.”

Also Read | RBI MPC meet: How a repo rate hike will impact your money

Bulk Deal data

Gilts & Securities Pvt Ltd sold 1,16,000 shares in Varanium Cloud Limited
at Rs 139.83 per share on the Nse.

Prabhatchandra Jain bought 51,774 shares in Focus Lightg at Rs 153.09 per share
on the Nse.

Narayan Gupta sold 3,00,000 shares in GP Petroleums Limited at Rs 55.00 per
share on the Nse.

Jagumal Karda sold 75,00,000 shares in KBC Global Limited at Rs 2.20 per share
on the Nse.

Gopal Mohta bought 1,09,376 shares in Libas Con Product Ltd at Rs 1.77 per
share on the Nse.

Advisory and Consultancy Services LLP sold 10,00,000 shares in One Point One
Sol Limited at Rs 10.10 per share on the Nse.

Patel bought 2,73,773 shares in Patel Integrated Logistic at Rs 12.99 per share
on the Nse.

Baljee sold 3,45,065 shares in Royal Orchids Hotels Limited at Rs 274.70 per
share on the Nse.

Share & Stock Advisors Private Limited bought 1,90,000 shares in Sabar Flex
India Limited at Rs 18.06 per share on the Nse.

Com Private Limited sold 4,08,211 shares in Silly Monks Entertain Limited at Rs
30.00 per share on the Nse.

Also Read | How inflation affects RBI’s interest rate policy

DII and FII data

institutional investors (FIIs) have sold shares worth a net Rs 1,565.31 crore,
whereas domestic institutional investors (DIIs) purchased shares worth a net Rs
3,245.45 crore on September 30, as per provisional data available on the NSE.


have been placed under the F&O ban for October 3. 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.